CRM vs. Quote Management Software

CRM or CPQ: Which One Should You Choose

CRM and CPQ are two acronyms that appear frequently when businesses are searching for ways to improve sales productivity. Although many people think that both serve the same purpose (as some functionalities overlap), they are not the same. As the name suggests, a Customer Relationship Management system is designed to help businesses manage leads and customer relationships.

Quote Management Systems on the other hand are specialized tools to record and manage information such as prices and products and cover everything related to quotes and proposals. Although some of their functionalities overlap and both systems can be connected with each other, their outcomes are not exactly the same.

CRMs and CPQ are not competitors, but two separate instruments for businesses to maximize the desired outcome (such as more profit, more sales, more customers etc.). One covers relationship management while the other triggers its true effectiveness.

What is a CRM?

A CRM is a specialized platform for managing customer relationships (both potential and active) and allows businesses to track and improve the customer experience. A CRM is designed to record (and keep it up-to-date across other systems) customer information, sales opportunities, past interactions and experiences, individual preferences and more.

A database can also record and manage the same information, but it’s scope is very limited. CRMs have a broader scope and allow businesses to deliver customized customer experiences based on their past interactions and individual preferences as well as customized marketing campaigns based on the available data.

In other words, CRMs come into action during the presales and post-sales phases (when acquiring or retaining customers), but not so much when a sale is taking place. A Quote Management System finds its best use at the time of a sale so that’s one major difference between the two.

Some major functionalities of a CRM include:

  • Managing and fostering customer relationships
  • Tracking customer experiences (both online and offline)
  • Recording and processing contact information
  • Managing sales opportunities
  • Structuring customized marketing campaigns (targeted campaigns)
  • Recording customer feedback
  • Customer behavior analysis
  • Sales tracking
  • Document management
  • Making improvements to the bottom line
  • Identifying/categorizing leads
  • Increasing existing customer referrals
  • Providing better customer support
  • Offering better products/services

What is a Quote Management System?

A quote management system or configure price quote software is designed to automate quotations and improve sales efficiency. It helps sales teams effortlessly generate and send quotations, maintain and track shipping information, manage billing, reporting and more. It makes is a lot easier to record and maintain all the information needed for generating quotations and significantly reduces the time it takes to prepare and send a quotation compared to manual methods.

Some major functionalities of a CPQ include:

  • Quote preparation and designing
  • Quote automation
  • Billing management
  • Enhanced reporting
  • Automatic generation of documents
  • Recording of information needed to generate quotes
  • Invoice, customer, receipt, unpaid invoice, customer and unbalanced record reporting
  • Item categorization
  • Easier and faster approvals
  • Provide greater insight into sales performance

But wait, what if you can get a CRM WITH a Quote Management System?

CRMs are expensive and there is no point in spending large sums of money on them if you just need the essentials. OSMOS Cloud is one of the very few options available for businesses that need a quote management system and a simple to use CRM that comes with the essentials. Let’s have a look at what OSMOS Cloud has to offer.

OSMOS Cloud Quote Management System

OSMOS Cloud CPQ allows businesses to send quotes significantly faster compared to using manual methods so they can close more deals in less time. Creating and sending quotes just takes a few clicks and seconds, while self-generated quotes and proposals are created automatically. ‘OmniChannel’ functionality provides the ability to manage quote requests form a variety of channels, including the social media, websites, email and phone.

Follow-ups is an important aspect of any CPQ, making it easier for teams to keep track of quotes and follow up on them on the go. OSMOS CPQ make follow-up easier, allowing teams to stay on top on things even when they are on the go. Integration with Stripe makes sending electronic invoices and accepting credit card payments a breeze while maintaining security and privacy.

Since OSMOS Cloud CPQ is a cloud-based solution, there is no need to install anything, buy expensive hardware or spend money on software maintenance. The pricing model is also pretty straight forward and the solution comes with a ‘working’ free trial that does not require users to provide credit card information. The free version also comes with a CRM, allowing businesses to test-drive the solution before committing to anything.

Key Features

  • Cloud-based, no downloading, installation required, assessable from anywhere
  • Enterprise-grade encryption
  • Available in English, French and Spanish
  • Easy to get started and use
  • No complex contracts, can cancel anytime
  • Customizable quote templates
  • Product/service catalogs
  • Predefined values for future quotes
  • eQuotes (Self-service solution)
  • Multi-channel quote management
  • Single-click invoices
  • Payment tracking
  • E-Signatures
  • Interactive quotes (clients can interact with quotes)
  • Smart notifications
  • Auto availability notification
  • Integration with Stripe
  • In-a-glance client statuses
  • Email integration
  • Over 30 performance reports
  • Business performance and key metrics analysis
  • Simplified commissions

OSMOS Cloud CRM

The CRM is part of OSMOS CPQ subscriptions and can also be purchased separately. The easy-to-use CRM offers practical benefits for SMEs and saves them from having to spend loads of money on features they will never use. The 1-page CRM provides all the important information in a neatly organized manner on a single page, including lead profile data, business potential and past interactions. The hybrid functionality allows users to follow up on quotes and leads separately.

Like the OSMOS CPQ, the CRM is also cloud-based, does not involve any complex, long-term contracts and users can cancel anytime.

Key features

  • Cloud-based, no downloading or installation needed
  • Enterprise-grade encryption
  • Easy to learn and use, 1-page interface
  • Simple follow-ups, clearer pipeline
  • Social media and email integration
  • Prospect management
  • Potential deal identification
  • Relationship cultivation
  • Multi-channel prospect communication
  • Hybrid functionality, separate management of leads and quotes
  • Insights into customer behavior
  • Customizable lead stages
  • Performance analysis and visual reports

The Wrap-up

The main purpose of CRMs is to build relationships, which is not the same as selling. Similarly, CPQ are designed to aid businesses in the quotation process. Things can get confusing when different functionalities start to overlap, but there are clear distinctions between different systems and SMEs have to consider them to get the most out of their IT investment.