Salesforce CPQ (Configure Price Quote) is popular in various Industries for its large functionality and integration with CRM and ERP systems. It also provides complex, personalized, and accurately priced offers to clients. It is a highly valuable tool within the subscribed economy. Many businesses are availing of the benefits of Salesforce CPQ, but many organizations are not aware of its usefulness.
Following are some business signs that indicate Salesforce CPQ could be right for your business.
Product And Pricing Complexity
Products, that offer expansion and customization, and consist of a dynamic pricing structure often become tough to handle. If sales representatives cannot keep a proper track record of these complexities, it will lead to mistakes, confusion, and unsatisfied customers. In addition, dynamic pricing structures, including complex discount offerings, renewals, on complex formulas. If pricing is variable and applies to different product formats, Salesforce CPQ allows sales representatives to automatically create and share quotes quickly by using pre-set rules for pricing and discounts for any item.
1. Complex product bundling and dynamic pricing.
2.Delaying in Processing and sending quotes.
3. Several errors in the quote configuration across different deals.
Outdated Or Manual System For Quoting And Contracting
If any Organization is still using the old methods of using paper or systems like Microsoft Word and Excel to manually provide quoting or contracting customers, it is time to consider Salesforce CPQ. It not only recuses time or human errors but also scales the quoting process. As a result, the sales representatives will work efficiently syncing with one another using one system.
1.Manual errors leading to quote errors.
2.Delays in configuring the quote
3.Drop-in closure rate.
Difficult Tracking Products
Guided selling needs experience, time, and effort as sales representatives need to know each customer very well and their requirements on top of all the offerings. Salesforce CPQ’s guided selling tool helps sales representatives with the needs of the customers and provides ideal solutions for those needs. It highlights cross-selling and up-selling opportunities. With this automated process, sales representatives can boost sales, create more optimized and customized solutions and give the customers what they exactly want.
1. Significant drop in sales closure and renewals.
2. Drop in cross-selling and up-selling opportunities.
If the sales team is spending more time making quotes rather than making sales, it is high time to consider Salesforce CPQ. Quoting can be a monotonous process if done repeatedly without a software solution. Speed of sales cycles matters. So if the sales team spends valuable time making quotes or creating some manual product listings, they won’t be able to close the deals within the allotted time. Salesforce CPQ quoting automation processes help organizations automatically take product grouping and pricing structures, like discounts and bundles, and product optimized quotes. With analytics-driven algorithms, product offerings can be sent across multiple channels. Salesforce automatically updates the information, so the whole team can access the data.
1.Sales spending too much time on administrative work and less time on conversions.
2. Drop in sales team efficiency and productivity.
3. Drop in sales closure
Complicated Approval And Review Process
Long approval process leads to cracks in deals and sales funnel. Salesforce CPQ advanced approvals scales streamlines the workflow and the business needs. It allows multiple approval chains to work together and introduces smart approval processes. In addition, rules can be set to shorten the process. It also gives sales representatives a clear view of what approvals they need as they work on a quote.
1.Long and unvaried quote approval processes.
2.Delays in approvals lead to conversion rate.
3. Irregularity in approvals leads to revenue leakage.
Inaccurate Sales quotes
Inaccurate sales quotes show a lack of professionalism or unawareness of products or services. It affects the clients and the conversion rate decreases. Salesforce CPQ closes any gap between CRM and Quote-to-Cash processes. For a rushed sales team, an inaccurate sales quote can ruin many sales opportunities. Salesforce CPQ helps any organization to decrease the sales cycle and concentrate on customer relationships.
1. Inaccurate quotes that lead to leakage or losses.
2. Drop in brand value.
3. Rapid drop in conversion rate.
Discounts Are Being Needed Too Often To Close Deals
Over-discounting to close deals is not maintainable in boosting revenue margins and ROI. Salesforce CPQ streamlines revenue by tracking close rates, up-sell, and cross-sell opportunities with guided selling, and the ideal pricing package to increase order size. This provides customers discounts benefiting the ROI.
1.Reduction in order deal sizes.
2. Increased pressure on margins and profitability.
Data Is Not Standardized
An organization needs a single source for all CRM, quoting, and contracting data. Salesforce CPQ can integrate with ERP and CRM systems. It standardizes the data so all the departments can access the updated data. This reduces errors and miscommunications.
1.Inconsistent customer data lead to unsatisfied customers.
2. Error and miscommunications that lead to negative brand reputation.
3. Longer decision-making cycles.
Mistakes Are Costing Money
Salesforce CPQ efficiently helps the sales team in reducing errors that cause problems throughout the entire process. Salesforce CPQ can reduce the money wasted on quoting and contracting and boost the revenue margins.
1. Avoidable high sales and operational costs.
2. Low observance of company policy.
3. Slowing down the entire sales and marketing process.
Difficulties In Renewal Processes
Renewal processes can be difficult to track manually for contract management or subscriptions. With Salesforce CPQ, businesses can be customized on their use case and offerings. Salesforce CPQ can record and manage contract-based or asset-based processes by creating a contract record for all subscription or renewal products sold.
1. No auto-renewals leading to a drop in customer retention.
2.Revenue leakage without a proper contract renewal process.
Salesforce CPQ can transform the business processes. Registered Salesforce Partners like CloudVandana can customize and integrate Salesforce CPQ according to the business needs.
Digital Marketing Manager at Cloudvandana Solutions