Quote hit rate looks at buyout from the buyer’s side. For each vendor, divide the quotes you awarded by the quotes they sent. Across all vendors, it shows how competitive your RFQs are.
Why it matters
A sub that quotes everything and never wins may be padding numbers or misreading scope. A sub that wins nearly everything it prices may have no real competition on your jobs. Next to quote coverage (quotes received ÷ vendors invited), hit rate tells a buyer whether the vendor list is healthy.
Worked example
Illustrative: a drywall sub quoted 12 RFQs this year and was awarded 3. Hit rate: 3 ÷ 12 = 25%. If only two vendors respond to most drywall RFQs, coverage is the bigger problem.
Common mistakes
- Counting invitations instead of quotes received in the denominator.
- Comparing hit rates across trades with very different numbers of bidders.
- Treating a high hit rate as proof of good pricing without checking the spread.
How os.construction handles it
Quote hit rate is a metric in Analytics, calculated from RFQs: quotes awarded ÷ quotes received, with quote coverage, late RFQs and awarded amounts beside it. Bidding has its own vendor hit rate and bid coverage. RFQ numbers fail closed: vendor staff never see them.