Vendavo CPQ is built for enterprise B2B sales teams selling highly configurable products. Its software services are custom-made to accommodate the demands of some of the world’s largest manufacturers and distributors. By using its quoting tool, multinational B2B corporations can realize substantial financial gains and significantly boost their profit margins. By leveraging advanced insights into customer behavior and adopting pricing strategies based on market trends, manufacturers and distributors using Vendavo enjoy enhanced sales effectiveness and customer satisfaction.
Vendavo’s advanced analytics and expertise in the industries they operate have led to collective yearly margin enhancements exceeding $2.5 billion for firms across various sectors, including chemicals, distribution, high-tech, and manufacturing. Specifically, Vendavo predominantly caters to wholesale distribution, packaging, shipping and logistics, oil and gas, pharmaceutical distribution, building products, aftermarket manufacturing, healthcare, and medical device sectors.
Why this product is good
Positives of Vendavo’s CPQ Software
Product Details
What is Vendavo CPQ?
Vendavo CPQ is a configure, price, quote tool that’s part of the larger Vendavo sales and pricing optimization product suite. B2B sales teams use Vendavo to generate and deliver accurate quotes for highly configurable products and manage complex pricing scenarios, all while maintaining control over margin and profitability. High-level decision-makers use its data to optimize their profit margins and drive better overall company performance. And customer success teams take Vendavo CPQ’s feedback to identify upsell/cross-sell opportunities and pinpoint at-risk customers.
Features include:
- Visual configuration
- Guided selling
- Branded proposal generation
- Approval automation
- Pricing analytics
- Risk alerts
- Upselling and cross-selling
Visual configuration. Vendavo’s product configurator shows sellers how to put together complex products by providing them with a visual representation of the product’s structure and dependencies. That way, sales reps know which options are compatible, and they can show customers what the product will look like when it’s finished.
Guided selling. All you have to do is set product rules in CPQ, and the software will handle the rest when sellers add products to a quote. They’ll go through a series of questions, and as they pick products, the configurator will automatically apply the rules and filter out incompatible options.
Branded document generation. Branded quote and proposal templates bring your marketing assets, product information, and legal agreements together, so you can create a consistent brand image and customer experience (while looking more professional and helping your quote stand out).
Approval automation. Using Vendavo’s backend, create basic rules that trigger notifications for members of your deal desk when sections of quotes require special review. That way, you can eliminate manual approvals and speed up the sales cycle.
Pricing analytics. The pricing waterfalls embedded in Vendavo’s CPQ software offer valuable insights into how discounts, price agreements, markups, and other factors affect the final net price and overall pocket margin of a line item or quote.
Risk alerts. Insights into customer behavior tell Sales and Customer Success which customers are at risk of churning, so your team members can proactively address their concerns (and potentially upsell them on new or existing products).Upselling and cross-selling. Vendavo offers AI-driven suggestions for upsells/cross-sells based on customer requirements interests, and pain points. Especially when you use its advanced price optimization tools to ensure you don’t undercut yourself, this feature can help you get the most out of every sale.
What are the advantages of using Vendavo CPQ?
Vendavo CPQ Benefits
For large manufacturers and distributors with complex quoting and sales processes, there are plenty of reasons to use Vendavo. Its most significant benefits include:
- Streamlined, visualized, and automated pricing waterfalls and agreements ensure your sales team has the best price for each quote as quickly as possible.
- Admin-configured pricing and product rules ensure every quote is 100% accurate, so your team can focus on selling rather than double-checking.
- Automated approval workflows, guided selling capabilities, and quote/proposal generation increase sales velocity by eliminating the most time-consuming manual processes.
- With real-time pricing analytics and risk alerts, your sales team can quickly spot trends and identify opportunities to optimize margins and add more value to customers.
- Visual configuration makes it easier to show prospects what they’re buying when you’re quoting a custom product.
- Sales reps and department leaders have total visibility into the sales pipeline, pricing decisions, and customer behavior, which drives strategic decision-making.
- Customers enjoy a better buying experience when they work with your sales reps, who can answer their questions quickly and efficiently.
What industries are CPQ solutions best suited for?
Vendavo CPQ for Industries
Vendavo CPQ is designed to address the challenges Manufacturing, Distribution, and Consumer Goods companies face when quoting complex products and services. Here’s how it caters to them:
Manufacturing
Streamlining Complex Configurations: Manufacturing often involves products with various options and features. Vendavo CPQ offers a powerful rules engine and visual configuration tools. This allows sales reps to quickly and accurately configure these complex products, ensuring a 100% accurate quote.
Guided Selling Workflows: Vendavo can establish a standardized workflow for the sales team. This guides them through each step of the configuration process, ensuring they capture all necessary information for a complete and accurate quote.
