While we have, in the past, said what CPQ means “in plain English” and what it may mean during a given calendar year, we’ve never really dug into the differences between what CPQ means, and how differently it’s used, in a B2C environment compared to a B2B one.
We’ll be frank: up until a few years ago, we did not have many B2C companies knocking at our door.
But that changed in a major way in 2020 when — likely due to Covid and retailers needing new ways to create killer customer experiences — B2C companies started coming to us to start using CPQ features.
And it’s a pretty cool development. What started as “business tech” has become consumer tech — rather, consumer empowerment tech, as you’ll see below, as consumers aren’t typically aware they’re using a CPQ solution: they simply enjoy the benefits.
It introduces a new concept, too. Most enterprise-level companies are witnessing the consumerization of their customers, as said customers become both more autonomous and more empowered at almost every level of a business relationship. E.g., they create and manage their own accounts, choose service levels, etc.
With B2C companies using our software, we’re seeing the “businessization” of consumers in a way, as they experience (and essentially) manage the product configuration and sales closing process through new and improved eCommerce tools fueled by CPQ.
Now: let’s talk benefits!
How B2C companies use CPQ software
In most cases, our B2C customers are eCommerce companies looking to kill two birds with one stone — 1) drive more revenue, and 2) improve the customer experience (which tends to drive more revenue, creating an endless cycle of wins).
There’s a third benefit they may not expect at the outset, but which is invaluable: more data collected during the purchasing process.
Here are some of the ways they’re using CPQ to realize these benefits and more:
Customers do the configuring: using CPQ’s pricing and configuration engine, customers can explore product and pricing options on their own, and even “create” products and/or bundles that best address their needs.
Improved integration with people and platforms: when a B2C company is using a CRM system (such as Zoho or HubSpot), a customer’s information can be immediately fed into that system, and the customer themselves can kick off the sales process (should a rep be needed).
Optimized selling and buying: no matter how complex a product you’re selling might be (e.g., a 3rd party app that requires custom configuration prior to purchase), your customers will be able to both build and buy it through a familiar interface. Easier for them; automatic for you.
Account management and tracking: CPQ also empowers B2C companies with post-sale functionalities, such as enabling the tracking of an order’s status and retrieval of paid invoices.
What started as a B2B tool has moved into B2C, and the results — more revenue, improved customer experience, and more business data — are starting to speak for themselves.
