In our previous CPQ blog series, we spoke about a few key reasons CPQ’s importance is growing globally. And the three key reasons for ‘Why CPQ’ is, when a business is trying to sell ‘Complex Products,’ with ‘Differential and Dynamic Pricing’ and need an ability to generate ‘Quick, Accurate and Personalized Quotes.’
With a solid foundational understanding of ‘Why CPQ,’ In this second blog series, we will explore ‘How CPQ usage can deliver the expected outcomes.
No one can ever argue that this is not the best business strategy. An accurate understanding of customer needs is 80% job done. Understanding what the customer needs and how the sales agent responds is key.
The sales agents should be able to present the right offer at the right time, and it is a complex activity that is impossible to deliver without using a purpose-built CPQ solution.
A CPQ solution generally offers the sales agent with past metrics of the account such as existing products purchased, past purchasing behavior, timelines to close the deal, etc. which will help the s ales agent deliver an accurate and customer-friendly quote than one size fits all.
Many businesses strive to onboard the best sales leader, and in conjunction with the sales leader, they work towards building the best sales process for the company. However, 90% of the organizations fail.
Practically it is tough to make everyone follow the best-in-class process if they are not provided with proper tools. CPQ solution helps sales agents to evaluate what makes them win every time, which products are selling well, what configurations are liked by the customer, and what pricing methods make them close deals faster. A well-enabled CPQ solution streamlines the selling process, upselling promotions, knowing different pricing constructs. And this empowers every sales agent to be an A player in the team.
Many CPQ solutions over the years have started learning from every implementation and kept improving the product features. This is not bad at all. However, with such a vast feature set, the CPQ solutions have become quite complex to understand and implement.
That’s precisely the reason why we continue to hear about failed CPQ implementations. One way to avoid this trap is when every business, instead of getting overwhelmed with the features of the CPQ solution, gets overwhelmed with how their customers would like to buy the products/services being offered. This will help the sales agents respect the customers’ time by having fewer conversations when engaging and delivering the customers exactly what they want. The best-in-class companies, on average, deliver more occasional quotes and have a higher conversion rate which proves that keeping it simple and stupid helps all stakeholders in the process.
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If you want to know more about CPQ, email our certified experts at sales@dextara.com.