PUBLISHER: The Business Research Company | PRODUCT CODE: 1426427
PUBLISHER: The Business Research Company | PRODUCT CODE: 1426427
Call center outsourcing is a business strategy wherein a company engages an external service provider to oversee customer service and tele-calling-related activities on its behalf. This approach allows businesses to concentrate on their core activities while an external team manages customer service functions.
The primary types of call center outsourcing include inbound and outbound services. Inbound services involve handling incoming calls, messages, and inquiries from customers. Call center outsourcing in inbound services improves customer support by efficiently managing inquiries, order processing, and issue resolution. This outsourcing model is applied across enterprises of various sizes, encompassing large enterprises, small and medium enterprises (SMEs), and startups. It finds utility in various industry verticals, including banking, financial services, and insurance (BFSI), information technology and telecom, healthcare, retail, manufacturing, and others.
The call center outsourcing market research report is one of a series of new reports from The Business Research Company that provides call center outsourcing market statistics, including call center outsourcing industry global market size, regional shares, competitors with a call center outsourcing market share, detailed call center outsourcing market segments, market trends and opportunities, and any further data you may need to thrive in the call center outsourcing industry. This call center outsourcing market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The call center outsourcing market size has grown strongly in recent years. It will grow from $106.11 billion in 2023 to $113.49 billion in 2024 at a compound annual growth rate (CAGR) of 7.0%. The growth observed in the historical period can be attributed to several factors, including a focus on core competencies, scalability, the provision of 24/7 customer support, and gaining access to specialized skills.
The call center outsourcing market size is expected to see strong growth in the next few years. It will grow to $149.29 billion in 2028 at a compound annual growth rate (CAGR) of 7.1%. The anticipated growth in the forecast period can be attributed to factors such as multichannel customer support, an increased focus on customer experience, attention to data security and compliance, adoption of flexible work models, and a commitment to social responsibility and sustainability. Notable trends expected in the forecast period include the integration of advanced technologies, ongoing technological advancements, a strong emphasis on digital transformation, continued emphasis on data security and compliance, and a persistent focus on enhancing customer experience (CX).
The anticipated growth of the e-commerce industry is set to drive the expansion of the call center outsourcing market in the future. E-commerce, or electronic commerce, involves the buying and selling of goods and services and the transfer of money or data through electronic networks, commonly the Internet. Call center outsourcing services offer e-commerce companies access to skilled agents proficient in handling customer inquiries, ensuring customers receive high-quality assistance and support. As of September 2022, consumer e-commerce constituted 30% of the UK's total retail sector, amounting to over $120 billion in annual revenue, according to the International Trade Administration. Additionally, the United Nations Conference on Trade and Development reported a rise in e-commerce, increasing the online retail sales share from 16% to 19% of total retail sales in 2020. Thus, the growing e-commerce industry is a key driver for the call center outsourcing market.
The increasing adoption of cloud technology is poised to fuel the growth of the call center outsourcing market. Cloud technology, involving a network of remote servers on the internet for storing, managing, and delivering data, applications, and services, provides a scalable infrastructure for managing customer interactions and data. It facilitates remote work, enhances service delivery flexibility, and reduces operational costs. Cloud adoption also enables real-time data access and analysis, contributing to improved customer service and performance monitoring. Eurostat reported a 5% increase in EU enterprises using cloud computing in 2021, with 41% primarily utilizing it for hosting email systems and storing electronic files. Moreover, medium-sized enterprises saw a rise from 46% in 2020 to 53% in 2021. Therefore, the increasing adoption of cloud technology is driving the growth of the call center outsourcing market.
The lack of innovations in call center outsourcing serves as a significant restraint on the market's growth during the forecast period. The absence of innovations in the management of outsourced call center operations impacts the quality of service provided, hindering organizations from effectively meeting changing customer needs and preferences. In 2021, 17% of organizations lacked technology in call center outsourcing, compared to 10% in 2020, as reported by Computer Generated Solutions, Inc. Consequently, the lack of innovations poses a hindrance to the growth of the call center outsourcing market.
Key companies in the call center outsourcing market are increasingly focusing on introducing AI-based real-time contact center solutions to optimize profitability. AI-based contact centers enable agents to analyze client needs and emotions, providing real-time coaching to help them make informed decisions for customers. Qualtrics introduced Real-Time Agent Assist and Automated Call Summaries Solutions in October 2022. These solutions utilize AI and machine learning to offer personalized coaching and suggestions during customer calls. Real-time agent assist enhances customer support skills by analyzing live conversations and providing improvement prompts, while automated call summaries generate comprehensive summaries, including sentiment, topics discussed, and action items. Automated Call Summaries integrate seamlessly with CRM systems to provide a comprehensive customer experience history and a unified source for all customer records.
In September 2021, Sitel Group acquired Sykes Enterprises Inc. for approximately $2.2 billion, strengthening its position as a leading provider of call center outsourcing services. This acquisition enhances Sitel Group's ability to deliver high-quality customer experience management services. Sykes Enterprises Inc. is a business process outsourcing company specializing in customer contact management services, including customer care outsourcing.
Major companies operating in the call center outsourcing market report are Accenture plc, Telefonica S.A, Capgemini SE, Cognizant, Infosys BPM, Wipro, Teleperformance SE, Tech Mahindra, Concentrix, Arvato AG, Genpact, Conduent Inc., Comdata Group, Telus International, TTEC Holdings Inc., Alorica, Sutherland Global Services, WNS Global Services, TaskUs, Transcom WorldWide AB, Datamark Inc, Hinduja Global Solutions, IBEX Global Solutions plc, Startek, VXI Global Solutions, Fusion BPO Services Limited, Arise Virtual Solutions Inc., LiveOps, Groupe Acticall S.A.
North America was the largest region in the call center outsourcing market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the call center outsourcing market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the call center outsourcing market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain
The call center outsourcing market includes revenues earned by entities by providing services such as customer support, order processing, inquiry handling, appointment scheduling, support, and feedback. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Call Center Outsourcing Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on call center outsourcing market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for call center outsourcing? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The call center outsourcing market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.