If company sales representatives spend more time on non-sales activities like creating proposals, drafting quotes, and getting quote approvals, revenue growth may slow down. You can overturn this by deploying CPQ software.
Analyzing custom order configurations, setting a price for that, and quoting the same to the client are some of the vital tasks that lead to revenue growth. However, business experts have found that most businesses use software or tools not dedicated to such work.
That could be from a lack of knowledge of the tool. Read on to learn more about Configure, Price, Quote systems, and some of the best tools fit for any business. Therefore, you can get an edge over your competitors by deploying a digitized CPQ tool.
What Is Configure Price Quote (CPQ)?
CPQ is an industry term for sales teams of any manufacturing or development company. The full form of CPQ is Configure, Price, and Quote. In a nutshell, CPQ is simply an automated software service or solution that lets your sales team accurately configure, price, and quote your services/products from anywhere.
Some robust CPQ apps go an extra step and enable you to create web apps for self-service quotes so that business clients, consumers, and vendors can get quick quotes themselves.
CPQ Software Vs. Manual Pricing System
Configure, price, quote software or CPQ solution is a sales tool that businesses use to offer accurate pricing and quotes for all the products/services configurations clients seek. A business-to-business (B2B) sales ecosystem consists of customized pricing depending on the configuration required by the client, client relationship, order volume, contract length, etc.
Drafting and approving a price quote based on various points is tedious and error-prone. Then again, development or manufacturing companies work for multiple clients at a given time. Hence, manual tools like Excel, Google Sheets, etc., are not suitable.
Here comes CPQ applications that work like a magic. Your sales manager or representatives just need to choose client type, name, configurations, etc. and get a personalized quote for each client without any chance of human error. Since the application is digital and centralized, managers can instantly review and approve quotes for faster deals.
Benefits of Using a CPQ Software
#1. A CPQ app empowers your sales representatives to create error-free, accurate, and high-quality pricing quotes from anywhere.
#2.The tools come with numerous custom fields that you can configure against business clients or consumers to provide specialized discounts, services, and sales support.
#3.The sales team need not waste time searching through company products/services brochures. All the data is digitally available within the CPQ application.
#4. Your business can effortlessly and quickly update the products/services pricing database based on custom configurations. The sales team can also access the new database as the information is being updated. No need to put the sales team offline.
#5. Spreadsheets and docs are not secure since someone can make changes by intention or error. If you rely on such files, business revenue could take heavy losses. On the contrary, CPQ software comes with enterprise-level security for business data anytime and anywhere.
#6.CPQ apps integrate easily with business tools that different departments use in your company. Thus, all the departments can collaborate effectively instead of working in silos.
Now that you have gained basic knowledge about CPQ and CPQ tools, it is time to know the apps that save millions of dollars and enhance revenue earning for businesses.
Conga CPQ is a cloud-based configure, price, and quote software for multi-channel sales management solutions. The Conga development team has designed it to help manufacturing and services companies configure products and generate price quotes based on an updated pricing database of your company.
It comes with role-based tool access so that top-level employees can efficiently manage CPQ workflow. At the same time, the front-line sales representatives feel more powerful when interacting with a potential buyer.
For example, administrators can produce templates for quote designing, product configuration summary, and quote renewals based on a preset pricing policy of the company. Further down the sales pipeline, sales team leaders can also edit, create, copy, and delete bundled or standalone products.
Finally, when the quote data comes to the sales representatives, they can exclude, include, recommend, replace, and verify product configurations and relevant pricing. However, you need to set specific product selling rules and guided selling pitches on the Conga CPQ tool.
Salesforce CPQ is yet another reliable CPQ solution that enables businesses to close deals in the fastest possible time to keep the revenue stream flowing. It is one of the most robust CPQ tools and comes with five distinctive functionality modules that help you with sales pipelines.
First off, the deals configuration module lets you quickly create complex product specifications and pricing compositions. It has sub-features like Pricing Engine, Solution Configurator, Quote Generation, and sales representatives’ favorite Guided Selling.
Secondly, its risk and compliance management module keeps all the sales quotes and deals compliant with your business policies. To assist you further, there are sub-features like Dynamic Terms and Conditions, Advanced Approvals, etc.
Apart from these vital functionalities, you get additional indispensable features like a customer base management portal, a client lifecycle automation system, and data analytics.
If you plan to integrate manufacturing, engineering, compliance, and pricing knowledge in one app to benefit the front-line sales agents, dealers, or executives, you must try Infor CPQ. Infor CPQ package is a rule-based and visual configurator application that integrates with top-of-the-line customer relationship management tools (CRMs) like Infor CRM.
Thus, your sales team can focus on reaching out to prospective clients and pitching products/services offerings instead of digging through company manuals and brochures to figure out a quote. The overall result is faster product configuration, pricing, and quoting to the clients and increasing the possibility of a successful deal.
You can either link Infor CPQ Configurator with Infor CRM or integrate CRM and Configurator with CPQ Enterprise Quoting. Ultimately, the sales team gets more power at hand for direct quote configuration and quote document creation for faster sales.
If you want a fully automated sales pipeline where customers place their own orders through an interactive web app, you must try the Oracle CPQ application. Its most acclaimed feature is guiding consumers, vendors, and B2B clients through an order-to-cash (O2C) process.
In the self-service workflow, the client configures their products/services online and places a detailed PO or purchase order. The CPQ tool instantly offers customers personalized quotes with appropriate sales terms, conditions, and discounts. As soon as the clients accept the quotes, Oracle CPQ will forward the new orders further down the sales pipeline.
