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Home » Articles » How to outsource customer service the right way

How to outsource customer service the right way

How do you outsource customer service the right way?

To outsource customer service well, pick a reliable partner, set clear success metrics, train agents on your brand voice, and support customers across every channel.

  • It helps you save resources and access a global talent pool.
  • It gives you wider coverage, lower labor costs, and multilingual support.
  • It works best with clear goals and a trusted provider.

To outsource customer service is not a new trend for businesses. It has been this way since globalization reached nearly every industry.

What started as an idea grew into a business model. As a result, companies can now save resources at scale.

Outsourcing customer service

Outsourcing any department brings excitement, new learning curves, and an adjustment period. Still, one of the most commonly outsourced departments is customer service.

But what does that mean?

Customer service is a busy department, so companies need staff by the handful. Agents handle inquiries and resolve issues all day. Because of this, businesses expand teams to meet the demand. A wider customer service outsourcing plan makes this easier to manage.

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Outsourcing customer service
Outsourcing customer service

Why do companies outsource customer service?

As noted, companies outsource customer service to save resources. Outsourcing isn’t fully “cheap,” yet it helps businesses save over the long run.

Internal staff cost more than outsourced staff. For example, in-house staff need benefits, insurance, and mandatory allowances on top of paid sick leave.

On the other hand, firms pay outsourcing partners only for active seats. Technically, these staff work for their clients but sit legally under the outsourcing provider.

One hidden benefit of outsourcing

Outsourcing has many benefits, but there’s a trade secret too.

The secret: Outsourcing lets businesses tap into foreign talent pools.

Firms that outsource get better access to worldwide talent. After all, they open their doors to countries beyond their own.

Pros and cons of outsourcing customer service

Like any business model, outsourcing customer service has upsides and downsides.

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Still, management, and employees, can act to soften the negative effects. For example, a clear, honest definition of success helps staff stay focused with an outsourced team.

Another key point is the reliability of your outsourcing partner. In this regard, consider outsourcing thru SixEleven, one of the Philippines’ leading outsourcing firms.

Pro #1: Better coverage area

Most outsourcing firms that offer support can handle several countries at once. For example, if a business sits in the US, outsourced staff adjust to its operating hours.

That’s one reason how outsourcing companies can provide better coverage. Their hours are flexible enough to serve their clients.

Pro #2: Low-cost labor

Developing countries are a hotspot for outsourcing firms. There, the general labor market costs less than in developed nations.

As a result, you pay for active seats at a lower cost than an internal hire. Still, lower labor cost does not mean unfair labor. In countries like the Philippines, the cost of living is far lower than in San Francisco or Los Angeles.

Pros and cons of outsourcing customer service
Pros and cons of outsourcing customer service

Pro #3: Multilingual support

With diverse staff and a distributed workforce, multilingual support is easier than ever. For example, multilingual call centers help brands serve many markets at once.

Every firm that lands in multiple countries wants support that understands the local dialect.

So with an outsourced team, brands can hire staff who speak the language. As a result, they widen their reach in that area.

Con #1: Low local brand awareness

Low local brand awareness is a problem, especially when the parent company is not well-known in the local market.

Most firms that outsource later expand into their chosen country. Usually, they move into the outsourcing firm’s territory, since it already has the local insight.

Con #2: Language and accent barriers

Some customers may feel put off by a heavily accented voice. Parent companies can’t fully control which agents they work with. So this may lower the satisfaction rating.

To combat this, outsourcing firms like Booth train their staff in communication, especially those on voice campaigns. Strong customer service skills help agents handle these calls well.

Customer service trends

New trends in the service industry appear all the time, so it may be risky to ignore them. Running a business means plotting original ideas. Still, one smart move is to stay on top of trends. Keeping up with omnichannel trends is a good place to start.

Sometimes, staying trendy means running campaigns like your rivals. But it all comes down to execution and how your audience reacts.

The same goes for service trends. Research shows that different generations deal with reps in different ways.

Omnichannel support

Omnichannel or multichannel support is not new. Still, it keeps rising as more customers demand easy ways to reach reps.

Younger millennials and Gen Z lean toward email, chat, or text over calls. On the other hand, they tend to call only when an issue is urgent or ongoing.

Chat

Chat support is one of the most popular channels. In some cases, it offers instant help. Still, some channels use a queue when many people reach out at once.

Email

Email support is an underdog among omnichannel options. Most firms respond fast, yet smaller ones struggle to keep up.

One fix is to add more people to the team.

Phone

Phone support is still one of the most popular ways to reach a specialist. It is instant, and the issue can be resolved in one sitting.

Still, this channel is stressful for some reps. So firms often screen staff carefully for voice campaigns.

Knowledge bases

Online knowledge bases are a self-serve form of support. With them, customers can find basic info, guides, how-tos, and articles about their issues. They can also find answers to common questions here.

Multi-platform integration

For better reach, nothing beats multi-platform integration.

From the company website to its Facebook page and Instagram account, customers should reach the brand anywhere. In turn, this smooth reach lifts customer experience optimization across channels.

Customer service trends
Customer service trends

The consumer service trifecta: support, satisfaction, experience

The customer service trifecta is customer support, customer satisfaction, and customer experience. Together, these three cover the whole support department.

Customer support is the practice of solving issues and answering inquiries. Most firms want a support rating of at least 95%. After all, this reflects their culture and how skilled their staff are.

Customer satisfaction is the rating firms get for how their agents, whether in-house or outsourced, handle tickets. So most firms run an after-support survey to gauge satisfaction.

Customer experience is the general “feel” that people have with the company, brand, and staff. CX can cover the product, marketing, and support alike.

It is a broad term, yet CX is one of the most important parts of service culture. For example, CX data helps firms spot areas to improve and gaps in the system.

Whether support is outsourced or in-house, these things must stay intact and up to date. In the end, the key to a strong business is transparency to customers and staff alike.

Frequently asked questions about outsourcing customer service

What does it mean to outsource customer service?

It means hiring an outside firm to handle your support work. The provider’s agents answer calls, chats, and emails for you. So you get trained staff without building the team in-house.

How much can you save by outsourcing customer service?

Savings vary by country, channel, and team size. Still, you pay only for active seats, not full benefits. Over time, this often cuts costs a lot.

Does outsourcing hurt customer service quality?

Not if you pick the right partner and set clear goals. Good providers train agents on your brand voice. So quality can stay high or even improve.

Which customer service channels can you outsource?

You can outsource phone, chat, email, and social support. Many providers also run self-serve knowledge bases. An omnichannel setup ties all of these together.

How do you keep control of an outsourced team?

First, agree on clear metrics and reporting. Next, hold regular reviews to track results. Then keep communication open so standards stay consistent.

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About Derek Gallimore

Derek Gallimore has been in business for 20 years, outsourcing for over eight years, and has been living in Manila (the heart of global outsourcing) since 2014. Derek is the founder and CEO of Outsource Accelerator, and is regarded as a leading expert on all things outsourcing.

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