Quotation Rejection Letter Polite
Rejecting a quotation well is a business skill: clear, kind, and quick. This template declines the quote politely while keeping the relationship warm for future business.
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When and how to use this letter
Send this letter promptly once the decision is made, ideally within a week of evaluating the quotes. Email it to the vendor's sales contact; no one benefits from leaving a rejected vendor waiting.
Be gracious and specific. Thank the vendor for the effort of quoting, state the decision clearly, and give the deciding factor without disclosing competitors' terms. Vendors remember how rejection feels when the next tender comes around.
Include what to avoid: do not use this letter to squeeze a last-minute discount unless you genuinely intend to reconsider; fake rejections destroy trust. Do not share the winning quote's details. And never ghost a vendor who took the time to quote properly.
What happens next: the vendor will either accept the decision or come back with a revised offer. If they revise, evaluate it on the same criteria as before. A non-obvious tip: keep a small file of rejected vendors with their strengths noted. Markets change, your regular supplier may fail you, and a vendor you rejected kindly today can become your best option tomorrow. Send the rejection on the same day the internal decision is recorded, so the vendor is not left holding capacity while waiting for news that will never be good.
Frequently asked questions
Can I negotiate after rejecting a quotation?
Should I keep the door open for future quotes?
How much detail should I give about why I lost?
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