SAP CPQ Overview

SAP CPQ is a functional sales tool created by SAP as a cloud-based software-as-a-service (SaaS) with the core function of helping sales teams with their quoting processes.

SAP CPQ (formerly CallidusCloud CPQ) is a configure, price, quote solution offered by SAP to automate the sales quoting process. SAP CPQ enables sales teams to see product pricing intelligence and trends. They can determine what is selling, who is buying it, when and at what price. This sales tool helps speed up the configuration, pricing quoting, and proposal creation process from any device.

In addition, companies in a wide range of industries can amplify their sales teams’ productivity by connecting SAP CPQ to their CRM, e-commerce, or ERP platform.

Why this product is good

Positives of SAP’s CPQ software

  • A strong pro of SAP CPQ is that it is very easy to use with high user satisfaction ratings.
  • Another advantage of using SAP CPQ is the ability to create quotes quickly on all devices, including mobile.
  • Integrates well with CRM, e-commerce, and ERP platforms.

Product Details

What is SAP CPQ?

SAP CPQ is a cloud-based software application that helps businesses automate their sales quoting process. It offers a number of features that can help streamline sales operations and improve efficiency.

Features include:

  • Configuration Optimization
  • Fast and Easy Quotes
  • Margin Protection and Expansion
  • Seamless Connectivity

Configuration Optimization: An important feature presented by SAP CPQ is configuration optimization. SAP CPQ enables sales representatives to quickly and easily generate branded accurate quotes that comply with pricing rules and company policies. 

Fast and Easy Quotes: Another core feature of this CPQ is that it streamlines the configuration of complex quotes, regardless of the quote’s complexity, product and service dependency, or quote size. Sales reps can generate quotes of 10,000 lines or more in seconds with CPQ automation and step-driven workflows. 

Margin Protection and Expansion: Another feature of SAP CPQ is that it protects the margin of every opportunity with product, customer, and channel price controls. Companies can eliminate problematic discounting with rules-driven eligibility. In addition, SAP CPQ can enhance and augment deal size by using pricing and cross-sell suggestions by quickly adding options and services to enhance existing quotes.

Seamless Connectivity: SAP CPQ is a cloud-based configurator and quoting solution that seamlessly integrates your ERP system. Your sales teams can quickly and easily access the latest product information, pricing, and inventory levels directly from within SAP CPQ.

12/4/2022 Update
Based on

What are the advantages of using CPQ?

SAP CPQ Benefits

There are many benefits to utilizing SAP CPQ, and here are a few:

  • Boost sales effectiveness and efficiency
  • Increase operational efficiency
  • Work smarter
  • Enhanced customer satisfaction
  • Increased sales
  • Cost savings
  • Strong security
12/4/2022 Update
Based on

What industries are CPQ solutions best suited for?

SAP CPQ for Industries

SAP CPQ is designed to address the challenges IT Services, Computer, and Manufacturing companies face in the quoting process. Here’s how it caters to them:

Software & IT (SaaS)

Streamlined Configuration for IT Services: IT services can involve various components like software licenses, training hours, and ongoing support. SAP CPQ uses guided workflows that walk sales reps through configuring the right service package based on customer needs. This ensures accuracy and reduces errors in complex IT service and SaaS quotes.

Automated Pricing for SaaS Products:  SaaS products often have tiered pricing based on features, user count, or subscription length. SAP CPQ integrates with billing systems to automate these calculations, eliminating manual work and ensuring consistent pricing in quotes. It can also handle recurring revenue streams typical of SaaS products.

Subscription Management: SAP CPQ simplifies managing subscriptions for SaaS products. It helps generate quotes outlining subscription terms, pricing, and renewal options. It can also be integrated with customer portals for self-service subscription management.


Accurate Configuration Management: Traditional methods can be error-prone when dealing with complex product variations and dependencies. SAP CPQ enforces pre-defined rules and relationships between product components, ensuring valid configurations are quoted and preventing incompatible selections.

Real-time Pricing based on Costs: Manufacturing quotes heavily depend on component costs. SAP CPQ integrates with existing ERP systems like SAP S/4HANA to pull real-time cost data. This ensures quotes reflect accurate manufacturing expenses and potential profit margins.

Integration with Production Systems:  SAP CPQ can integrate with Manufacturing Execution Systems (MES) to ensure quoted configurations are actually manufacturable. This avoids production delays or rework due to mismatched configurations.


Streamlined Configuration for Diverse Offerings: Telecom companies can define rules within SAP CPQ to ensure valid combinations of services and network options within a quote. This helps sales reps avoid errors and configure plans that meet specific customer requirements.

