On May 22nd 2019, Zendesk announced its acquisition of Montreal-based Smooch Technologies.

Smooch provides a platform that helps connect businesses with customers across a wide array of messaging platforms, both on mobile and on the web.

This acquisition will help Zendesk deliver the best omnichannel experiences by linking conversations between businesses and their customers on any messaging channel. This will be done with support for the World’s leading messaging apps which include Whatsapp and Facebook messenger.

As one of the largest providers of WhatsApp Business integration, Smooch will be able to allow Zendesk customers to reach their 1.5billion users in order to manage service interactions and have direct engagement with customers through Zendesk Chat as part of its early access program.

Additionally, Zendesk will be expanding their Zendesk Sunshine CRM platform, new integrations with Narvar and Domo and their partnerships with ClearScale and other firms.

According to Adrian McDermott, president of products at Zendesk, the goal for them is to help companies gain a more holistic and deeper view of their customers and the new partnerships will enable companies to build and deploy apps at a faster pace.

Mikkel Svane, Zendesk’s founder, CEO, and chairman believes that we live in a messaging-centric world and customers have grown to expect the convenience and interactivity of messaging to be a vital part of their experiences.

“As long-time partners with Smooch, we know first-hand how much they have advanced the conversational experience to bring together all forms of messaging and create a continuous conversation between customers and businesses,” Mikkel Svane further added.

Warren Levitan, the co-founder, and CEO of Smooch stated that last year, Zendesk launched Sunshine which took the bold and disruptive step that is required in order to compete for and win the CRM future. He believes that the decision to combine forces with Zendesk and to further their CRM strategy will enable them to supercharge their existing goal for building the best customer experiences.

Warren Levitan further added, “We are thrilled to be joining the entire Zendesk team, so many of whom we have had the pleasure to work with over the past three-and-a-half years.”

Additional partners include Atlassian Opsgenie, Qualtrics, Moltin, PagerDuty, Vidyard, CloudSet, Envoy, Zaius, Particular, and Magento (an Adobe company). These firms will be joining the existing partners like Stella Connect, Pendo, Segment, and Oomnitza.

Mike Myer, the CEO of Quiq, a competitor to ClearScale, Zendesk, and Smooch, observed that messaging has quickly become the mode through which consumers engage with brands due to the convenience of interacting on their own terms. He added witnessing marketers becoming bullish about seizing advantages for this new channel and in part being driven by messaging platforms to open themselves up to businesses that present richer experiences.

Zendesk’s acquisition of the company furthers its commitment to an open and flexible CRM as Smooch offers an SDK-based development platform build on AWS and an API that businesses can utilize to build and offer differentiated customer experiences.

The terms of the deal were not disclosed.


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