• The surge in demand for sales-process automation and the need to handle highly configurable products and services is empowering adoption of CPQ software across B2B enterprises.

• Cloud-based deployment dominates the landscape, with over ~58.8 % share recorded in recent years, reflecting enterprise preference for SaaS delivery models and scalable deployment.

• Large enterprises continue to be the principal users (about ~60.5 % share), but SMEs are growing faster as they embrace automation and simplify quoting workflows.

• North America holds the largest regional share (~39.6 %), driven by mature CRM/ERP ecosystems, while Asia-Pacific is the fastest growing region thanks to digital transformation initiatives.

• The integration of next-gen capabilities—like AI-driven guided selling, dynamic pricing engines and analytics for quote-to-cash optimisation—is emerging as a key differentiator among vendors.

• Despite momentum, barriers such as legacy system integration challenges, implementation complexity and change management remain significant hurdles to broader CPQ adoption.

• Competitive advantage is shifting toward providers who deliver the full ecosystem—beyond basic configuration and quoting: integrating CPQ with CRM/ERP, channel-partner workflows, and providing rapid deployment and support.

In this report, the Configure Price and Quote (CPQ) Software Market has been segmented by Type, Application and Geography.

Configure Price and Quote (CPQ) Software Market, Segmentation by Type

The Type segmentation captures how deployment models shape buyer priorities, implementation strategies, and long-term total cost of ownership. Vendors differentiate through time-to-value, integration depth with CRM/ERP, and the ability to support complex product configuration rules, discounting, and approval workflows. Buyers evaluate security, scalability, and ecosystem partnerships to enable multi-channel quoting and guided selling across regional and industry use cases.

Cloud-Based

Cloud-based CPQ solutions are favored for rapid deployments, frequent feature updates, and elastic scalability across global sales teams. They typically provide strong API ecosystems, native integrations with leading CRM platforms, and embedded capabilities for guided selling, pricing optimization, and mobile quoting. Enterprises prioritize data governance, regional hosting options, and compliance support while leveraging marketplace connectors to accelerate partner-centric and self-service commerce initiatives.

On-Premises

On-premises CPQ remains relevant where data residency, customization, and tight coupling with legacy ERP or engineering systems are strategic. Organizations choose this model to enforce bespoke pricing logic, specialized approval flows, and advanced configuration requirements that mirror unique product structures. While implementation cycles can be longer, buyers value control over upgrade timing, integration pathways, and security posture in regulated and engineering-intensive environments.

Configure Price and Quote (CPQ) Software Market, Segmentation by Application

The Application segmentation reflects how company size influences adoption patterns, solution breadth, and services intensity. Across segments, decision makers focus on quote accuracy, cycle-time reduction, margin protection via discount guardrails, and seamless omnichannel experiences. Implementation success often hinges on cross-functional alignment among Sales, Pricing, Finance, and Operations, supported by partners for change management, data readiness, and process standardization.

Large Enterprises

Large enterprises deploy CPQ to orchestrate complex configure-to-order and engineer-to-order scenarios, multi-level discounting, and region-specific compliance. They emphasize performance at scale, granular governance, and analytics for margin leakage control across diverse product lines and channels. Rollouts typically integrate with PLM/ERP/CRM, extend to partner portals, and embed approval automation to standardize global pricing strategies while enabling local flexibility.

SMEs

SMEs prioritize out-of-the-box best practices, intuitive guidance, and low administrative overhead to accelerate sales productivity. Cloud-first delivery, packaged CRM connectors, and prebuilt pricing rules reduce setup complexity and ongoing ownership costs. Vendors compete on time-to-value, transparent subscription models, and customer success programs that streamline onboarding, catalog maintenance, and continuous optimization as firms expand product breadth and sales coverage.

Configure Price and Quote (CPQ) Software Market, Segmentation by Geography

In this report, the Configure Price and Quote (CPQ) Software Market has been segmented by Geography into five regions: North America, Europe, Asia Pacific, Middle East and Africa and Latin America.

North America

North America demonstrates mature adoption, driven by investments in digital sales transformation, subscription and usage-based pricing, and deep CRM ecosystems. Enterprises prioritize governance, advanced analytics, and partner channel enablement to manage complex catalogs and compliance. Vendor strategies emphasize verticalized accelerators for manufacturing, high tech, and services, alongside robust customer success to maximize time-to-value.

