Pricing comparator
Supplier Offer Comparator
Add two or more supplier quotes to see which is actually cheaper once free quantity and credit terms are accounted for, not just the headline price. Your entered values stay out of analytics.
Used to value each offer's credit period. Set to 0 to compare landed cost alone.
| Offer | Effective cost/unit | Effective total |
|---|---|---|
| Supplier A (cheapest) | ₹98.02 | ₹98,023.56 |
| Supplier B | ₹105.00 | ₹1,05,000.00 |
Supplier A: why ₹98.02/unit
- Purchase value (95.96%)
- ₹95,000.00
- Freight (4.04%)
- ₹4,000.00
- Credit-period benefit
- −₹976.44
Supplier B: why ₹105.00/unit
- Purchase value (92.38%)
- ₹97,000.00
- Freight (7.62%)
- ₹8,000.00
Formula and assumptions
Each offer's landed cost works out the same way the Landed Cost Calculator does. Effective cost per unit = (landed cost − credit-period benefit) ÷ (quantity paid for + free quantity). The credit-period benefit = landed cost × annual cost of capital × credit days ÷ 365.
- Effective cost per unit divides the landed cost by the quantity you actually receive, including any free units — not just the quantity you pay for.
- Credit days are valued at the annual cost of capital you enter, applied for the fraction of a year the credit covers. A 30-day credit at 12% a year is worth total landed cost × 12% × 30 ÷ 365.
- An annual cost of capital of 0% treats every offer's credit terms as worth nothing, comparing landed cost alone.
- It does not model exchange rate risk, quality differences or supplier reliability.
- Money is rounded to 2 decimal places (half up). The effective cost per unit is the rounded effective total divided by the effective quantity, rounded to 2 decimal places.
Formula version 1.0, last reviewed Reviewed and released by the owner, 8 October 2026.
Frequently asked questions
What if I don't want to value the credit period?
Set the annual cost of capital to 0. Every offer's credit-period benefit becomes zero, and this compares landed cost alone.
How do I enter a percentage discount from a supplier?
Work out the discounted purchase value first — for example with the Trade Discount Calculator — and enter that total here, the same way the Landed Cost Calculator expects it.
Does this consider quality or reliability?
No. It compares cost only. Supplier reliability, lead time and quality are for you to weigh separately.