Maximizing Revenue Cloud for VARs: Bridging the Gaps of Salesforce CPQ Solution for ICT Resellers

When we speak with Value-Added Resellers (VARs) in the ICT industry, one thing is clear: managing the quote-to-cash process is a perpetual challenge. Salesforce’s Revenue Cloud has been a major innovation in this space. It's mainly due to the recent updates that have replaced the old Salesforce CPQ. From our experience, VARs need CPQ tools that make their work easier and fit well with how their business operates.

The New and Improved Salesforce Revenue Cloud and Its Benefits for IT Resellers

Salesforce has released major updates to Revenue Cloud, powered by the Einstein 1 Platform. It brings AI into the quote-to-cash process. IT resellers can benefit from Salesforce CPQ features for middle-office functions like quoting, order management, and billing. Plus, they can also use features such as revenue recognition.

In StrataVAR’s work with VARs, we've seen this make a real difference for businesses with complex monetization strategies. Some key features of Revenue Cloud for VARs include a unified product catalog. This simplifies product management by bringing all products into one place. The advanced pricing engine can easily handle complex sales scenarios.

Dynamic revenue orchestration automates revenue processes to increase efficiency and reduce errors. With enhanced omnichannel capabilities, customers get a consistent experience across all channels. However, from our conversations with VARs, it’s clear that Salesforce Revenue Cloud still lacks certain essential capabilities. These capabilities are crucial for fully meeting the needs of VARs.

Many ICT VARs require multi-currency CPQ software (Configure, Price, Quote software), tools for managing large quotes, and simplified catalog updates to maximize the benefits of the platform. Closing these gaps enables VARs to work more efficiently and achieve seamless, end-to-end quote-to-cash processes.

Ten Key Areas Where VARs Need More from Revenue Cloud

Salesforce CPQ includes many favorable features for hardware resellers. For instance, CPQ reduces manual order entry for them. However, the following outlines the areas in which Salesforce Revenue Cloud services may not be sufficient for tech resellers.

1. Off-the-Shelf API Integrations with Vendors and Distributors

We often hear that smooth integration with vendors and distributors is essential for an advanced quote-to-cash solution. Off-the-shelf API integrations provide real-time access to the latest product and services data. This data includes insights into pricing and availability from multiple suppliers. Eventually, this eliminates the need for VARs to manually retrieve information from multiple sources.

Salesforce Revenue Cloud for ICT VARs provides a foundation for this. However, by adding distributor CPQ capabilities, we’ve seen that adding API integrations can amplify that efficiency. By incorporating these integrations into Revenue Cloud, VARs can reduce manual data entry and streamline their sales cycles. Plus, they can optimize the platform’s capabilities for their business.

2. Intelligent Parsing of Supplier Quotes (BoM Files)

When APIs aren't available, VARs rely on intelligent parsing of Bill of Materials (BoM) files from suppliers. It requires an easy import from formats such as Excel, PDF, and XML. Based on our experience, VARs require a solution that can quickly and accurately extract relevant information from these files. Thereby, it reduces manual data entry, minimizes errors, and enhances overall efficiency.

Using a Salesforce CPQ solution for Cisco Value-Added Resellers or IT VARs enables automated BoM parsing in Revenue Cloud. Additionally, this helps resellers' quotes become faster, more accurate, and easier to manage.

While there are many Salesforce Revenue Cloud advantages for ICT resellers, a common request is for enhanced features to intelligently parse and extract data from large, complex BoM files. Using intelligent BoM parsing for various file types in Salesforce CPQ, VARs can avoid delays and errors. This leads to better workflows and happier customers.

3. Handling High-Volume Quotes with Up to 50K Line Items

VARs often report that one of their biggest challenges is managing quotes with 50,000+ line items. This especially occurs in the ICT industry, where hardware and software configurations are complex. This challenge intensifies in maintenance contracts, where each instance, such as 1,000 modems, may require a separate quote line.

As a result, even a single product type can significantly increase the quote length, adding complexity. Moreover, it adds a delay in the process. Based on our experience, ICT VARs are seeking Salesforce Revenue Cloud solutions for VARs.

These solutions efficiently manage these high volumes and complexities. Supporting large quotes is essential for scalability. Eventually, it allows Revenue Cloud to better serve CPQ distributors who manage bulk configurations and renewals. Although Salesforce Revenue Cloud manages quotes effectively, VARs often report that Salesforce CPQ struggles with quotes that include over a few thousand line items.

These problems are particularly relevant for large maintenance contracts. By supporting up to 50K line items in Revenue Cloud, we provide VARs with the scalability. This can simplify their quoting and sales processes, even for the most complex transactions.

4. Dynamic Multi-Dimensional Calculations for Revenue Cloud Enhancements

Dynamic, multi-dimensional calculations are essential for tailoring pricing to the unique needs of VARs. These calculations enable VARs to adjust each pricing parameter, including cost (for VAR), Price (for end-customer), discount, markup, margin, and more, as either a percentage or a specific value. Each adjustment automatically updates the other corresponding values in real-time, enabling VARs to generate accurate and competitive quotes without manual recalculations.

ISV solution enhances Salesforce Revenue Cloud by providing full control over the calculations. VARs can select which parameter to adjust within the equation. And they can define which corresponding values should update based on that change. This flexibility supports a dynamic, easy-to-understand approach.