Price Optimization for Profitability: Vendavo integrates with pricing optimization tools to enable manufacturers to consider factors like production costs, material fluctuations, and competitor pricing when generating quotes.
Wholesale Distribution
Manages Complex Configurations: Vendavo CPQ handles intricate product structures with ease. Its strong rules engine allows sales reps to confidently build and modify complex product bundles.
Intelligent Pricing: Vendavo integrates with existing pricing data and rules to automatically generate accurate and competitive quotes. This eliminates manual calculations and ensures adherence to pricing policies.
Improved Visibility: Vendavo provides real-time insights into the sales pipeline. Managers gain a clear view of deal progress and can identify potential roadblocks early on.
Consumer Goods
Guided Configuration: Vendavo guides sales reps through product selection, ensuring compatibility and avoiding errors. This leads to accurate quotes that meet customer needs.
Intelligent Pricing: Vendavo integrates with deal pricing guidance. This allows sales teams to see the impact of discounts and other factors on profit margins, empowering them to make strategic pricing decisions.
Streamlined Quoting: Vendavo offers tools to design professional quotes and integrate with e-signature services, reducing quote turnaround time and improving the customer experience.
Prices
Vendavo CPQ Pricing
Vendavo CPQ and its add-on sales and pricing automation tools are only available with a custom, quote-based plan. For pricing details, book a call with their sales team directly.
Is there anyone else out there?
Competitors and Alternatives to Vendavo CPQ
Although Vendavo is a solid choice if you’re looking for manufacturing CPQ, there are other options out there specializing in different areas. Depending on the size of your business or level of product complexity you’re dealing with, you might need a solution with more or less functionality.
Top 3 Vendavo CPQ Alternatives
FPX Intelliquip CPQ
FPX Intelliquip CPQ stands out among manufacturing CPQ platforms when it comes to the intricate requirements of the world’s largest manufacturers. Designed for sophisticated omnichannel selling and buying processes, it offers automatic quote, order, and BOM generation. It also includes comprehensive product and pricing rule management, seamless integration with front- and back-end business systems, the ability to provide instant budgetary quotes for project planning, and dynamic pricing that adjusts to market conditions and customer segments. For larger manufacturers managing multiple supplier relationships, FPX Intelliquip could be your best bet.
IBM CPQ
IBM CPQ streamlines the sales workflow for manufacturers, distributors, ecommerce platforms, and retailers. In addition to standard CPQ features, it offers a centralized database, automated updates to pricing and inventory, customer behavior insights, and customizable workspaces for orders, invoices, and returns. Plus, it enhances order processing and inventory oversight to reduce data handling errors across national and international storage locations. If you’re a manufacturer/distributor that needs a suite of connected tools to handle thousands of SKUs, millions in revenue, and an ecommerce presence, you might choose IBM over Vendavo.
PROS CPQ
PROS CPQ is about as advanced as it gets when it comes to AI and machine learning. If you’re selling highly configurable engineer-to-order products like medical devices or industrial machinery, you’ll benefit tremendously from its 3D product configurator, CAD automation plugin, and AI-driven pricing insights. It also offers ERP integration and automation for manufacturers, distributors, and retailers, plus CRM integration with most of the top vendors. PROS CPQ is a must-use if you’re dealing with bespoke products and alignment between sales, engineering, and production teams is a business-critical issue.
Valuable Insight From Real Customers
Gartner Peer Insights
Out of 33 reviews, Vendavo CPQ has a rating of 3.9 out of 5 stars on Gartner Peer Insights. In their reviews, users note the software is intuitive and easy to learn. However, some reviewers note that support and implementation can be challenging.
The reviewers and customer demographics are as follows:
Reviewer’s Company Size
- <50M: 21%
- $50M-$1B: 48%
- $1B-$10B: 24%
- Over $10B: 3%
- Gov’t/PS/Ed: 3%
Reviewer’s Industry
- Manufacturing: 73%
- Services (non-Government): 9%
- IT Services: 6%
- Consumer Goods: 3%
- Other: 9%
Reviewer’s Deployment Region
- North America: 65%
- Europe, Middle East, and Africa: 15%
- Asia/Pacific: 13%
- Latin America: 7%
Gartner Peer Insights affirms that Vendavo CPQ is highly customizable and supports complex pricing, making it an industry-leading product.
FAQs
Common Questions and Answers
Vendavo Pricepoint is a pricing management tool businesses can use alongside Vendavo CPQ to monitor market dynamics in real time. It tracks the local market in every region of the world you do business, so you can update and execute pricing strategies with maximum agility.
Vendavo integrates with Salesforce CRM, Microsoft Dynamics 365, and SugarCRM. It also integrates with most ERP software and offers custom integrations for businesses with unique systems.
Andrew is a professional copywriter with expertise in creating content focused on business-to-business (B2B) software. He conducts research and produces articles that provide valuable insights and information to his readers.
