What does 'real-time pricing' mean in the context of CPQ?

In the context of CPQ (Configure, Price, Quote), 'real-time pricing' refers to the instantaneous calculation of prices that takes into account the most current pricing rules and customer data. This means that as a salesperson configures a product or service, the system automatically updates the price based on the latest inputs, including customizable options, discounts, and specific customer agreements or conditions. This immediacy allows companies to provide accurate and competitive quotes quickly, enhancing the sales process efficiency and ensuring that pricing is aligned with the current market conditions and organizational policies.

Real-time pricing is crucial for improving customer interactions, as it reduces the time taken for transactions and minimizes any discrepancies that might arise from outdated pricing information. This dynamic pricing capability empowers sales teams to respond promptly to customer inquiries and negotiate effectively, based on the most relevant financial data available at that moment.