You can use the renewal creation processes to promote consistency and reduce data entry for renewal opportunities. Use Pega Sales Automation to control renewals by tracking contract expiry dates, search won opportunities, and track sales work that is needed to win next contract.
The personas involved in the process of renewals creation are sales reps or sales rep managers. Pega Sales Automation can also create renewals in an automated process, depending on your requirements.
The Pega Sales Automation for Healthcare and Pega Sales Automation for Insurance applications have separate renewal processes. For details, see Renewal opportunity for Pega Sales Automation for Insurance and Configuring renewals for Pega Sales Automation for Healthcare.
The Pega Sales Automation for Financial Services does not support renewals.
Renewals are connected with the following concepts:
- Retention opportunity
- An existing contract (that is, a won opportunity) that you can renew when it
expires. To renew a contract, you can use a retention opportunity to create a
renewal opportunity that, in turn, is a basis for a renewal.
Retention opportunities are displayed on a retention opportunity list. Only the contracts that include the contract end date and indicate that a renewal requires sales help (with the Sales help to renew check box) are displayed on the list.
- If a contract includes an end date but the Sales help to renew check box is not selected, Pega Sales Automation does not categorize that contract as a retention opportunity and does not renew the opportunity.
- A contract is displayed on the retention opportunity list if the contract does not include an end date and does not require sales help to renew. This approach provides backward compatibility of the renewals functionality with contract records that were created when the Contract end date and Sales help to renew options were not available in Pega Sales Automation.
- Renewal opportunity
- An opportunity that is based on a retention opportunity.
The Opportunities landing page displays two types of opportunities: new business opportunities and renewal opportunities.
- A new contract that is based on an expiring contract, signed with the same organization (B2B) or contact (B2C). Renewals have prefilled parameters based on the expiring contract, for example Amount, Territory, or Account. You can modify the prefilled parameters.
Configure renewals in the Pega Sales Automation App Studio.
In the navigation pane of App Studio, select.
On the Features tab, select the Enable Renewals check box.
In the Days prior to expiry for Business (B2B) and the Days prior to expiry for Individual (B2C) fields, configure the NBA notifications for renewals by entering the number of days until a contract expiry when NBA notifications are displayed on your dashboard.
Creating retention opportunities
Qualify an existing contract (won opportunity) for renewal by creating a retention opportunity through appropriately setting the properties of an existing contract.
To create a retention opportunity from an existing contract, you set the contract end date and indicate the need of sales help to renew. You can complete these steps when you close (win) an opportunity or at any time afterward. This procedure describes a use case in which the opportunity is already closed.
Choose an existing contract (won opportunity) that you want to renew:
In the User portal navigation pane, select Contacts or Accounts.
Go to the account profile of the client or organization with whom you signed the desired contract,and then open the Opportunities tab.
On the Opportunities tab, select one of the won opportunities that you want to renew, and then open the opportunity properties page.
On the opportunity properties page, on the Actions menu, select Confirm renewal decision.
In the Confirm renewal decision dialog box, enter the contract end date, and then select the Sales help to renew check box.
Creating renewal opportunities
After creating retention opportunities, define renewal opportunities as part of the contract renewal process.
In the User portal navigation pane, go to Opportunities.
On the Opportunities landing page, click Manage renewals.
On the Retention opportunities page, search for the retention opportunity that corresponds to the contract that you want to renew, by using the available filters:
- You can search using month and year or only the year when the contract ends.
- If you are a sales rep manager, in the Opportunity owner list, you can select your whole team or a particular sales rep.
- Use the buttons at the top to choose Individual for B2C contracts or Business for B2B contracts.
- To extend the search to won opportunities without a specified contract end date, select the Use opportunity close date check box, and then define the opportunity closing month and year (or only the year).
In the search results, in the row with the contract that you want to renew, click the Create renewal opportunity icon.The New Opportunity dialog box appears.For new B2B opportunities, the dialog box is titled New Business Opportunity. Do not confuse that name with opportunities for new business. To specify whether the new opportunity is a new business or renewal, use the Sales type drop-down list. Sales type is set to Renewal by default.
In the New Opportunity dialog box, verify and update the data as necessary, and then click Create.
Convert your renewal opportunities into renewals as the last stage in the renewal process. Creating a renewal is equal to winning a renewal opportunity.
On the Opportunities landing page, select the renewal opportunity that you want to convert.You can narrow down the displayed opportunities to renewal opportunities using the sales type filter: select Renewals from the drop-down menu.
On the selected opportunity properties page, on the Actions menu, select Close.
In the Close dialog box, perform the following actions:
In the Close reason list, select Won.
In the Contract end date field, enter the date when the contract expires.
To create a retention opportunity from the won opportunity, select the Sales help to renew check box.Otherwise, the opportunity renews automatically.
In the Comments field, provide any additional information about the contract, and then click Submit.
Renewal process properties
You can manage renewals in various ways to address numerous use cases.
- You can create a renewal opportunity for previously won renewal opportunities.
- You can create a retention opportunity from a won opportunity during the closing process or afterward.
- Because you create a renewal opportunity from another opportunity, the new opportunity has prefilled data. You can change the data in the sales cycle.
- The next best action (NBA) for renewals is displayed on your dashboard based on the contract end date. If you do not enter the end date into a won opportunity, the NBA algorithm uses a time of one year after the opportunity close date as the contract end date.
- You can manage basic renewal functions in Microsoft Outlook by using the Pega Sales Automation add-in.
- You can enable the RenewalOpportunityBot job scheduler, which runs once a week and creates renewal opportunities for expiring business contracts.