If you are in equipment manufacturing and looking for CPQ software that will easily integrate engineering specifications with pricing and client-requested configurations, you can also try FPX Intelliquip CPQ.
You can quickly generate custom-configured product catalogs, complex engineered product/services solutions, product structure drawings, and updated price sheets by using this CPQ solution.
It has been purpose-built for companies that produce mechanical equipment or work as distributors. Thus, you can expect easy access to all CPQ features specific to this niche.
The FPX CPQ comes with three distinctive modules: the Configurator, Pricing Engine, and the Selector. All these modules are closely linked with each other. Therefore, when your sales representative selects a product, they automatically get a custom quote based on the client’s specifications.
SAP CPQ is the cloud-based software-as-a-service (SaaS) offering from SAP. The SAP development team has specifically designed the tool to help sales teams create complex product configurations, draft personalized sales quotations, and formulate pricing.
The tool is equally effective for configurable and simple products/services. Furthermore, the SAP CPQ solution enables your business to overcome the following sales pipeline challenges:
Receiving complex product/service configurations from clients and responding to requests in the lowest turnaround time.
The manual quoting process demands a lot of productive hours. Avoid that with the automated quoting system from SAP CPQ.
Reduce manual overhead like sales representatives waiting for special discounts, product comparison sheets, or quote approval through centralized and online processing.
A guided selling feature that helps front-line agents sell products faster than the manual sales pipeline.
Bundle products and services with attractive discounts and perform upselling from the same application.
PROS Smart CPQ
PROS Smart CPQ is the perfect tool that combines product selling science, artificial intelligence (AI), and machine learning (ML) technologies in one intuitive application. Thus, when you deploy the tool and run the sales pipeline, your business sees an increased speed in the sales process.
Its AI/ML algorithm makes the tool perfect for omnichannel products/services selling experience by front-line sales agents. Furthermore, the tool also provides data analytics and actionable data insights for effective sales execution and, ultimately, constant revenue growth.
One of the most crucial programming algorithms is Churn forecasting. This AI programming recognizes declining patterns in clients’ behavior. Furthermore, it also identifies and removes seasonal sales patterns. Finally, the sales representative gets accurate sales recommendations for maximum success.
Cincom CPQ is yet another popular configure, price, and quote (CPQ) application purpose-built for manufacturing companies. Other businesses that offer simple, complex, and configurable products/services can also use this CPQ software.
With Cincom CPQ, you have got both on-premise and cloud-based deployment options. Hence, if you need more agility in your sales workflows and want to accommodate remote employees stick to the online app.
On the contrary, you can choose the on-premise installation and tool hosting for extra security. Though, the cloud version is also equally secure. Similar to its competitors, its notable features include quote preparation, product configuration, sending sales proposals, and managing products/services pricing.
Cincom also offers value-added features like quote revision management and an automatic quote approval workflow. Moreover, you can also integrate your sales partner channels like dealers, distributors, and outsourced agencies into the system through roles-based access.
If you are looking for a fast and intuitive configure, price, and quote application on the cloud that your staff can access from remote locations, Experlogix CPQ is a suitable option.
Its CPQ management functionalities assist you in managing the quotation and ordering processes. Experlogix CPQ is special since it supports both B2B and business-to-consumer (B2C) sales processes.
Furthermore, the application is suitable for a wide range of business operations like manufacturing, IT and IT-enabled technology services, transportation, and heavy equipment production. Thus, if your business deals with one or all of the above niches, one CPQ tool will be sufficient.
Do you want to turn complex product configurations sent by clients into simple quotations? You must try ServicePath CPQ. Its automated CPQ workflows ensure that your business accurately captures clients’ needs and specifications.
Further down the sales pipeline, the CPQ tool also assists you in matching the custom product/service requirement with your inventory for a quick fulfillment of purchase orders.
The tool is a cloud-based app accessible from a wide range of devices like desktops, laptops, tablets, and mobile phones. Some of its notable functionalities that help you with the CPQ process are:
A detailed dashboard for closed and open deals
Ready-to-use quotation templates
A self-service web app enables customers to configure their own products/services.
Integrates with third-party CRMs and enterprise resource planning (ERP) tools
DealHub is a top-rated CPQ software that takes only a few minutes to generate price quotes and proposals. This sales engagement platform can be instantly implemented and easily used to get real-time insights into the engagement and interest level of your prospects.
Depending on the customer’s needs, the software allows you to configure custom quotes. It not only simplifies the quoting process but also streamlines the approval process with automated workflows. You can effortlessly change quantities and apply discounts for a different quotation and sync its data automatically with your business CRM.
DealHub makes sure you have complete control over your sales operations through consistent pricing across the deals. It automatically updates new products, prices, and configurations for smooth quotations. The software also supports integration with Salesforce, Freshworks, Microsoft Dynamics 365, Hubspot, and many more.
CPQ software is regarded as one of the crucial upgrades for 21st-century companies that deal in product/service development and manufacturing.
You can control every moving part of the sales channel by deploying any of the above CPQ solutions for your small, medium, and enterprise-level business. Moreover, your sales team will get more time to approach new clients and make sales
Tamal is a freelance writer at Geekflare. After completing his MS in Science, he joined reputed IT consultancy companies to acquire hands-on knowledge of IT technologies and business management. Now, he’s a professional freelance content… read more
Today, there is an underlying shift towards entrepreneurship among millennials. They don’t want to be tied down to 9-to-5 jobs; instead, they want to make their own decisions and build & market their products.