You've probably heard that federal contracting is competitive. And in IT services or professional consulting, that's true: dozens of companies fighting over the same contracts, racing to the bottom on price.
But here's what most contractors don't realize: there are entire industries where government agencies struggle to get even a single bid. Not five bidders. Not three. One.
Federal procurement data from fiscal year 2024 reveals something surprising. While the average federal solicitation attracted about 3.6 bids, certain NAICS codes consistently saw just one bidder per contract. These aren't small purchases either. We're talking billions of dollars flowing through industries where showing up might be enough to win.
Before diving into the list, it helps to understand why these gaps exist. Low competition usually comes down to three factors:
Geographic constraints: Many contracts require local presence. A nursing care facility in rural Montana can't be served by a company based in Florida. Agencies often have just one qualified local provider.
Specialized requirements: Some industries require specific certifications, equipment, or expertise that few companies maintain. Precision scale manufacturing, for example, demands capabilities most general manufacturers don't have.
Market invisibility: Certain opportunities never show up on the radar of companies actively pursuing federal work. They're buried in procurement systems, posted with short response windows, or structured as simplified acquisitions that fly under the threshold most contractors monitor.
The result is a mismatch: agencies with real needs and budgets, but not enough vendors stepping up to meet them.
Based on FY24 data analyzing bids per solicitation against total award value, these industries represent genuine opportunity for contractors willing to explore beyond the obvious markets.
Average bids per solicitation: 1.05
FY24 awards: 3,103
Why it matters: This is the largest category by dollar value on this list, with nearly a billion dollars awarded through thousands of small contracts. Most awards go to facilities serving specific geographic regions or patient populations. If you operate or partner with a nursing care facility, federal contracts through VA and other agencies represent significant, recurring revenue with minimal competitive pressure.
Average bids per solicitation: 1.01
FY24 awards: 110,612
Why it matters: Yes, over one hundred thousand awards. These are primarily micro-purchases and simplified acquisitions where a single vendor fills the need. The sheer volume creates opportunity for suppliers who can handle government purchasing processes efficiently. Being the vendor who responds quickly and reliably builds a relationship that leads to repeat business.
Average bids per solicitation: 1.0
FY24 awards: 318
Why it matters: Precision measurement equipment is essential for laboratories, research facilities, and quality control operations across government. The specialized nature of this manufacturing means few companies can meet the technical requirements. If you're already in this space commercially, federal agencies need what you make.
Average bids per solicitation: 1.0
FY24 awards: 231
Why it matters: In-home care for veterans and federal beneficiaries requires qualified local providers. Agencies often rely on a single provider per geographic area simply because alternatives don't exist. Expanding your service territory or pursuing certifications that qualify you for federal health programs opens access to a market with genuine demand and virtually no competition.
Average bids per solicitation: 1.0
FY24 awards: 206
Why it matters: Government agencies lease specialized properties: warehouses near ports, training facilities in specific locations, storage for equipment. If you own commercial real estate in areas where federal operations occur, you may be the only option when agencies need space. Understanding the GSA leasing process positions you to capture these opportunities.
Average bids per solicitation: 1.07
FY24 awards: 209
Why it matters: Highly specialized healthcare services like blood supply operate in a market where few organizations have the infrastructure and certifications required. Regional blood banks often face no competition for federal contracts in their service areas. If you're in this space, federal partnerships add revenue stability.
Average bids per solicitation: 1.05
FY24 awards: 273
Why it matters: Durable medical equipment rental for home use: hospital beds, oxygen equipment, mobility devices. These contracts typically serve specific geographic regions where agencies need reliable local suppliers. Being registered and responsive positions you as the go-to provider when needs arise.
Average bids per solicitation: 1.0
FY24 awards: 61
Why it matters: Uniforms and apparel for federal agencies, military, and contractors represent significant volume. Despite averaging just one bidder per solicitation, the spend was substantial: over $2 million per award on average. If you can supply uniforms at scale with consistent quality, this market has room for new entrants.
