What is a Best Value?

Also known as: Best-value tradeoff, Trade-off source selection

By the GovPrimer teamUpdated January 1, 2026

Best value is a source-selection approach in which the government may award to other than the lowest-priced offer when a higher-rated proposal's benefits justify the additional cost. Non-price factors — like technical approach and past performance — are weighed against price.

How best-value tradeoff works

The solicitation's Section M states the evaluation factors and their relative importance. Evaluators rate proposals on those factors, then the source-selection authority decides whether stronger non-price merits warrant paying more.

Best value rewards differentiation: a compelling technical solution, relevant past performance, and lower risk can beat a cheaper competitor.

Frequently asked questions

Does best value mean price doesn't matter?

No. Price always matters and must be evaluated. Best value simply lets the government pay a premium when the added benefits of a higher-rated proposal are worth it.

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