Quotation automation is the use of software to process incoming customer requests for quotation (RFQs) and produce draft quotes without manual data entry. It reads the request, identifies the products, applies the correct pricing from the ERP, and prepares a quotation for a human to review and send.
Quotation automation handles the inbound side of quoting: a customer sends a request by email or document, and the system reads it, interprets what the customer wants, matches it to the product catalog, and generates a draft quote. In a manual process, this work falls to inside sales, who read each request, look up products and prices, and build the quote by hand, often spending far longer per quote than the task appears to warrant.
Quotation automation is distinct from configure-price-quote (CPQ) software. CPQ helps a sales representative build an outbound quote through guided configuration; the input is a person working inside the tool. Quotation automation handles inbound requests before a representative is involved. The two solve different problems and are not substitutes: CPQ does not remove the manual work of reading incoming RFQs, and quotation automation does not replace CPQ for configuring complex bespoke products.
A wholesaler receives quote requests where customers describe what they need in their own words, often without product codes: "500 units of the connector we ordered last spring, stainless steel." Quotation automation reads the request, queries the customer's order history to identify the referenced product, checks current pricing in the ERP, and produces a draft quote for review.
A supplier in construction receives requests as bills of quantities in GAEB format. Quotation automation reads the file, matches each position to a catalog product, applies pricing, and generates a priced response, all before a person reviews the result.
The difference between quotation automation and CPQ is direction: CPQ helps a sales representative build a quote outbound, while quotation automation processes an inbound customer request automatically. CPQ starts with a person configuring a product; quotation automation starts with an email in an inbox. A company with a high volume of incoming RFQs needs quotation automation; a company whose reps build complex configured quotes needs CPQ.
The strongest quotation automation setups connect to the ERP to pull live pricing and stock so that every quote reflects current data, not a static export. They handle the full range of inbound formats including free-text email and GAEB, keep a human review step before quotes are sent, and surface ambiguous product matches with a confidence indicator rather than guessing.
Quotation automation lets B2B suppliers respond to more requests, faster, without expanding the inside sales team. In competitive markets where the first accurate quote often wins the order, faster and more consistent quoting is a direct commercial advantage.
