Best value

Choosing the bid that gives the best mix of quality, risk and price, not simply the cheapest. Most IT services contracts are awarded on best value.

Also called: Value for money

Related terms

Lowest price compliant

An award method where every bid that meets all mandatory requirements is ranked on price alone, and the cheapest wins. Common for hardware and licences.

Most economically advantageous tender (MEAT)

The European rule for choosing a winner on the best price-quality ratio rather than price alone. Under the UK Procurement Act 2023 the equivalent is the “most advantageous tender”.