Is Outsourcing Customer Support a Good Idea?

Virginia Miller

July 19, 2024

In this article

Outsourcing customer service saves a lot of money. Despite the cost-saving benefit, basing customer support services abroad in the past often came with long phone or email support wait times, subpar service, and language barriers. We've all experienced them.

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Yet, in recent years, call centers have improved vastly. Today's best call centers deliver exceptional customer service, highly-trained support personnel, and round-the-clock customer support. Also, outsourcing support can reduce business costs and the responsibility of hiring and managing an in-house customer support team. When done right, the benefits of a reputable call center are easy to say yes to.

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What is Support-As-A Service?

Whether you need to hire 1 or 50 agents, the best support-as-a-service teams can help businesses grow by improving customer relations. Customers are likely to do business with you if they receive excellent customer support. Enforcing high customer satisfaction standards across the board is crucial.

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The difference a 24/7, highly-trained support team makes is enormous. It may increase conversions and keep repeat customers coming back for more. It is especially true when complaints, resolutions, and returns are handled well. Long story short, an excellent support team upholds a business' reputation and grows sales, all while keeping costs down at a fraction of hiring in-house support teams.

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What Is Outsourcing Customer Support?

Outsourcing customer support involves hiring an external company to handle customer service for your business. This can include managing inbound/outbound calls, emails, technical support, and more. Outsourcing enables companies to provide quality customer service at a lower cost by leveraging the expertise and technology of specialized service providers.

Benefits of Outsourcing Customer Support

Improves Customer Satisfaction

Outsourced support teams are highly trained to deliver exceptional service. By providing 24/7 assistance across channels, they can boost customer satisfaction, loyalty and conversion rates.

Saves Time and Money

You avoid the costs of hiring, training and managing an in-house team. Outsourced services offer flexibility to scale up or down as your business needs change.

Access to Latest Technology

Reputable providers invest in cutting-edge software, analytics and infrastructure. This allows them to continuously refine support based on data.

Focus on Core Business

Free up your time to work on critical functions like product development, marketing and sales. Customer service is handled by dedicated experts.

Challenges of Outsourcing Support

Communication Barrier

Language differences and cultural gaps with offshore teams can hamper customer conversations. Mitigate through localization training.

Quality Inconsistency

Monitor performance with clear KPIs and regular reviews. This ensures consistent and high-quality support.

Data Security

Enforce strict data protection policies and security protocols at the provider’s end. Conduct regular audits for assurance.

Tips for Successful Outsourcing

Define Requirements

Detail your support needs - hours of operations, channels, languages, metrics. This helps choose the right partner.

Check Expertise and Track Record

Validate their experience in your industry. Review client testimonials and case studies.

Ensure Seamless Integration

Clearly define roles between in-house and outsourced teams for smooth collaboration.

Monitor Performance

Track support metrics weekly. Provide feedback and additional training to continually enhance quality.

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Recommended: How to Use Order fulfillment to Get Repeat Customers

FAQs

What are the main benefits of outsourcing customer support?

The main benefits include improved conversion rates and customer loyalty, handing off customer service tasks to dedicated teams, flexibility to scale up or down as needed, reduced costs compared to in-house staff, and access to the latest technology and infrastructure.

What are some of the challenges with outsourcing customer support?

Challenges can include language and cultural barriers, time zone differences, quality control issues, data security risks, lack of brand knowledge by the outsourced team, integrating the team with internal processes, negative customer perception, and lowered employee morale.

How do you find the right outsourcing company?

Key steps include defining your objectives, researching potential partners, evaluating their expertise, assessing their technology, inquiring about training/quality control, ensuring language/cultural compatibility, comparing proposals and pricing, testing their service, visiting their facilities, and carefully reviewing the contract.

What is the typical cost of outsourced customer support?

Costs range from $2,600-$3,400 per month per agent. Additional fees around $30-$80 per agent may apply. Hourly rates range from $10-$50 per hour depending on services required. Offshore call centers may charge $0.50-$1.75 per minute.

How can you create a successful outsourcing partnership?

Tips include setting clear goals, choosing the right partner, establishing open communication channels, regularly monitoring performance, providing training for staff that interact with the outsourced team, and more.

What are the risks of outsourcing customer support overseas?

Main risks are language barriers, cultural misunderstandings with customers, time zone complications, threat of data breaches, and issues managing quality control from afar. Careful partner selection and service agreements can mitigate these.

Should you outsource email or phone customer support?

Many companies find outsourcing email support to be easier to manage. Phone support is more complex but provides a more personal customer experience. Evaluate costs and your business requirements to decide which channels to outsource.

How can you maintain brand consistency with outsourced teams?

Provide extensive brand guidelines and style guides, product info, regular team training sessions, monitor support interactions, gather customer feedback, and nurture a strong company culture that permeates interactions with outsourced staff.

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