B2B sales tactics are changing quickly, and the tools are changing just as fast to keep pace. While many sales teams have changed to using CRM software to support customer data, it isn’t enough to provide the sales teams with fast research tools. Current prospects and leads are often looking for quick quotes and product details. For many B2B companies, getting a fast and accurate quote is a big part of sealing the deal. If the interested business contact can’t get answers from your team, they will get them from a competitor. A CPQ engine can support your sales team as a tool for providing automated quotes.
What are CPQ Engines?
CPQ technology started in the 1980s with a rules/logic system for pricing. While the CRM software is used to manage customer interactions, Configure Price Quote (CPQ) software is used to help the sales team accurately provide estimates to their contacts. The updated CPQ software that was developed in 2010 provided a solution for quote-to-cash problems. The software has continued to evolve and gain traction as a tool vital to B2B eCommerce.
What Does CPQ Software Do?
Special volume pricing, bundles, and sales will all be tracked within the CPQ, allowing contacts to understand the differences between order options. A CPQ engine reduces the human errors that can occur when applying discounts incorrectly or misquoting customers. Those errors that can be disastrous to your company are less likely to occur when a software is tracking pricing changing and calculating without error.
CPQ software can provide insights into sales, pricing, customer service, and inventory management. Some CPQ engines can produce 3D visualizations, drag-and-drop technology, automated design features, and proposal generators. Even languages and time zones can be adaptable within some CPQ software—making it possible to share across global sales channels.
Why do You Need a CPQ Engine?
CPQ software will help reduce the tedious job of pricing and quoting their contacts. Without a quote, your team won’t be able to get the sale. Rather than spend a lot of time crunching numbers to quickly come up with various quote options for a job—the sales team can use a CPQ for a fast proposal. This gives your team more time to keep making connections and finding new leads. Use CPQ to reduce menial tasks as well as errors that can occur with those rushed human calculations.
Great proposals with access to detailed checklists can also make you look better. A CPQ engine may include professionally designed, automated reports that are easy for your contacts to read. Line-by-line price points for materials and labor can help drive confidence and transparency. A powerful CPQ engine should operate quickly and accurately, tailored to fit the needs of your business.
Finally, the CPQ software can make your analytics and reporting more insightful. Gain more insight into customer activity, inventory management and more with a CPQ engine. Reports may provide insight into the success of certain pricing and bundling deals when customers are faced with multiple purchase point options.