This use case provides an example of how to perform an early renewal of a ramped bundle asset that includes options in Conga CPQ.

Overview

Enterprise software subscription agreements rarely run to their scheduled end dates. Pricing pressures, competitive renewals, and strategic account expansion frequently drive sales teams to offer early renewal terms, sometimes more than 18 months before a contract expires. For organizations selling multi-year, ramped subscription bundles, orchestrating an early renewal across parent bundle products and their dependent option products requires a CPQ system capable of automatically cascading date changes, recalculating selling terms, and repricing every affected line without manual intervention.

This use case describes how Conga CPQ handles an early renewal of a ramped bundle asset that includes one or more option products. It covers the full asset lifecycle: initial sale, standard renewal, and finally an early renewal initiated by changing the bundle start date to a date that falls before the current asset end date.

Business Context

A subscription-based software organization sells a platform product as a bundled subscription (the Bundle) with an optional add-on (the Option). Contracts are structured as multi-year ramped deals: each year of the subscription is represented as a separate ramp line with its own start date, end date, and selling term. This structure supports graduated pricing, step-up quantities, or staggered commitments within a single quote.

After 18 months into a three-year renewal term, the account executive identifies an opportunity to lock the customer into a new three-year deal at favorable commercial terms, before the existing renewal expires. The account executive wants to renew the ramped bundle and its option early, starting the new agreement on 06/30/2022 rather than 01/01/2024, which is the start date of the current renewal term.

This scenario creates a specific challenge: changing the start date of a ramped bundle must automatically cascade to the option line, recalculate the selling term for the first ramp, and adjust pricing, while preserving the Renewed line status and leaving subsequent ramp lines intact.

You can perform an early renewal of a bundle asset that has options and multiple ramps, by changing the bundle start date to a date earlier than current asset end date.

Prerequisites:

• CPQ supports both manual and auto renewal of assets.
• The Auto Cascade Selling Term setting must be True on the price list item of the options.
• The Enable Auto Ramp Creation setting must be True on the price list item of the bundle and options.
• The bundle and option assets are in Renewed status from a prior renewal cycle.

Scenario Walkthrough

Step 1-New Sale

The account executive creates a new quote for a three-year ramped subscription. The quote includes one Bundle product and one Option product, each configured with three ramp lines representing annual terms from January 1, 2021 through December 31, 2023.

Upon order acceptance, Conga CPQ generates asset records for each ramp line. The resulting asset structure is as below. Each ramp line is tracked independently, enabling precise billing and renewal management at the individual-term level.

Step 2 - Standard Renewal

At the end of the original three-year term, the subscription is renewed for an additional three years. Conga CPQ automatically generates renewed asset records covering January 1, 2024 through December 31, 2026.

Step 3 – Early Renewal with a Modified Start Date

Eighteen months into the 2024–2026 renewal term, the account executive secures an early renewal by changing the start date of the first renewal bundle ramp line from 01/01/2024 to 06/30/2022. This brings the new agreement into effect before the current asset end date of 12/31/2026. This single date change triggers a cascade of automated calculations in Conga CPQ. The resulting early-renewal asset structure is:

Key Points to Note:

• CPQ changes the start date of the primary option ramp line to match the new bundle start date (06/30/2022), ensuring the bundle and its option remain in sync throughout the asset lifecycle.
• CPQ recalculates the selling term of the first ramp line on both the bundle and option based on the new start date. The term spans from 06/30/2022 to 12/31/2024, a period of 2.5 years, replacing the original 1-year term.
• CPQ reprices the first ramp line on the bundle and option correctly, based on the revised selling term of 2.5 years. Subsequent ramp lines (2025 and 2026) retain their original one-year selling terms and are priced independently.
• CPQ retains the Renewed line status for all bundle and option ramp lines. The early renewal does not reset the line status or create new asset records; it updates the existing renewed assets in place.