What are the differences between commodity and service Business proposals?

1 ANSWERS

1. Guest2574
   

   Commodities or off-the-shelf offerings are much easier to bid than solutions or complex services. While the terms are often used interchangeably, commodities are often purchased via “bids” instead of “proposals.” A bid is essentially a pricing quote for a known item. A proposal is required when you must describe the item being bid. A subtle, but important difference.
   A commodity bid or proposal consists mainly of identifying what will be delivered as line items and pricing them. A solution or service proposal must not only describe what will be done and what will be delivered, but must also describe how things will be done. The explanation is as important as the price.
   A solution or service proposal often starts with figuring out what you are going to propose doing. With a commodity proposal, you know from the outset what you are going to deliver.

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