ServiceNow Strengths, Domain Expertise, and Key Differentiators
ServiceNow is one of the fastest-growing enterprise software companies with more than $3 billion in annual revenues. ServiceNow delivers digital workflows that create great experiences and unlock productivity. It has seen significant growth in its IT Service Management business and has made strong inroads with its HR Service Delivery, Customer Service Management, and Security Operations products.
In March 2020, ServiceNow launched the Now Platform Orlando release, featuring Now Intelligence, a new set of powerful AI and analytics capabilities. With Now Intelligence, ServiceNow empowers enterprises with new insights that enable employees to work smarter and faster, streamline business decisions and unlock new levels of productivity.
ServiceNow Recent Developments
In June 2020, ServiceNow launched new products for for telecommunications and financial services. In the telecommunications industry, the Now Platform and 5G will intersect to fundamentally reinvent legacy experiences. ServiceNow Financial Services Operations is a product with workflows that will transform operations for financial services institutions.
In May 2020, ServiceNow launched ServiceNow Safe Workplace, a four‑app suite and dashboard designed to help companies manage the essential steps for returning employees to the workplace and support everyone’s health and safety.
In October 2019, ServiceNow appointed Bill McDermott, formerly head of SAP, as president and CEO, and a member of its board. The appointment is paving the way for ServiceNow to expand in a number of markets including CRM, ERP, and HCM, in addition to its stronghold in ITSM.
ServiceNow Mergers and acquisitions (M&A) Activities
In June 2020, ServiceNow acquired Sweagle, a configuration management startup based in Belgium. With this acquisition ServiceNow gets the startup’s configuration management products, which it can incorporate into its own catalog, but it also gains the machine learning and DevOps knowledge of the company’s employees.
Earlier in 2020, ServiceNow acquired and Israeli start-up that specializes in AIOps, Loom Systems. The company plans to leverage Loom Systems log analytics capabilities to help customers analyze data, automate remediation and reduce L1 incidents. Addittionaly, it acquired Passage AI, a startup that helps customers build chatbots in multiple languages, something that should come in handy as ServiceNow continues to modernize its digital service platform.
In November 2019, ServiceNow acquired Fairchild Resiliency Systems to help companies better manage risk at scale.
In May 2019, ServiceNow acquired a mobile analytics platform and R&D talent of Appsee, an Israel‑based application analytics platform company. With the acquisition of Appsee’s intellectual property and key Appsee talent, ServiceNow will further its mobile application and web browser strategy by adding deep user analytics to the Now Platform.
ServiceNow Customers in ARTW Customer Database
Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying ServiceNow applications and why? And we provide the answers – supported by decades of research – to our clients around the world. Our Customer database has over 100 data fields that detail company usage of ServiceNow and other enterprise apps by function, customer size, industry, location, implementation status, partner involvement, Line of Business Key Stakeholders and IT decision makers contact details. List of Verified ServiceNow IT Service Management customers.
Ownership: - NYSE : NOW
Number of Employees: 11901
Key Verticals: Aerospace and Defense, Automotive, Banking and Financial Services, Communication, Construction, Real Estate, Consumer Packaged Goods, Distribution, K12, Higher Education, Federal Government, State and Local Government, Public Safety, Healthcare, Life Insurance, P&C Insurance, Specialty Insurance, Leisure and Recreation, Hospitality, Life Sciences, Manufacturing, Media, Faith Based Nonprofit, Youth and Elderly Care Nonprofit, Special Cause Nonprofit, Oil and Gas, Professional Services, Retail, Transportation, Utilities,
ServiceNow Key Cloud and HCM Applications
ServiceNow IT Service Management
ServiceNow HCM and Cloud HCM Applications Revenues, $M:
|Type/Year||2018||2019||YoY Growth, %|
|Total Revenues, $M||Subscribe||Subscribe||Subscribe|
|HCM Applications Revenues, $M||Subscribe||Subscribe||Subscribe|
|Cloud HCM Applications Revenues, $M||Subscribe||Subscribe||Subscribe|
* HCM Applications Revenues = License + Support & Maintenance + SaaS ( Hardware and Prof. Services are Excluded )
** All revenue figures are estimates based on public records, Cloud and Non-Cloud business models in Apps Run The World's vendor database, and annual survey results including vendor feedback.
ServiceNow Revenue Breakdown by Type:
|Type||License||Services||Hardware||Support & Maintenance||SaaS|
|% of Total Revenues||Subscribe||Subscribe||Subscribe||Subscribe||Subscribe|
ServiceNow HCM Applications Revenues By Sub-Functional Markets, $M:
Split by Sub-Functional Markets
2019 HCM Revenues, By Sub-Functional Markets, $M
ServiceNow HCM Applications Revenues By Verticals, $M:
ServiceNow Total and HCM Applications Revenues by Region:
|Region||% of Total Revenues||2019 Total Revenues, $M||2019 HCM Applications Revenues, $M|
ServiceNow Direct vs Indirect sales
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ServiceNow Customers - Breakdown by Geo, Size, Vertical and Product
No. of ServiceNow Customers: 6200
No. of ServiceNow HCM Applications Customers: x
No. of ServiceNow Cloud HCM Customers: 6200
No. of ServiceNow Cloud HCM Subscribers: 22 million
ServiceNow has approximately 6,200 customers, and nearly 1,000 of them are spending more than $1 million in annual contract.
