Call centers Philippines: Five reasons to outsource
The Philippines has long been famous for its friendly, hospitable people, world-class beaches, cultural diversity, and natural beauty. But over the past twenty years, the island country has also become well known for its booming and ever-growing call center outsourcing industry. In fact, the country now ranks as the #1 contact center outsourcing destination in the world.
“Along the way, major corporations like Microsoft, Google, and Target have invested in outsourcing their contact centers to the Philippines. And there’s a good reason for that: outsourcing call centers to the Philippines is a proven way for companies of all sizes to reduce costs and improve business efficiency,” says Ralf Ellspermann, CEO of PITON-Global, one of the leading mid-sized call centers in the Philippines.
Take a look at some key reasons global companies can enjoy excellent ROI by outsourcing to the Philippines.
Significant cost savings are the main reasons companies of all sizes go this route. Since the cost of labor in the Philippines is substantially lower than in other countries, companies can save big on staffing. It also eliminates the need to invest capital in tertiary costs like office space, computers, software, or human resources that the outsourcing vendor covers. Cutting these overhead costs equals savings of up to 50% compared to in-house operations.
Young, Tech-Savvy Demographic
The Philippines has a very young and educated population, with an average age of 25 and a literacy rate of 97%. This demographic has grown up in a world with technology and knows how to use it for optimal business solutions. Many of the country’s students have access to top-level education and government-supported curriculum aimed specifically at careers in the outsourcing industry. More than half a million college graduates enter the Philippine workforce every year equipped with the advanced skills and training needed to succeed in the call center sector.
Strong Government Support
The Philippine government goes to great lengths to support and nurture the country’s outsourcing industry, facilitating its growth by enabling an investment-friendly environment that encourages new business initiatives, including incentives for startups and SMEs. Call centers in the Philippines are offered significant tax breaks and income tax holidays, making it easier for them to compete globally.
Building an offshore call center operation in the Philippines allows companies to scale quickly and efficiently without capital investment or infrastructure requirements. Teams can be expanded quickly and in a cost-effective manner. Conversely, team size can be just as easily reduced in the case of off-peak seasonal work or if the outsourcing business falls on hard economic times.
Contact centers in the Philippines never stop, with staff working day and night shifts to provide 24/7 services to clients worldwide. This type of instant availability means outsourcing businesses can double business capacity overnight. Round-the-clock service also increases the quality of customer support, as teams can address customer queries, concerns, and issues at any time of day or night, including weekends. Being immediately available to customers can significantly improve customer satisfaction, loyalty, and retention.
These are just a few of the many reasons why partnering with call centers in the Philippines makes good business sense. “Most importantly, though, outsourcing allows businesses to focus on the core essentials of running a successful and profitable business built for profitability and growth,” concludes Ellspermann.