7 Steps to Write a Perfect Quotation for Your Business

A quotation is a document that specifies the price and terms of a transaction between a seller and a buyer. A quotation can help you win more business, impress your clients, and protect your interests. In this article, we will show you how to write a quotation that is clear, accurate, and professional.

Key Takeaways

A quotation is a formal offer from a seller to a buyer to provide goods or services at a specified price and under certain conditions.

A quotation can help you win more business, impress your clients, and protect your interests.

To write a quotation, you need to gather the necessary information, choose a format and layout, write the introduction, body, and conclusion, proofread and edit your quotation, and send it to your client.

You should also follow up with your client after sending your quotation to confirm that they have received it and answer any questions they might have.

What is a quotation?

A quotation is a formal offer from a seller to a buyer to provide goods or services at a specified price and under certain conditions. A quotation is also known as a quote, bid, estimate, or proposal.

A quotation is different from an invoice, which is a request for payment after the goods or services have been delivered. A quotation is also different from a pro forma invoice, which is a preliminary invoice that shows the expected amount and terms of a transaction.

Why do you need a quotation?

A quotation can help you in various ways, such as:

Attracting new customers and retaining existing ones by showing your professionalism, credibility, and competitiveness.

Clarifying the scope, specifications, and expectations of the project to avoid misunderstandings and disputes.

Negotiating the best deal for both parties by providing detailed information and options.

Protecting your rights and interests by specifying the terms and conditions of the transaction, such as payment methods, delivery dates, warranties, and liabilities.

How to write a quotation?

To write a quotation that is effective and persuasive, you need to follow these steps:

1. Gather the necessary information.

Before you start writing your quotation, you need to collect all the relevant information from your client, such as their name, address, contact details, requirements, budget, deadline, and preferences. You also need to research the market and your competitors to determine your pricing strategy and value proposition.

2. Choose a format and layout.

You can use a quotation template or create your own format and layout. You should make sure that your quotation is easy to read, understand, and compare. You should also include your logo, company name, address, phone number, email address, website, and other contact details.

3. Write the introduction.

The introduction is the first part of your quotation that introduces yourself and your company to your client. You should briefly state who you are, what you do, and why you are qualified to provide the goods or services. You should also thank your client for their interest and express your enthusiasm for working with them.

4. Write the body.

The body is the main part of your quotation that describes the goods or services you are offering and their prices. You should list each item or service separately and provide its description, quantity, unit price, and total price. You should also include any discounts, taxes, fees, or other charges that apply. You should highlight the benefits and features of your goods or services and explain how they meet or exceed your client’s needs and expectations.

5. Write the conclusion.

The conclusion is the last part of your quotation that summarizes the total amount of the transaction and invites your client to take action. You should restate the main points of your offer and emphasize its value and uniqueness. You should also provide clear instructions on how to accept your quotation and proceed with the order. You should also mention any terms and conditions that apply, such as validity period, payment methods, delivery dates, warranties, and liabilities.

6. Proofread and edit your quotation.

Before you send your quotation to your client, you should proofread and edit it carefully to check for any errors or omissions. You should also make sure that your quotation is consistent, accurate, and professional. You should avoid using jargon, slang, or informal language that might confuse or offend your client.

7. Send your quotation to your client.

You can send your quotation to your client by email or mail. You should attach or enclose a copy of your quotation document along with any supporting documents or samples that might be required. You should also follow up with your client after sending your quotation to confirm that they have received it and answer any questions they might have.

Tips

Use a quotation template or software to save time and ensure consistency

Customize your quotation to suit your client’s needs and preferences

Use clear and simple language that is easy to read and understand

Use bullet points, headings, subheadings, and tables to organize your information

Use numbers, statistics, facts, and evidence to support your claims

Use positive and persuasive words that convey confidence and professionalism

Statistical Report on the Global Demand for Quotation Services in Business

Quotation services are essential for businesses that offer variable prices for their goods or services depending on certain conditions. A quotation, also known as a quote, is a document that lists the proposed prices by a seller for a potential customer. It also includes additional details such as the taxes, costs for raw material and labor, and other factors contributing to the final pricing. It also specifies the duration for which the service will be completed, or the goods delivered, or the validity of the quote.

