Enhancing Revenues & Profits with CPQ + Subscription Management | SoftClouds

|| OPTIONS REDEFINED || Copyright © 2023 SoftClouds - All Rights Reserved
CPQ + Subscription
Management
Enhancing Revenues & Profits with

Configure, Price & Quote
(CPQ) - An Intro

What's CPQ?
• Configure, Price, & Quote is a tool designed to:
• SELL MORE
• SELL FASTER
• SELL ANYWHERE
• Expedite your customer response time by 80% & shorten sales cycle times
• Generate accurate & professional quotes
• Use a customizable solutions for different business needs
• Allows collaboration among & across departments
• Preprogrammed features allow for complete transparency between customers &
organization thus, avoiding any conflict
• Innovative tools working together with CRM applications, mobile, Outlook &
other third-party applications

faster from quote-to-
cash
quicker ramp for
new reps
sales cycle shortens
by using CPQ
faster quote
generation
of higher lead
conversion rate
greater growth in
revenue year-over-
year
of human errors
will be eliminated
use tools to
generate proposals
80% 30% 28% 17% 40%
10x
2x 5x
CPQ by Numbers
Incremental Growth
$1.65 bn Year-over-year growth rate
is estimated at
14.13%
2021 2026
Source: prnewswire | selecthub

Advantages of CPQ
Improve Accuracy &
Boosts Sales
Performance
Quickly Create Quotes
& Proposals
Supports Diverse
Products with Complex
Pricing
Shortens Sales Cycle
Utilize Machine
Learning to leverage
Sales
Helps Reduce
Inadvertent Quoting
Errors
Increase Deal Size:
Upsell & Cross-Sell
Knowledge Retention &
Productivity
Guided Selling
Support Subscription
Based Ordering

CPQ Landscape by Competition
Source: tacton | zuora

Oracle CPQ: Features
Configure Products Setup Price Generate Quotes Integration Bundling
• Guided Selling
• Intuitive Configuration
• Supports Multiple
Devices
• Efficient Subscription
Ordering
• Right Price Where &
When Needed
• Dynamic Pricing
• Location
• Customer
• Products
• Sales Manager
• Deal Management
Intelligence
• Dynamic Workflows
• Document & Email
Designer
• Contract Management
• Flexible Support
• Electronic Signature
• CRM
• B2B Commerce
• ERP
• Web Services/Third-Party
Integrations
• Prebuild integration with
CRMs like OEC, SFDC,
Microsoft dynamics
• Support SOAP, Rest & Bulk
API

Seamless Integration
Middle
Office
(CPQ)
Back
Office
• Shorten sales cycles through guided selling
• Proposal generation tools providing automated quoting
• Increased accuracy
• Enhanced efficiency & productivity
• Maximize sales with intelligent quotes
• Deal profitability analysis
• Increase deal values
• Contract negotiation
• Better customer service
Front
Office

Subscription Management
- An Intro

• Near Infinite Options
• Customization
• Extreme Engagement
• Limited Options
• Fewer Decisions
• Less Engagement
Old World New World

Market
Source: sellcoursesonline

Source: sticky | sellcoursesonline
Digital Subscription Companies
Market Cap of $14 Trillion
Subscriptions &
Consumer Spending

47%
subscribers expect better prices
when subscribing to direct-to-
consumer brands
89%
Consumers underestimate their
spend on subscriptions
81%
Subscribers stated
that convivence was an
important reason to enroll
with a subscription service
Source: sticky | sellcoursesonline
Subscriptions &
Consumer Spending

Recurring Revenue:
Build Long-Term Relationships
What else can I add
on to this service?
How much do I have
left to use?
Can I change my
billing date?
When is contract
renewing?
What goes with this
service?
What goes with this
service?
Can I ship to multiple
locations?
What do like about
this product?

Changes:
One-Time Sale to Recurring Relationships

Customer
Transactions
Billing,
payments,
tax
Customer
success
Flexible
pricing
Contract
terms
Usage,
metering
Finance
management
Product options
Lifecycle,
changes
Channels
Marketing
commerce
sales
Subscription
ERP
Engagment
service
subscription
CPQ
CLM
Commerce
subscription
ERP
ERP,
SCM
Customer
Fulfillment
Oracle Subscription
Management
Complete Subscription
Lifecycle Support
• 360° insight into deal activity, opportunities,
& customer buying habits
• Automated revenue recognition, billing &
invoicing
• Sales planning visibility for complex orders,
quotes, & recurring pricing
• Mixed order fulfillment support for services &
physical assets

Oracle Subscription
Cloud Features
Business Model
Flexibility
Sales, CPQ, &
Commerce
Renewals &
Insights
Dynamic Pricing
Models
Business
Success Metrics

CPQ & Subscription
Economy

Subscription Economy
is Booming
Percentage increase in the number of
active subscribers from 2021 to 2022
Percentage increase in the number of
active subscriptions from 2021 to 2022
USA: 7.9%
Europe: 20.1%
Asia: 1.6%
USA: 16.7%
Europe: 24.6%
Asia: 24.6%
Source: recurly
Conversion Rates by Trial Length

Industry-Level Conversion
Rates
39.4% Business & Professional Services
34.3% Consumer Goods & Retail
43.3% Digital Media & Entertainment
42.1% Education
35.8% Software
38.0% Travel, Hospitality & Entertainment
Source: recurly

