Inbound Call Center Outsourcing – Here’s What You Should Know Before Outsourcing

Outsourcing has become a popular business trend, where a company hires another company to handle certain tasks, because it saves money and is convenient. One of the most common outsourced functions is customer support.

Many businesses that have used call center outsourcing have seen an improvement in customer satisfaction and growth. In this article, we will explain what call center outsourcing is, the benefits and challenges, and the different types of services that can be outsourced. We will also talk about the three most popular call center outsourcing services and provide five tips for successful call center outsourcing.

Types of Call Center Outsourcing and Popular Destinations

Call center outsourcing is when a company hires another company to handle their customer service. This allows the original company to focus on their main responsibilities. Some common services that are outsourced are technical support, IT help desk support, sales support, and order management support.

A study from 2021 found that industries such as IT and telecom, Banking, Financial Services, and Insurance (BFSI), healthcare, and retail, are among the major companies that use call center outsourcing. These companies hire outside companies to handle both inbound and outbound customer support.

The location of the third-party company can be classified into three types of outsourcing: nearshore outsourcing (when the company is located in a nearby country), offshore outsourcing (when the company is located in a distant country), and domestic outsourcing (when the company is located in the same country). Most companies choose offshore outsourcing due to the lower cost.

Countries like India and the Philippines are popular choices for offshore outsourcing as they offer affordable call center services because of their lower cost of living compared to countries like the US.

Six Advantages of Call Center BPO

Call center BPO, or Business Process Outsourcing, is a growing trend for many businesses. It's a way for companies to save money and improve customer service by outsourcing their call center operations to a third-party provider. Here are six advantages of call center BPO:

1. Lower Costs: Outsourcing customer service to countries with lower labor costs can be more cost-effective than hiring an in-house team. For example, call center services in India may cost $6-10 per hour, while in the US they may cost $20-30 per hour.

2. Meeting Target Metrics: An outsourced call center can have a larger team of agents, making it easier to meet key performance indicators, like average speed of answer (ASA). This is because an outsourced call center can hire more agents to handle call volume and divide tasks among a larger team.

3. Better Service Quality: An outsourced call center may have agents with more experience handling different customers and situations, as they work with multiple clients from different industries. They may also have agents with specialized skills in certain fields, which can lead to better customer service.

4. Saving Time: Outsourcing customer service eliminates the need to manage an in-house call center, freeing up time for companies to focus on other important tasks.

5. Improved Workforce Management: Outsourced call centers are not limited by regular working hours and can manage their staff more efficiently to maximize productivity. This includes splitting shifts, combining full- and part-time staff, and temporarily recruiting from other departments.

6. Flexible Scaling: Call center outsourcing makes it easier to expand or scale down a business, as it eliminates the need to hire, train, and maintain a customer care team.

While there are many benefits to call center BPO, it's important to understand its limitations as well.

Challenges in Call Center Outsourcing

Outsourcing customer support can sometimes result in a poor customer experience, even if you have hired the best call center outsourcing companies. This could happen due to various reasons such as language barriers or ineffective quality monitoring. Let's look at some of these challenges in more detail:

Lack of Product or Service Knowledge:

• Your outsourcing partner might not have a complete understanding of your company's culture, values, and ethics. This can impact the customer experience, as they might not have quick and comprehensive answers, leading to a lower level of service compared to your company standards.

To ensure that your outsourced team is familiar with your company's offerings and culture, it is important to provide proper training and resources.

Language Issues:

• Language barriers can be a big challenge when outsourcing to a company that doesn't have the same language as you or your customers. Even if they speak the same language, different accents can make communication difficult. For example, a call center service provider based in Australia may use words that confuse US customers.

To avoid this, you should make sure that the outsourcing solution employs agents who can communicate effectively with your customers. You can also ask your partner to train their agents to improve their communication skills. If the company shows no improvement after training, they might not be suitable to provide the desired quality of customer service.

Inadequate Quality Monitoring:

• One major issue with outsourcing customer support is the lack of control in monitoring quality. You might not be able to see if the outsourced agents are working efficiently and following your company's policies, putting you at risk of paying for work that wasn't done.

Types of Call Centers: Inbound vs Outbound

Call centers are specialized centers that help businesses handle customer calls and other related tasks. The two main types of call centers are inbound and outbound.

Inbound call center outsourcing are designed to receive calls from customers who are looking for support or assistance with a product or service. These centers offer a range of services, including lead qualification, customer service, order processing, and help desk services.

Conversely, outbound call centers concentrate on reaching out to potential or current clients through calls. Some of the services provided by outbound call centers include lead generation, customer retention, market research, and appointment setting.

In conclusion, call centers play a critical role in improving the customer experience and maximizing customer satisfaction. Whether you are looking to outsource inbound or outbound call center services, there are plenty of options available to suit your specific needs.

Tips for Outsourcing Call Center Services

Inbound call center outsourcing can be beneficial for your business when done correctly. Here are some recommendations to maximize the benefits of this arrangement:

1. Check Compatibility: Your customer service goals depend on the type of business you have. Inbound call centers handle tasks like payment processing and answering service while outbound call centers focus on appointment setting and lead generation. Choose a call center that aligns with your business vision. You can also consider a contact center that can handle customer interactions across different channels.

2. Skills and Experience: Not all call center service providers are equally skilled. Consider the experience and qualifications of each provider before you make a decision. It is better to choose a provider with experience in your field and multiple clients from the same industry. Make sure they use tools for customer relationship management (CRM) and other call center services.

3. Quality Customer Service: Quality customer service should be your top priority when outsourcing call center services. A Microsoft study found that 90% of customers consider customer service when choosing a brand. Check the references and track record of the outsourcing partner to ensure they prioritize customer satisfaction.

4. Similar Corporate Culture: You and your outsourcing partner should have a similar corporate culture to avoid misunderstandings and conflicts. Ensure that you both have similar holidays and work ethics.

5. Keep Critical Functions In-House: Outsourcing call center services can save time and resources. Use this opportunity to handle important issues in-house and appoint a dedicated team to manage them. For example, you can use intelligent call routing to customize the inbound call center outsourcing and decide which calls to be handled by which agent.

Setting up a customer care center can be expensive due to the costs of buying and maintaining equipment, as well as hiring and training employees. On the other hand, outsourcing customer services can be more affordable, making it a good choice for businesses of all sizes.

However, outsourcing customer service may come with some challenges. By using the information we covered, you can address and overcome these challenges. Then, you'll be able to enjoy the benefits of outsourcing your call center in no time!