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Medallia Posts Revenue Growth of 45 Percent Year-Over-Year in 2010

By Sujata Garud
TMCnet Contributor

Medallia, a provider of SaaS (News - Alert) Customer Experience Management (CEM) solutions, announced record results for 2010. The company posted revenue growth of 45 percent year-over-year, the sales pipeline grew 250 percent, and the customer base grew 68 percent.

Some of Medallia's new customers include Carnival Cruise Lines, MassMutual Financial Group, Polycom, Inc., St. George Bank, Sandvik Coromant, Sherwin Williams, Sodexo Inc. and Verizon Communications, Inc.  Medallia's revenue in B2B, financial services and retail grew by 310 percent, 150 percent and 59 percent, respectively.

In a press release, CEO and co-founder of Medallia, Borge Hald, said, “2010 may very well be the inflection point for CEM and Medallia. More organizations are adopting CEM as a powerful alternative to the legacy approach of market research, especially in response to the rise of social media. It's gratifying to see so many of our customers are embracing this new approach by incorporating it into their culture and operations. The results clearly show their efforts are paying off -- since 2003, publicly traded Medallia customers have increased their overall market capitalization by 323 percent, compared to 36 percent for the S&P 500.”

Factors that fuelled the 2010 results include globalization of CEM programs; one of the world's largest and leading financial services companies has deployed Medallia in 27 countries, and Medallia now measures customer experience in 139 countries across its customer base. A corollary trend is the shift from department-level CEM programs to corporate-wide programs. 

Medallia introduced many new products in 2010: Medallia Mobile 2 for iPhone (News - Alert) and iPad, Advanced Insights for Market Research, Web Experience, and Text Analytics.

“The newest addition to the product line-up, Text Analytics, was just launched in November but already has attracted very strong customer interest,” said Hald. Based on a technology developed by Medallia, Text Analytics automatically analyzes millions of customer comments, provides deep analysis of both numerical scores and text comments and distributes the results company-wide.

Recently, Medallia was in news when the company announced the Medallia Web Experience solution, which is intended to provide excellent capability to website and e-commerce team to realize and enhance experience of visitors. Web Experience is developed based on Medallia's CEM solution which already powers feedback for most of the world's most esteemed brands which include some of the top 10 e-commerce and social media operations.

Sujata Garud is a TMCnet freelancer with three years of writing/editing experience and two years of market research experience. As an editor she has covered the IT, electronics, banking, pharma, construction, mining and healthcare industries. To see more of her articles, please visit her columnist page.

Edited by Tammy Wolf