CPQ software is an invaluable tool for manufacturers. It analyzes custom order configurations, sets a price for that product, and quotes it to the customer. Wholesalers need rapid query response and immediate data results for their customers. CPQ offers these features and provides sales representatives with cross-sell and upsell opportunities.
CPQ software that’s a part of your ERP system can give you insight into the design and production phases, which reduces delays caused by miscommunication between partners. For example, a configurator integrated with your ERP can tell you which components are available and which aren’t in stock, helping you avoid errors when manual calculations are used. This data can be shared with your customers in the form of accurate quotes, which leads to shorter sales cycles and more satisfied customers. When selecting a CPQ solution, look for one that can handle the complexities of your products. Solutions from providers like Tacton.com can generate a quote for a unique product configuration with multiple options and features. It should also be able to offer various pricing structures, including bundle pricing and loyalty savings. This way, you can submit your customers the best value while ensuring you stay competitive in your industry. Unlike general-purpose CPQ systems that are built on top of CRM platforms or integrated with them, Tacton CPQ is designed for unique business processes in manufacturing. It can support manufacturing companies’ quoting, ordering, and delivery capabilities without additional technology infrastructure or integrations with CRM systems.
Moreover, the ideal CPQ for manufacturing should be easy to use and implement. It is a significant addition to your sales and marketing processes because of its low-maintenance basis and adaptable architecture, which make it simpler to incorporate into your current systems. It should also be scalable to add new features as your business grows. In addition, look for a solution that offers training resources to ensure your employees can quickly become familiar with the system.
As a manufacturer, you know the nuances of your industry and deserve a Quote-to-Cash system that supports them. Conducting product configuration, pricing, and quotation manually or with less-than-stellar tools puts your team at a serious disadvantage against competitors that can offer a more seamless experience. CPQ software for manufacturing delivers the capabilities needed to improve quoting efficiency and provide significant sales KPI improvements. It automates product configuration and enables more accurate quoting through rule paths, sales and production BOMs, visual renderings, bundle recommendations, and add-on or loyalty savings. It also provides a single source of truth for pricing and eliminates manual entry errors from multiple systems and partners.
With a fully integrated ERP solution, your CPQ software can even handle complex tax rules and rate structures – a critical capability for manufacturing. It helps your teams deliver more accurate quotes and reduces the time spent reworking or sending inaccurate orders to customers. A CPQ solution tightly integrated with your ERP is the best way to maximize its value and ensure a smoother customer experience. This approach is also more operationally efficient as your CPQ can be driven directly from the ERP’s product configurator, further improving lead conversions and sales cycle lengths. It can also streamline ordering and production planning by reducing the risk of component shortages or overproduction caused by inaccurate order estimations.
CPQ can help manufacturers manage pricing variables, product options and configurations to create accurate quotes that minimize margin degradation. By eliminating the manual compilation of prices and reducing time spent on the quote process, manufacturing companies can save valuable resources that can be redirected toward other revenue-generating activities. The right CPQ system can also automate the creation of formal customer quotations. It does away with the requirement for sales teams to manually record information on pricing and product configurations manually, lowering errors and freeing up resources to concentrate on other sales process elements. It improves the quoting function, reduces the sales cycle and improves customer experience. Manufacturers can also benefit from CPQ’s integrated back-office and front-office capabilities. This integration can ensure that sales and engineering teams work with the same data and use the same product definitions, pricing and discounts. It helps to eliminate the bottleneck caused by multiple systems and provides better visibility to key stakeholders. The right CPQ solution will have the flexibility to handle a manufacturer’s specific needs. Some features that may be important for the manufacturing industry include space for overlapping product rules and requirements, reduction of SKU proliferation, separation of sales and manufacturing bills of materials (BOMs), flexible guided selling interfaces, visual renderings, and bundle recommendations or complimentary extras when certain criteria are met.
CPQ software allows manufacturers to offer customers custom products with options and configurations that fit their needs. This approach enables companies to maintain margins while increasing revenue. However, implementing this strategy requires high-performing technology that supports your sales and customer experience goals. Fortunately, Tacton offers a powerful CPQ solution that meets specific manufacturing demands.
Additionally, CPQ for manufacturing is designed to be integrated with ERP systems to ensure that the quotes and orders generated by the system are accurate and based on real-time data. It helps manufacturers to avoid costly mistakes and expedites the sales process. As a result, CPQ for manufacturing can significantly reduce the number of manual steps needed to create and send quotes. Additionally, it can help to speed up the sales process and boost client happiness. Furthermore, when CPQ for manufacturing is integrated with the ERP system, the quotes are based on actual overhead costs and production schedules, which protects the company’s profitability.