The Philippines – The world’s leading contact center outsourcing hub

Posted by mikekomo3 on July 2nd, 2019

We know a lot of multi-billion dollar companies outsource their call center work to the Philippines. The country does not only provide top-notch quality services to the most profitable companies out there but also to small medium enterprises (SMEs).

The success of the call center industry can be attributed to numerous benefits the country offers to investors. So, in this article, we will tell you some important factors or reasons that make the Philippines one of the best outsourcing destinations in the world. Keep reading!

  1.    Governmental Support

No industry can flourish without government support – as it is the most effective machinery that supports businesses in the country. Also, the government paves paths for companies to attain global outreach.

Recognizing the call center sector among the top contributors to the financial growth of the country, the Philippine government provides extensive support to the BPO companies. The government provides incentives, which encourage businesses across the world to choose the Philippines for most of their offshore operations.

For the provision of such incentives, the government has established the “Special Economic Zones (SEZ),” and the “Philippine Economic Zone Authority (PEZA).”

  1.    Highly Skilled Workforce

Young people dominate most of the Philippines population. The median age of the young population is 22 years old. Also, not only the country has a great supply of manpower, but facts and figures show that the Philippines has a highly educated workforce with an increasing literacy rate of 98%.

In addition, every year, local colleges and universities produce around 500,000 individuals to the pool of highly qualified skilled workers. According to western socioeconomic experts, the country will continue to take advantage of the youthful and talented workforce in the future.

  1.    English Proficiency

You will be amazed to know that more than 70% of the population residing in the country are fluent in the English language. Even children learn to speak English before they get admission in schools. Once they enroll in school for formal education, the teachers work substantially to further reinforce their English proficiency.

In the Philippines, most schools use English as an instructional medium. So much so, it is the primary language for commerce. EF’s English Proficiency Index has ranked the Philippines in the top 15 countries based on English know-how. Moreover, the Philippines ranks 3rd in Asia, bested only Singapore and Malaysia.

  1.    Cultural Compatibility

The Philippines continues to adopt the remnants of the past. Because the country had been colonized by the Japanese, Americans, and Spanish, western culture is deeply rooted in the daily lives of people.

According to UNESCO cultural indicators, people in the Philippines remain highly adaptable and compliant to foreign cultures. Furthermore, the Filipino tradition and culture highly emphasize on hospitality – which makes them easy to socialize and work with. That’s why most western countries outsource their work to the Philippines.

  1.    Cost Efficiency

Last but not least, cost efficiency is the most significant factor that makes this country the best outsourcing hub for the US, UK, Australia, and Canada. When you work with the Filipino contractors, your business can save up to 70% in operational costs. The primary reason behind this is the low costs of living in the Philippines.

In conclusion, the Philippines is simply a heaven for the western corporate world looking to outsource their BPO work. The aforementioned factors are the reasons, which makes this country the most affordable and reliable outsourcing hub.

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