Market Overview

According to a recent market research report, the global demand for quotation services in business is expected to grow at a compound annual growth rate (CAGR) of 6.5% from 2021 to 2027, reaching USD 12.7 billion by 2027. The major factors driving this growth are:

The increasing complexity and customization of projects that require detailed and accurate quotes

The rising competition and customer expectations that demand faster and more professional quotes

The growing adoption of cloud-based and mobile-based solutions that enable easy and efficient quote creation and management

The emergence of artificial intelligence (AI) and machine learning (ML) technologies that enhance the quality and accuracy of quotes

Market Segmentation

The report also segments the global quotation services market by type, application, industry, and region. By type, the market is divided into software and services. Software accounts for the largest share of the market, as it provides various features such as templates, automation, integration, analytics, and collaboration. Services include consulting, implementation, training, and support.

By application, the market is categorized into sales quotes, service quotes, procurement quotes, and others. Sales quotes dominate the market, as they are widely used by businesses to attract and convert potential customers. Service quotes are also gaining popularity, as they provide a breakdown of the costs and scope of work for various services such as lawn care, landscaping, HVAC, cleaning, and general contracting.

By industry, the market is classified into manufacturing, construction, IT and telecom, healthcare, retail, education, and others. Manufacturing leads the market, as it involves a high degree of customization and complexity in quoting processes. Construction is also a significant segment, as it requires detailed and accurate quotes for large and complex projects.

By region, the market is analyzed across North America, Europe, Asia-Pacific, Latin America, and Middle East and Africa. North America holds the largest share of the market, owing to the presence of major players and advanced technologies in the region. Asia-Pacific is expected to witness the fastest growth rate during the forecast period, due to the rapid development and adoption of quotation services in emerging economies such as China, India, Japan, and South Korea.

Competitive Landscape

The report also identifies the key players in the global quotation services market and provides an overview of their products, strategies, strengths, weaknesses, opportunities, and threats. Some of the prominent players include PandaDoc, Deskera, QuoteWerks, Qwilr, Proposify, Bidsketch, Quotient, Quote Roller, Socket, and Zoho.

Quotation services are vital for businesses that offer variable prices for their goods or services depending on certain conditions. They help businesses create professional and accurate quotes that can increase customer satisfaction and conversion rates. The global demand for quotation services in business is projected to grow at a CAGR of 6.5% from 2021 to 2027, reaching USD 12.7 billion by 2027. The market is segmented by type, application, industry, and region. The key players in the market are PandaDoc, Deskera, QuoteWerks, Qwilr, Proposify, Bidsketch, Quotient, Quote Roller, Socket, and Zoho.

Frequently Asked Questions

Q: What is the difference between a quotation and an estimate?
A: A quotation is a fixed price offer that cannot be changed once accepted by the customer. An estimate is an approximate price that may change depending on various factors.

Q: How long should a quotation be valid for?
A: There is no standard rule for how long a quotation should be valid for. It depends on the nature of the goods or services, the market conditions, and the seller’s preference. However, a common practice is to set a validity period of 30 days.

Q: How can I make my quotation stand out from the competition?
A: You can make your quotation stand out from the competition by:

Offering a competitive price that reflects your value and quality
Providing a clear and detailed description of your goods or services
Highlighting the benefits and features of your goods or services
Providing testimonials, reviews, or case studies from satisfied customers
Offering a guarantee, warranty, or refund policy
Adding a personal touch or a call to action

Q: How can I negotiate a quotation with my client?
A: You can negotiate a quotation with your client by:

Listening to their needs and concerns
Asking open-ended questions to understand their expectations and preferences
Explaining the rationale behind your pricing and terms
Offering alternatives or options that might suit their budget or requirements
Emphasizing the value and quality of your goods or services
Being flexible and willing to compromise

Q: How can I follow up on a quotation with my client?
A: You can follow up on a quotation with your client by:

Sending a thank you note or email after sending your quotation
Calling or emailing them after a few days to confirm that they have received your quotation and answer any questions they might have
Reminding them of the benefits and features of your goods or services and the urgency of the order
Asking for feedback or suggestions on how to improve your quotation
Asking for their decision or next steps

References:

http://www.princeton.edu/~flionnet/papers/Lionnet-WOCAL-Laal-evidential.pdf

http://www.lingref.com/cpp/wccfl/29/paper2690.pdf

https://doi.org/10.5565%2Frev%2Fcatjl.86

https://www.indeed.com/career-advice/career-development/how-to-write-a-quotation

https://www.freshbooks.com/hub/invoicing/how-to-write-a-quote