Insights

2024 Qualtrics Global Study: Happy Employees Foster Customer Loyalty

Written by Anete Vesere | Sep 12, 2024

Feeling swamped by the challenge of improving both Employee Experience (EX) and Customer Experience (CX)? You’re not alone. Many believe that these require separate strategies, but here’s the real deal: a happy, engaged workforce is the secret sauce to delivering outstanding customer experiences. Let’s unpack this idea using insights from the 2024 Qualtrics Global Study.

A bit about the study

  • Qualtrics is an American experience management company
  • 28,400 consumers surveyed for this study
  • 20 different industries - from retail to hospitality and fast food 
  • Across 26 countries were surveyed

The Myth of separate strategies for EX and CX

Let’s be real for a second. We’ve all been there—thinking if we just throw enough tools and strategies at both EX and CX, everything will magically fall into place.

But spoiler alert: that’s the #1 myth keeping you stuck in the mud. 

The truth is, EX and CX are BFFs, especially when your frontline employees are connected through an employee experience app. When your team is happy, guess what? They make your customers happy too. The 2024 Qualtrics Global Study: ROI of Customer Experience is practically waving a neon sign saying, “Hey, pay attention to this connection!”

Key insights from the 2024 Qualtrics Global Study

Now, let’s get into the juicy stuff. The study digs deep into how CX impacts trust, advocacy, and whether customers come back for more—across industries like retail, hospitality, fast food, airlines, and supermarkets.

Spoiler: it’s not just about how great your product is.

It’s about every interaction, every smile (or lack thereof), every experience that your frontline employees contribute shaping.

Trust: the foundation of customer relationships

Here’s a fun fact: Customers are 2.9 times more likely to trust a retail brand after a 5-star experience. And by “experience,” we’re not just talking about the product itself.

Nope, it’s about the whole package—like how your employees treat customers. If your team’s feeling like they’d rather be anywhere else, well, good luck earning that trust.

The numbers above drive home the point that trust is built on the direct interactions customers have with your frontline employees.

If these employees are disengaged, poorly trained, or unhappy, the chances of delivering a 5-star experience plummet, and trust erodes.

Advocacy: turning customers into promoters

Who doesn’t love a good recommendation? The study shows that positive experiences can crank up the likelihood of a customer recommending your brand by up to 91% (looking at you, airlines and hotels). But here’s the kicker—this only happens when your employees are on their A-game. If they’re not feeling it, neither will your customers. And suddenly, those glowing recommendations? Poof! Gone.

Advocacy is a powerful engine for business growth, and the data shows that it hinges on the quality of customer interactions. These interactions, in turn, reflect the engagement and morale of the employees delivering them.

Without a positive EX, achieving the level of service that inspires customer advocacy becomes a steep uphill battle.

Rebuy likelihood: the heart of customer loyalty

Want your customers to keep coming back like they’re addicted?

Then you need to keep them satisfied—like, really satisfied. The study shows satisfied customers are up to 3.1 times more likely to return.

But that kind of loyalty doesn’t just fall from the sky. It’s built on consistently awesome interactions with your team. If your employees are dragging their feet, don’t expect customers to be running back to you anytime soon.

Customer loyalty, as reflected in rebuy likelihood, is essential for sustainable business. The study makes it clear that satisfied customers are much more likely to return, and this satisfaction is heavily influenced by the experience created by frontline employees.

Without a strong EX, consistently delivering satisfying experiences becomes nearly impossible, negatively impacting customer loyalty.

Why EX should be your first love, not just an afterthought

Here’s where we get real—EX needs to come before CX.

Think about it: if your employees aren’t happy, how can you expect your customers to be? Imagine walking into a restaurant where the food’s great, but the staff looks like they’ve been forced to listen to elevator music on repeat.

Sure, the food might be good, but the vibe?

Not so much.

Are you itching to go back or tell your friends about it?

Didn’t think so.

The Qualtrics study makes it clear: industries that score high on trust, advocacy, and customer loyalty are the ones where frontline employees are the stars of the show.

It’s not just about the fancy products or the swanky setting—it’s about how customers are treated, welcomed, and engaged.

That’s what keeps them coming back.

What role does internal comms play in this?

The insights from the Qualtrics study, while not solely focused on EX, really highlight how vital your role is to bridging the gap between employee experience (EX) and customer experience (CX).

When you effectively keep your team in the loop on what’s happening, what matters, and how their efforts make a difference, you’re not just informing them—you’re involving them. 

You are the one that makes sure your team knows what’s going on, what’s important, and how their work is making a difference.

When frontline employees are included in and feel part of the mission, they’re more likely to bring their A-game to the customer experience.

And that’s where the magic happens.

How internal comms drive EX and CX:

  1. When your team knows the game plan and how they fit into it, they’re more likely to hit those home runs. Clear internal comms make sure everyone’s on the same page.
  2. Keep the vibes positive with regular, transparent communication. When employees feel connected and informed, they’re way more likely to deliver those stellar customer interactions.
  3. Got something to say? Internal comms make sure your employees have a voice—and when you listen, everyone wins. Acting on feedback can make both EX and CX shine.
  4. Don’t just keep the good stuff to yourself. Shout out employee successes through internal channels to boost morale and keep the positive energy flowing. Happy employees = happy customers.

Conclusion: the bottom line

So, what’s the takeaway here? The 2024 Qualtrics Global Study is shouting from the rooftops that EX and CX are inseparable. Your customers' trust, advocacy, and loyalty are all riding on how your employees feel about their jobs. And yeah, internal comms? They’re the unsung heroes making sure everything stays on track.

So, if you want to level up your CX game, start by investing in your employees. Keep them informed, engaged, and happy, and watch as they turn your customers into loyal fans.

Because let’s be honest—when your employees are rocking it, your customers will be too.