5 Top CPQ Tools for Businesses: A Complete Guide

November 7, 2025

6 min read

Ever spent hours building a quote only to realize you missed a discount, added the wrong configuration, or used an outdated price? You’re not alone.

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Quick Read

Summary generated by AI, reviewed for accuracy.

CPQ tools help businesses quickly generate accurate quotes, streamline pricing, and automate approvals, making the sales process faster and error-free.

Many businesses lose deals not because their product isn’t good, but because their pricing and quoting process is slow, inconsistent, or confusing.

That’s where CPQ tools come in. These tools help sales teams create accurate quotes, configure products correctly, and speed up the deal process.

Whether you sell and manage SaaS subscriptions, equipment, or enterprise services, a good CPQ tool can save time and boost revenue. In this guide, we’ll explore what CPQ tools are, how they work, why they’re essential for modern businesses, and the best options available today.

What Is a CPQ Tool?

A CPQ tool assists companies by automating the quote and proposal creation to the customers. It directs the sales teams on product configuration, pricing and discounting guidelines to ensure they always sell the correct product at the correct price.

It allows sales reps to
Create products or services based on the customer requirements.
Price right according to rules, discounts or bundles.
Create business quotes or proposals in a few minutes.

Reps can also use the tool to create correct quotes in real-time instead of using spreadsheets or waiting until the manual approvals are received, which saves time and enhances customer satisfaction.

How Do CPQ Tools Work?

A CPQ tool is providing a single system that connects all the major components of your sales process, configuration, pricing, and quote creation. The following are the steps involved in the process.

Step 1: Configuration

The rep chooses the products or services that are suitable to the customer. The CPQ tool helps them with intelligent, rule-driven choices to prevent invalid or inappropriate choices.

Step 2: Pricing

It automatically uses appropriate discounts, margins or volume-based prices as per the company policies to ensure that there is consistency in all the quotes.

Step 3: Quotation

Once configuration and pricing are done the tool will create an attractive and branded quote or proposal that can be sent to a customer. It assists in the efficient quote management and ensuring a uniform appearance and feel of all sales documents.

Step 4: Approval Process

Quotes can be reviewed, amended and approved online by managers, and this means that no deal can take the wrong pricing and approval route. This not only accelerates the deal cycles, but it also introduces transparency and control to the overall sales process.

Step 5: Integration

The data contained in both quotes is linked to the internal systems such as invoicing, accounting, or reporting software. This is a systematic process that enables teams to provide accurate, professional quotes with rapidity without using manual coordination and/or disjointed data.

Why Are CPQ Tools Important for Modern Businesses?

The contemporary sales cycles are quick and complicated. Customers require fast answers and individual offers. A CPQ tool is used to achieve these expectations and enhance internal efficiency. Here’s why it’s important.

1. Speed

Timing is all that matters in a competitive market either you get a deal, or you lose it. Quotes, which previously took hours to complete are now able to be done in minutes with a best CPQ software.

The system manages the product configurations, prices and approvals automatically and enables the sales reps to concentrate on relationship building.

This velocity not only speeds up the deal cycles but also makes your business react at a faster pace towards customer inquiries, keeping the prospects interested and enhancing the conversion rates.

2. Accuracy

Incorrect pricing will destroy trust and reduce profit margins. A CPQ tool removes that risk by running pre-defined pricing logic, discount models and margin controls on each quote.

Every proposal created is in accordance with the rules of the company, and this will preserve a certain price and no superfluous discounts.

This precision can assist your team to safeguard money as well as provide the customer with confidence that he or she is getting the finest offer available.

3. Transparency

When all people are working with various spreadsheets or pricing lists, it is not hard to find inconsistencies. CPQ tools will provide one source of truth concerning all pricing and product-related information.

The information can be accessed by sales, finance, and management teams in real time and enhances communication and coordination.

Such transparency creates internal alignment, allows one to track the progress of deals more clearly, and helps in predicting revenue with precision.

4. Scalability

When your business is growing, managing different product lines or geographical areas or customers may become complex.

CPQ system is scalable and handles large product catalogues, region-specific pricing and multi-currency invoicing without additional work.

It does not matter whether you are selling within the local area or internationally, it ensures that your prices remain the same and effective. This scalability allows you to scale easily without having to add to the administrative burden of your sales team.

5. Customer Experience

The modern customer is fast, precise and business-like. A CPQ tool will enable your team to provide precisely that.

Having personalized and attractive quotes delivered in minutes, the customers have a less painful and more confident purchasing experience.

