How Much Does It Cost to Outsource Customer Service?

Finding the best price for outsourcing customer service can be challenging. While the cost is often the main factor to consider, the quality of the provider and other factors are also important. You may also need to consider whether you want to work with a provider who charges on an hourly basis or one that offers a more comprehensive service. In this article, we explore how much it costs to outsource customer service and whether it is really worth it.

How Much Does It Cost to Outsource Customer Service?

The cost of outsourcing customer service can vary significantly even within the same geographies. This depends on several factors that are in play, whether you pay in the low-end or high-end range of services. For instance, the level of experience of the customer service representative can make the cost higher or lower. A provider with highly experienced customer agents or those who can handle specifically technical tasks or have a technical background will usually request a higher rate.

Another factor that influences the cost of outsourcing customer service is the range of services offered by a provider. In addition to the quoted hourly rate of the call center employees, a provider may also include additional costs such as script building, campaign building and set up, telecoms costs, recruitment of agents, reporting to the client, account management, and more. All these add to the overall cost of the service, making it more expensive.

Overall, the cost of outsourced customer service varies from one geographical location to another. While in the United States and Canada, it can range between $20 – $30 per hour, the cost is slightly higher in Western Europe at $40+ per hour, and in Australia $35-$55 per hour. However, it is significantly lower in Eastern Europe at $12-$25 per hour and in Asia $9-$15. Therefore, the average cost of outsourcing customer service is between $10 and $50, depending on the geo-location of the provider.

Advantages of Outsourcing Customer Service

Outsourcing customer service offers valuable benefits to any business. While an in-house team may offer personalized services and a true representation of your business, outsourced services can provide almost similar services at a lower cost. Here are some of the reasons to consider outsourcing your customer service:

• Cost-Effectiveness:Outsourcing customer service to an external provider is a process that saves investment in money, time, and resources. The provider brings on board the infrastructure, processes, and personnel needed to handle customer support needs.
• Scalability: Outsourcing customer services offers your business flexibility to scale operations as the need increases. Unlike in-house customer service solutions that can be limited to budget and functionality, customer support providers have all the resources needed to scale.
• Access to a Specialized Workforce: Outsourced customer support is equipped with staff who will learn about your product and services to handle customer issuesas they arise.
• Access to Contemporary Technology and Processes: Most customer support service providersincorporate the latest technology and processes. This ensures that they meet and exceed customer expectations while maximizing your operational efficiency.
• Focus on Core Competencies: By outsourcing your customer service operations, you allow your employees to focus on core, business-related operations. They no longer have to worry about providing excellent customer care, but only focus on producing the best products.
• Loyal Customers: Since providers specialize in providing excellent customer service, outsourcing this function leads to satisfied customers. Their issues are resolved quickly and painlessly, which makes them more likely to remain loyal to your brand.

Outsource Your Customer Service to Octopus Tech

The cost of outsourcing customer service can vary greatly depending on the provider. However, finding a provider that fits your budget and provides quality services can add a lot of value to your business. With Octopus Tech, you get access to both affordable and quality call center services. Get in touch with us today for inquiries or a free quote on your outsourced services.