How to sell more with CPQ: Guide for Product Companies

How to sell more with CPQ: Guide for Product Companies

Think fast: What is 53 x 24 = ?
Do you remember the times before you started to use a calculator? Struggling with Area and Bar Models or Number Lines. Never entirely sure if you got the right answer. Luckily those times are over and now every smartphone has a calculator. In seconds we can solve advanced calculations, with 100 percent accuracy.

So what’s the point of this trip down memory lane? Well, what if I told you there is software that allows you to save time and reduce missteps in the quoting process. Many business-critical moments depend on the timing, speed, and relevance of your sales reps. Your sales team is a crucial link between your suppliers, customers, and your company. So whether you do product or wholesale, make sure to have the right tools to make your sales team the smoothest sales reps in the market. Let’s find out more about CPQ.

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Why CPQ

A lot of companies still rely on software like Excel and Google Sheets for critical tasks. And to be honest, they’re both excellent software allowing the document owner to be creative and works well for setting up automated calculations

On the downside, there is no way to make sure your sales team is using the latest product information. This means some of your sales reps could be using outdated files, locally downloaded on their computers. Also, it is still not possible to make integrations with other business software like an ERP or CRM for a more seamless working process. However, with a CPQ (Configure, Price, Quote) this is possible, and a lot more.

This article will go through the categories where CPQ software can make wonders for product companies with an extensive product catalog. First up we have:

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Product choices

Is your product catalog extensive like a novel, and feels as confusing as an Ikea manual? No problem. A modern salesperson guides their customers and should always be ready to make customizations when needed. Therefore, it is super important for all sales reps to know which products work together and which do not.

For example, if your company is a kitchen manufacturer, you must know how to put together cabinet doors with the right hinges, together with the right frame, otherwise, the customer will be very disappointed and annoyed with their order. Some frames may even look identical, which makes it easy to make mistakes. CPQ allows you to set up rules and guides for your salespeople. Making it impossible to combine and quote products that cannot be matched with each other.

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Calculations

When knowing your products and the compatibility of your product catalog, it is important to set up similar rules for pricing your products. The final price for a product can vary due to material choices or other factors like volume discounts or campaigns. If it takes too long to get a quote, the customer will leave you and move on to a competitor.

So to be fast, accurate, and look professional you should use CPQ to set up rules and guides, helping your sales team create flawless quotes for every customer.

Design

Your quotation is one of the last assets the customer processes before making the final decision, to buy or not to buy. This is why it is super important to make sure your quote document has the right aesthetics according to your graphic manual and contains all the important documents for the proposal.

Make sure it is easy to understand and navigate through your quotation. This is the time to show your customer how trustworthy you are and what a nice relationship you could have. Curious to find out more about how to create selling quotes? Read our post on How to create a winning quote.

Flexibility and changes

Sometimes the customer wants to make last-minute changes with the product or a configuration. When using Excel or Google Sheets, this means you have to start all over again. But with CPQ you can change a variable and the entire document will automatically be updated according to the new data. Just in a couple of seconds. This saves both time and pain for your salespeople. Last but not least, with this flexibility you can give that little extra to your customers by offering them alternative product packages, without putting a lot of extra time and work on your sales team.

Summary

If you want to take your business to the next level, it is time to say goodbye to Excel and Google Sheets. CPQ helps companies with a rich product offering to create automated quotation workflows.

It is an easy-to-use software, creating personalized and relevant quoting in just a couple of seconds. And by integrating your CPQ with sales tools such as e-signature software and CRM systems, you can make the final step in the sales process more pleasant for both sales reps and customers.