Startups rely on countless software to manage their business.
Whether it’s a CSM, CRM, or CPQ software, there’s no shortage of abbreviation-named tools that can help make running a software business a little less complicated.
Now, just because software is valuable for a lot of businesses, it doesn’t necessarily mean your business needs it too. So how do you know if your startup actually needs more software?
So, while we can’t vouch for all software, we can share with you the main benefits startups can gain from investing in a CPQ solution.
Here are some of the overall benefits of CPQ software when it comes to SaaS startups:
Never forget to bill or collect payments again.
Automating billing takes a huge load off your shoulders by handling invoicing, payment processing, and keeping financial records in order, each of which can quickly eat up hours of your day and cause you to pull your hair out. By using automation, you can free up time for your team to focus on what really matters—growing your business.
When you’re running a startup, errors can be extremely costly. Whether it’s making a mistake on an invoice, forgetting to charge a customer, or inputting the wrong data into your financial records, any mistake can lead to lost money, lack of trust by customers, and more.
For a startup looking to move fast and scale, these errors can be significant.
By using CPQ software, you can eliminate the manual labor and rely on technology to do the heavy lifting. This way, you can rest assured that you’ll be making far fewer mistakes.
Sure, as it is now, you may be able to keep track of your pricing and packaging with the help of some docs and spreadsheets. But as your company grows, your pricing will get more complicated and mistakes will happen. And once they happen, they can be far more costly than had you invested early in CPQ software.
That’s because CPQ software ensures consistency in pricing across all sales channels, minimizing discrepancies and boosting your customer trust. It also reduces the likelihood of pricing errors and supports scalable growth by providing a clear and reliable pricing framework that customers can understand and rely on.
So while it may not seem like it matters now, standardizing your pricing now will be really important as you scale your business.
Anyone working in sales knows that time is of the essence. That’s why anything that can help make the process faster is extremely valuable.
By using CPQ software, the process of providing proposals and quotes can be cut down significantly, which will in turn significantly speed up your sales process. This is crucial for SaaS startups looking to sell more even faster.
Spending less time closing deals means you could also spend more time finding new customers, building stronger GTM campaigns, or attending networking events.
One of the hardest parts of building a SaaS startup is determining your pricing. That’s because there are countless theories on the ideal way to price or package your software and it’s hard to know which one will work best for your customers.
This leads to many young businesses changing up their pricing strategies from time to time. Except that without CPQ software, this becomes a significantly complex ordeal. It requires keeping track of each customer that signed a deal with each of your pricing and packaging so you don’t bill them incorrectly as you grow.
But if you do use CPq software, you no longer need to keep track of all that. All you do is change your pricing and let the software do the rest.
Any successful business requires a steady flow of money. But chasing customers to pay you can be exhausting, uncomfortable, stressful, and annoying.
CPQ software simplifies this problem by automating all your invoicing, billing, and payment requests so you can make sure you get the money you deserve when you need it. Solutions like Salesbricks, which are more ideal for startups, even include the payment process as part of the checkout flow. This way, customers can input a credit card immediately upon closing the deal.
The result is more money in your bank account with less work.
For young software startups, moving fast and gaining a lead over your competitors is very important. It can spell the difference between becoming the most recognizable brand on the scene or “that other one”.
While ultimately your sales pitch or product offering may be the deciding factor, often customers will lean into the solution that is the simplest to buy.
This is especially true when it comes to B2B. Buying processes are so complicated and long that buyers seek out easy-to-buy software.
That’s why the right CPQ software can help put you ahead of the competition. Solutions like Salesbricks, for example, provide checkout flows that make it extremely quick, easy, and fun to close deals. It gives buyers a simple B2C-like checkout process that is completed in a matter of minutes.
For buyers who have no patience for complicated and frustrating buying experiences, CPQ software can be the main deciding factor.
Founders of early-stage SaaS startups have to wear a lot of hats. They often manage their employees, take sales calls, track the progress of their product, and do about 350 million other things too.
With all that’s on their plate, removing time-consuming tasks can be hugely significant. CPQ software reduces the need for manual data entry and calculations, minimizing errors and freeing up valuable time. By efficiently handling product configurations, pricing adjustments, and quote approvals, CPQ software enables founders to focus more on strategic decision-making and customer engagement, ultimately accelerating growth and improving productivity.
Show me a founder who can spend their time wisely, and I’ll see a successful startup primed for growth.
CPQ software speeds things up by automating quote generation, and making sure everything is fast and accurate. This speed and consistency shortens the sales cycle, helping to close deals more quickly and boosting sales volume, which in turn increases your ACV (annual contract value). Plus, with consistent pricing and fewer errors, customers trust you more, making it easier to land those bigger contracts.
It also enhances the overall customer experience. Customers can easily configure products or services to fit their needs, leading to greater satisfaction and a higher willingness to spend more. Transparent pricing builds confidence, encouraging larger and longer-term contracts. On top of that, CPQ software offers tailored recommendations for cross-selling and upselling, so sales teams can suggest additional products or services that go well with the initial purchase, significantly increasing the total contract value and boosting ACV.
Not all new revenue comes from new customers. Build on the customers who already love your product by easily upselling to them and upgrading their subscription models.
But instead of struggling with manual updates, CPQ software lets you adjust pricing, configurations, and terms in real time, ensuring everyone stays on the same page. Plus, it reduces human errors by sticking to standardized pricing rules, so everything stays consistent.
On top of that, CPQ provides great insights and analytics to help you make smarter decisions when tweaking deals. With features like scenario planning, you can play around with different configurations and see their outcomes before settling on the best option. This way, you ensure your restructured deals are profitable and keep your customers happy.
As your business grows, it can be a challenge to keep track of the revenue coming in as well as the customers who haven't paid.
Tracking revenue accurately is crucial for any SaaS startup, and CPQ software makes this task much easier. By automating the sales process from configuration to quote generation, CPQ software ensures every detail is recorded accurately. This automation eliminates manual errors, so every product or service sold is billed correctly and on time.
With all your data in one place, you can monitor and track revenue in real time, making it simpler to make quick financial decisions.
In short, yes. But it depends on the CPQ software you choose.
Onboarding a new CPQ solution gets more complicated as your business grows. So not only will startups enjoy all the benefits we list below, but they’ll also benefit from the amount of time and money they will save, and the frustration they will avoid by starting to use a solution like this early on.
That’s why you should choose one of the top 5 CPQ software for SaaS startups.
The answer to this question depends on the specific CPQ software you are using. But ultimately, CPQ software is usually really easy to get returns on because it ultimately helps you sell more and close bigger deals.
For example, Salesbricks customers have been able to make back their return on investment in less than a week.
If you’re looking to grow your startup fast, you’ll need CPQ software eventually.
CPQ makes the whole sales process smoother and more efficient. It takes the hassle out of creating quotes, so your team can spend less time on paperwork and more time connecting with customers and closing deals. Plus, it handles all those tricky pricing details and discounts, making sure everything is spot-on and profitable.
CPQ software also keeps everything looking polished and consistent, which is super important for building a strong brand. It plays nicely with your CRM and other tools, creating a seamless workflow that supports your growth. For a SaaS startup aiming to scale up, CPQ software is a game-changer. It simplifies your operations, keeps customers happy, and helps drive your revenue through the roof.
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