Exploring Enhanced Salesforce CPQ Efficiency with NeuraFlash
Maximizing Efficiency in CPQ: How Flows Can Help You Cut Down on Product Catalogs and Enhance Pricing Flexibility
In today's dynamic and intensely competitive business landscape, businesses continually strive to outperform their competition. This often entails exploring different strategies or revising their revenue models. The subscription-based revenue model has emerged as a favored option for many businesses, as it enables them to charge customers on a recurring monthly basis, versus a one-time fee. However, transitioning to this model can pose unique challenges in terms of operational management. In this blog, we are going to take a deep dive into the case of a company that seeks to adopt the subscription-based revenue model and the obstacles they face doing so. We also will discuss the potential solutions we can provide to support this transition!
So what does “remaining competitive” mean?
In some industries, this calls for constant product innovation. In others, it’s focused mainly on the quality of the offering. Regardless of what form of competitive edge your company is attempting to gain, distinct differentiation can be the stimulant of success or the catalyst to collapse. With many companies transitioning away from one time fees and towards subscription based revenue models, this can pose complexities within product management and scalability.
Let’s dive in a little deeper.
Company A sells software licenses and has been on the Salesforce Platform utilizing Salesforce Sales Cloud & CPQ for their lead to cash processes. Prior to the company's initiative to move towards a subscription-based revenue model, these licenses were sold solely on a perpetual basis. Realizing the potential long term revenue being missed, and looking for a competitive edge, Company A would like to move towards a model focused on maximizing the lifetime value of a sale. They believe this is best accomplished through a subscription model. Seeing as the products within CPQ have already been set up to generate assets based on the perpetual based selling model, Company A has found themselves at a crossroad. Because of prior agreements, Company A must continue to sell licenses perpetually to existing customers, but for any new business- would like the option to sell on a subscription basis.
- Does Company A proliferate their product catalog so each product has 2 sku’s - one representing the perpetual sales model and one representing the subscription sales model? Is this scalable?
Because of system limitations, only Salesforce Administrators have the ability to dynamically change the nature of the product while quoting.
- Does Company A give their sales reps admin level access?
NeuraFlash, a leader in Salesforce Innovation, offers a third, and best, option. One that avoids unnecessary proliferation of the product catalog, avoids giving Sales Reps too much access, allows for both selling strategies to be utilized, and offers scalability as Company A transitions their selling models.
Without introducing custom code, we are able to provide Company A with a seamless user experience while quoting without sacrificing the integrity of the system. If your company is considering a pricing strategy shift to take advantage of a subscription-based revenue model, but isn’t quite sure how to bring the idea to fruition - let’s chat!
NeuraFlash is a leading AI and Consulting/ ISV Partner of Salesforce and AWS. Their mission is to help businesses reimagine how they deliver personalized service and sales experiences that scale, empower teams, and uncover revenue. Working across industries, NeuraFlash enables intelligent business automation that drives real-time ROI.