Companies that outsource call centers have one thing in common: they know the significance of building and maintaining good customer relationships.
Being in the front-end, call centers create a direct connection between customers (even prospects) and businesses. While it is an important element, call centers are usually not included in the core functions and expertise of most companies. To resolve this concern, many businesses opt to call center outsourcing — the process of subcontracting customer care services, sales/telemarketing functions, and market research to a service vendor.
The patterns and needs of customers dictate the direction of the market. As the lifeblood of most industries, there is no wonder why even the largest multinational companies aim to attract and please as many consumers as they can.
In Microsoft’s State of Global Customer Service Report, 95% of respondents named customer service as an important factor in choosing and being loyal to a brand.
In this article, there are four lines of companies that outsource call centers overseas, these are:
The telecommunications and technology sector is one of the primary users of various call center services. The common services utilized by companies under this industry are customer support and tech support. Technical issues, payment concerns, technical assistance, and subscription upgrade are some of the areas a call center handles.
AT&T is a telecommunications company specializing in phone and internet services, wireless and data communications, IP-based and satellite television, telecommunications equipment, and security services.
As part of its cost-cutting measures, the company moved most of its call center operations to alternative offshore locations such as the Philippines, India, and Mexico.
Another company known for outsourcing its call centers in the Philippines is Verizon. With operations in over 150 locations, this telecommunications and media company provides wireless network services, internet connectivity, published directory information, and data services.
In 2016, some onshore call center workers at Verizon engaged in a seven-week strike in the Philippines. In the end, the two sides reached an agreement with Verizon promising to enhance job security and hire more staff from the U.S.
For Telstra, outsourcing means better service. Because of the 24/7 operations, unique technologies, and better innovation of call centers in countries like the Philippines and India, the company expected to get better assistance in processing efficiencies.
Comcast is a telecommunications conglomerate headquartered in Philadelphia. It provides various services including cable television, home internet service, and telephone service.
Even after bringing thousands of call center jobs back to the US, Comcast continues outsourcing to supplement its workforce in handling seasonal call volumes.
Vodafone, a multinational telecommunications company, outsourced call center roles to India as part of its restructuring initiatives. The management believed that it would help the company in reducing costs while maintaining and enhancing the quality of customer service. Currently, Vodafone already has some of its support calls redirected to two call centers in the Philippines and one in India.
This is not the first time the telecommunications giant engaged in outsourcing though. Back in 2011, Vodafone had moved two of its call center operations to Egypt and India. It also outsourced its debt collections to a service provider.
The Japanese multinational conglomerate holding company SoftBank had also engaged in outsourcing its customer service and telemarketing sales operations.
The company, through its subsidiary Softbank BB, aimed to improve the level of customer satisfaction, strengthen information security, and improve efficiency. For the telemarketing side, the company wanted to take advantage of the sophisticated CRM marketing expertise of its subcontractor. Through this, SoftBank expected to enhance sales and marketing efficiency, improve productivity, and increase sales.
Telefónica is the main telecommunications service provider in Spanish and Portuguese-speaking markets and one of the largest mobile network providers in the world. It offers various services including fixed and mobile telephony, internet and broadband, content management, directories, and more.
In 2018, the multinational company sold its call center business, CATsa, to another global solution provider to divest its non-strategic assets. This will allow Telefónica to reduce its debt pile and increase its market value. Under the terms of the deal, the global solution provider will keep Telefónica its main client, making customer service an outsourced function for the latter.
As a pioneer in providing customer service via Twitter, O2 has seen customer service outsourcing as a way to keep in touch with more customers on the internet. Because of the increasing smartphone and mobile internet usage, O2 aimed to meet the changing expectations of its consumers in contacting companies.
The company viewed outsourcing as part of its “comprehensive plan” to serve customers in “new, innovative, and digital ways”.
O2 is the second-largest mobile network operator in the United Kingdom. It is owned by the Spanish multinational company Telefónica.
Microsoft, one of the biggest technology companies in the world, contracts part of its sales operations to third-party companies in the US. Meanwhile, to cater to the unique needs of the company’s international clients, they outsourced sales teams who are natives to the location.
Aside from sales, Microsoft also outsourced its help desk, along with infrastructure and application support, to an outsourcing company in India.
In 2019, the e-commerce and technology company Amazon opened two dedicated customer service centers in the Philippines. These centers were set to deliver support to Amazon’s customers and provide 24-hour customer service to customers in North America and the UK.
Around 3,200 jobs were created in the process on top of the 1,800 jobs created in 2018.
Businesses under the banking and financial industry deal with countless customers daily. This direct connection calls for quality customer service both in-person and via any communication channel. Outsourcing is so effective that even the Big Four banking institutions in the United States have moved some of its operations offshore. Here are the companies that outsource call centers in the financial industry.
Bank of America, one of the Big Four financial institutions, had moved its support activities to the Philippines. Some of the services performed in its non-bank subsidiary are customer support, technology services, and human resources management.
Wells Fargo, the fourth-largest bank in the world, already had its operations in the Philippines since 2011. This move was considered to increase the “vote of confidence” in the Philippines, having provided thousands of job opportunities to Filipinos.
Offshored roles include information technology and customer support. Filipino call center agents assisted US clients in terms of credit card concerns. They are also involved in credit card collection services.
JPMorgan Chase, the largest bank in the US, also has its call center in the Philippines. Aside from voice services, the financial giant also started to train its Filipino workers “to take on higher-value jobs” in preparation for the massive change brought by artificial intelligence. The focus will be on analytical areas including consumer credit and portfolio analysis.
