This Week in CX: Are We Designing Experiences or Frustrations?

This week in CX

Happy Friday! ‘This week in CX’ brings you the latest roundup of industry news.

This week, we highlighted how AI and digital trends are reshaping holiday shopping, customer experiences, dining habits, and health interactions.

We are also discussing updates from the Wall Street Journal, Wired, and more.

Key news

  • Although Amazon Web Services has since resolved the issue, its global internet outage this week crippled critical services of major banks, airlines, social networks and retail sites around the world. The e-commerce giant’s crisis affected more than 1,000 companies, including Google, Venmo and WhatsApp, and may ultimately end up costing hundreds of billions of dollars due to loss in productivity for millions of workers. The cascading fallout underscores how fragile and interdependent the digital economy has become, and highlights the trade-offs of centralised cloud computing, according to Wired.
  • Global companies are expected to incur at least $1.2tn (£895bn; €1tn) more in expenses this year because of US tariffs, according to a new white paper from S&P Global. Most of the additional cost is being passed on to consumers. Ikea is among the firms planning to raise prices to offset the impact of a fresh round of tariffs. Companies have also reported more than $35bn in tariff-related costs ahead of third-quarter earnings, although many are lowering initial forecasts, according to a separate Reuters analysis of hundreds of corporate statements.
  • Demand for pre-loved luxury goods is exploding, with platforms like TheRealReal and Fashionphile challenging major luxury brands’ bottom lines. According to CNBC, the luxury resale market is growing three times faster than the firsthand market. Shoppers who once resold items to buy new luxury goods are now “bypassing the primary market altogether”, says The Wall Street Journal, and reinvesting in other pre-loved products. To boost sales, some major labels are reshuffling their creative leadership and reissuing fan-favourite goods to lure cost-conscious consumers back into stores.

CXM news stories

Here’s the full news stories that CXM have reported on in the past week. Learn all about the latest news around the digital holiday shopping season, dining out in the US, omnichannel experience, and more.

The Era of Domestic-First Hiring Is Coming to an End  

Rising wage inflation and a growing shortage of AI talent are forcing companies to rethink traditional hiring strategies. No longer is hiring locally the default, as organisations are moving quickly to build global teams to stay competitive.

A recent global survey by Pebl reveals that 86% of HR and finance leaders plan to expand hiring internationally within the next two years. Nearly half expect international employees to comprise 50% or more of their workforce by 2027. These numbers highlight a clear trend: companies that embrace global talent will have a strategic advantage.

“The era of domestic-first hiring is over. Companies that don’t build borderless teams will fall behind. Wage inflation, AI skill scarcity, and regulatory complexity are all reshaping workforce strategy. The smart ones are going global — and fast,” said As Pebl CEO Francoise Brougher.

Economic logic drives the shift

It’s not just about finding talent, but also about cost efficiency. 87% of leaders agree that hiring abroad makes strong economic sense. Wage inflation at home is accelerating the move. In the U.S., 61% of companies cite rising salaries as a major driver for distributed workforce models, while 57% are increasing overseas hiring to keep pace with growth. Automation and AI are also playing a key role, with 60% of leaders leveraging technology to manage costs and enhance productivity.

AI is reshaping workforce strategies

Artificial intelligence isn’t just changing how companies operate; it’s changing the skills they need. Over half of surveyed organisations are either reskilling existing teams (52%) or hiring new AI-skilled talent (51%) globally. Another 41% are redesigning roles to integrate AI into daily workflows. Mid-sized companies, in particular, are moving fastest, sourcing AI talent from regions like Southeast Asia, Latin America, and Western Europe.

While the global talent pool is expanding, bureaucracy remains a significant barrier. 87% of companies have abandoned plans to enter new markets because of compliance challenges. German organisations report the highest concern, with 57% citing regulatory unpredictability as a key obstacle. Even in the U.S., proposals to raise H-1B visa fees could accelerate offshore hiring, as companies seek ways to avoid escalating sponsorship costs.

Preparing for a borderless workforce

Despite the challenges, companies are ready to adapt. 68% report being very prepared to scale distributed teams over the next 12–24 months, though nearly a third acknowledge the need for additional support. Leaders recognise that borderless teams are not just a response to economic pressures, but a long-term strategy to stay competitive in a world where talent knows no borders.

Thanks for tuning into CXM’s weekly roundup of industry news. Check back next Friday for the latest updates of the week!