As a result, it is straightforward to implement and adjust quotes according to diverse pricing requests. This capability is especially valuable during the quoting process. It enables VARs to efficiently respond to various pricing demands and streamline the sales process.

Salesforce Revenue Cloud for VARs indeed offers robust quote management. However, it currently lacks multi-dimensional pricing as a standard feature. Adding CPQ block pricing or block pricing CPQ functionality within Salesforce enhances control over pricing and margins. This flexibility helps value-added resellers’ margins remain competitive while maintaining profitability and customer satisfaction.

5. Real-Time Vendor Rebates Support (e.g., Cisco VIP)

In today’s fast-paced ICT landscape, being competitive means taking every cost-saving opportunity. Vendor rebate programs like Cisco’s VIP program offer VARs a way to increase profitability. However, many VARs struggle to fully utilize these programs due to the manual nature of tracking and applying rebates. This often results in missed rebates or delays that impact their bottom line.

To maximize these opportunities, VARs require a more strategic approach. A strategic approach should integrate rebate management into their daily operations in real-time. With up-to-date rebate information automatically reflected in the quoting process, VARs can ensure they're offering the best price to their clients and optimizing their own margins.

This proactive rebate management turns vendor incentives into a real-time advantage rather than a back-end reconciliation task. Embedding real-time rebate functionality directly into CPQ vendor workflows turns rebate management CPQ into a strategic advantage.

6. Support for Dated Multi-Currency Inputs/Outputs at the Quote Line Level

As ICT VARs expand globally, managing multi-currency transactions within a single quote grows increasingly complex. For international clients, the ability to support dated multi-currency inputs and outputs in a single document is essential for delivering timely and accurate quotes that reflect real-time market conditions.

Salesforce Revenue Cloud currently supports multi-currency quotes with fixed, date-bound exchange rates. However, any changes to the currency table apply uniformly, without the flexibility to adjust rates dynamically for separate transactions within the same quote.

Salesforce CPQ solutions for hardware resellers offer an external, more advanced multi-currency (AMC) functionality. This solution extends Salesforce’s capabilities by enabling dated, transaction-specific currency inputs and outputs. This added flexibility helps VARs accommodate real-time exchange rate shifts, enhancing pricing accuracy and client satisfaction in international transactions.

7. Exporting Quotes to Excel and Custom Formats

Many VARs need to export quotes into custom formats or Excel for internal reporting or to meet client requirements. This flexibility enables them to adapt to various customer needs and internal processes. Hence, it enhances the functionality of Revenue Cloud for VARs.

By having exports in multiple formats, VARs can eliminate manual data manipulation for quoting and streamline workflows. Plus, VARs can ensure consistency in quote presentation. Revenue Cloud for VARs includes basic quote exports but lacks support for Excel or custom formats. With customizable exports, the cloud for ICT resellers becomes more adaptable, reducing manual effort while ensuring client-ready documentation faster.

8. Vendor-Specific Catalog Synchronization

VARs can operate under direct agreements with vendors or distributors like Cisco, Juniper, or TD-Synnex. This enables them to sell directly from their catalogs without needing to request quotes. This streamlined access to up-to-date product info and pricing ensures the sales process remains efficient and accurate.

Having vendor-specific catalogs embedded within the platform simplifies the quoting process by eliminating manual data updates or cross-referencing. Your work as a VAR becomes much easier and more effective. It's because you can focus on delivering tailored solutions to your customers without administrative delays.

9. Enhanced Data Consistency through Downstream Integration (e.g., ERP)

A holistic quoting process relies on accurate, real-time data flows throughout the business process. By integrating with an ERP system, VARs can enrich their quoting process with critical data, such as tax rates (upstream). This seamlessly pushes sales orders (SO) and purchase orders (PO) to the ERP system (downstream).

This integration supports efficient data consistency across the sales cycle, reducing errors and enhancing overall operational efficiency. Unlike Revenue Cloud's standard capabilities, this off-the-shelf capability ensures seamless coordination between quoting and core business processes, strengthening the entire sales operation.

10. Full Renewal Management with End-of-Life (EoX) Notifications

Managing renewals in the ICT space can be complex, especially when it involves End-of-Life (EoX) notifications. VARs require comprehensive renewal management capabilities, including EoX notifications, to effectively track upcoming renewals. Additionally, they need to ensure expiring products are replaced or upgraded as needed. This functionality enables VARs to offer a higher level of service to their clients.

It also reduces the risk of disruptions caused by outdated products. While Revenue Cloud for VARs provides strong renewal management tools, it lacks comprehensive renewal management and EoX notifications. Enhancing the platform with timely renewal management helps VARs stay ahead of their clients’ needs. Plus, they can minimize the risk of missing key renewal dates and opportunities.

StrataVAR Recognizes the Need for Tailored Salesforce CPQ Solutions for ICT Resellers

Salesforce Revenue Cloud for ICT resellers is a robust platform that serves as the foundation for an efficient quote-to-cash process. Features such as API integrations, large-scale quote support, advanced multi-currency capabilities, and real-time vendor rebates allow VARs to further optimize their workflows. Eventually, they can better meet the specific needs of the ICT industry.

These enhancements don’t replace Salesforce Revenue Cloud. Instead, they build on its existing strengths to create a more tailored and powerful solution for ICT VARs. For more information on how Salesforce CPQ solutions can help your IT reseller business, contact StrataVAR.