Recent customer wins include Zoom Video Communications, 7-Eleven, Swiss Re, University of California, Berkeley, DNB ASA, Chevron, AstraZeneca, Bombardier, BP, Thomson Reuters, Visa, AbbVie, Daiwa Securities, Diageo, Elskabunk, Enbridge, General Motors, Honda of America, Forest City Enterprises, Red Hat, and others.
The installed base also covers Acciona, Addleshaw Goddard, AGL, Bosch Siemens, Bournemouth University, Brit Insurance, Broward Health, Carlson, Centrica, CERN, Discount Tire, Echo Entertainment, Emory University, Energias de Portugal, Enterprise Rent-A-Car, Equinix, FermiLabs, FirstCare, Guardian Life, Harrods, informa Plc., Jefferson County, JMC Steel Group, Juniper Networks, Kimberly-Clark Corportion, L.L. Bean, Land O'Lakes, Lawrence Berkeley National Laboratory, LemminkÃ¤inen Oyj, Liberty University, Loyola Marymount University, Morrison& Foerster LLP, NetHope, NHS - London Programme for IT, Norwegian Geotechnical Institute, Norwegian Olympic and Paralympics Committee and Confederation of Sports (NIF), OhioHealth, Omnicare, Orrick, Herrington&Sutcliffe, Pacific Life, Perrigo, PostMedia Network, Progress Energy, Publicis Groupe, REI, Santander Consumer Media, Sephora, Severn Trent Water Ltd., SkyIQ, Sony Pictures Entertainment, Staples, Synaptics, The University of Chicago, University of Minnesota, University of San Francisco, Wellcome Trust, World Wide Technology, Inc., Yale University and others.
ServiceNow Market Opportunities, M&A and Geo Expansions
In 2020, ServiceNow made integrations with a number of enterprise application providers during the Covid-19 pandeminc. Vonage expanded its Vonage Contact Center capabilities to include seamless integration with ServiceNow. Adobe partnered with ServiceNow as integration partner, connecting data from Adobe Experience Platform and ServiceNow’s Customer Service Management workflow product to enable more seamless, connected customer experiences.
Addittionaly, ServiceNow launched new integration with Cisco DNA Spaces to enhance contact tracing with its Wi‑Fi‑enabled Proximity Reporting app. The integration with Cisco DNA Spaces will allow joint customers of ServiceNow and Cisco to seamlessly import location‑based data into the ServiceNow Contact Tracing app and identify potential interactions with an affected employee.
In July 2019 Microsoft and ServiceNow formed a broader strategic partnership intended to significantly enhance the integration and optimization of the companies products, platform, and cloud capabilities. Through this expanded partnership, the companies will enable enterprise customers in certain highly regulated industries, as well as government customers, to accelerate their digital transformation and drive new levels of insights and innovation. And, for the first time, ServiceNow will house its full SaaS experience on Azure in addition to its own private cloud.
ServiceNow Risks and Challenges
With a stated goal of reaching $4 billion in annualized revenues by 2021. The biggest challenge lies in the growing convergence of IT and operational technology, especially for automation of the activities like the Internet of Things at the edge of the Cloud.
Its acquisitions of Qlue and others appeared to be headed in that direction. There's a limit to how much a company can consume when it comes to Cloud apps, similar to the decelerating trend of mobile apps consumption. The real test is whether ServiceNow is up for delivery service automation at the edge and that may entail creating new apps that involve different functions such as supply chain, manufacturing execution, asset management, field service as well as devices and sensors currently not being touched by the vendor.
ServiceNow Ecosystem, Partners, Resellers and SI
In July 2020, ServiceNow partnered with Deloitte to help customers accelerate their HR Service Delivery (HRSD) efforts and provide employees with exceptional digital experiences, anywhere. Together, ServiceNow and Deloitte will conduct joint go‑to‑market activities to support ServiceNow’s HRSD solution through global sales, enablement, and training activities.
ServiceNow has Partnership Program consisted of Sales Partners, Service Partners, Technology Partners, Service Providers Partners, and Public Sector Partners.
ServiceNow Cloud Platform (PaaS) and Infrastructure (IaaS) Details
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Data used in research reports are derived from publicly available documents, continuous surveys of applications vendors, customers, resellers, Independent Software Vendors, systems integrators and other verifiable sources.
Vendor shares and market forecast results are based on a combination of existing databases as well as demand side and supply side research conducted throughout the year with validation from vendors, customers, channel partners and documentations such as earnings releases and 10Q and 10K filings, vertical industry studies, regional and country-level statistics from public and private institutions(i.e. colleges, universities, government agencies and trade associations).
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