Europe

Europe balances innovation with stringent data protection and localization needs across multilingual, multi-entity operations. Demand centers on regional hosting options, configurable approval hierarchies, and interoperability with entrenched ERP landscapes. Growth is supported by industry programs for engineered products, medtech, and industrial equipment, where configure-price rules and sustainability documentation must be tightly governed.

Asia Pacific

Asia Pacific adoption accelerates with manufacturing expansion, digitally enabled export channels, and the rise of mid-market cloud deployments. Buyers seek rapid localization, mobile-first quoting, and scalable multi-currency support to serve regional hubs. Vendor partnerships with system integrators and cloud marketplaces are pivotal to address diverse regulatory contexts and fast-growing ecosystems of suppliers and distributors.

Middle East & Africa

Middle East & Africa demand is shaped by modernization programs, infrastructure projects, and diversification initiatives requiring disciplined pricing controls and approval workflows. Enterprises value deployment models aligned with data sovereignty preferences and integration with regional financial systems. Ecosystem development with local partners and targeted enablement fuels adoption across industrials, energy, and capital equipment segments.

Latin America

Latin America focuses on improving sales productivity, standardizing discounting practices, and enhancing margin visibility across distributed sales networks. Cloud offerings with localized tax and currency handling, combined with simplified onboarding, support expansion among growth-oriented enterprises. Strategic collaborations with regional integrators help navigate heterogeneous systems and enable consistent quoting performance.

This report provides an in depth analysis of various factors that impact the dynamics of Configure Price and Quote (CPQ) Software Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.

Drivers, Restraints and Opportunities Analysis

Configure Price and Quote (CPQ) Software Market is witnessing rapid growth driven by strategic partnerships, collaborations, and mergers among leading software providers, enhancing product innovation and technological capabilities. Adoption of advanced technological advancements in cloud-based and AI-enabled CPQ solutions has increased deployment rates, with enterprise usage exceeding 55% across sales and customer management applications

Market Structure and Concentration
The market demonstrates a moderately consolidated structure, with top players controlling nearly 60% of total market share. Strategic alliances and mergers foster competitive growth, while niche providers focus on specialized industry solutions. This structure ensures steady expansion and robust adoption across diverse enterprise verticals

Brand and Channel Strategies
Leading brands employ targeted strategies across direct sales, reseller networks, and online platforms to strengthen market presence. Collaborations with regional distributors and system integrators enhance penetration, while marketing initiatives drive adoption, achieving nearly 50% reach among mid-to-large enterprises across multiple sectors

Innovation Drivers and Technological Advancements
Continuous innovation in AI-driven pricing engines, configurators, and integration with CRM and ERP systems enhances efficiency. Cloud-based and mobile-enabled platforms improve accessibility and scalability. These technological advancements are expected to increase adoption rates by nearly 55%, supporting digital transformation initiatives in enterprises

Regional Momentum and Expansion
Market expansion is concentrated in regions with high enterprise digitization, where adoption exceeds 50%. Strategic partnerships, localized solutions, and regional support centers strengthen presence and supply chain efficiency, enabling companies to capture emerging business segments and reinforce competitive positioning

Future Outlook
The future outlook for the CPQ software market remains promising, supported by ongoing innovation, strategic collaborations, and increasing demand for digital sales automation. Rising adoption of AI, cloud, and integrated solutions is projected to drive market growth and ensure long-term industry prominence

Key players in Configure Price and Quote (CPQ) Software Market include:

• Salesforce CPQ
• Oracle CPQ
• Conga CPQ (formerly Apttus CPQ)
• SAP CPQ
• PROS Smart CPQ
• Infor CPQ
• Experlogix CPQ
• IBM CPQ
• Model N CPQ
• Tacton CPQ
• Vendavo CPQ
• Cinchy CPQ
• CloudSense CPQ
• Configure One CPQ
• DealHub.io CPQ

In this report, the profile of each market player provides following information:

• Market Share Analysis
• Company Overview and Product Portfolio
• Key Developments
• Financial Overview
• Strategies
• Company SWOT Analysis