CPQ Software for Healthcare and Medical Devices
Recently, McKinsey reported that US healthcare expenditure could experience 7% growth from 2022 to 2027, which exceeds aggregate economic growth by more than 2%. High demand and competition within the market have created challenges for healthcare providers and medical device companies. There’s no room for error in pricing strategies, sales processes, and product and service delivery.
Many healthcare companies are experiencing excellent results from streamlining their sales operations with CPQ software. Configure Price Quote software (CPQ) is a sales tool that automates the process of configuring products and services, determining prices, generating quotes, and creating contracts. CPQ software is a flexible pricing and selling solution that empowers sales organizations to sell the right product at the right price while providing outstanding patient experiences.
How CPQ Works in Medical Device Companies
The use of CPQ software is becoming increasingly popular in the medical device industry. At its core, CPQ enables medical device manufacturers and distributors to configure products or services based on customer needs using a sophisticated set of rules and parameters. This allows them to quickly create accurate quotes based on customer requirements. CPQ provides visibility into pricing, discounts, and taxes for each customer order. In addition, it tracks customer-specific information such as preferences and history to provide personalized product configurations and an excellent customer experience.
CPQ also ensures that accurate product information and pricing are available at each step of the sales process – from marketing campaigns all the way through sales, engineering, fulfillment, and invoicing. By automating manual tasks like product configuration validation, price calculation, discount applications, and quote generation, medical manufacturers can devote more time to value-added activities like research and customer support.
How CPQ Works in Healthcare Companies
CPQ can be integrated with other enterprise systems like electronic medical records (ERM), customer relationship management (CRM), and patient billing systems to enable seamless data flow between departments. The main benefit of using CPQ software in a healthcare setting is the ability to quickly create care plans tailored to individual patient needs. Data synchronization between CPQ and the systems for medical records, imaging, laboratory results, and medications enables healthcare providers to create customized care plans that sync with insurance and billing platforms to streamline patient onboarding and services.
How CPQ Helps Healthcare and Medical Device Sales Teams
Healthcare and medical device companies can reap many benefits from adding CPQ to their sales stack, including leveraging sales intelligence for better business decision-making, faster quote and proposal generation, consistent pricing and discounting, and increased revenue. Ultimately, CPQ software streamlines the sales process for a better buyer experience.
Now, let’s dive into the main advantages healthcare-related companies experience by implementing CPQ software.
Faster Sales Cycle: CPQ software is designed to help sales reps configure products and quotes quickly and accurately. By streamlining the quoting process, CPQ reduces sales cycle time. In addition, CPQ helps sales reps quote the right product at the right price, improving customer satisfaction and closing more sales.
One Source of Truth: CPQ integrates with your CRM and ERP systems, so your customer records, product catalog, product inventory, pricing information, and sales activities are unified and stored in a central repository. This visibility into shared customer data is crucial for distributed sales teams located across multiple regions.
Personalized Buyer Experience: Leverage customer data and machine learning to deliver personalized product or service recommendations to customers.
Improved Sales Performance: Guided selling makes it easier for sales reps to configure the right solutions for customers. CPQ software helps reduce the time required to complete a sale by streamlining the quote-to-cash process.
Minimized Errors: Healthcare products are typically used to diagnose, monitor, or treat patients, so product configurations must be 100% accurate. CPQ software ensures that sales quotes are accurate and complete, based on the correct product configurations, pricing, and discounts. This reduces mistakes in contracts and billing and helps reduce inefficiencies and revenue leakage.
Accelerates Revenue: CPQ software is an essential tool for accelerating revenue. CPQ software helps sales reps respond quickly to proposal requests by decreasing the time to create accurate quotes. In addition, providing customers with tailored product recommendations ensures they get the products that best meet their needs, creating a positive buying experience and loyal repeat customers.
CPQ Solutions for Healthcare and Medical Devices
What can CPQ Software do for Your Healthcare or Medical Device Company?
Companies in healthcare industries are under constant pressure to improve the quality of their services while reducing costs. CPQ software helps meet these challenges by improving efficiency and accuracy in ordering and delivering healthcare-related products and services. It enables companies that sell configurable products with complex pricing models to automate quote generation, streamline processes between sales and engineering, and simplify contract management.
Product Configuration: CPQ software is specifically designed to help configure products so sales reps can guide customers through selecting the correct products for their needs. It provides an easy-to-use interface that makes it simple to configure even the most complex products or product and service bundles. When implementing a CPQ, you can plug in your product data, configure your business rules, and start quoting.
Product Visualization: Many CPQ software platforms for medical device manufacturers include visual product configuration capabilities in 2D or 3D. Bills of materials (BOMs), CAD drawings, and similar documentation can be generated using the products’ configurations, ensuring a seamless transfer of orders between sales and engineering or production.
Pricing: Pricing and discounting can be complex and time-consuming tasks without the help of CPQ software. With the right tools, businesses can automate these processes and ensure that their prices are accurate and up-to-date. Additionally, CPQ software can help companies track discounts and offer the correct deals, helping to improve customer satisfaction and increase sales.
Omnichannel Selling: CPQ software is a critical tool that healthcare companies can use to enable omnichannel selling. It allows sales teams to create and manage product configurations and pricing across all channels and to generate quotes and orders quickly and easily. This helps companies provide a seamless buyer experience regardless of how customers interact with them.
Integration: CPQ software extends the value of many other solutions in the sales stack. With seamless integration with CRM and ERP platforms, sales engagement software, sales proposal software, and revenue operations systems, CPQ helps sales teams achieve a fluid sales motion that connects all sales stages.
Patient Onboarding: Create secure branded and HIPAA-compliant enrollment and consent forms that sync with your CRM. Secure eSignature helps ensure seamless new patient onboarding.
Contract Generation and eSignature: Generate contracts with providers and other healthcare partners based on accurate price quotes. Develop and maintain reimbursement schedules for providers based on their locations and specialties. Use third-party software to ingest contracts into your ERP system. Securely capture signatures on agreements.
Reports and Analytics: CPQ software provides centralized data about the sales process, including win rates and revenue generated. Sales operations leaders can track and analyze sales data and buying behaviors to identify optimal pricing and selling strategies. In addition, tracking customer preferences and buying trends can help healthcare companies better understand their target markets and develop new products or services.
Rhonda Bavaro excels in boosting SaaS companies’ growth through innovative content marketing, thriving in the dynamic sales tech industry amidst evolving technologies that drive revenue acceleration.