Digital Transformation is a buzzword that has been getting much attention lately, but what does it actually mean? To transform something is to change it, and digital, in this case, means something with technology. Therefore, it means you are changing something with technology or software. Changing software systems is a vast topic, so in our case, we will talk about digital transformation specifically for quoting software, sometimes called Configure Price Quote (CPQ) software.
In particular, I am a consultant for Salesforce CRM products, Salesforce Revenue Cloud to be precise, which includes Salesforce CPQ. My experiences working with CPQ quoting over the past decade have given me a unique understanding of where the breaking point is for businesses evaluating migrating to CPQ software.
Generally speaking, businesses stuck on multiple outdated technologies that are slow or create bottlenecks between teams will eventually hit a point where they have no choice but to move to a better system. Ideally, working with a digital transformation strategy consultant, you should be able to identify the best time to migrate systems before hitting that breaking point.
What is a digital transformation for quoting?
What circumstances may be the red flag for your quoting system may be advisable?
- It may be a good option for your business if the tools your sales team uses are disconnected. As companies grow, the best system for quoting yesterday often fails to meet a certain need that only a second system can address. This proliferation of systems can lead to overall frustration amongst the sales team, who eventually are required to learn and use five or more different techniques to get a quote to a customer.
With the right digital transformation consulting solution, these disconnected systems can be unified into a single system of record. Salesforce Revenue Cloud offers the ability to have an end-to-end Lead-to-cash solution without ever leaving the Salesforce platform. Additionally, Salesforce provides integrations with tax calculating software and e-signature tools to provide for a comprehensive quoting digital transformation.
- When the time it takes to generate a quote is so long that your customers are at risk of going elsewhere, it’s time to evaluate Configure Price Quote (CPQ) software. A similar alternative to this issue will be if you see diminishing returns on how many deals a given salesperson can quote due to the current technology.
The right solution will provide salespeople with a quick and painless way to generate an accurate quote without requiring the salesperson to have a comprehensive knowledge of line-by-line compatibility of the products your company sells. It is because CPQ software provides the platform to set up your pricing logic in a systematic, sustainable way.
- If a particular team is causing a bottleneck preventing a CPQ quote from going to customers in a timely fashion. It could be that the technology is not helping reduce errors, so the sales operations team needs to review every quote. It could be that the legal team is required to painstakingly look at each product on a quote to place the right terms. All these situations may be resolved with the right CPQ software.
With the right digital transformation strategy, your teams causing a bottleneck today will be analyzed, and a solution will be designed. For example, if the legal team is struggling to review terms and conditions for different products, Salesforce CPQ can allow for product-based terms to be automatically assigned. It means whenever product A is sold, the terms for product A are automatically added to the draft quote. There is no need for a person to remember to apply the terms.
- When it comes time for renewals, are your salespeople struggling to piece together all the changes that have happened on the CPQ quoting tool over the course of the contract? It can be an even larger issue for subscription-based businesses, SaaS.
Salesforce CPQ has built-in logic to track all the changes that have occurred throughout a given contract so that come renewal time; all the changes are already factored in. It is a huge time saver because now there is no need to comb over several opportunities. In addition, customers are happy to know they are being quoted for the right amounts and products. It’s a win for everyone!
If you are beginning the digital transformation journey for your quoting needs, we hope you will consider working with ITequality.