The Hidden Cost of Waiting for RFQs

For many B2B suppliers, particularly in industrial, construction, and project-based industries, the arrival of a Request for Quotation (RFQ) feels like a win. It is a sign of a real, tangible sales opportunity. But this is a dangerous illusion. By the time an RFQ is issued, the most important parts of the buying decision have already been made. Waiting for an RFQ is a reactive posture that systematically destroys your margins and positions you as a commodity.

An RFQ is a Lagging Indicator

An RFQ is not the start of a buying process; it is the end of one. Long before the RFQ was written, a series of critical decisions were made internally by the buyer:

• The problem was defined.
• The potential solutions were evaluated.
• The technical specifications were drafted, often with input from a preferred vendor.
• The budget was allocated.

The RFQ process is often just a final, formal step to benchmark pricing against a pre-selected vendor. If you are only showing up at the RFQ stage, you are not participating in the sale; you are participating in a price comparison.

If you're bidding on an RFQ, you're already late. The game was won months ago by the supplier who helped write the specifications.

How Waiting for RFQs Changes the Power Dynamic

A sales strategy centered on reacting to RFQs fundamentally shifts the power dynamic in the buyer's favor.

You Become a Price-Taker, Not a Partner: Because you were not involved in the early stages of problem definition, you have no opportunity to differentiate your solution on value. You cannot shape the buyer's perspective or highlight your unique strengths. You are forced to compete on the only dimension left: price.

Your Margins Are Squeezed: In an RFQ process, you are one of several bidders in a race to the bottom. The buyer has all the power to commoditize your offering and negotiate your price down to its lowest possible point.

What Happens Before the RFQ

The suppliers who win consistently are the ones who are active in the phase *before* the RFQ. They are engaged in "pre-sales" or "specification selling." They are building relationships with architects, engineers, and project managers. They are positioning themselves as trusted advisors, helping the buyer to define their problem and write the specifications. By the time the RFQ is issued, it is often written around their solution.

This requires a proactive, outbound system for identifying projects and engaging stakeholders early in their lifecycle, long before they have a formal requirement.

The Takeaway

Stop treating RFQs as your primary source of pipeline. They are a sign that you are too late. To build a profitable and defensible business, you must shift your focus from bidding on tenders to influencing them. You must invest in a system that allows you to get into the conversation early, shape the requirements, and establish your firm as a strategic partner, not just another name on a bidder's list.