RFQ is an acronym that stands for request for quote or quotation. A request for quotation is a document that details a buyer’s needs and asks vendors to respond with a detailed pricing proposal.

What is RFQ and RFP?

RFP. While an RFQ is a request for quote, an RFP is a request for proposal. The main difference is the purpose. An RFQ is sent when you know exactly what product/service you want, and you really only need to know the price.

Why is an RFQ used?

RFQs are most commonly used when: You have a commodity-style procurement (i.e. goods rather than services) Exact quantities and requirements are known. Price will be the primary evaluation factor used to determine a winning vendor.

What is the difference between RFP RFQ and RFI?

RFIs educate: An RFI response lets you survey how vendors could fill your needs. RFPs compare: They let you evaluate the merits of a cohort of suppliers based on common criteria. RFQs quantify: They give you the cost of meeting that need.