What Is Quote Size?

Quotations are divided into securities quotes, bid quotes, and product quotes. A security quote is the highest purchase price or the lowest bid for a certain type of securities quoted by a trader in a certain period of time. The bid price is the price that the merchant is willing to bid when bidding for an item. Product quotation refers to the feasible price that the seller publicly quotes by considering factors such as the cost, profit, and market competitiveness of his own product.

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Quotation is divided into

How can a quote be valid? The price is too high, it is easy to scare the customer, or the price is too low. The customer knows at a glance that you are not an expert and dare not take risks to do business with you. It is not easy to quote to old customers: he will pretend to be strong and push down the price so much that when you receive his inquiry, I do nt know how to quote: the report is too low, no money to make; the report is too high, He was also afraid he gave the order to others.

Experienced exporters will first make adequate preparations before quoting, select appropriate price terms in the quotation, and use the payment method, delivery time, shipping terms, insurance terms and other elements in the contract to bargain with the buyer, or rely on Own comprehensive advantages, master the initiative in the quotation.

Prepare your quote in advance

First of all, carefully analyze customers' purchase intentions and understand their real needs in order to draw up a targeted and good quotation. Some customers regard low price as the most important factor, and report it to your bottom line at the beginning, then the possibility of winning the order is high. Mr. Zeng of an import and export company in Guangzhou said, "We will carefully analyze the customers real purchase intentions and intentions before quoting (virtual disk). , Or the official offer (firm offer). " ^[1]

Second, make market follow-up surveys to understand the latest market trends. Due to the high transparency of market information and the rapid changes in market prices, exporters must issue prices based on the latest market information-"follow the market," so that transactions can be concluded. Some regular and more powerful foreign businessmen have offices in Hong Kong and mainland China. They are familiar with and understand the domestic and foreign market and market environment. This requires the export company to be well informed.

Therefore, business personnel must often go to factories to collect supplies, and they must be clear about the selling prices of some local manufacturers. At the same time, as a long-term professional company specialized in specialized varieties, due to its long-term business expansion in the industry, it not only understands the development of the industry and the history of price changes, but also can reasonably analyze and predict the trend.

Choose a price term

In a quote, price terms are one of the core parts. Because which price term to use actually determines the division of responsibilities and profits between the buyer and the seller, the exporter must fully understand the customer s requirements in addition to trying to meet the requirements of the customer before formulating a quotation. The true meaning of price terms and careful selection, then quote based on the selected price terms.

Choosing to trade at the FOB price is beneficial to you under the market conditions of volatile fluctuations in freight and insurance premiums. However, there are also many passive aspects, such as: due to the delay of the importer's shipping, or the delay of the loading period due to various circumstances, and the change of the name of the ship, it will cause the exporter to increase the expenditure of storage and other expenses, or the late payment Cause interest loss. As for the exporter's control of the exported goods, under the condition of FOB price, because the importer and the carrier contact the ship to dispatch the ship, once the goods are loaded, the exporter wants to resell the goods during transportation or destination, or take other remedies Measures will also take some setbacks.

Under the condition of CIF export, the problem of ship-cargo connection can be better solved, so that exporters have more flexibility and mobility. In general, as long as the exporter guarantees that the goods delivered comply with the contract, as long as the documents submitted are complete and correct, the importer must pay. After the goods have passed the ship's rail, the importer must not refuse to pay for the damages even if the goods are damaged or lost at the time of payment by the importer. That is, an export contract concluded at a CIF price is a specific type of "document sales" contract.

A savvy exporter must not only be able to grasp the quality and quantity of the goods he sells, but also every link in the destination of the goods and the payment process. For the loading, transportation and risk control of goods, we should try our best to obtain certain control rights, so that the profit of trade can be guaranteed. Some large multinational companies that require Chinese exporters to trade at FOB prices because they can get preferential conditions in transportation and insurance are guaranteeing their control. For another example, most goods exported to Japan are FOB prices. Even if exporters provide very favorable conditions, it is difficult to change the price conditions. Therefore, in order to cater to the needs of buyers or adhere to their own principles, it is necessary for exporters to consider more when quoting.

