29 Aug The power of configuration in Oracle CPQ
“Have it your way.” That was Burger King’s excellent slogan for over forty years, and it spelled out its commitment to giving the customer what they wanted—no matter what. The original advertising agency came up with the slogan (as well as a terribly catchy jingle) to differentiate Burger King from McDonald’s, which was more inflexible about what could and could not be substituted on its burgers. More choice and flexibility has since won the day, not only in burgers but basically everything.
Consumers and businesses alike have a massive amount of choices available to them when searching for products and services, not only between competitors fighting to earn sales but even within product configurations from individual companies. That can be difficult for both customers and salespeople. We’ll walk through the product configuration process to show that having a powerful product configuration tool, like Oracle CPQ, can truly deliver the flexibility of choice to close deals and make your customers happy.
1. Build product hierarchies: Oracle CPQ makes it simple to define product families and product lines within those product families, all the way down to models within each product line. This structure, shown as simple hierarchies, makes choosing desired products simple, even when your product catalog is huge.
2. Define attributes to configure: For each SKU or product model, you can define each of the variables that go into the details that the customer needs. That gets complex quickly, but the attributes are managed so that you can be confident that each attribute is correct.
3. Choose the guided selling path: For salespeople, guided selling walks them through each of the decisions that go into sales depending on who the customer is and the problem that’s being solved. On the back end, the path is managed through a visual layout editor.
4. Define selling rules: Because your product configuration is complex, Oracle CPQ enables you to manage the rules behind the product configurations, including product eligibility, recommended items, constraints, and much more.
5. Support subscription ordering: More and more products and services are sold via subscription. Adding subscription complexity on top of complex products without Oracle CPQ can quickly become unmanageable. With Oracle CPQ, however, you can easily manage all of the subscription rules and future orders.
6. Choose the look and feel: You can easily choose the way your configuration tool looks through CSS management. Any web developer can make sure that your tool is branded appropriately.
7. Manage pricing: Defining your pricing based on industry or location is extremely important, and it is a common pitfall for salespeople. Oracle CPQ ensures that pricing errors simply don’t occur.
8. Create bills of materials (BOM) and configure systems: Bills of materials are important when you’re dealing with a series of products and sub-products that are related through a single part number. You’ll have configurations that include child or grandchild parts. That’s easily managed through Oracle CPQ. Furthermore, you can define complex system configurations that have different products from the same or different product families. Whatever complexity you’re dealing with, Oracle CPQ can handle it.
It’s likely that your business has configurations that are a little different (and a lot pricier) than “add extra pickles, hold the tomatoes.” But Oracle CPQ can make your complex configuration feel as simple as a fast food order. With the proper configuration in place, it’s more likely that your burger will be messed up than a multi-million dollar parts order.
For more details about product configuration with Oracle CPQ, contact Simplus today.