If you’ve worked in sales, you’re probably familiar with CRM (Customer Relationship Management) software. It helps teams track leads, manage customer interactions, and keep everything organized.
But when it comes to actually closing deals — especially for complex products or services — CRM alone isn’t enough.
That’s where CPQ (Configure, Price, Quote) software comes in. While CRM manages and centralizes customer data, CPQ software helps teams configure products, apply pricing rules, and generate accurate proposals.
CRM and CPQ are powerful tools on their own, but together, they create a more efficient sales process.
In this guide, we’ll break down their key differences and explore how integrating them can help you optimize business processes and close more deals.
The difference between CRM and CPQ
CPQ and CRM are both powerful tools for sales and RevOps teams.
To understand how the two work together and how they differ, let’s define what each one does and is and look at the similarities and differences between the two.
What is a CRM?
A customer relationship management (CRM) is software that helps organizations centralize customer data in a single location.
This can include:
- Customer contact data
- Customer profiles
- Interaction history and notes
- Transaction information
- Task, notes, and reminders
A CRM system is a single source of truth where all team members and teams can access customer information.
What is CPQ software?
Configure Price Quote (CPQ) software is a platform that helps teams determine accurate pricing and create quotes for complex products or services.
CPQ solutions enable teams to:
- Configure complex products or services based on customer’s unique needs
- Price these products or services with customizations and add-ons
- Quote the final price with speed and accuracy
In short, CPQ software makes the sales process easier. Teams can ditch spreadsheets and other manual quote-generation processes. This means sales reps can deliver fast, accurate quotes for complex products or services.
What’s the difference between CRM and CPQ?
A CRM solution helps teams manage customer data and interactions to aid in the sales cycle, while CPQ software helps teams generate customer quotes.
Although the tools have separate functions, the end goal is the same: address customer needs and increase sales.
Why to integrate CPQ and CRM
The real magic happens when you combine the power of a CPQ software and CRM system.
After all, it’s much easier to create an accurate quote when your customer data is readily available.
A robust CPQ solution will integrate with your CRM system, allowing you to automate and sync data between the two.
This reduces manual data entry errors and allows salespeople to generate quotes directly within their CRM — eliminating the need to toggle between systems.
PandaDoc integrates with leading CRM systems, including Salesforce, HubSpot, and Pipedrive.
It’s the only natively embedded CPQ solution for HubSpot and offers 2-way data sync to keep information consistent across platforms.
Benefits of CPQ and CRM integration
Data accuracy
Manually transferring data between systems isn’t just time-consuming — it increases the risk of human error.
Entering incorrect customer details, pricing, or product configurations can lead to costly mistakes, jeopardizing sales and eroding customer experience.
A CPQ-CRM integration ensures your data stays accurate, up-to-date, and centralized.
Speed up the sales process
When reps can spend less time on manual tasks, they can spend more time selling.
Sales reps can focus on building relationships and closing deals rather than worrying about data entry or calculating complex quotes using spreadsheets or other tools.
Faster quotes
With a single source of truth for customer and product data, sales teams can quickly generate quotes tailored to each prospect’s specific needs.
The result? More responsive sales interactions, fewer delays, and a higher likelihood of winning the deal.
By integrating CPQ with your CRM, you create a smarter, more efficient sales process that reduces friction, enhances accuracy, and ultimately leads to faster deal closures and higher win rates.
Choosing the right CPQ software to work with your CRM
Not all CPQ software are created equal.
We’ve explored why CRM and CPQ integration is essential, but understanding the must-have CPQ features can help you find the best solution for your needs.
CPQ systems like PandaDoc offer various features to streamline the quoting process.
Dynamic pricing models and rules engines
Create playbooks and enforce pricing rules to take the guesswork out of calculating prices. This is especially helpful when adding in discounts, bundles, and other product or service customizations.
Guided selling
Walk reps through the quoting process to speed up the process and reduce errors.
Reporting and analytics
Track performance and buyer behavior and report on results to take a data-driven approach to sales.
Platform integrations
Beyond CRM systems, CPQ software that integrates with other tools in your tech stack can make your life easier and reduce switching between multiple tools and platforms.
Payment processing
Some CPQ software enables you to collect payments directly from your proposals. PandaDoc integrates with payment tools like PayPal and Stripe.
Document creation and management
Some CPQ software, like PandaDoc, offer helpful document generation tools and pre-made templates to help you quickly create professional sales proposals.
eSignature
CPQ tools with electronic signature functionality let you collect secure digital signatures from anywhere, helping to speed up the sales process.
Get more out of your CRM with CPQ software
CRM and CPQ are powerful on their own, but when integrated, they create a seamless sales process that improves efficiency, accuracy, and customer satisfaction.
A CRM helps organizations understand customer behavior, manage relationships, and track deals. On the other hand, a CPQ tool helps teams generate fast, accurate quotes, which can help to improve sales efficiency.
PandaDoc integrates with leading CRMs like HubSpot, Salesforce, and Pipedrive.
If you’re looking to optimize your sales workflow, improve quote accuracy, and close deals faster, contact our team to see PandaDoc CPQ in action.
Disclaimer
PandaDoc is not a law firm, or a substitute for an attorney or law firm. This page is not intended to and does not provide legal advice. Should you have legal questions on the validity of e-signatures or digital signatures and the enforceability thereof, please consult with an attorney or law firm. Use of PandaDoc services are governed by our Terms of Use and Privacy Policy.
