ServiceNow Expands CRM Capabilities with Acquisition of Logik.ai
ServiceNow, a leading provider of cloud-based services, has announced its acquisition of Logik.ai, a configure, price, quote (CPQ) solution. The acquisition aims to expand ServiceNow's customer relationship management (CRM) product portfolio and accelerate momentum in sales and order management.
The Importance of CPQ in CRM
Logik.ai provides a unique product that integrates artificial intelligence and an advanced rules engine to streamline the transaction management cycle. The company's CPQ solution enables businesses to configure, price, and quote their products and services more efficiently, providing customers with a seamless buying experience.
Expanding Salesforce Automation Capabilities
The acquisition will expand ServiceNow's salesforce automation capabilities, enabling sellers to increase productivity by exponentially reducing time spent on building sales quotes and recording opportunities in the system. The integration of Logik.ai's CPQ solution with ServiceNow's CRM platform will provide self-service options for customers who can configure products and services themselves.
According to Martin Schneider, vice president and principal analyst at Constellation Research, "With CPQ more seamlessly embedded into the sales and order management capabilities, sellers can increase productivity by exponentially reducing time towards building sales quotes and recording opportunities in the system."
Tying CRM Capabilities to Service Management
Schneider noted that ServiceNow's approach to agentic AI and workflow will further automate the CPQ process and bring in more data sources to provide recommendations and configurations. The acquisition will take advantage of other synergies amongst the CRM and service management products, he said.
"Service management, whether it is internal helpdesk or external call-center or support center, is inside the 'CRM lifecycle' of marketing, sales, customer support/experience," Schneider explained. "ServiceNow is simply building out a full suite of CRM offerings. And given their exceptional core workflow, these are going to be compelling, again, when you consider ServiceNow's investment in agentic and generative AI capabilities."
Benefits of the Acquisition
According to John Ball, executive vice president and general manager of CRM & Industry Workflows at ServiceNow, "The CPQ space is evolving, and Logik.ai is leading the way to simpler, AI-powered selling experience across channels. By adding Logik.ai's industry-leading sales and commerce solution to our CRM offering, ServiceNow will further enhance our capability to sell, fulfill, and service on a single platform."
Regulatory Approvals Required
The ServiceNow-Logik.ai transaction is subject to regulatory approvals and closing conditions. Once complete, the acquisition is expected to further expand ServiceNow's CRM capabilities and enhance its position in the market.