The world is improving its ability to reduce the dependency on fossil fuels, and renewable energy is becoming more affordable.
In 2014, America’s Energy Information Administration (EIA) reported the cost of off-shore wind was $200 per MWh, and by 2023, the price dropped to $127.
In 2022, the global capital spending on wind and solar assets for the first time surpassed investment in new and existing oil and gas wells.
Given these dynamics, renewable energy equipment manufacturers are in a prime position.
Using the right configure, price, quote (CPQ) solution, they can quickly set up and refine the quoting process and gear up for the growing demand for customized energy equipment manufacturing focused on the renewables market.
- CPQ software helps renewable energy equipment manufacturers generate precise quotes, streamline the sales process, and build a stronger customer base.
- The manufacturers use CPQ tools to grapple with challenges associated with renewables — these range from high entry barriers to infrastructure deficits in emerging economies.
- When choosing your CPQ software, consider its pricing options, document automation and eSignature capabilities, integration options, support of mobile, and available support and training for sales reps.
The challenges of renewable energy equipment manufacturing
Let’s delve into the most common sales-related issues that affect the field of renewables.
- High entry barriers. New innovators need capital, technology, and expertise to enter the renewable energy sector. That discourages potential players before they even start.
- Lack of competitiveness. Conventional energy has established infrastructure, and its cost advantages overshadow renewables. Renewable energy manufacturers need to go the extra mile to offer competitive pricing.
- Infrastructure deficit. Inadequate power grids and supply chains in emerging economies like India or Brazil slow down renewable energy distribution.
- Investor misunderstanding. The lack of knowledge of renewable energy specifics makes investors hesitant about investing in another project.
- Off-takers risks. Factories, data centers, or municipalities, sign contracts to purchase large amounts of energy. If a renewable energy provider fails to deliver the required amount, that may result in payment delays or contract breaches, having a ripple effect on renewable energy equipment manufacturers.
How CPQ tools benefit renewable energy equipment manufacturing
For renewable energy equipment manufacturers, CPQ software solutions offer numerous advantages. Let’s detail a few with a fictional solar panels company, Clear Blue Sky.
1. Accurate pricing
CPQ tools help Clear Blue Sky’s sales team deliver accurate quotes for a wide range of solar energy equipment configurations.
This accuracy helps the sales reps win more contracts and enhance customer satisfaction in the competitive renewable energy equipment market.
2. Automated quoting process
When Clear Blue Sky’s sales team lacked automation, their quoting process was time-consuming and error-prone.
By implementing CPQ tools, they automated and streamlined the processes of generating sales quotes for configured products, taking the human factor out of the equation.
3. Cloud-based operations
The company’s sales team can access information about solar equipment, customer requirements, and more due to cloud-based CPQ software.
That helps them swiftly and efficiently respond to queries.
4. Increased productivity
Using CPQ tools, Clear Blue Sky’s team managed to bring customer relationships to the next level.
Due to the automation of repetitive quoting tasks, their sales reps freed up more time for building better connections with customers.
5. Improved customer experience
A faster sales lifecycle helps the solar equipment manufacturer improve the buyer experience.
Their sales reps ensure clients receive precise proposals on time and in step with nurturing long-term business relationships, encouraging customer loyalty.
The most common types of renewable energy
As coal plants shut down — the high costs of coal and public pressure for cleaner energy caused their decline — and as natural gas became a preferred and affordable choice, a gap in energy production has emerged.
This diagram shows the distribution of renewable energy in 2022:
Hydroelectric power offers consistent energy from river flows, yet it’s unsuitable for areas without water sources, and dams could harm river ecosystems.
Geothermal taps into Earth’s heat.
Wind turbines and solar panels harness forces that are extremely clean sources of energy but unpredictable by nature.
However, with advances in wind and solar technologies, usage of these renewables is gaining traction.
Less common, waste-to-energy plants and oceanic tidal and wave sources present sustainable but location-specific challenges.
With the diversity of renewable energy sources (which involves many more choices), equipment manufacturers should be ready to meet the variable needs of their clients.
On this point, CPQ software will help them generate accurate quotes regardless of the type and complexity of the equipment a customer might need.
