ServiceNow ( NOW Quick Quote NOW - Free Report) , in collaboration with Qualtrics International ( XM Quick Quote XM - Free Report) , recently announced the launch of a new app to help improve employee and customer experiences. The new app Qualtrics Embedded Insights is available in ServiceNow Store and provides IT and customer service agents a unified view of employee and customer experience and operational data.
Qualtrics and ServiceNow designed this new app to address technological inefficiencies experienced specifically by IT and customer service personnel while providing services to customers.
According to research released by Qualtrics and ServiceNow that had a sample size of more than 1000 IT professionals in different companies, the duo came to a conclusion that four in five (81%) IT professionals waste more than 10% of their workdays on operational process and technological inefficiencies, which in turn reduces their efficiency.
Per the abovementioned research ServiceNow and Qualtrics also studied another sample of 3000 customers, which revealed that more than 69% of customers have to switch between two to three channels of communication modes like live chat, phone, or in-person in order to resolve the issue.
In a competitive work environment, employee inefficiency and customer dissatisfaction can negatively impact employee and customer retention. This, in turn, would hamper top-line growth.
In order to address this issue, Qualtrics Embedded has been designed to provide pre-built configurations, which allow organizations to view their experience data regarding how customers feel about their services, operational data about how many cases have been resolved, and how much time in a unified view via ServiceNow Workspace.
The new app helps IT and customer service teams to identify opportunities where they can automate routine tasks, thus improving their work efficiency as it aids them in focusing on providing more complex personalized services.
The launch of the recent app by ServiceNow and Qualtrics highlights ServiceNow’s strategic business model to build a strong partner ecosystem and provide services to varied customers globally. This is expected to help ServiceNow accelerate subscription revenue growth.
ServiceNow Invests in Building Strong Partner Ecosystem
ServiceNow has been grappling with inflation, unfavorable forex and a challenging macro-economic environment.
Stiff competition in the IT service, non-ITSM and cloud services market remains a headwind and is expected to hurt near-term prospects.
This has impacted the share price movement negatively. ServiceNow shares have tumbled 25.2% in the year-to-date period, compared with the Zacks
Computers - IT Services industry’s and Zacks Computer and Technology sector’s decline of 29.5% and 29.9%, respectively.
However, current geopolitical threats like the Russia-Ukraine war have given rise to a demand for cloud-based platform services, specifically in cyber security.
As such, the challenges have highlighted the importance of investment in digital businesses, and ServiceNow expects the challenges to impact the global cloud market specifically.
ServiceNow is expanding its market share in the global cloud market through its investments in building its partner ecosystem.
As such, the company’s collaboration with
Wipro Limited ( WIT Quick Quote WIT - Free Report) is expected to drive long-term growth.
Wipro has delivered hundreds of client projects across ServiceNow IT, Employee and Customer workflows, which aided ServiceNow in expanding into non-ITSM markets like human resource and security solutions by launching new products and services.
The collaboration with
Barclays ( BCS Quick Quote BCS - Free Report) is noteworthy as well. Barclays is helping ServiceNow broaden operations in countries under the European Union.
Barclays is working with ServiceNow to automate cross-agency management while being compliant with EU data privacy requirements.
The current market scenario is going to help ServiceNow improve demand for its services and aid in increasing its revenues. This will impact shareholders' wealth positively in the long run and makes it worth retaining in your portfolio.
ServiceNow currently carries a Zacks Rank #3 (Hold). You can see
the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.