9 CPQ Software Myths Busted (pt.2)

If you caught our first instalment, you now know that Configure, Price, Quote (CPQ) software does not require your organization to change your sales process. That CPQ software is designed to automate and improve the efficiency of your sales process, not reinvent it. That by enforcing your business rules, and automating your approvals, you can accelerate quote creation and shorten your sales cycle.

Aren’t all CPQ vendors the same? 

Another simple, yet misleading statement that might have you thinking CPQ software isn’t for you. A misunderstanding that can block your vendor evaluation and your stakeholder buy-in. In this second in our series, we bust more CPQ myths like this one that can hold your project, and your improvements, back.

"CPQ software vendors are all the same"

While some vendors appear to offer experience because they know how their software works, not all CPQ vendors are the same. How do you define the difference? Look for a depth and breadth of experience and perspective as well as skills and insights: 

1. Do they understand your business, and in particular your pricing and quoting issues?
2. Can they offer something beyond your initial requirements and vision? 
3. Do they understand the risks associated with your project, both business and personal? 

Seek customer case studies that demonstrate results based on similarly sized organizations, who have issues, challenges, and aspirations that align with yours.

"CPQ software is hard to learn"

A CPQ solution that operates in the global market is specifically designed with today’s savvy users in mind. They are intuitive, easy-to-use and easy for your sales team to learn and master. For example, the salesperson is guided through the selection process without the need to revert to manuals or training instructions. And if they do have questions, most modern CPQ applications have help and guidance built-in so it can be accessed right at the point it is needed.

At the same time, you also want your CPQ solution to be easy to update, keep pace with dynamic business rules and ideally be maintained by non IT personnel. This is why business leaders who choose an “Out-of-the-Box” and “Customization” approach experience a higher rate of success; coding new functionality can negatively impact the finely tuned user experience. 

"CPQ software can’t handle our business rules complexity" 

Modern CPQ vendors specifically design their solutions for complex business rules. No matter your complexity or your volume, these solutions are designed to keep pace with your sales process needs. In fact, they are using CPQ to manage hundreds of thousands of configurations across multiple product and service lines across the world. 

If complexity and volume are your concerns, consider how your existing process handles them; sketchy solutions are configured using a proliferation of spreadsheets that ignore business rules, and approvals are fueled by errors instead of expert insight. In fact, spreadsheets are already impacting your sales process.

The simple guide to remember; if your rules and calculations can be written down, then a good CPQ tool should be able to handle them.

"You need a separate CPQ solution for sales teams, channel partners, and eCommerce"

When you select the right CPQ solution, everything you need to boost buyer engagement comes along for the ride. In other words, your business rules, calculations and pricing are all stored in one place - to be used across the business. While you may choose to phase-in aspects of your digital transformation later, following your initial go-live, it's ready to go when you are.   

Today’s buyers want to independently research and quickly learn their buying options. When you plug CPQ into your web application, it enforces your business rules. Instead of contacting you and waiting for your response, they do their own research and buy online, paving the way for  more and faster sales.

"It's hard to demonstrate the value of CPQ"

Demonstrating the value of CPQ is a no-brainer - when your vendor is experienced in building the business case. To do this, they must:

• Be well versed in your objectives and how to achieve them, such as reducing quote errors and increasing quote speed. 
• Have an intimate understanding of your stakeholders and their desired outcomes, such as increasing conversion rates by 10%. 
• Include specifics that approach the buying process a bit differently, such as savings and the cost of inaction. 

By demonstrating CPQ value through your business case, you will boost stakeholder buy-in, reduce costs and ultimately better allocate resources.

- Want proof that CPQ works?

Today, our customers have reduced their average quote time from half a day down to twenty minutes, increased their productivity by as much as 97% and increased their sales growth capacity by a factor of twelve without adding overheads. 

Talk with Xait today and learn how XaitCPQ customers world-wide validate their return on investment with proof you can use to build your CPQ business case.

Related article: Sales People Dislike Spreadsheets