It saves time on waiting, fosters trust and makes your business unique due to its responsiveness. The result? Greater customer relations and increased repeat business possibilities.

ROI on Implementing a CPQ Tool

CPQ tool is not just a technology upgrade but an investment that has a direct effect on the revenue, efficiency, and customer satisfaction. Here is how it benefits.

1. Faster Quote Turnaround

Sales teams are known to take hours to prepare their quotes, make amendments and wait to get approvals.

The repetitive nature of these tasks is automated through a CPQ tool, saving hours in the creation of quotes down to a few minutes.

This pace enables the reps to make more leads, serve customers quicker and make deals earlier all of which leads to increased revenue per salesperson.

2. Increased Quote Accuracy

The pricing mistakes may result in revenue loss or dissatisfied clients.

In a system with rule-based pricing, limits on discounts, product logic embedded in the system, all quotes generated in a CPQ tool are correct and in accordance with company policy.

This precision saves the unnecessary expenses and secures the profitability and maintains the customer confidence.

Recommended Read: Best Quotation Management Software

3. Better Win Rates

Fast and correct quotes enhance the purchasing process. Customers will favour your business compared to others when they get professional offers as soon as possible.

There is an average 10-20 percent improvement in the rate of deal conversion due to higher response time and standardized pricing among many companies that embrace CPQ tools.

4. Maximized Sales Productivity

A CPQ tool relieves sales teams of administrative tasks by automating configuration, pricing and approvals.

Instead of spreadsheets or manual processes, the team can concentrate on strategic selling, upselling, and relationship-building activities.

This increase in productivity translates to increase in sales production without adding to the number of staff.

5. Reduced Revenue Leakage

Manual quoting is prone to under pricing, lost discounts or even slow renewal of the policy all of which result in revenue leakage.

A CPQ tool ensures that pricing regulations are met, deals with renewals, and automatically tracks the terms of the contract, which assists businesses to get their revenue that would have otherwise fallen through the cracks.

It can be integrated with CRM and billing systems, which form a connected sales workflow which directly leads to revenue growth.

5 Top CPQ Tools for Pricing and Quotation

Below is a list of some of the best CPQ tools that help businesses manage complex pricing and quoting workflows.

Product	Integrations
Revenue 365	SharePoint, MS Teams, Outlook, Power BI and Power Automate
Dealhub.io	Salesforce, Sage Intacct, and Stripe
Conga CPQ	Zendesk, HubSpot and Workday
Cincom CPQ	Oracle ERP and Salesforce
PandaDoc CPQ	Pipedrive, Hubspot and Active Campaign

1. Revenue 365

Revenue 365 is an effective CPQ application that is developed in the Microsoft 365 environment. It is an automation of pricing, role-based access, and flexible tax management platform. Best suited to companies that use Microsoft tools in their CRM, financial and operational operations.

Key Features

Flexible tax management
Automated quote generation
Effective revenue management
Adjustable product and price regulations.
Audit logs
Helps manage custom bundles
Multi-currency invoicing
Role based access
Approval workflow tracking
Custom invoices

Best Known For

For Microsoft users, implementation is simple and fast. The system offers robust data security within the Microsoft 365 environment, and its built-in automation makes the entire quoting process effortless and efficient.

2. DealHub CPQ

DealHub.io is a flexible CPQ platform that aims at boosting revenue. It allows sales reps to build deals, price, and e-mail digital offers without leaving their CRM.

Key Features

Guided selling workflows
Dynamic pricing engine
Real-time collaboration
eSignature support
Subscription management
Revenue intelligence knowledge.
Granting and tracking compliance.

Best Known For

Providing all-in-one revenue operations that are highly CRM compatible.

3. Conga CPQ

Conga CPQ is specialized in the complex enterprise sales with contracts, pricing, and renewals that are interrelated. It provides the teams with a complete command of the whole sales process. Additionally, it ensures seamless integration with CRM systems to enhance sales visibility and accuracy.

Key Features

Proposal generation
Quote collaboration
Price optimization
Rebate management
Price transparency
Approval management
Renewal management
Single billing

Best Known For

Trusted by enterprises for its powerful quote-to-contract automation, enabling teams to move from pricing to signed agreements quickly and with complete accuracy.

4. Cincom CPQ

Cincom CPQ is customized to suit manufacturers and industrial firms that handle configurable products. It simplifies intricate settings and provides real time price updates. Its guided selling feature helps sales teams choose the right configurations and reduce quoting errors.