Citigroup, or simply Citi, is one of the Big Four banks with offshore operations. The financial institution has its shared services and many other regional hubs in the Philippines. This was made possible because of the country’s “sound macroeconomic fundamentals and skilled workforce.”
HSBC Holdings is the largest bank in Europe. Like other multinational companies, it also moved some of its jobs offshore, including call center and business process operations. Currently, HSBC has four global businesses and its operating segments are organized into six geographical regions.
Prudential Financial, a Fortune 500 company, provides financial, insurance, and investment management services to individuals and institutions in more than 40 countries. In 2013, the company moved its call center work and administrative services overseas.
The Principal Financial Group is a global financial company that offers a wide array of products and services including retirement solutions, investment products, and insurance. The company is present in 25 nations and territories worldwide. Its headquarters is in Iowa.
PFG is one of the US companies that outsource its inbound customer service.
Capital One, an American bank holding company, points to automation as the reason why they are outsourcing call center jobs to offshore locations.
In 2013, the bank started to develop a call center and customer service training program with a Philippine company. Then in 2016, it opened another customer service and technical support office in the country, creating more than 4,000 jobs in total.
American Express (Amex), an American multinational financial services corporation, outsourced its customer services and other back-office tasks to the Philippines. Despite its outsourcing activities, Amex is still considered as one of the best companies to work for.
AXA, a French multinational insurance firm, moved its Hong Kong call center to the Philippines to strengthen its services to clients. Headquartered in Paris, AXA provides global insurance, investment management, and other financial services to its customers from Western Europe, North America, Asia Pacific, the Middle East, and some areas in Africa.
The utility sector makes lives easier by bringing in electricity and water services to people’s homes. As another customer-facing industry, it deals with tons of consumer calls ranging from connection assistance requests, billing inquiries, and service complaints.
Enel Energia, the leading energy provider in Italy, entrusted its customer care operations to a global outsourcing company. Under the customer care operations are services such as customer acquisition, payments and credit, billing, and customer inquiry management.
Dominion Energy, commonly known simply as Dominion, is a power and energy company that supplies electricity and natural gas in several states in the US.
The company’s downsizing activities led to the closure of its Pittsburgh office. To fulfill its customer service function, Dominion decided to outsource half of Pittsburgh’s inbound customer service calls to an outside company.
Entergy Corporation is a Fortune 500 energy company with around 2.9 million utility customers in Arkansans, Texas, Mississippi, and Louisiana.
Because of the high unit cost of its internal call centers, Entergy decided to outsource its customer care operations to an American BPO company. Through this initiative, Entergy was able to reduce telco costs, minimize repeat callers, implement different customer care programs, and provide 24/7 service coverage.
Here are the other companies from various industries that outsource call center.
LinkedIn is a company known for its professional networking platform. Headquartered in California, it outsources its sales and customer service professionals from third-party companies.
Best known for its service vouchers, Sodexo outsources some of its sales operations. This multinational corporation also offers food services and facilities management. Its headquarter is in France.
The Wall Street Journal, an award-winning newspaper, outsourced its inbound customer retention to an outsourcing provider. One of the largest newspapers in the United States, WSJ focuses on delivering business-related news. Its daily circulation averages 2.834 million copies both for its broadsheet and digital format.
Wyndham Destinations, a key player in the hospitality industry, started with a staff lease arrangement in the Philippines. The success of this business arrangement made Wyndham open its own captive center in the country.
Transurban, a major toll road operator company in Australia, has been using call center services in the Philippines since 2010 for its toll networks in Melbourne and Sydney.
Aside from Transurban, there are several other Australian companies that outsource jobs to BPO companies.
Procter & Gamble, a global consumer goods corporation, outsourced some of its sales functions to international service providers. Today, P&G offers its products in almost every country across the globe except in Cuba and North Korea.
Pfizer, a New York-based pharmaceutical company, outsources its sales and manufacturing operations to offshore outsourcing companies. The company utilizes functional outsourcing and partnering models for its business processes.
Outsourcing your call center to a reliable service provider can help you enhance your customer service delivery and make your sales functions more proactive. In the usual call center setup, training and coaching are usually provided. There are also regular quality checks to ensure that the service provider meets your standard. Moreover, offshore call centers have 24/7 business operations to make sure that you never miss a call from your customers.
As many companies have already realized, outsourcing can also bring significant savings to your business. The lower labor costs in developing countries make it possible. Although you will only pay a quarter of what you’ll pay to a domestic call center agent, the salary of offshore agents is still fair given the labor market price and the cost of living in their country. Call center outsourcing also mitigates business risks and improves employee efficiency.
The Philippines specializes in voice-enabled services. What sets the Philippines apart from other countries is its close cultural ties with the West, its accent, and the cost of labor. Enough reason why this list of companies outsources call centers in the Philippines has huge brands.
The country’s educated workforce is good at speaking in English, enough to answer inquiries from customers on the opposite side of the globe. Filipinos are also familiar with Western culture. Moreover, it has laws and regulations favoring foreign investors in doing business in the country. Many BPO companies, both local and multinational, are also experts in the various call center and back-office jobs. Of course, its low labor cost along with the quality service of Filipino agents, are enough to attract foreign companies in outsourcing call center jobs.
Magellan Solutions is a top call center in the Philippines. With 15 years of industry experience, it provides quality and cost-effective services to small businesses.
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