Why Outsourced Contact Center Services Are Preferred Over On-Premise Services?

Posted by Alisha Sharma on March 29th, 2016

Are you running and operating an in-house call center? Are you finding it challenging to manage unexpected increase and decrease in the call volume? If your answer is yes, then we would certainly recommend you to reconsider your decision. It goes without saying that unanticipated peaks and valleys in the call volume certainly give businesses a testing time while calculating contact center services overall expenditure.

You all must be aware of the very fact that the proportions and procedures are complicated, which can perhaps help you in understanding why is it good to think about taking up the assistance of a third party outsourcing call center.

Through this post, we shall learn why outsourcing contact center are nowadays preferred over on-premise call centers by businesses across the globe.

Contact center services have become one of the major segments of a business plan. Keeping in mind the competitive market landscape and shifting consumer needs and demands, it is no longer the case that organisations can overlook this aspect of their business. Many businesses commit a mistake of running an on-premise contact centers thinking they can save on capital to a great extent. However, in reality the reverse is the case.

Let’s break down few aspects about both on-premise and outsourcing contact center that can help you understand and decide which option is better for you from business point of view.

Below are some of the multiple factors that clearly states the cost comparison between two different types of contact center services-

Labor and operational cost-

When you’re running an in-house call center, then you need to invest your capital to hire staff first and later on training them as per your client requirements. It doesn’t get over here as apart from these expenses you will have to monthly give compensation, allowances and bonuses to employees. In sharp contrast, when you seek assistance of outsourcing contact center you don’t need to invest your capital on all these things. You just need to pay a marginal monthly fee to the service provider and rest all is take care by them. Why to take the headaches of hiring, training and managing a huge team of call agents, when you can outsource non-core business operations to these external service providers. This way you will perhaps experience improved work productivity of your in-house team as they don’t have to invest time on management of customer queries.

Efficient management of call agents

In order to manage your in-house team of call representatives, you need to recruit front line supervisors or managers. This will be an added expense provided you are running in-house call center.

In contrast, when you outsource contact center services, no need to bear management costs as smooth business operation is ensured by team of qualified managers who will be allocated your project.

Detailed reporting-

There is no denying the fact that every successful contact center needs to maintain industry standard qualities and keep a close watch on the service quality assurance. Performance-based metrics are produced keeping in mind the call resolution, response times, average handling time, customer satisfaction, service delivery level, and much more. This won’t be possible for your team to create when you will be running an in-house call center. That’s the reason why it is wise to take the assistance of outsourcing contact center.

Call center infrastructure-

With delivery of on-premise contact center services, you will have to be on your toes for managing every component so as to efficiently support infrastructure. These overhead expenditures mainly comprises of procurement of physical space, telephony, setting up required workstations, and much more. Not to say, for this you need to incur cost for hiring IT staff to ensure smooth setting up of the infrastructure. On the flipside, you don’t need to worry about any such thing and just focus on the pressing issues of your business.

To summarize, taking assistance of outsourcing contact center are certainly a great way to improve your overall business operations.