CPQ is Perfect for the
Subscription Economy
CPQ
• Account & opportunity management
• Subscription quoting
• Promotions & trials
• Recommendations & upgrades
• Renewal analytics
• Customer 360
• Subscription generation, redlining, collaboration
• Recurring & usage billing
• Renewal automation workflows

CPQ + Subscription =
Revenue Growth
Revenue Growth
Salesforce CRM
Oracle CPQ
Dashboards
Lead Management
Sales Forecasting
Real-Time Visibility
Select & Configure
Price & Quote
Present & Propose
Order & Fulfill
Report & Analyze
Connect
Manage
Retain & Renew
The Future: Subscription Based Pricing  Usage-Based Pricing

Our CPQ & OSMC
Implementations

Our CPQ & OSMC
Implementations
Implementation 1:
Pharma Industry
Implementation 2:
Software
Industry

Pharma Industry
Implementation 1

• Leading Global Clinical Trial Suppliers for 30+ Years
• Expertise in Flexibility with Drug Demands
• Organized Warehouse Infrastructure with Secured &
Distribution Channels
• Annual Trials/Projects: 2000 & Active Clients: 190
• Dedicated Partner to Companies in Achieving
• Successful Clinical Trial
• Whilst Minimizing Delays
• Unnecessary Costs & Surprises
Implementation 1: Intro

• Manual Quote Process Caused Delay & Mistakes
• No Proper Product Management System
• Products & Price Lists Were Disconnected
• Manual Approval Process
• No Integration Between Systems
• No Proper Visibility Rules were Applied
• Inefficient Distribution Channel
• Complex Issues in Product/Pricing Model
• Old School Fulfillment Activities
• Lack of Communication Strategies
• Poor System Integration
• Logistics Risks
Implementation 1:
Business Challenges

External Tax
Calculation
System
Digital
Customer
Service
Mobile
Application
Implementation 1:
Solution Architecture

• Personalized UI/UX
• Customer portal to manage services,
products, inventory, & orders
• Co-browse & chat enables direct customer
interaction
• Clear 360 view of the customer
Improved Cost Savings:
• Integration helps with sales processing
• DCS reduced call center costs
Implementation 1:
The Results

Software Industry
Implementation 2

Leading global provider
of communications
technology solutions
Provides high-performance
software-based products,
network solutions & services
Revenue in 2021 Global Offices
$845M 82
Implementation 2:
An Intro

• Outdated quoting tool & performance issues; 400+ configurations with
1000+ configuration rules
• Complex pricing logic & service products need rekeying of data
• Development required to build enhancements & more time to launch
new products
• No logic to handle end-of-life products causing quote errors
• Complex discounting logic & sales process
• Complex approval process & needs code change for any modification
Implementation 2:
Business Challenges

SFDC
• Accounts
• Opportunity
• Products
• Partner Portal
• Reports
• Approvals
CPQ
• Quotes
• Parts
• Pricing
• Configuration
• Quote Documents
Oracle EBS
Parts
Price Information
Parts & Pricing Data Load Parts & Pricing Data Load
Account & Oppty Information
Quoting & Pricing Information
Implementation 2:
Solution Architecture

Reduced number of
configurations to 45,
making it easier for
sales rep to quote
Significant improvement
in performance with less
rules & data-driven
approach
Improved
cross-sell & upsell
Email-based approval
processing automation &
notification
No rekeying of
data required &
improvement in quote
configuration
Implementation 2:
The Results

The Future
CPQ + Subscriptions

Prediction 1:
Usage Based Pricing will Boom
o Business is paid only after the customer adopts the product
o Customers can trial before buying with no risk
o Example: Google Cloud Platform offers over $300 in free
usage credits for new developers
o Top-performing organizations offer smooth customer onboarding &
high-quality assistance to hook new customers
o Engaged new users create a strong foundation for future customer
growth

Prediction 2:
Personalization & User Experience
o Users want simple & efficient digital experiences
o Market demand & high expectations have forced
brands to deliver unique client experiences
o Quick technological advancements have also played a
role in this trend

Prediction 3:
DTC will No Longer be Unique
o Direct-to-Consumer (DTC) companies are moving to
brick & mortar
o Examples: Dollar Shave Club, Parker, Casper, etc.
o To succeed, they need an omni-channel strategy.

Prediction 4:
Harder to Stand Out, so Innovate
o Standing out in today's competitive market is challenging.
o DTC products are prevalent on Facebook, Google, & Amazon.
o To get noticed, you must either spend more or innovate.
o Seeking out new opportunities is key.

Future of Subscription:
Our Thoughts
Complexity in Maturity:
o Subscriptions have evolved into variable plans
o Variable plans require more technical integrations
o Subscription management & recurring billing platform supports
adjustments
Single to Omnichannel Engagement:
o Omnichannel subscriptions require broader channel &
geographic focus for businesses
Scale via Automation:
o Automation maximizes operational efficiencies, freeing
companies to optimize their products or services

Our CPQ Services

System
Analysis
Business
Process Re-
engineering
Pricing
Design
Integration
Migrate On-
Premise to
Cloud
Product
Design
UI
Enhancement
Reports &
Dashboards
SoftClouds: Our Offerings

For more information,
please contact:
info-at-softclouds.com

Enhancing Revenues & Profits with CPQ + Subscription Management | SoftClouds

More Related Content

Similar to Enhancing Revenues & Profits with CPQ + Subscription Management | SoftClouds (20)

More from SoftClouds LLC (19)

Recently uploaded (20)

Enhancing Revenues & Profits with CPQ + Subscription Management | SoftClouds