Average bids per solicitation: 1.06
FY24 awards: 71
Why it matters: Job training and rehabilitation programs for veterans and federal beneficiaries. Non-profits and small firms in workforce development who know to bid here often have the field to themselves. These contracts support meaningful work while providing steady revenue.
Average bids per solicitation: 1.0
FY24 awards: 58
Why it matters: Even in the digital age, agencies purchase pre-recorded media: software on physical media, training materials, archival content. Few firms still offer these formats, creating opportunity for those who do. If you have production capabilities for physical media, federal agencies still have needs most suppliers have abandoned.
Knowing where competition is low only matters if you can position yourself to capture the opportunity. Here's how to move from awareness to action:
Verify your NAICS alignment: Check whether any of these codes match or relate to services you already provide. You may be closer to these markets than you think. Your SAM registration should reflect all applicable NAICS codes.
Research the buying agencies: For each NAICS code that fits your capabilities, identify which agencies are making purchases. Nursing care and home health contracts often come through VA. Real estate leasing flows through GSA. Understanding the buyer helps you target your outreach.
Build required credentials: Low competition doesn't mean no standards. Certifications, past performance, and compliance requirements still apply. Small business certifications like SDVOSB, WOSB, or HUBZone can provide additional advantages through set-aside contracts.
Monitor simplified acquisitions: Many low-competition contracts fall below the thresholds that trigger formal solicitation processes. Setting up alerts and checking procurement sites regularly catches opportunities others miss.
Consider geographic expansion: If you provide services in one region, expanding your footprint opens access to contracts in areas with even less competition. Many of these industries are inherently local.
Federal contracting doesn't have to mean fighting for scraps against dozens of competitors. While everyone crowds into IT services and professional consulting, entire industries remain underserved. The government needs these services. The budgets exist. The contracts get awarded.
The question is whether you'll be positioned to capture them.
USFCR has helped over 300,000 businesses position for federal contracting success, with clients winning over $1.8 billion in federal contracts. If you're ready to explore opportunities in less competitive markets, speak with a Registration and Contracting Specialist about your specific situation.
What does "average bids per solicitation" mean? This metric shows how many companies typically submit proposals for each contract opportunity in a given NAICS code. An average of 1.0 means most solicitations receive just one bid.
Can any business pursue these low-competition contracts? You need to meet the specific requirements for each contract, including proper SAM registration, applicable certifications, and relevant capabilities. Low competition doesn't eliminate qualification requirements.
Why don't more companies bid on these contracts? Geographic limitations, specialized requirements, and lack of awareness all contribute. Many businesses focus on high-profile opportunities and miss smaller, more accessible markets.
How do I find current opportunities in these NAICS codes? SAM.gov allows searching by NAICS code. The USFCR Advanced Procurement Portal provides additional filtering and alerts to help identify opportunities matching your capabilities.
Do small business certifications help in these industries? Yes. Many contracts in these NAICS codes are set aside for small businesses or specific socioeconomic categories. Certifications like SDVOSB, WOSB, and HUBZone can provide competitive advantages.
Primary Data Source:
Squared Compass, "Few Bids, Big Wins: 10 NAICS Codes with Shockingly Little Competition" (April 22, 2025) https://www.squaredcompass.com/blog/few-bids-big-wins-10-naics-codes-with-shockingly-little-competition
This is where all the specific NAICS codes, bids per solicitation averages, and award counts came from. They analyzed FY24 FPDS/USAspending data.
Supporting Context:
GovSpend, "Federal Contract Awards Hit $773.68B in FY24" (September 2025) https://govspend.com/blog/federal-contract-awards-hit-773-68b-in-fy24-small-businesses-see-4b-increase/
Used for overall FY24 spending context and small business award totals.
Data Verification:
The underlying data comes from:
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