Configure, price, quote (CPQ)
Reviewed by Dasha ShakovVP Marketing, Proton
Updated
What is configure, price, quote (CPQ)?
Configure, price, quote (CPQ) is software that builds accurate quotes for products with many options, by guiding configuration and applying pricing rules. It also generates the quote document, and distributors use CPQ for configurable products such as pumps, motors, controls or engineered systems, where one wrong option makes the quote invalid.
Configure, price, quote (CPQ) example
When a rep configures a packaged pump system, the CPQ tool offers only motors that match the pump’s horsepower and voltage, prices the package and attaches the drawings to the quote.
Further reading
Related terms
- QuoteA quote is a distributor’s written offer to sell specific items, in specific quantities, at stated prices, with availability, lead time and an expiry date.
- Request for quote (RFQ)A request for quote (RFQ) is a customer’s request for prices and availability on a specific list of items and quantities.
- Price matrixA price matrix is an ERP table that sets prices by pairing customer groups with product groups and giving each pair a rule, such as a discount off list.
