The sales process usually implies multiple stages and teams (manufacturing, sales, IT, finance) working in tandem to ensure customer satisfaction. Since it can be a daunting process, employers started to look for ways to simplify it and achieve goals faster.
Configure Price Quote (CPQ) software comes to their aid, providing B2B and B2C e-commerce clients with precisely what they need. Such software has the power to develop products to suit the customers’ specific needs and the capacity to configure their orders instantly and with precise pricing. CPQ’s quotes are automated based on a pre-programmed set of rules, ensuring flawless pricing that considers customizations, discounts, revenue types, quantities, and incompatibilities. Designing complex quotes faster than the competition has never been more accessible, so companies worldwide started implementing CPQ software. Also, salespeople aim to be more productive and eliminate the inherent risks that generally occur during the various stages of the sales cycle.
So, to drive better efficiency and streamline the communication amongst teams, consider CPQ software: it has benefits you should not miss!
Table of Contents
1. Ensure accuracy in pricing
Better accuracy and zero errors are the dreams of any salesman wanting their work to be faultless. However, it is not always possible since this is a daunting and time-consuming process. It is only human to make mistakes, and salespeople are not an exception in this respect. Businesses are looking to implement systems that promise error-free pricing and quoting. CPQ software is one of the favorites among entrepreneurs due to its practical character and, most importantly, accurate generated quotes.
Moreover, it helps organizations create complex, tailored quotes in moments, not months, which tremendously influences the customer response. Clients who receive customized products priced flawlessly will likely remain loyal and further recommend your services. Plus, your business reputation is safe and sound – you have no idea how a little error can impact a company’s image.
2. Reduce sales cycle
Organizations that incorporate CPQ software solutions know a shortened sales cycle, and this is due to the top-notch features defining such tools. Streamlined product configuration and automated quoting are some of the most appreciated features CPQ software provides customers with. Quoting is probably the most daunting part of the sales process, as there are several aspects to consider before preparing quotes.
Configuration and pricing are processes preceding quoting that involve much attention and precision, so if an error in quotation occurs, you must return to these former steps. But when these processes are automated, the time spent calculating and designing complex quotes is significantly reduced, and errors minimized.
CPQ software brings clients closer to purchase and guarantees a faster sales cycle. Furthermore, it allows sales reps to key in consumer data, meaning that the quotation is likely to fit their needs and expectations.
3. Increase sales team effectiveness
It is nothing new under the sun that automation has helped thousands of workers deal with tedious and repetitive tasks. Take the example of software for accounting and just imagine how much time is economized with the help of this technology. Instead of spending hours compiling and analyzing financial records, accountants can now automate all these processes and focus on more urgent or essential duties.
The same is true with CPQ software – it can successfully identify upsell and cross-sell opportunities, making it possible for salespeople to boost the volume of their average deal size. This results in better sales team performance and productivity. Sales reps are no longer forced to go back and forth with customers to ensure the sales process is as it should be. With CPQ software, the chances of a more focused and productive team are higher than ever before.
And let us not forget how manageable the pre-production process would become. CPQ for manufacturing is designed with efficiency in mind: it pre-validates configuration models, providing the parameters for CAD (computer-aided design) and BOMs (bills of materials) for ERP (enterprise resource planning) packages. It is like anything you want into one tool.
4. Simplify upselling process
Upselling without turning off clients is, more often than not, an impossible objective, but it should not be perceived like that (not anymore). The secret lies in correctly identifying upsell or cross-sell opportunities. Manual quoting can be inefficient in this case, as salespeople need proper knowledge about the product catalog. This information is sometimes unavailable or unattainable; that is why CPQ is a more efficient solution to this matter.
Such software allows sales reps to upsell while designing quotes while monitoring clients’ order history. Thus, based on consumer buying history, CPQ will automatically propose recommendations that might efficiently boost order size.
5. Enhance brand image
An aspect that is sometimes put second, brand image is the power behind any successful business. So, you need to pay special attention to every part of your business and ensure it passes the test of the pretentious eye of the customer if you want to stand out. Everything from impeccable customer service to up-to-date technology must be in place to gain customer trust and enjoy profitability.
Well-implemented CPQ solutions are part of those company features customers appreciate, so it would be helpful to consider the next time you want to bring advancement into your company.
While it is good for the sales team to work on new quote templates, sometimes it is better to count on technology to do that. This way, you avoid subjectivity, often represented by inaccuracies or price mismatches. Trust us, customers have an eye for that, so ensure you incorporate the right CPQ solution to avoid such problems.
6. Access up-to-date product data
One of the most significant benefits of CPQ software is that it gives you access to real-time product data. This would not be possible with manual quoting since this type of process is not based on automation.
Therefore, if the sales reps need instant and precise information regarding products and their price and quotation, they will likely find anything they are looking for, organized and updated. Besides, it ensures accurate pricing, minimizing error risk, which is why more and more businesses have started to count on CPQ software.