Purchase & store glossary
Comparative Statement: Meaning, Format & Example
Comparative statement, in short
A comparative statement (CS) is a side-by-side table of quotations from different vendors for the same items, comparing rate, taxes, freight, delivery time and payment terms. It shows the lowest acceptable offer (L1) and records why a vendor was chosen.
Also called: CS, Quotation comparison statement, Comparative statement of quotations
After you send an RFQ and vendors reply, someone has to compare the quotes fairly. The comparative statement is that comparison, written down so an approver can check it.
What a comparative statement includes
For each item, one column per vendor:
- Basic rate and discount
- GST and other taxes
- Freight, packing and loading
- Landed cost per unit
- Delivery period
- Payment terms and credit days
- Warranty or validity
- Last purchase rate, for reference
The vendor with the lowest landed cost that meets quality and delivery is L1, then L2, L3 and so on.
Start with our free comparative statement format in Excel.
Worked example
Three vendors quote for 1,000 nos of Bearing 6210 ZZ:
| Vendor A | Vendor B | Vendor C | |
|---|---|---|---|
| Basic rate | ₹5,500 | ₹5,420 | ₹5,600 |
| Freight per unit | ₹152 | ₹310 | ₹0 |
| Landed cost | ₹5,652 | ₹5,730 | ₹5,600 |
| Delivery | 7 days | 5 days | 21 days |
Vendor C is cheapest but cannot deliver in time, so Vendor A at ₹5,652 is chosen as the L1 acceptable offer. The statement records why. (Illustrative figures.)
Why it matters
Without a comparative statement, rates are compared from memory, freight is forgotten, and the same vendor keeps winning. The owner has no way to check whether the order went to the best offer.
How IndustryPrime handles it
Purchase sends enquiries to multiple vendors in one click. When quotations come in, IndustryPrime builds the comparative statement automatically, so the team can negotiate and pick the vendor from one screen. The approver sees the comparison and your last purchase rate before approving the PO. See quotation comparison software and reduce purchase cost.