Why CPQ is the Missing Link in Your CRM System
Nov 17, 2023

Why CPQ is the Missing Link in Your CRM System

It's about capturing lost revenue, improving accuracy, and delivering a better customer experience

In today's fast-paced business world, efficient and accurate quoting processes are essential. Sales representatives need to spend less time on administrative tasks and more time building relationships with customers. Organizations require a system that eliminates costly errors and streamlines operations. And with the myriad of products and services on offer, integration with CRM systems is no longer just a nice-to-have – it's a necessity.

While CRM systems like Hubspot, Salesforce, Lime, and Upsales are excellent tools for managing customer relationships, they often fall short in supporting the intricate needs of configure, price, quote (CPQ) workflows. This is where specialized CPQ tools come into play.

1. Product Configuration:

  • Limitations of CRM: CRM systems are designed to manage customer relationships, not product configurations. This means they often lack the flexibility to handle complex product bundles, customizations, and variations.
  • How CPQ Supports: A dedicated CPQ tool can handle a multitude of product configurations, ensuring that sales reps can quickly and accurately configure products according to customer needs. It can manage dependencies, prevent incompatible combinations, and even suggest upsells or cross-sells.

2. Price and Discounts:

  • Limitations of CRM: Pricing and discounting can be a maze of complexity. CRM systems may not support advanced pricing strategies, volume discounts, or promotional offers, leading to inconsistent pricing and potential revenue loss.
  • How CPQ Supports: CPQ tools can automate pricing rules, ensuring consistency and accuracy. They can support multiple pricing models, automate discount approvals, and even integrate real-time pricing based on market dynamics.

3. Dynamic Templates:

  • Limitations of CRM: CRM systems may offer basic templates, but they might not cater to the dynamic needs of different industries, products, or market segments.
  • How CPQ Supports: With CPQ, sales reps can use dynamic templates that adjust based on the products, services, or customer segments. These templates can pull real-time data, ensuring that every quote is tailored and relevant.

4. Data from the Quoting System:

  • Limitations of CRM: CRM systems might not provide in-depth analytics on the quoting process. This means missed opportunities for analyzing win-loss ratios, popular product configurations, or areas where sales reps might need training.
  • How CPQ Supports: A CPQ tool can provide deep insights into the quoting process, from the time taken to generate a quote to the success rate of different configurations. This data is invaluable for improving sales strategies and training.

In conclusion, while CRM systems are invaluable for managing customer relationships, they often lack the depth and flexibility needed for complex CPQ workflows. Organizations that rely on intricate product configurations, dynamic pricing models, or need to integrate their full product and service catalogues with their CRM  systems should seriously consider the benefits of a dedicated CPQ tool. It's not just about making life easier for sales reps – it's about capturing lost revenue, improving accuracy, and delivering a better customer experience.

Start using the CPQ platform of the future.