TMCnet Feature
December 28, 2020

Call Center Philippines: Outsourcing 2.0

Twenty years ago, outsourcing was common knowledge, but it was nowhere near the industry it is today. Over the last two decades, call center outsourcing has exploded. Some countries such as the Philippines have built their economies around it. Technology has allowed companies to send jobs beyond their headquarters, outsourcing positions to locations both onshore and offshore. The offshore option is growing in popularity with companies around the world. Today, there are hardly any call center tasks that outsourcing providers in the Philippines cannot handle expertly.  

English-speaking countries have led the way in overseas outsourcing. The large majority of Fortune 500 corporations have either been outsourcing their call centers to the Philippines or setting up their own captive operations there. This has taken place for many years and with great success. 

“Eight out of ten Fortune 500 corporations are either outsourcing their requirements to call centers in the Philippines or have set up their own captive operations in the country. It’s hard for companies to compete these days without having an offshore play in the Philippines,” says Ralf Ellspermann, CEO of PITON-Global.

Call centers can be a costly department for any company to operate in-house. They are typically not revenue-generating, but they are necessary, which is one of the many reasons they are outsourced so frequently. The cost differential between a domestic call center and an offshore one in the Philippines can be enormous. Companies are able to hire more employees for a smaller sum. Cost savings of up to 50% over standard US call center rates are not uncommon. 

Cutting costs does not necessarily mean a cut in quality or efficiency. Companies do not outsource solely for financial reasons. They understand the competitiveness of the market; providing a quality customer experience is more important than ever to stay relevant and sought-after in today’s economy. This quality is a critical factor when considering outsourcing call center services to the Philippines.

“From a cost perspective alone, having a call center presence or outsourcing partnership in the Philippines makes good business sense. But outsourcing offers so much more than just cost reductions. It allows companies to increase operating efficiencies, drive revenues, and enhance the customer experience. In a nutshell, it provides them with the opportunity to increase their competitiveness and shareholder value,” adds Ellspermann.  

Call center outsourcing destinations such as the Philippines have built reputations based on their ability to provide high-quality services for customers, particularly in the English-speaking parts of the world. The Philippines offers a large pool of English-speaking employees with a deep understanding of the US culture and the needs of their customers. It is vital for employees to be able to have meaningful interactions with customers, and award-winning outsourcing firms such as PITON-Global in the Philippines are providing exactly that. More than 70 percent of the company’s business today relates to customer acquisition, management, and retention. The company partners with high-growth clients in the fintech, healthcare, e-commerce, social media, and on-demand industries, and it has managed to establish itself as the mid-market leader over the last two decades. 

Efficiency is important in any decision and interaction. Outsourcing call center services to the Philippines is not just efficient for the company—it is also efficient for the customer. Having more agents for a program means shorter cuing and call-handling times as well as an enhanced customer experience. 

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