How to decline a quote

[jet042]

I have only recently been in a position of enough authority to request, approve, and decline quotes for services. Since I've never actually done this before, then, I'm in a bit of a pickle.

It's easy to accept a quote, but how do I go about declining one, especially when I need to continue doing business with the company that presented it? Should I give them details about why we didn't go with them, or is a simple "We decided to go with someone else" sufficient?

Also, should I do this via e-mail or over the phone? By fax if that's how the submitted the quote in the first place? I'm at a loss.

 

[stackdump]

If you're doing regular business with that vendor, then I'd be inclined to tell them that this time around you got a better quote from one of their competitors (don't tell them the details) but ask them if they could do anything to improve on their numbers? If they can come up with a better offer, then maybe you can work the vendors against each other to get a best price.

If they beat it, great, if they don't then just say you'll be sure you consider them again on the next one.

I would do that by telephone.

If they ask why you got several quotes, just say funds are tight and head office wanted to ensure I secured a best price on this.

[I would advise against giving away details of the competitor quotes to either competitor, since they're often considered as being in confidence or subject to non-disclosure. You can damage a good vendor relationship doing that].

 

[Annihilannic]

Often it's "company policy" to get multiple quotes anyway, which is a good reason to give, and I think companies claiming ISO 9001 quality standards compliance are required to do that.

Annihilannic.

 

[SQLSister]

Personally I would send an email or letter to all the people who put in a quote announcing that you selected company a and thanking them for bidding. I wouldsend this out after the winner has been notified and accepted (sometimes they decide not to take the work even when they quoted a price). I don't believe anything more than that is required. I would not contact them personally or you will get into a negotiation you do not want after a contract has been let. The time for negotiating a better price is before the winning contractor has been notified, not after.

"NOTHING is more important in a database than integrity." ESquared

 

[jet042]

Thanks for the advice.

That was relatively painless for both of us; especially since I needed more work done and could place an order at the same time as refusing the quote.