Top CX & EX Lessons from “Medallia Experience” You Need to Know

Top CX & EX Lessons from “Medallia Experience” You Need to Know

 I just returned from the Medallia Experience Event with a sobering realization: 90% of customer feedback never gets used. Think about that—businesses collect all this valuable information from customers, then let most of it gather digital dust. The event didn’t just reinforce what I’ve been teaching through my Doing CX Right® framework—it revealed practical ways any organization can transform both employee and customer experiences.

Having spent 25+ years leading teams in corporate environments and small businesses, speaking globally, and studying business and human behavior, I know firsthand how often organizations miss this opportunity. The facts revealed at Medallia Experience event validated what I’ve been helping people around the world understand:
When you get experience right, everything else follows.

I’m writing this article to summarize what I heard and my perspective on how you can apply the insights as a customer experience leader. And yes, YOU are a CX leader. Not sure what I mean? Please contact me right now!

 

The Hidden Link Between Employee Frustration and Customer Complaints

 

Beyond the Feel-Good Statement

Happy employees directly translate to happy customers. To deliver world-class customer experiences, it’s essential to prioritize and cultivate positive employee experiences.
This isn’t just a nice saying—it’s a business fundamental.

What You Can Do:

Look at your customer complaints and ask, “What might be happening with our employees that’s causing this issue?” For example, if customers complain about long wait times, your employees might lack the tools or authority to resolve problems quickly.

How Top Brands Connect Employee Experience to Business Success

The most successful companies are connecting employee experiences directly to customer outcomes in four key ways:

  • Individual Level: Looking at how specific employee fulfillment impacts their customer interactions
  • Team Level: Examining how department morale affects customer service
  • Process Level: Identifying how employee workflows impact customer journeys
  • Company Level: Understanding how overall company culture shapes the customer experience

What You Can Do:

Start small. Pick one customer journey (like returning a product) and talk to the employees involved. Ask what frustrates them about handling returns, then see if those frustrations match your customer complaints.

Why Chasing Satisfaction Scores Won’t Fix Your CX Problems: Moving Beyond Surveys

The event highlighted how traditional customer surveys are falling short. Even Fred Reichheld, who created the Net Promoter Score (NPS), acknowledged it’s often misused as a vanity metric rather than an improvement tool.

What You Can Do:

Don’t just track satisfaction scores. Also measure practical aspects like:

  • How quickly issues get resolved
  • How often customers come back
  • How customers actually behave (not just what they say)
  • What your frontline employees observe about customer frustrations

How to Spot Customer Problems Before They Happen: Looking Forward, Not Just Backward

The most innovative companies not only analyze past performance but also proactively anticipate future customer delight, positioning themselves ahead of the competition.

What You Can Do:

Look for early warning signs. If your employees are struggling with a new system or product, your customers will likely have problems too. Address employee concerns quickly to prevent customer issues.

The Data Doesn’t Lie: Why EX and CX Drive Real Business Results

The Medallia Experience Event revealed eye-opening statistics that show why this matters:

The Employee-Customer Connection

  • Companies with highly engaged employees are 21% more profitable
  • Businesses investing in Employee Experience see 2× higher customer satisfaction scores
  • There’s an 81% correlation between employee engagement and NPS
  • Organizations aligning employee and customer strategies are 2.5× more likely to meet financial targets
  • These companies are 2.9× more likely to be recognized as a Great Place to Work
  • They achieve 3.2× higher levels of retention
  • Highly engaged employees are 87% less likely to leave their jobs

Why Silos Are Killing Your CX Efforts: Working Together, Not Apart

One clear message from the event: customer experience isn’t just a job for the customer service team. It requires everyone to collaborate and align on solutions.

What You Can Do:

Create a small team with people from different departments (customer service, HR, operations, product, etc) to meet regularly and solve customer and employee problems together. Give them the authority to make fundamental changes.

The North Star: Your CX Strategy Might Be Missing

Fred and several speakers emphasized having a clear “North Star” to guide all employee and customer experience efforts.

What You Can Do:

Define what success looks like in simple terms that everyone can understand. For example:
“We want customers to solve their problems in one contact.”
or
“We want employees to have everything they need to help customers the first time.”

 

How to Use AI to Strengthen Human Connections (Not Replace Them)

Medallia showcased how artificial intelligence can enhance customer experiences—not by replacing humans, but by making them more effective.

What You Can Do:

Use technology to:

  • Find patterns in customer comments that humans might miss
  • Give employees real-time guidance during customer interactions
  • Recommend specific next steps based on a customer’s history

The Business Case: Showing the CX Financial Impact

Companies that connect employee and customer experiences aren’t just nicer places to work—they’re more profitable.

What You Can Do:

Track and show how improved employee and customer experiences affect your bottom line:

  • Lower employee turnover (and reduced hiring costs)
  • Higher customer retention (and lower marketing costs)
  • Increased repeat purchases
  • Fewer complaints to handle

Check out of my other article about the ROI of CX with helpful research to leverage in your business case.

 

Your Next Move: 

The Medallia Experience Event wasn’t just about ideas—it was about taking action. Through my Doing CX Right® framework, I help organizations put these principles into practice because they work. The data and stories shared by global thought leaders reinforced that this isn’t optional—it’s essential.