Key Features

Rule-based options and logic
Real-time cost calculation
Product Configuration
Pricing Management
Quoting Automation
Guided Selling
CRM and ERP Integration
Multi-Channel Selling

Best Known For

Known for simplifying complex product design and configuration processes in manufacturing and design industries, helping teams create accurate quotes for even the most customized builds.

5. PandaDoc CPQ

PandaDoc is a tool that integrates quoting and document automation. It assists teams in developing proposals, contracts, and quotes whose prices and eSignatures are real-time. It accelerates approval cycles through automated workflows and built-in collaboration tools.

Key Features

Drag and drop proposal builder.
Product list and price tables.
E-signature integration
Payment collection options
Workflow approval
Analytics on quote views
Mobile-friendly interface

Best Known For

Document-first model, which links quoting and contract signing as a single process.

Common Mistakes When Selecting CPQ Tools

The selection of an appropriate CPQ tool might spell out your sales efficiency or failure. Most of the solutions offer improved speed of quoting and accuracy, but not all of them are made that way. Some of the pitfalls to avoid during the choice of CPQ solution are as follows.

1. Thinking All CPQs Are Same

One can think that all CPQ tools have the same functions, which is not the case. Others are able to make simple quoting, whereas others can support complex configurations and integrations. Plot your sales procedure and ensure that the tool fits your own pricing reasoning and authorization paths before making a selection.

2. Skipping Automation

The true advantage of a CPQ lies in its ability to automate repetitive tasks yet many businesses still underutilize it. It offers automated subscription billing, pre-set discounts, tax calculations, and approval triggers. Look for an application that minimizes or eliminates the need for manual input throughout the configuration-to-approval process.

3. Ignoring Scalability

What you quote today may appear quite different one year down the road. Choosing a tool that is incapable of managing expanding product lines, regions and pricing models will make you slow down down the road. Select a CPQ that can grow with your business one that can handle complicated deal structures, more users and advanced configuration as you grow.

4. Choosing Cost Over ROI

An affordable CPQ tool may seem appealing at first, but it’s important to look beyond the initial price. Consider the long-term value it delivers through automation, faster quote generation, and improved accuracy. Investing in a solution that enhances productivity and reduces manual errors will ultimately bring higher returns and sustained growth.

5. Overlooking Security & Compliance

Your CPQ platform manages critical pricing and customer information, so data security must be a top priority. Ensure the tool follows regional tax regulations, data privacy standards, and role-based access controls. A secure, compliant CPQ system protects your business reputation while giving teams and customers confidence in every transaction.

Steps to Implement Revenue 365 in Your Existing Workflow

Revenue 365 is a simple product to get started with when you take the correct steps. It is to eliminate the manual quoting and to introduce an automated, systematic system that will suit the manner in which your business already operates. The following is a basic stepwise method.

1. Set Up Access

The first step is to make user accounts of your team and grant role-based access levels. This assists in regulating the ability to generate quotes, control prices or accept transactions, making your information safe and organized.

2. Import Data

Integrate your current product catalog and price sheets and customer data into Revenue 365. The possibility to have all the data in a single place facilitates the creation of quotes and limits the chances of mistakes.

3. Define Pricing Rules

configure your pricing logic, taxes, discount and region-based pricing rules. This assures that all the quotes obtained are company policies and comply with the local taxation.

4. Customize Templates

develop branded templates of your quotations, proposals and custom invoices. Users are able to incorporate your logo, company colours and layout of choice to ensure that all documents appear professional and uniform. This not only enhances your brand image but also assists in ensuring that all customer facing materials have the same look.

5. Test the System

Test a couple of quotes in the trial environment before implementing it on a large scale. It will assist you in identifying and correcting any minor problems before your staff begins to deal with it in real transactions.

6. Train Teams

Ask your sales and finance teams to explore the comprehensive capabilities and knowledge base offered by Revenue 365.It also has step by step instructions and best practices to enable users to learn at their pace. This simplifies the process of teaching teams features and writing quotes.

7. Go Live

After all the arrangements are made, begin to use Revenue 365 in real transactions. Monitor performance reports and user feedback to determine areas that the process can be refined further.

These measures allow a smooth transition between a manual quoting system and an automated one that is compatible with your current tools.

Conclusion

The quoting process doesn’t have to be complicated. With the right CPQ tool, your sales team can configure products, set accurate prices, and deliver professional quotes quickly.

If your business runs on Microsoft 365 and you’re looking for a reliable, easy-to-use CPQ solution, Revenue 365 is the perfect fit.

Get a 14-day free trial and see how easily you can create accurate quotes, manage pricing, and close deals faster all within your Microsoft environment.