CPQ, or configure, price, quote, is a tool that has been around for decades. However, with the advancement of modern technology, CPQ software has made some major leaps. Especially in growing industries, such as the CBD and hemp markets, CPQ software has many critical applications.
So, how does configure, price, quote actually work? What benefits does it hold for your CBD sales team? And can a CPQ solution really give you a leg up on your CBD competition? Here’s what you need to know about CPQ and its applications.
CPQ Software Essentials
So, what is CPQ? Configure, price, and quote (CPQ) is used by vendors and businesses to streamline the sales process and help reps do their jobs more effectively. Particularly in the U.S., many sales reps and distributors lose valuable time configuring discounts and CBD product quotes. With the aid of CPQ software, it’s easier to retail a configured product, alter batch pricing, and develop accurate quotes without allocating unnecessary time or resources.
For instance, if you’re looking to create an offer or discount on a new set of gummies, creams, or extracts and you want to make a quick alteration to your pricing model, CPQ software can help you quickly and effectively adjust pricing. If you’re using an outdated CPQ solution or are trying to handle manual alterations through a CRM portal, you’re going to need to interface with customer service, your sales reps, and the head of the sales team to authorize approval and make the necessary changes.
With CPQ software, it’s easier to offer your highest quality products without having to dig through spreadsheets and documents to find the applicable pricing rules. This is just one pro to integrating a CPQ process into your CBD business. By following predefined rules, your CPQ process can speed up the sales cycle by affixing the right price, operating withing established margins, and enabling your salespeople to choose the right products at the right time.
CPQ Pros and Cons
For CBD market integrity, it’s easy to say that CPQ software has more pros than cons, especially for manufacturers, distributors, and suppliers. Your CBD brand and your salespeople can benefit greatly from the enhanced functions of these tools. Whether you’re selling capsules, edibles, or high-dosage gummies with added terpenes, a combination of an effective CPQ selection and the right salesperson can greatly improve the customer experience and make your workflow that much smoother.
Perhaps the largest pro for the CBD market is the enhanced speed and accuracy. If your CBD company is adjusting pricing for a certain berry flavor of CBD gummies or CBD oil and you want the best results in real-time, the best option is to use CPQ tools to price quote the item quickly and effectively. With this level of product configuration, you’re less likely to make manual errors or slash profits due to a numerical mistake. Your best bet is to do your due diligence with the use of CPQ. In fact, within the CBD company sphere, many great CBD oil distributors rely on similar software for their full-spectrum products.
Even small businesses that are just becoming CBD distributors can see sales benefits from the careful application of CPQ software. While it may seem like a complex product, a savvy CPQ system can improve the strength of your sales team and enhance pricing data.
Whether you need an accurate price quote for a potential customer or you’re looking to revamp your entire process for distributing CBD capsules across the United States, it’s a good idea to incorporate CPQ software into your workflow. Between streamlining your CBD sales to enhancing your ability to offer subscriptions on high-quality products, the right tools can enable your business.