Discover how IT resellers can drive recurring revenue with renewal management software. Compound hardware, software,
and maintenance renewals to transform your business.
The Hidden Problem with Renewal Management Software: A Disconnect in the Workflow
For IT resellers such as VARs and MSPs, managing renewals effectively is vital for sustained growth and capturing revenue opportunities. Yet, one critical issue often undermines success: the disconnect between CPQ software (Configure, Price, Quote) tools and renewal management software. This gap disrupts workflows, drains resources, and leaves revenue potential untapped. Here’s a breakdown of the problem and how an integrated approach can revolutionize both hardware and software renewal management.
The Current State: A Fragmented Workflow
Today’s renewals processes often expose inefficiencies, particularly in these areas:
1. Manual Data Transfers
CPQ tools generate quotes, but data frequently requires manual entry into systems like NetSuite. One reason is that POs to distribution need to be broken up by ship to location, which can be a very manual process – and tools like Netsuite, just aren’t designed to deal with.
2. Data Silos
Information stored in order entry systems remains inaccessible to renewals teams, hindering their ability to manage expiring contracts or prepare renewal quotes efficiently. This lack of visibility limits proactive management of upsell or cross-sell opportunities.
3. Customer-Provided Install Base Data
Renewals teams often rely on customer-provided install base data, which may not match internal records. Reconciling these discrepancies manually takes time and introduces errors that impact customer satisfaction. ERP and CPQ tools aren’t designed to solve this problem.
Why It Matters: Missed Opportunities and Wasted Resources
These inefficiencies come at a high cost:
Missed Renewal Opportunities:
Without clear visibility into contracts and associated assets, your team risks missing upsell and cross-sell chances or failing to refresh customer technology.
Time-Consuming Processes:
Manual tasks detract from strategic initiatives like pricing optimization and customer engagement. It can take days or even months to clean up an account because the data is literally all over the place.
Poor Customer Experience:
Frustrated by delays and errors, customers are more likely to churn, or just miss out on an upgrade or refresh, affecting both long-term and short revenue.
You Don’t Get Your Money:
When data is bad, your accounts receivable suffers. Customers want invoices by serial, location and class of asset and if you can’t show them what’s been added or removed and break it down – they won’t pay quickly.
The Solution: Integrated Renewal Management Software
To bridge these gaps, businesses need an integrated solution that connects CPQ, order entry, and renewals systems. Here’s how it works:
1. Centralized Data Access
A single system consolidates renewal quotes, contracts, and install base details. This eliminates silos, ensuring accuracy and accessibility across teams.
2. Automated Workflows
Automation minimizes manual tasks, speeds up processes, and reduces errors by connecting CPQ tools with CRM and renewal systems. For example, automated flagging of expiring contracts ensures proactive engagement with customers.
3. Proactive Insights
Integrated platforms offer insights into upsell and cross-sell opportunities and predict churn risks. These tools empower sales teams to make data-driven decisions, improving customer retention and boosting revenue.
4. Enhanced Customer Experience
With accurate, timely renewal quotes and a streamlined process, customers enjoy seamless interactions, increasing their trust and satisfaction.
A major research firm: Forrester weighs in…
According to Forrester, getting more out of existing customers (Customer Led Growth) is a huge source of revenue.
“It’s more profitable to sell to an existing customer”. Fred Reichheld demonstrated 20 years ago that selling to existing customers is more profitable and less costly — that a 5% increase in retention rates can increase profitability by 25%. Unfortunately, few software/tech companies learned this lesson back when Fred was teaching it, since the majority of marketing budgets and effort still go toward net-new acquisition.
One key to this growth is “CLG requires technology that enables successful business strategy.” – and this strategy requires that “CLG is a team sport. “
Translation: If your customer data is not accessible to your entire team: sales, sales operations, engineers and inside sales – your team is flying blind and missing out on the growth and revenue that’s possible
Unlock the Potential of Connected Renewal Management
The disconnect between configure price quote tools and renewal management software doesn’t have to hinder your growth. An integrated approach empowers teams to maximize efficiency, capture missed opportunities, and enhance the customer experience.
At Owlytica, we specialize in bridging these gaps with solutions designed to simplify renewal management and amplify your revenue growth.
Ready to unlock the full potential of your renewals? Schedule a call today and discover how seamless integration can drive efficiency, growth, and customer satisfaction!
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