The process of selling custom products can be challenging. Whether sales are generated from in-house sales teams, a distributor network, or customers self-serving online, numerous challenges need to be overcome. From the risk of pricing errors to long quote cycles, the sales process for custom products is a complex one that can impact other areas of your business.
Finding ways to streamline the sales cycle is a key priority for manufacturers of custom products. Many businesses are implementing a CPQ solution as an effective tool for developing a streamlined sales process. CPQ solutions guide sales teams and customers through the configuration of products and services, apply pricing and feasibility rules, and automatically generate accurate quotes.
Learn more about how CPQ eliminates sales challenges for manufacturers of custom products.
1. Manual pricing errors
One of the biggest challenges when selling custom products is ensuring that pricing is accurate and consistent. Mistakes can easily occur when manually calculating pricing, applying discounts, running promotions, etc. Pricing errors can lead to loss of revenue, trust, and damage your brand reputation.
CPQ automates the pricing process based on predefined rules and logic. This ensures that correct pricing is applied to even the most complex of configurations. Automated pricing removes the need for manual calculations and removes the risk of human error.
2. Lengthy quote cycles
Sales teams and distributors can spend a large amount of time generating quotes, especially when they are quoting for products with complex configurations. This can increase the length of time that customers are waiting for quotes, resulting in potential lost sales to businesses who can respond faster.
CPQ automatically generates quotes in minutes so sales people can configure products, apply pricing, and generate accurate quotes in real-time. The automatic generation of quotes enables faster quote generation, enabling faster responses to customers and increased sales.
3. Complex product configurations
Manually configuring custom products can be challenging. The risk of configuring products that are incompatible or unmanufacturable is high, leading to poor customer experience and lost deals.
CPQ makes it easy to configure complex custom products. Guided selling features support sales teams and online buyers through the configuration process, ensuring only valid configuration options are chosen. 3D product configurators also provide a visual representation of the finished products, making it easier to visualize complex configurations and see the impact of different options.
4. Inefficient approval workflows
Approval processes for custom products can be complex and lengthy. Sign-off on pricing, discounts, and promotions can cause delays, with multiple approval steps delaying the quote and sales cycles. Slower response times can lead to lost sales opportunities.
CPQ streamlines approval workflows by automating approvals based on pre-defined rules. For example, discounts can be automatically applied or flagged directly to the appropriate stakeholder for approval. Streamlining approval workflows reduces quote approval times and accelerates the sales cycle.
5. Lack of sales data
The sheer volume of configurations associated with some custom products can make it difficult to get meaningful insights to assess product and team performance.
CPQ provides analytics and data that enable managers to track sales KPIs. Access to key data insights helps them to make informed decisions, optimize sales strategies, and identify potential areas for training or process improvements.
Learn more about improving sales with CPQ
Guided selling helps customers and sales reps find the right products based on individual needs and preferences. For manufacturers of custom products with complex configurations, guided selling simplifies decision-making and improves sales effectiveness. Here are our five steps to implementing a successful guided selling strategy.
The buying behavior of B2B buyers has changed significantly over the last 5 years, with an increasing preference for self-service sales. Improvements in e-commerce technology combined with a frictionless buying journey have led to more buyers opting to self-serve their B2B purchases.
B2B sales cycles for custom products can be lengthy and complex. They often involve multiple stakeholders and complicated customization options and pricing structures. CPQ solutions provide an effective tool for developing a streamlined sales process and optimizing the sales cycle.
Overcome your sales challenges with DriveWorks CPQ for Manufacturing solution
DriveWorks CPQ for Manufacturing solution is used by manufacturers from a range of industries. Because DriveWorks technology is modular, scalable, and incredibly versatile, customers use the technology in many different ways, building CPQ solutions to suit the needs of their businesses.
Manufacturers using DriveWorks CPQ for Manufacturing have achieved 50% faster sales onboarding, 95% faster quoting and a 75% increase in productivity.
Take advantage of the wealth of experience in the DriveWorks team and book a CPQ for manufacturing demo with a DriveWorks expert.
They’ll help you get under the hood of different DriveWorks technology features, enabling you to identify and focus on the software capabilities that align with your business requirements. They can guide you through practical applications and explain advanced features in a way that enables you to see how DriveWorks CPQ for Manufacturing can enable you to overcome your sales challenges.