CPQ (Configure, Price, Quote) is a built-in Zoho CRM engine for automating the quote creation process, particularly for businesses with complex product configurations and dynamic pricing (Zoho CRM CPQ page).

Core CPQ Components

Product Configurator:

Pre-configure product bundles and add/suggest companion products based on rules.
Actions: Add product, suggest product, update price/description.
Multiple base products (Q2 2025): Dynamic actions allow quantity calculations driven by multiple base products simultaneously (previously limited to a single base product).
Clone rules (Q2 2025): Duplicate existing product configurator rules to create variations quickly (Zoho CRM Q2 2025 update).

Pricing Rules:

Configure flat pricing, slab-based pricing, direct discount, and volume-based discounts.
Set pricing conditions: account type, deal stage, product quantity, discount threshold (criteria-based pricing rules—added Q1 2026 (Zoho CRM Q1 2026 update)).
Clone pricing rules for creating similar variations quickly.

Guided Selling:

Multi-step product selection flow to guide sales reps through product configuration.
Custom module selection in guided selling flows (2025 update).
Guided selling rules for secondary lookup fields (Zoho CRM 2025 highlights).

Zia Suggestions for CPQ (Q1 2026):

Zia analyzes historical quotes to identify frequently purchased combinations and their conversion effectiveness.
Zia-suggested product configuration rules are surfaced for admin review; reviewable, modifiable, and renameable before deployment (Zoho CRM Q1 2026 update).

Quotes Dashboard: Pre-built KPIs—stalled quotes, quote stages, closing-soon quotes, modified quotes.

Duplicate line item detection (2025): System alerts when a CPQ rule targets the same action entity as another rule, preventing duplicate line items.