LATEST

Articles

We aim to provide content that helps our prospective clients to question and explore their businesses potential.

WTF CPQ

WTF CPQ?

The answer: Configure. Price. Quote.

If you are involved configuring products or services, calculating prices and providing quotes, this could be an extremely valuable read.

The more complex your product or bundles, and the more time it takes for you to raise a quote, the more this will interest you. And if your customers demand fast quotes, then by now you should be drooling.

So, what is CPQ?

CPQ is relatively new cloud technology.

It makes the job of building quoting quicker, with greater accuracy and improve control over pricing.

How does it work? Let’s take a typical manufacturing firm who make bespoke products for resellers.
Their quotation process may look something like this:

So, the pain points are:

  • The customer can ask for something that cannot be made.
  • Every quotation needs to be designed or costed out – let’s hope you have a very high conversion rate; else this time is often wasted.
  • Pricing needs to validate every quote.
  • The customer may receive quotes from competitors more quickly.
  • Each stage is open to human error.
  • Pricing is likely depended on complex spreadsheets or inadequate systems.

CPQ makes this entire process, quicker and more accurate. Here’s what happens.

Set up:

  • You would create pre-designed templates.
  • These templates are a sequence of questions needed to collect enough details to produce a quote.
  • The questions and answers are structured in such a way that the product cannot be misconfigured at the first stage.

Output:

  • A bill of materials is instantly produced.
  • A price is instantly produced
  • A quote is instantly produced.

So once implemented, the quotation process now looks as follows:

Enjoy this post? Please share!

Related posts you might enjoy

Scorecard
Digital Marketing

5 Tips When Using a Balanced Scorecard

A Balanced Scorecard is a performance metric used to identify, improve and control a business’s various functions. The original concept was introduced in 1992 by David Norton and Robert Kaplan. The idea behind it was to take previous metrics for measuring performance and adapt them so that they include non-financial information as well.

Read More »
Qiksell
Case Study

3 Ways Qiksell is Changing the Signage Industry

Customers demand quotations for bespoke products and expect a fast turnaround. “First to quote wins” is an industry mantra. The business will quote, engineer, manufacture and deliver finished products. Any bespoke manufacturer is likely to be impressed with this. Any standard manufacture, is likely to be amazed.

Read More »
7 wonders of digital marketing
Advisory Article

7 Wonders of the Digital Marketing World

Promoting your products and services online is necessary for most. But it remains a complex & often confusing world. You need it, but you don’t understand it. This quick run-down of the 7 pillars of digital marketing, should help you steer clear of the bloodsuckers!

Read More »

LET'S WORK TOGETHER

Do you have a project in mind? Let us know!

We work with companies of all sizes from start-ups to bespoke manufacturers and eCommerce.

Get in touch