How to choose the right CPQ solution for renewable energy equipment manufacturing
There are plenty of CPQ solutions available on the market.
Let’s take several examples to see how you can make the most of CPQ software.
Considering the budget
If your manufacturing company is as large as Tesla, building solar equipment, enterprise solutions like Oracle CPQ Cloud might be your best fit, with CPQ plans starting at $240 per month per user.
CPQ and CRM integration helps salespeople uncover smooth sales processes, consistent data flow, and enhanced customer interactions.
For example, Salesforce CPQ integrates deeply with its own CRM and provides a unified platform for sales operations in renewable energy equipment manufacturing.
At PandaDoc, our platform capabilities integrate with dozens of popular CRMs, including Salesforce.
Many comprehensive CPQ solutions like Conga CPQ offer simplified quote creation, making their contribution to automate quoting on complex products.
Meanwhile, PandaDoc stands out by offering extensive document automation and e-signing functionalities, with CPQ adopters reporting a 90% decrease in the time taken to generate quotes and proposals.
As sales representatives often work with renewable energy equipment buyers on the go, CPQ software should cover their need for mobility.
Mobile-friendly CPQ software allows the sales team to stay connected, instantly access crucial documents, and respond to clients promptly, no matter where they are.
CPQ software must facilitate payments for renewable energy equipment.
Robust integrations with payment systems like PayPal, Stripe, and others make transactions convenient and secure.
Support and training for sales reps
Complicated quoting solutions like SAP CPQ may offer renewable energy equipment manufacturers efficient quote configurations but likely have a steeper learning curve for beginners.
PandaDoc eases this transition by offering 24-hour support for any issues or queries.
In addition, the ever-growing library of templates and tutorials ensures the sales reps of renewable energy equipment manufacturing companies can make the most of the platform.
Sales team feedback
The real test of any CPQ tool is in its usage.
By involving the sales team and gathering their feedback on using new software, manufacturers of renewable energy equipment can gain insights into its ease of use, functionality, and overall user experience.
How to implement PandaDoc CPQ software for renewable energy equipment manufacturing
Introducing our CPQ solution will be a breeze once you know where to start:
- Begin with setting clear goals — this will help you decide on the needed features, pricing plans, and CPQ integration.
- If you’re not already on the platform, start a free trial to begin using PandaDoc CPQ to easily create, edit, send, track, and eSign quotes for your renewable energy equipment customers.
- When it comes to creating and sending out a personalized customer quote, consider drafting the pricing table as the central element of your document.
- Using PandaDoc, you can add items to the pricing table easily by choosing predefined products from our catalog or entering them manually. You can also add discounts and taxes according to your pricing policies.
- Edit your pricing table by moving or hiding columns and rows, setting currency values, and customizing other fields as per the need. This process is designed to be highly intuitive, but if you have a specific workflow in place, you can always request a free demo and we’ll be happy to show you how everything works!.
- Import product data from your CRM to CPQ and personalize your pricing table. PandaDoc CPQ software integrates with over a dozen CRMs, perfect for sales teams in renewable energy manufacturing.
Future trends in renewable energy
By 2025, green energy is projected to make up 35% of worldwide power production.
This will not only boost net-zero emissions efforts but also have a significant social impact.
For example, green projects require a mix of engineering, construction, installation, operation, and maintenance skills. That will result in more jobs, and local workers will fill the roles.
As the International Energy Agency (IEA) reports, the US and Europe focus more on heat to withstand the energy crisis while reducing reliance on fossil fuels and cutting CO2 emissions.
This tendency will continue.
The heat pump market is growing rapidly, supported by public investments and by rising prices of traditional energy sources.
More and more countries will offer grants (which are currently available in 30 countries), tax credits, and loans to make heat pumps more affordable for households.
The level of support for the use of other renewables can also be expected to rise.
From the community perspective, renewable energy projects will encourage community involvement and decision-making.
Such projects will foster a sense of pride and ownership among members, enhancing social health both directly and metaphorically.
Using PandaDoc CPQ is easier than it may seem
Check ready-made guides
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Check out our free learning academy resources and discover how to use various features to make the most out of the product.
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