CommerceKit
Procurement6 min read

How to Compare Supplier Quotes When Pack Sizes Are Different

Real RFQs come back in different shapes: per-carton EXW from one supplier, per-kg DDP from another, per-pallet in another currency from a third.

The headline number rarely tells you which is cheapest. Here's how to normalize them so the comparison is honest.

Decision preview Normalize

Supplier A is cheaper per box — but Supplier B wins after freight and yield.

  • Supplier A · per box€ 18.40
  • Supplier B · per box€ 19.10
  • + freight to your door+ € 0.95 / unit
  • + yield + duty normalized+ € 0.60 / unit
Decision: Supplier B wins by € 0.27 / unit after normalization.
Key takeaways
  • Always compare on price-per-unit (or per-kg) in one reference currency.
  • Equalize incoterms — add freight, duty, and delivery to the "thinner" quotes.
  • Use the FX rate you'll actually pay, not the spot rate of the day.
  • Pack data matters as much as price. Refuse quotes that hide it.

Step 1 — Fix the unit basis

Pick one basis to compare on: usually the unit you actually sell in. For an FMCG buyer that's per consumer unit. For a commodity buyer it's per kg. Convert every quote to that basis using the supplier's pack data (units per carton, kg per carton, cartons per pallet).

Step 2 — Equalize what's included

EXW excludes everything after the supplier's loading dock. FOB includes getting goods on the boat. CIF adds freight and insurance to destination port. DDP adds duty and delivery.

Add the missing pieces to the "thinner" quotes so all options end at the same point in the supply chain.

Step 3 — Convert currencies

Pick one reference currency (usually your selling currency) and convert using the rate you'll actually pay — forward rate, hedged rate, or recent average. Don't compare across currencies at the spot rate of the day you received the quote.

Step 4 — Compute price per unit

Total delivered cost ÷ total units = price per unit. Now the quotes are comparable. Often the cheapest headline supplier is no longer cheapest.

Quote normalization map

Diagram
Unit / pack / currency / incoterm normalization
Pack/unit conversion → one sellable basis
Incoterm adjustment → one delivery scope
FX conversion → one payment currency
Delivered total ÷ units → comparable unit cost

Worked example

Example
Two suppliers, different packs

Supplier A: $24/carton EXW, 12 units/carton, freight estimated $2/carton → $26/carton ÷ 12 = $2.17 per unit.

Supplier B: $20/carton DDP, 8 units/carton → $20 ÷ 8 = $2.50 per unit.

Supplier A wins despite the higher headline carton price.

Common mistakes

  • Comparing carton prices when pack sizes differ.
  • Forgetting to add freight to EXW quotes.
  • Treating two currencies as equal because the numbers look similar.
  • Ignoring lead time, payment terms, and quality history — price isn't everything.

Frequently asked questions

What if a supplier won't share pack data?

Push for it — without units per carton you can't compare. If they refuse, you can't honestly evaluate the quote against suppliers who do share.

Should I compare ex-VAT or inc-VAT?

Always ex-VAT for B2B comparisons. VAT is recoverable for most VAT-registered businesses.

How do I weight non-price factors?

Score them separately (lead time, MOQ, payment terms, quality). Don't try to express them as a price adjustment unless you have hard data.

What about sample costs?

Amortize over the planned PO if recoverable. Otherwise treat as a one-off sourcing cost, not part of unit price.

Disclaimer. These tools provide estimates for general informational purposes only. They are not financial, tax, customs, legal, or professional advice. Always verify calculations with your accountant, customs broker, freight forwarder, or relevant professional before making business decisions.