How do you calculate total RFQ response cost?

Multiply RFQs reviewed by average cost per RFQ and by the qualified share you actually quote, then add fixed quoting support cost. For 18 RFQs at $165 with 70% qualified plus $950 fixed, that is $2,079 + $950 = $3,029.

What does it cost to respond to a single RFQ?

It varies widely, but $100-$300 in loaded estimating time is common for moderate-complexity machined or fabricated parts. In the example the all-in average works out to about $168 per RFQ once fixed cost is spread across the batch.

Why include a qualified RFQ share instead of quoting everything?

You shouldn't spend full estimating time on RFQs that are out of scope or unwinnable. The qualified share — 70% here — reflects that you formally quote only the requests worth pursuing, which keeps the cost estimate realistic.

What is fixed quoting support cost?

It is the overhead that exists regardless of RFQ volume: quoting software, a portion of an estimator's salary, ERP licenses, and time spent maintaining cost libraries. Here it adds $950 to the period.

How do I lower my RFQ response cost?

Qualify harder so you quote fewer dead-end requests, build reusable cost templates, and automate routine estimates. Cutting the qualified share or the per-RFQ cost both move the total down.

Contract Manufacturing, Job Shop Quoting & Make-to-Order calculator

RFQ Response Cost Calculator

RFQ response cost is the total money a shop spends to estimate and quote the requests it receives in a period — the estimating labor on each RFQ plus the fixed overhead of the quoting function. Estimating managers and owners use it to understand the true cost of chasing work, because every quote consumes engineering and sales hours whether or not it wins. When win rates are low, this number reveals how much you are spending just to stay in the running. It is the denominator behind any honest cost-to-acquire conversation in a job shop.

What this calculator does

Estimate the internal cost to review and respond to customer RFQs.
deciding whether to pursue an RFQ, require more customer information, or charge for complex quoting work
It computes variable RFQ cost (RFQs reviewed times cost per RFQ times the qualified share you actually quote) plus fixed quoting support cost.

Formula used

Variable RFQ response cost = RFQs reviewed in the period × average response cost per RFQ × qualified RFQ share included
Total RFQ response cost = variable RFQ response cost + fixed quoting support cost

Inputs explained

RFQs reviewed in the period: Count new RFQs, drawing packages, revision requests, and customer bid packages that require estimator or engineering review.
average response cost per RFQ: Include estimator time, engineering review, supplier quote chasing, programming checks, sales review, and quoting software overhead.
qualified RFQ share included: Use the percentage of RFQs that receive full costing work rather than quick no-bids or budgetary screens.
fixed quoting support cost: Include quoting templates, customer portal fees, benchmark studies, outside estimating help, or one-time bid package costs.

How to use the result

Use it to budget the estimating function, justify quoting headcount, or measure the cost of pursuing a class of low-probability RFQs.
It assumes one average response cost per RFQ; complex multi-operation quotes can cost several times a simple one, so blend carefully.

Current U.S. benchmarks

The U.S. prime lending rate is 6.75% (Federal Reserve via FRED, 2026-07-02). Payback and financing math should start from today's rate, not a remembered one.

Common questions

How do you calculate total RFQ response cost? Multiply RFQs reviewed by average cost per RFQ and by the qualified share you actually quote, then add fixed quoting support cost. For 18 RFQs at $165 with 70% qualified plus $950 fixed, that is $2,079 + $950 = $3,029.
What does it cost to respond to a single RFQ? It varies widely, but $100-$300 in loaded estimating time is common for moderate-complexity machined or fabricated parts. In the example the all-in average works out to about $168 per RFQ once fixed cost is spread across the batch.
Why include a qualified RFQ share instead of quoting everything? You shouldn't spend full estimating time on RFQs that are out of scope or unwinnable. The qualified share — 70% here — reflects that you formally quote only the requests worth pursuing, which keeps the cost estimate realistic.
What is fixed quoting support cost? It is the overhead that exists regardless of RFQ volume: quoting software, a portion of an estimator's salary, ERP licenses, and time spent maintaining cost libraries. Here it adds $950 to the period.
How do I lower my RFQ response cost? Qualify harder so you quote fewer dead-end requests, build reusable cost templates, and automate routine estimates. Cutting the qualified share or the per-RFQ cost both move the total down.

Last reviewed 2026-05-12.