The Configure, Price, Quote (CPQ) market has exploded in the past half-decade as B2B companies invest in better deal execution and customer-centric sales. In 2018, the CPQ market grew by 12.4% to an estimated $1.2 billion. Gartner forecasts that the CPQ market will continue to grow at about 15% annually through 2020.
However, according to Mark Lewis, a senior director analyst at Gartner, a significant number of CPQ implementations either cost too much, take too long, fail to achieve expectations or fail completely. To realize the full potential of CPQ, companies must understand how their requirements match to out-of-the-box functionality. For a majority of B2B companies, the pricing function in particular has become wildly complex due to the speed and unpredictability of external pricing triggers, coupled with insufficient internal resources to orchestrate a strategic price response. Often, the pricing persona within a B2B company is underserved by CPQ and ERP systems.
At Zilliant, we provide that missing link – a space in which to set, optimize and manage prices that perfectly complements a CPQ deployment. We partner with the leading vendors in the CPQ space – Apptus, SAP, Salesforce and Oracle - to seamlessly inject optimized prices so they can be easily consumed by sales teams. We also elevate the role of pricing teams and make price-setting and executing pricing strategies easier. Once prices are delivered to sales and ultimately end customers, we take back win/loss data to continuously improve the pricing model and further enhance elasticity measurement.
We help customers get the most value out of the “P” in CPQ. Our customers and partners alike have found this approach to be tremendously instrumental to CPQ adoption and success. Because Zilliant pricing solutions are cloud-native and built on a microservices architecture, we easily integrate via high-availability REST API to whichever CPQ tool best fits a given customer’s specific needs. This integration drives value by:
- Improving the speed and effectiveness of pricing decisions within the quoting process.
- Allowing pricing teams to set optimized, market-aligned prices that are contextually relevant for every selling circumstance.
- Empowering pricing what-if scenarios to determine the predicted revenue and margin impacts of different pricing strategies and decisions.
- Enabling pricing teams to intelligently respond to dynamic changes in market conditions and publish prices in real-time directly into CPQ.
- Accurately measuring the impact of pricing strategies on business performance.
By infusing Zilliant-generated prices into CPQ, pricing teams can be more responsive to customers with relevant prices and give their sales teams the upper hand in negotiations. When sales reps receive guidance that shows them the logic and business impact behind each price, as well as where other sellers have won business with similar prices, they are able to quote with more confidence and win business at better prices.
Zilliant + CPQ = better, more intelligent price administration and execution for pricing teams; more effective and efficient quoting and deals won for salespeople.