Report:
The Forrester Wave™: Configure, Price, Quote Solutions, Q1 2025
How does Forrester define the Configure, Price, Quote Solutions market in 2025?
CPQ solutions play an increasingly strategic role in the middle office, enabling businesses to scale growth and enhance customer experiences. As digital-native buyers demand choice in how they buy, intuitive and value-rich experiences, and optimized offers and pricing, enterprises must consider a vendor's long-term value delivery, current capabilities, and ability to evolve with business needs. This evaluation assessed 13 CPQ solutions providers across current offering, strategy, and customer feedback to help technology and revenue operations leaders make informed purchasing decisions.
Key Facts for The Forrester Wave™: Configure, Price, Quote Solutions, Q1 2025 in 2025
- Publication Date: 19-Feb-2025
- Document ID:
- Summary: In our evaluation of configure, price, quote (CPQ) solutions providers, we identified the most significant ones and researched, analyzed, and scored them. This report shows how each provider measures up and helps you select the right one for your needs.
- Authors: Robert Munoz, Cristina De Martini, Emily Doherty, Ellen Lind
How did the Configure, Price, Quote Solutions market evolve in 2025?
- CPQ plays an increasingly strategic role in the middle office enabling businesses to scale growth and enhance customer experiences
- Digital-native buyers in growing numbers will demand choice in how they buy, intuitive and value-rich experiences, and offers and pricing optimized for them
- Technology and revenue operations leaders should weigh and prioritize relevant capabilities and use cases aligned with market trends, business needs, existing technology stack, and customer expectations
- 13 providers evaluated in this Forrester Wave assessment
- Evaluation categories include Leaders, Strong Performers, and Contenders
- Minimum product revenue threshold of $10 million for vendor inclusion
- Materials cutoff date: October 17, 2024
What product features are required to be included in this year's evaluation?
- A minimum product revenue of $10 million. The revenue threshold is annual in CPQ solutions.
- Configuration logic with CPQ. The configuration capability is part of a standalone full CPQ solution and supports a configuration rules-based logic engine in addition to pricing and quoting.
- A focus on large enterprises. The vendor has a strong track record with active enterprise customers.
- Relevance to Forrester clients. Forrester clients frequently mention this vendor in client interactions and shortlist it when making purchase decisions.
What are the common features of top products in the Configure, Price, Quote Solutions space?
No common features specified.
Scope Exclusions
- Vendors with less than $10 million in annual CPQ product revenue
- Solutions without configuration rules-based logic engine capabilities
- Vendors primarily focused on small to medium businesses rather than large enterprises
- Vendors not frequently mentioned by Forrester clients in purchasing decisions
- Point solutions that only offer pricing or quoting without full CPQ capabilities
Inclusion Criteria
Vendors must, among other requirements:
- Minimum product revenue of $10 million annually in CPQ solutions
- Configuration logic with CPQ - configuration capability is part of standalone full CPQ solution supporting rules-based logic engine plus pricing and quoting
- Focus on large enterprises with strong track record and active enterprise customers
- Relevance to Forrester clients - frequently mentioned in client interactions and shortlisted in purchase decisions
Offering Strengths — Relative Weighting
- Configurator architecture and logic — 10%
- Configurator engine — 5%
- 2D/3D product visualization — 5%
- Pricing and discount management — 10%
- Pricing optimization management — 5%
- Rebate management — 5%
- Quote and document generation — 10%
- Subscription and asset management — 5%
- Approval workflow management — 5%
- AI capabilities — 5%
- Product catalog and data management — 5%
- Self-service purchasing — 5%
- System integrations — 5%
- Revenue lifecycle management — 5%
- Starter templates and tools — 5%
- Implementation — 5%
- Customer success — 5%
Strategy Strength — Relative Weighting
- Vision — 20%
- Innovation — 20%
- Roadmap — 20%
- Partner ecosystem — 15%
- Pricing flexibility and transparency — 15%
- Community — 10%
FAQs
Q: What does this research cover?
