5 Ways ServiceNow Plans To Grow In 2020, According To CEO Bill McDermott
During his first-ever earnings call as ServiceNow’s CEO, Bill McDermott delivered a winning quarter for investors with strong growth in revenue and in the number of million dollar-plus deals.
The hottest name in IT service management got hotter as ServiceNow delivered a knockout quarter that saw its share price skyrocket to its highest-ever price: $341 a share with a $64.5 billion market cap.
The company announced that it had 76 deals greater than $1 million in the quarter, 49 percent more than the year ago quarter, and the most million-dollar-plus deals in its history.
On the revenue side, the company grew 33 percent for the quarter on a GAAP basis with $951.8 million in sales. For the year, top-line growth was also 33 percent higher coming in at $3.46 billion.
McDermott said the company has no plans to slow down.
“I'm truly fired up to lead the next phase of ServiceNow's journey, as we scale to $10 billion in revenue and beyond,” he said. “We will accomplish this by delivering exceptional business value to our customers. We will do so across every geography, every industry, and of course, every buying center. We will continue to create workflows that deliver great employee and customer experiences.”
Here are five ways he plans to keep the momentum going in 2020.
Innovate
“To continue driving our growth ... They include, one, being the trusted innovator for the C-suite, this starts with our brands making every C-suite leader aware of ServiceNow and what we can do for them. You may have noticed we launched our new brand campaign across all channels this week. We're receiving rave reviews. I personally love our brand. It's so human, personal, and inviting; we'll keep it going.”
Winning customers
“We're engaging customers with a world-class go-to-market machine. The company already has a strong go-to-market organization, and we're now taking it to the next level.
ServiceNow is hungry and humble, and we have an unwavering focus on serving our customers. We're so honored to have been added to the S&P 500, and to be recognized this month by Fortune as one of the world's most admired companies.”
Additional partners
“We will force multiply ServiceNow with a strong industry and partner ecosystem. The ecosystem is going to become more strategic and more powerful. Our partners tell me they see ServiceNow as the cross-platform integration engine of the modern enterprise. Going after industry verticals and building strong partner relationships will force multiply ServiceNow's coverage by 10x. This will happen across GEOs, industries, and across buying centers.”
Partnerships with industry leaders
“We announced our new industry solution strategy and our expanded partnerships with Deloitte in banking, and Accenture in telecommunications. Number four, we're creating product experiences that people at work will love. The Now platform is ServiceNow's secret sauce. We're a platform company. In fact, we're the platform of platforms, and we're committed to excellence delivering an innovative, scalable, secure, highly available platform, and products that digitize workflows and deliver great experiences.”
Stronger together
“Number five, teamwork. As you all know, teamwork does make the dream work, and it happens with trust, collaboration, and communication at mass scale. Our culture is our ultimate competitive advantage. All 10,371 and growing ServiceNow colleagues are committed to our purpose of making the world of work, work better for people.”