Advantages of CPQ software for producers

More accurate pricing

In the manufacturing business, pricing requires a delicate balancing act: set costs too low, and also you’ll eat into the general profits of the business. Set them too high, and you risk driving away customers. Your sellers could put their finest efforts into creating accurate prices, but the fact is, pricing is simply too essential to only rely on guesswork and intestine feelings. A CPQ software resolution can arm your sellers with pre-established pricing models that make it quick and straightforward to turn out accurate prices, even for very advanced product configurations.

Sooner quotes

A recent report from CRM Search points out that standardised product choices are on the decline in the manufacturing trade, meaning that made-to-order choices are more and more important. These types of customised orders place quite a burden on sellers, and the longer it takes for a seller to turn out a quote, the more likely the shopper is to walk away from the sale. CPQ software speeds the process of creating the quote and getting it into the client’s palms, which in turn relieves some of the pressure placed on sellers.

Automation of the tedious, error-prone configuration process

There’s a reason spreadsheet-based configuration processes lead to so many errors: they’re manual, which means there’s loads of room for the seller to make a mistake, and tedious, which compounds the problem and makes the seller even more likely to make a mistake.

With CPQ software, an organization can overcome this problem by moving away from spreadsheets and automating a few of the most time-consuming elements of the configuration process. The CPQ software guides users by the product configuration process, only permitting the seller to choose appropriate options and options. In consequence, the potential for the seller to make a mistake through the configuration process is removed altogether.

Enables sales to concentrate on selling

Selling should be your sales employees’s key focus, and every hour they spend building configurations, creating proposals, and pricing orders is an hour they won’t be working directly with customers. By automating time-consuming configuration and pricing processes, a CPQ software resolution helps sellers spend a bigger portion of their time with customers. As a result, your sellers will be able to satisfy with more leads in a day, and determine more sales opportunities.

Present, accurate sales data to help forecasting

In the manufacturing industry, having an up-to-date and accurate understanding of what you’ve sold up to now is a key part of predicting what your future product demand will look like. Many companies have attempted to implement sales forecasting, but have been stymied by sales data that’s outdated or inaccurate. With a CPQ solution, you sales data can flow directly to your buyer database, so that you can really feel confident your sales data is always correct.

Final thoughts

In business, there will always be transformational applied sciences that utterly rewrite the way key processes are performed for the better. CPQ software is an example of one such solution, however an organization should implement CPQ before it can begin to reap its benefits. Start considering if a CPQ answer may be proper for your business today.

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