When export profits are generally not very high, it is more important than ever to plan carefully for each link in the entire trade process. Some domestic export companies have good export profits. Their approach is to quote the FOB price first, so that customers can compare the prices of their products, and then consult the CIF price, and insist on arranging transportation and insurance in the domestic market. They said frankly that by doing so, not only could buyers have more choices, but sometimes they could make a little difference in shipping premiums.

Requirements for Quotation Use Contract

Other elements of the contract mainly include: payment method, delivery time, shipping clause, insurance clause, etc. Among the factors that affect the transaction, price is only one of them. If it can be negotiated with customers in conjunction with other requirements, the price will be more flexible. For example, for customers in India, Pakistan and other countries or regions, sometimes you give him a 30- or 60-day forward L / C condition, which may be very attractive to him.

At the same time, you can also adjust the offer according to the geographical characteristics of the export, the strength and personality of the buyer, and the characteristics of the product. Some customers are particularly concerned about the price, and the order will be placed to the seller with the cheapest offer, so when you quote, you will directly report to him the lowest price you can provide. Some customers are accustomed to bargaining. The price you quote is not very willing if you don't cut it down. Then, you can reserve the amount he hopes to cut off when making the first quote.

And if the price of a product is down for a period of time, in order to grab the order, you may wish to directly report your lowest price. For seasonally strong items such as clothing, promising fast and punctual delivery times to your customers in your quotation will undoubtedly make customers pay attention to your quotation.

You can also adjust your own quotation strategy based on the low sales, peak season, or order size. Ms. Meng, an import and export company in Shaanxi Province who is engaged in glass products export, said that the products they export have many specifications, so they have fixed prices for different countries and regional markets. Make some adjustments according to different seasons. Facing relatively scattered orders, their quotations are often flexibly controlled on the basis of ensuring the company's profitability.

The overall strength of the offer to win

If you have confidence in your overall strength, you don't need to blindly please customers at low prices. Mr. Zeng said, "The quotation should be as professional as possible. Try to ask some professional questions before or during the quotation, showing that you are very familiar with the product or industry. Therefore, before quoting, you must consider the customer's reputation. On the other hand, you must have confidence in your products and quality. When dealing with new customers, it is important for customers to understand their situation clearly, such as asking them to go to the factory and let them know their own operating procedures, so that when customers place orders It must be much easier to resolve.

At the same time, from your quotation, foreign investors who know and are familiar with the industry can perceive whether you are also a veteran in the industry and judge your credibility. Excessively low prices make customers feel that you are not credible and unprofessional . Mr. Sun introduced, "If the market price is around 10,000 yuan per square meter, and you report to your customers 15,000 yuan per square meter, it shows that you are an authentic layman or novice, and foreign investors are definitely not interested in similar offers. No matter how dare you place an order. So you will know if you are an expert depending on what price you quote. "

Finally, before quoting a new customer, make sure to let him know your company's strength and business operation model. Only when you have sufficient confidence in you and your company can customers consider your trading conditions, which many inexperienced exporters often overlook. Mr. Sun believes that although many foreign businessmen make inquiries about price comparisons, a good company image and reputation can help you attract and retain customers. It can be said that a good company image is a golden signboard that attracts customers.

Select a quote channel

When you trade online, you can directly quote. Alibaba's online quotation function is only available to "Integrity Pass members".

When you have the information you are interested in, please fill out the "quotation" and send it directly. In order for the buyer to receive your feedback quickly, you can use the following methods:

1. Select "Mobile SMS" in "Quote" to send the content of your quote to the other party's mobile phone, or remind the other party to check your quote by SMS. The fastest way to communicate your quotation information to the buyer for further discussions. So as to avoid untimely quotation and lose potential customers.

2. When you receive the customer's inquiry form by E-MAIL or system message, you can choose to quote directly through E-MAIL or reply message.

3. You can use Tradelink to make online quotations in time to seize business opportunities.

1) If the buyer asking you for a price is "online", you can talk to him immediately. Learn more about each other's purchase needs and further verify each other's identity and intention. You can make a quote to the other party at any time and get the other party's feedback on the price!

2) If the buyer holds an online conference to discuss business, you can also conduct multi-party business negotiations through Tradelink. Understand the quotations of peers, combine the company's actual situation and profit margins, adjust the strategy in time, make quotations, and ultimately succeed!

4. According to the buyer's contact information, call directly to communicate with the other party, judge the other party's cooperation intention, the authenticity of the inquiry, and grasp the customer needs and budget.