Salesforce CPQ Interview Questions Day 1

Salesforce CPQ Interview Questions – Day 1

How is pricing calculated in Salesforce CPQ?
Pricing is calculated using:

1. Price Books: Base price for each product.
2. Price Rules: Apply automatic price adjustments (e.g. discounts).
3. Discount Schedules: Tiered discounts based on quantity or duration.
4. Custom Logic (QCP): Advanced customizations for pricing.

What does configuration mean in CPQ?

Configuration involves selecting product options based on customer needs.

Example: Buying a laptop → Choose storage (512GB/1TB), RAM (8GB/16GB).

Configuration Types:

• Static: Predefined, unchangeable bundles.
• Configurable: User can select options.
• Dynamic: Options are displayed based on rules.

How is pricing handled in CPQ?

Pricing is calculated dynamically based on rules:

Base Pricing: List prices in the price book.

Price Rules: Apply conditional discounts or adjustments.

Discount Schedules: Apply tiered discounts based on volume.

Advanced Pricing: Percent of Total (POT), Cost-Based Pricing, Block Pricing.

Why Use Salesforce CPQ Instead of Standard Quotation Process?

Standard Process:

• Only list prices and sales prices are supported.
• No automatic discounts, advanced pricing methods, or bundling.
• Requires manual creation of quotes (e.g Excel sheets, formulas).

CPQ Process:

• Supports multiple pricing strategies: cost-based, block pricing, subscription pricing.
• Automates quote creation and pricing adjustments.
• Allows dynamic configuration and document customization.

How do you create a product bundle in Salesforce CPQ?

1. Create a Bundle Product:

Navigate to Products → New.

• • • Name: Laptop Bundle.
    • Configuration Type: Allowed.
    • Configuration Event: Always.
    • Active: Check the box.

1. Add Features to the Bundle:
   • Go to the Related Tab → Product Features → New.

• • • Feature Name: Storage Options.
    • Min Options: 1.
    • Max Options: 1.

1. Add Product Options to Features:

Navigate to Related Tab → Product Options → New.

• • Enter:
    • Option Name: 1TB SSD.
    • SKU: SSD-1TB.
    • Feature: Storage Options.

Repeat for options ( 512GB SSD, 2TB SSD).

Test the Bundle

Create Quote >Edit Line > Add Product “Laptop Bundle”

What are the types of product bundles in CPQ?

• Static Bundle: Fixed set of products sold together.
• Configurable Bundle: Users can select options.
• Dynamic Bundle: Options are shown/hidden based on rules.

How do you implement a Selection Product Rule in Salesforce CPQ?
Selection Product Rules automate the addition or removal of products based on conditions.

Implementation Steps:

1. Create the Product Rule:
   • Navigate to Product Rules → New.
   • Enter:
     • Name: Large Pizza Rule
     • Type: Selection.
     • Scope: Product.
     • Evaluation Event: Always.
   • Save.

1. Add Error Conditions:
   • Go to Related Tab → Error Conditions → New.
   • Enter:
     • Tested Object: Configuration Attribute.
     • Tested Field: Pizza_Size__c.
     • Operator: Equals.
     • Value: Large.
   • Save.

1. Add Product Actions:
   • Go to Related Tab → Product Actions → New.
   • Add actions:
     • Type: Add.
       • Product: Soda.
       • Filter Field: Size__c.
       • Filter Value: Large.
     • Type: Hide.
       • Product: Water.

1. Test the Rule:
   • Add Domino’s Pizza Combo to a quote, select Large Pizza, and verify:
     • Soda is added automatically.
     • Water is hidden.

How do you configure a Quote Template in Salesforce CPQ?
Quote Templates define the structure and content of generated quotes.

Implementation Steps:

1. Create a Quote Template:
   • Navigate to Quote Templates → New.
   • Enter:
     • Name: Standard Template.

1. Add Template Sections:

Navigate to Related Tab → Template Sections → New.

Define sections: Product Line Items, Notes, Terms & Conditions.

1. Customize Line Columns:
   • Go to Related Tab → Line Columns → New.
   • Add columns like:
     • Product Name
     • Quantity
     • Net Total

How does CPQ handle subscription products?

Subscription Products: Recurring products billed over time.

Renewals: Automate contract renewals with pricing logic.

Implementation Steps:

1. Create a product with:

Subscription Pricing: Fixed or Percent of Total.

