When you go to work, when you run your business, and when you sell your products and services, what exactly are you doing it for? Aside from all the noble causes and reasons, let’s narrow it down to what it’s really about. Turning a profit. Profit is the backbone of any business, without it there won’t be much of a business to run. So, how do you improve your actions and functions to ensure that you are achieving your maximum profit potential?
One of the biggest profit killers is decreased productivity as a result of delays, human error and pricing mistakes. This is where CPQ (Configure, Price, Quote), can help to increase productivity. CPQ is a readily available, reasonably simple to deploy system that removes human error and adds value to your company and your clients. Here are three very real ways CPQ can help you to improve profits.
Get it Right, First Time
Everyone knows that errors in any section of the sales cycle can jeopardise a deal. CPQ removes the “human error component” of configuring a product and providing a quote by using a series of questions to drill down into exactly what the customer is after, resulting in a quote for the exact product, with the exact specifications required by the client. This way, there is no back and forth, it is quite literally a replica of what the client asked for. No errors, no mucking around, no negotiating (unless you really want to). This removes any mix ups, miscommunication and customer dissatisfaction from the get go, allowing for the product to be right, first time around.
The Price is RIGHT!
What irks me when I am shopping around is when a sales consultant gives me an approximate cost of something. Then when crunch time comes and I get an actual price, it’s never the quoted price, it’s always higher. It is frustrating not knowing exactly what amount you are up for, or worse, finding out halfway through the transaction or at the end that you actually have to pay more. CPQ removes this for you by using its inbuilt pricing system. You and your customer choose what they need and CPQ tells you EXACTLY what the price will be. No tricks, no hidden fees 3 weeks later, no “oops sorry, forgot to factor that in”. What you see is what you get. CPQ removes the “ball park figure” and gives you the end price, allowing for better decision making and commitments from your clients first time, knowing there is nothing hidden at the end.
Get there first. Keep them forever.
Delays in responding to customers can cost your company the deal. CPQ makes the sales cycle easier as it speeds up some of the sales cycle steps needed to get a person from prospect to paying customer. By following the steps CPQ lays out for you, you can walk your customer through the process and find out what you need to know quickly and efficiently.
CPQ then keeps this information about those interactions, and every interaction you have with your customer. By having all this valuable information available at your fingertips, you can then offer them other related products or services, keeping them updated on anything new or exciting that comes in and effectively keeping them in your sales funnel. They more likely to come back and buy from you again since the first sales interaction the had with you was so smooth and they feel valued that you are offering them other products and service to complement their current products.