As per the latest stats, analysts estimate that Global CPQ (Configure, Price, Quote) software market is expected to reach US$3.9 Billion by 2026.
But, to accomplish this phenomenal growth, let’s first understand what sales challenges you have and how CPQ software can solve them.
Challenges in sales enablement and the organization’s selling process negatively impact business profits and velocity. Risks involved in the traditional quoting process are key reasons why organizations are turning their focus to CPQ for creating accurate quotes with great control.
To operate better in today’s challenging and competitive business landscape, enterprises of all sizes need to make sure that they can increase revenue by having a better understanding of what their customer needs and optimize price to be more competitive and improve lead to cash process to enhance customer experience.
In this blog, let’s understand the 3 critical sales challenges that enterprises are facing and how CPQ or Configure, Price, and Quote help to overcome them.
- Time-consuming and complicated configuration
- Inconsistent and Inaccurate quotes
- Lack of transparency and collaboration
Product configuration has become essential as the needs of the customers have become more demanding. Customizing a product to meet the needs of a customer has become a key ingredient for successful sale. However, many organizations are still relying on spreadsheets for configuring the products and pricing calculators to arrive at the right price. This process is sub optimal and is tiring the sales agents as well as significantly slowing down the quote-to-cash process.
CPQ software allows seamless configuration, pricing and quoting. Additionally, CPQ enables businesses to quickly react to new strategic directives, updated pricing, and market shifts.
Quoting is a key part of the sales cycle where an offer is made to a potential customer and they can see how your products and services fit their needs, ultimately solving their problems. At the same time, a lot can happen to derail your quoting process if you aren’t careful. Simple errors, incorrect pricing, incompatible line items, mismatched terms and conditions, and other problems can result from inefficient quoting practices.
CPQ helps in automating your quotation process. Automated quoting also ensures compliance with pricing and discounting rules the first time around. You can specify rules and lock in pricing so it’s accurate from the start leading to a happy customer.
Collaboration between teams for information and reviews only creates the perception of increased quality and accuracy. Oftentimes, sales reps just end up spending more time chasing down reviewers, sending follow up emails, and waiting for people to return from vacation. They may even end up bypassing reviews altogether when they become too much of a bottleneck and a hassle.
Without a specialised tool, there is no easy way to manage the collaboration process. Most companies use email which is not designed for follow ups and status updates on in-process reviews. These organizations experience a breakdown when a reviewer is out of the office and often find that reps are going around reviewers to their managers, further complicating the process.
It's always important that the first quote out is so frequently the offer that gets preference with a customer, you do not want to slow down your quoting times because of collaboration or reviews.
If your organization’s sales processes need collaboration among multiple teams, a centralized CPQ software can benefit your business. Since manual collaboration and modifications are time-consuming, CPQ offers you the ability to streamline certain communication channels i.e., pricing approvals, renewal opportunities, etc. and assist in making your lead to cash process efficient.
CPQ or Configure Price Quote allows you to reduce errors while processing quotes, automates cumbersome and repetitious tasks i.e., preparing pricing spreadsheets. CPQ assures price accuracy, and reduces the time taken for a sales cycle to complete which in turn lets your sales professionals focus more on selling activities.
Your sales team can sell smarter and faster with Dextara CPQ.
Learn more about Dextara CPQ today to get error-free quotes and accurate prices!
For more info on the product, contact our certified CPQ team at firstname.lastname@example.org.