Profitable Margins: Sales Operations administrators can set up guardrails within SAP CPQ, like minimum margins and pricing rules, to ensure telecom deals remain profitable during the quoting process.

Compliant and Accurate Pricing: SAP CPQ ensures telecoms comply with various service or package pricing regulations and avoids inconsistencies across customer quotes.


SAP CPQ Pricing

SAP CPQ offers two variations of its CPQ: Standard and Professional. The pricing of SAP CPQ Standard is $67 per user per month. SAP CPQ Professional is $106 per user per month.

Is there anyone else out there?

Competitors and Alternatives to SAP CPQ

Would you like to explore alternatives to SAP CPQ? Here are some other software that SAP users consider when purchasing a CPQ. Prospective buyers evaluate solutions by comparing their competencies in evaluation and contracting, integration and deployment, service and support, and specific product features.

Top 3 SAP CPQ Alternatives

Salesforce CPQ

Salesforce CPQ is a cloud-based pricing and quoting software that helps businesses automate their quoting process from quote to contract. It offers a variety of features, including configurable product catalogs, price books, quote templates, and approvals. Salesforce CPQ can help streamline the sales quoting process, save time on manual pricing and configuration tasks, and improve quote accuracy. Salesforce CPQ has robust features and customizability that may best suit enterprise businesses with complex pricing structures and products.


Pandadoc CPQ is a cloud-based software that helps businesses automate their sales processes. It offers many features, including document automation, e-signatures, quotes and proposals, workflow management, and more. Pandadoc CPQ is designed to help businesses streamline their sales processes and close more deals. Pandadoc CPQ is a flexible and scalable solution that can grow with your business. Pandadoc CPQ also includes analytics and insights into buyer engagement on proposals and quotes, which helps salespeople understand customer requirements and interests.

Oracle CPQ

Oracle CPQ helps businesses automate configuring and pricing of complex products and services. Oracle CPQ software can also help businesses manage pricing changes and product updates and provide insights into customer buying patterns. Oracle CPQ is typically used by companies that sell complex products or services, such as industrial equipment, custom-made products, or services that require a high degree of customization. Oracle CPQ can help simplify the sales process for both buyers and sellers, and can help ensure that quotes are accurate and compliant with company pricing policies.

Valuable Insight From Real Customers

Gartner Peer Insights

SAP CPQ is rated 4.4 out of 5.0 stars on Gartner Peer Insights. In their reviews, users note the software’s customizability, as well as its ease of use and customer support. However, some users mention that the software can be difficult to integrate with some CRMs.

The reviewers and customer demographics are as follows:

Reviewer’s Company Size

  • Less than $50M: 14%
  • $50M-$1B: 47%
  • $1B-$10B: 27%
  • Over $10B: 11%
  • Gov’t/PS/Ed: 2%

Reviewer’s Industry

  • IT Services 18%
  • Manufacturing 17%
  • Consumer Goods 11%
  • Telecommunication 12%
  • Other 42%

Reviewer’s Deployment Region

  • North America 48%
  • Asia/Pacific 25%
  • Europe, Middle East, and Africa 21%
  • Latin America 6%

Gartner Peer Insights affirms that SAP CPQ is a good fit for complex product configurations, pricing, and deal structures, as cited by the featured review on their site. 

28/11/2023 Update


Common Questions and Answers

What is SAP CPQ?

In short, SAP CPQ was created by SAP to help and enhance sales teams across the globe by assisting these sales teams to form their own quotations and respond quickly and accurately to customer needs, such as quoting. SAP CPQ additionally allows any company’s sales team to answer customers’ complex product requirements quickly and easily, especially in terms of quoting processes.

What are the main advantages of SAP CPQ?

SAP CPQ has a few important advantages, including:

Boost sales effectiveness and efficiency
Increase operational efficiency
Work smarter
Enhanced customer satisfaction
Increased sales
Cost savings
Strong security

Is SAP CPQ the only CPQ on the market?

No, there are a few CPQ software solutions on the market, such as PandaDoc, Oracle CPQ, Salesforce CPQ, and more.

What are the main features of SAP CPQ?

SAP CPQ’s main features are configuration optimization, fast and easy quotes, margin protection and expansion, and seamless connectivity.

Can I implement SAP CPQ with other CRMs?

In short, yes you can integrate SAP CPQ with other CRMs.


SAP CPQ’s Summary

SAP CPQ is a helpful tool created by SAP to assist and empower organizations in a wide range of industries to grow their sales teams’ productivity. SAP CPQ enables efficient quoting processes for users and helps grow revenue. With many ratings and global users, SAP CPQ is known for its customizability, ease of use, scalability, and user support.

CPQ Integrations