Price-quality ratio

The split of points between price and quality in an evaluation, such as 30% price and 70% quality. A high quality weighting favours firms with strong experience over the cheapest bid.

Related terms

Evaluation criteria

How the buyer will score bids: the questions or factors, how many points each is worth, and how price is weighed against quality. They are published in the tender and must be followed.

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.