Congratulations to Eric Stoessel and Jenny Zehentner and the  entire Medallia team for creating such an impactful event. The insights shared by Mark Bishof, Sid Banerjee, Fabrice Martin, Will Guidara, Fred Reichheld, Shep Hyken, Jeannie Walters, Grace Black, Ellie O’Toole, Denise Lee Yohn, Jessica Shannon, Sasha Fard, Sri Narasimhan and others expanded our collective understanding of what’s possible when we connect employee and customer experiences the right way.

The question isn’t whether you should improve these experiences—it’s whether you can afford not to.

 

Want more actionable insights?

Listen to my conversations with some of mentioned leaders on Doing CX Right®‬ podcast.

Subscribe on your favorite channels (spotify, apple, audible, pandora, Youtube, etc)  for updates.

🎧 👉 Sid Banerjee

🎧 👉Shep Hyken

🎧 👉Fred Reichheld

🎧 👉Jeannie Walters

Free Gift From Me To You: 

Do you want to know if your customer experience creates loyal advocates who genuinely love your brand? Are your employees inspired to champion your mission as others in your industry view you as the gold standard they strive to reach?

Discover the:

  • Barriers limiting your brand’s growth and impact.
  • Factors that drive stronger customer connections and deeper loyalty.
  • Strategies to create meaningful experiences that set your brand apart.

Providing the right customer experience can transform your business and enrich the lives of the people you serve. Don’t leave it to chance.

Listen to my conversation with Sid Banerjee – Medallia’s Chief Strategy Officer

10 Impactful Ways To Authentically Thank Employees

10 Impactful Ways To Authentically Thank Employees

It’s no secret that happy employees yield better business results. There’s a lot of research indicating customer satisfaction and loyalty rise when employees enjoy their jobs and workplace. They go hand-in-hand. As leadership expert Simon Sinek says, “Customers will never love a company until the employees love it first.

Research shows (work.com):

“69% of employees work harder when they feel appreciated.
79% feel motivated when recognized.”
“51% of workers are recognized once a quarter.” I’ve been in organizations where it’s more like once per year. 

I know that creating a great company culture does not happen automatically or overnight. It requires intentional design and ongoing focus. As Thanksgiving approaches (and beyond), take time to express gratitude. It’s in your control!   

 

10 Authentic Ways To Thank Employees:

  1. Send personalized thank-you notes. Recognize your staff for delighting customers.
  2. Do something that shows your team they matter. If you don’t know what that is, simply ask.
  3. Invite teams to an Executive meal (virtual works) based on results & positive customer feedback. 
  4. Publicize awesome work. Compliment individuals & teams on the company website.
  5. Enable people to recognize each other. Gamify experiences. Tie prizes to customer value.
  6. Send small gift or balloons to top performers & those with Y/Y improvements.
  7. Buy lunch for people resolving customer issues daily i.ecustomer service reps. survey team, etc. 
  8. Create a CEO video message thanking employees for creating customer promoters.
  9. Offer a bonus or day off to those who routinely demonstrate customer excellence.
  10. Feed employees and show up. I’ve seen Executives literally serve happiness at employee Thanksgiving lunch.

For more inspiration and actionable ideas, watch my interview with Ryan Estis. His true stories will touch the core of your heart as he beautifully portrays a Starbuck barista, Lily, who “pours happiness” every day.

You’ll appreciate my interview even more by watching I’ll never forget that cup of coffee. Play it at your workplace and discuss it as a team as you’ll get people engaged and motivated to show up as their best selves.

Doing CX Right Reminders:

  • Small acts of kindness go a long way. “People may forget what you said or did, but never forget how you made them feel.” Maya Angelou
  • Employees are your heroes. If they don’t feel important, your customers will feel it.
  • Don’t wait for formal end of year reviews. If you’re not appreciating employees throughout the year, your competitors will. They’re searching for great talent.
  • Don’t overthink it. Thank people everywhere i.e. meetings, LinkedIn “kudos” posts, etc.
  • Be empathetic and sincere. Employees know when managers are “checking a box.” 

Employee Satisfaction and DoingCXRight Source: Ashley Johnson

 

What do YOU do show appreciation in authentic and meaningful ways?  

Check out >Doing CX Right®‬ podcasts for more inspiration and actionable tips about Doing Customer & Employee Experiences Right.

Doing CX Right podcast show on Spotify with host Stacy Sherman
DoingCXRight-Podcast-on-Amazon-with-host-Stacy-Sherman.
Doing Customer Experience (CX) Right Podcast - Hosted by Stacy Sherman
Doing CX Right podcast show on iHeart Radio with host Stacy Sherman

The Great Debate: Should Employee Paychecks Be Linked To Customer NPS?

The Great Debate: Should Employee Paychecks Be Linked To Customer NPS?

Measuring customer satisfaction and identifying “pain points” for improvement is common practice at nearly all best-in-class companies. While there’s no question about the importance of customer experience (CX) and employee (EX) too, there is a debate about WHICH metric is best and HOW to apply it within organizations. Should it be NPS or something else? Continue Reading →