Subscription Term: Default duration (e.g., 12 months).

1. Add to a Price Book

What licenses are needed for CPQ?

CPQ Licenses:

• Salesforce CPQ.
• Advanced Approvals (if required).

What are some key CPQ package settings?

Enable Multi-Language Translation: Supports localized quote documents.

Enable Grouping: Organize quote line items.

Allow Global Attributes: Use attributes across multiple bundles.

What are Key Components of Product Bundles?

1. Product Features:
   • Logical grouping of product options (e.g., “Processor” or “Memory”).
   • Each feature contains multiple product options.
2. Product Options:
   • Specific products within a feature (e.g., i5, i7 for processors).
3. Configuration Settings:
   • Various fields control how bundles behave, including:
     • Configuration Type (Allowed, Disabled).
     • Configuration Event (Always, Required).
4. Default and Editable Quantities:
   • Default quantity: Pre-set number of items.
   • Editable quantity: Allows customers to adjust quantities during configuration.
5. Option Layout:
   • Determines how options appear (Tabs, Wizard, etc.).

What is a Product Feature?

Logical grouping of product options (e.g. “Processor” contains i5, i7).

What are Product Options?

Individual items within a feature (e.g. i5, i7 are options under “Processor”).

What are the Types of Bundles?

Static, Configurable, Nested.

What is Option Layout?

Controls how options are displayed:

Tabs: Freely navigate between features.

Wizard: Sequential navigation.

What are Configuration Attributes and types of Configuration attributes?

Provides additional input fields (e.g. picklists) at the bundle level for sales reps to configure options easily. Often used to define properties like color, size, or region that influence product options.

Types of Configuration Attributes:

Global Attribute:

Can be reused across multiple bundles.

Similar to global picklist values in Salesforce.

Configuration Attribute:

Specific to a single bundle.

Cannot be reused across bundles.

Inline Attribute:

Applied at the product option level.

Provides additional details (e.g. size, weight) for individual options.

What are Twin Fields in CPQ?

• Synchronizes values between two objects (e.g. Product Option and Quote Line) using fields with the same API name.
• The source field must have read access, and the target field must have edit access.
• Twin Fields work only with specific standard objects in CPQ (e.g. Quote Line, Product Option).
• Not supported on custom objects.

Example: A Color field in the Product Option object automatically updates the Color field in the Quote Line object.

What are Global Attributes?

Attributes defined at a global level that can be used across multiple bundles for consistent configuration.

Steps to Create Global Attributes:

• Create a Global Attribute Code.
• Define an Attribute Set.
• Add items to the Attribute Set.
• Assign the Attribute Set to relevant bundles.

What is the Differences Between Global and Configuration Attributes?

• Global Attributes are reusable across bundles, while Configuration Attributes are bundle-specific.
• Global Attributes can be applied at the product level, whereas Configuration Attributes are visible above or below the bundle configuration page.

What are the steps to create Global Attributes?

1. Create Global Attribute:
   • Go to the Configuration Attributes tab.
   • Create a new record of type Global Attribute.

• • Add the API name of the target field (e.g., “Color”) in the Target Field field.

1. Create Attribute Set:
   • Represents a collection of attributes that share a common purpose.
   • Example: A set for color choices (Black, Gold, etc.).
2. Create Attribute Item:
   • Links the Global Attribute to the Attribute Set.
   • Specify details like sequence number for ordering.
3. Create Product Attribute Set:
   • Links the Attribute Set to a specific Product Option.
   • Ensures that the attribute applies to the product.

What are Types of Product Rules?

1. Validation Rule:
   • Ensures certain conditions are met before proceeding.
   • Example: Prevent selling warranty extensions to new customers.
2. Alert Rule:
   • Displays a warning or informational message to the sales rep.
   • Example: Notify sales reps about additional accessories.
3. Selection Rule:
   • Adds or removes product options dynamically.
   • Example: Automatically include a power cable when a laptop is selected.
4. Filter Rule:
   • Filters available product options based on user input or conditions.
   • Example: Display accessories relevant to a selected laptop model.

What is the difference between a Validation Rule and an Alert Rule in Salesforce CPQ?

Validation Rule enforces mandatory conditions and prevents invalid configurations.

Alert Rule provides warnings or suggestions without enforcing restrictions.