A: This research covers an evaluation of the 13 most significant configure, price, quote (CPQ) solutions providers. The evaluation assesses vendors across current offering capabilities, strategic vision and innovation, and customer feedback. It provides detailed scorecards for each vendor including strengths, weaknesses, capabilities in areas like configurator architecture, pricing management, subscription management, AI capabilities, and strategic factors like vision, innovation, roadmap, partner ecosystem, and pricing transparency.
Q: Who should use this research?
A: This research should be used by technology and revenue operations leaders who are evaluating CPQ solutions for their organizations. It helps buyers align CPQ criteria with their business needs and customer expectations, considering factors like industry-specific needs, business model, omnichannel market coverage focus, and integration requirements with existing systems like CRM, ERP, e-commerce, and other revenue lifecycle management systems. The research is particularly relevant for enterprises looking to streamline revenue processes and scale growth.
Q: What are the mandatory features of vendors included in this market?
A: Mandatory features for vendors included in this CPQ market evaluation are: 1) Annual product revenue of at least $10 million in CPQ solutions, 2) Configuration capability as part of a standalone full CPQ solution that supports a configuration rules-based logic engine in addition to pricing and quoting, 3) Strong track record serving large enterprise customers with active deployments, and 4) Relevance to Forrester clients as evidenced by frequent mentions in client interactions and inclusion on purchasing shortlists.
Q: What are some reasons for not being included in this report?
A:
- Annual CPQ product revenue below $10 million threshold
- Lack of configuration rules-based logic engine as part of full CPQ solution
- Primary focus on small to medium businesses rather than large enterprises
- Limited relevance to Forrester clients with infrequent mentions in purchasing decisions
- Point solutions offering only subset of CPQ capabilities (pricing-only or quoting-only without configuration)
Q: What should buyers consider when evaluating products in this market?
A:
- The industry-specific needs, business model, and offerings - prioritize requirements to align to vendor capabilities (e.g., SaaS businesses need subscription/consumption-based pricing and asset management; manufacturers need 2D/3D visualization; price-volatile industries need pricing optimization)
- Your omnichannel market coverage focus - assess extensibility of CPQ services via API to e-commerce sites and partner portals to support direct sellers, self-service buyers, and channel partners with rebate management
- How to integrate and streamline revenue processes - assess current infrastructure and integration needs with CRM, ERP, e-commerce, CLM, order management, billing, or CAD/PLM systems; validate ease of integration, administrative tools, and level of vendor/partner support available
Q: How has the Configure, Price, Quote Solutions market evolved in 2025?
A:
- CPQ playing increasingly strategic role in middle office enabling businesses to scale growth and enhance customer experiences
- Digital-native buyers demanding choice in how they buy, intuitive and value-rich experiences, and optimized pricing
- Need for vendor's ability to evolve and innovate with enterprise's business needs and strategic direction
- Importance of omnichannel market coverage supporting mix of direct sellers, self-service buyers, and channel partners
- Integration and streamlining of revenue processes across CRM, ERP, e-commerce, and revenue lifecycle management systems
- AI-first innovation strategies focused on addressing market needs
- API-first, composable platforms enabling key revenue transformation capabilities
- Industry-specific needs requiring specialized capabilities for SaaS, manufacturing, distribution, and other verticals
Q: What differentiates Strength of Offering vs. Strength of Strategy?
A: Strength of Offering evaluates a vendor's current CPQ product capabilities across 17 criteria including configurator architecture, pricing management, AI capabilities, integrations, and customer success support. Strength of Strategy assesses the vendor's vision for the market, innovation investments, product roadmap plans, partner ecosystem strength, pricing approach, and community engagement to determine their ability to evolve and deliver long-term value.
Reference
- Forrester, The Forrester Wave™: Configure, Price, Quote Solutions, Q1 2025, 19-Feb-2025, ID
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