“May the Force be with you.” – Han Solo, A New Hope, 1977

In the original films, smuggler Han Solo and Jedi Luke Skywalker form a bond while saving the galaxy. Presented as a final goodbye and “good luck” from Solo to Skywalker before departing the planet Yavin 4, this line illustrates the comradery between the two characters. Despite their differences and Solo’s disbelief in the Force, a near-magical ability, he sends his ally off with a gesture of goodwill.

Sometimes, having a partnership and working towards a common goal means embracing differences between yourself and the ones you collaborate with. Often this kind of open communication, such as with Solo and Skywalker, can further strengthen bonds. That’s why companies that value relationship building and long-term partnerships with an outsource call center partner will be drawn to these words.

Mutual respect and consideration are key to any business relationship. If your partnership with your BPO falls far short of Luke and Han’s, it may be time to set your sights on a new provider. While minor transgressions (like failing to resist the urge to reply, “And also with you,” when you hear this quote) can be overlooked, you shouldn’t be afraid to expect excellence from your outsource call center partner.

“I love you.” “I know.” – Princess Leia and Han Solo, The Empire Strikes Back, 1980

Captured by villainous Darth Vader and facing imprisonment in carbonite, Princess Leia and Han Solo have a touching moment. Leia finally finds the courage to confess her love to Han Solo, expecting that he may not survive his ordeal. Although this line is comedic because of Solo’s flippancy, many believe his lackluster response was his way of saying, “We’ll continue this conversation when I’m free.”

Regardless of how you view this response from Solo, it’s impossible to overlook how one-sided the exchange is. As much as Leia may feel Solo’s commitment, not hearing the words out loud probably left her feeling a little hurt. If you’re Leia in this scenario, it may be time to upgrade your BPO partner to someone who values the partnership enough to show it. Maybe your company has had a couple of not-so-great relationships with BPO partners, but you should always be open to new opportunities for a worthwhile commitment. On the other hand, if you feel you’re more like Han Solo, you may want to consider working to build a stronger relationship with the partner you currently have.

Working with a BPO partner is a two-way street and requires equal dedication from both parties. Knowing when and where an imbalance occurs is the first step to overcoming miscommunications and creating a stronger collaboration.

“Do. Or do not. There is no try.” – Yoda, The Empire Strikes Back, 1980

Spoken by the wise teacher, Yoda, to a frustrated Luke Skywalker, these words speak to how a person can lack a commitment to a goal. Skywalker is attempting to use the Force in this famous scene but finds that he isn’t able to. As he learns how to control his new skill, this piece of advice becomes one of the first lessons Yoda bestows upon the young Jedi knight.

As opposed to saying, “I’m trying,” Yoda is telling the young Jedi that he must be more certain of his abilities. Although you may set out to attain a certain result, it will remain out of reach unless you are steadfast in your efforts. Simply saying you will try is not the same as saying you will do something.

If this quote speaks to you, then you know that setting a goal and following it to completion is an area of importance to your organization. A half-baked commitment from your outsourcing partners to achieve specific metrics won’t impress you or leave you feeling secure. Although missed KPIs happen and progress takes time, at some point a BPO provider consistently saying, “We’re trying,” is no longer acceptable.

“What’s in there?” “Only what you take with you.”– Luke Skywalker & Yoda, The Empire Strikes Back, 1980

As Skywalker prepares to enter a cave that will show his inner darkness and fears, the wise teacher Yoda leaves him these words of advice. According to Yoda, if Luke walks into the cave with fear, that’s all he will find. Instead, Luke needs to make room in his mind for positivity and light.

Even in the context of putting in effort and work, this quote is meaningful. The hope is that if you maintain your relationships and openly communicate your priorities with your outsourcing collaborator, they will do the same for you. Mutual respect is easier to show when both parties do so and is what inspires a collaborative effort.

What your company “brings in” extends even to the outsourcing call center search process. Providing a partner with incomplete or inaccurate requirements and expectations will not allow them to plan for your needs. Instead, entering the search process with a clear understanding of your business needs makes finding the perfect BPO partner much easier.

Feeling Inspired?

If any of these quotes inspired you to look for a new BPO partner! Intuit Nirvana LLC is here to help with our highly qualified team. Join the Jedi order and elevate your outsourcing by requesting your no-obligation call center cost proposal to help navigate the world of outsourcing options.

Saint Louis Park, MN, April 14, 2022 – Intuit Nirvana LLC is excited to announce that we are a FT.com The Americas’ Fastest Growing Companies honoree.

FT.com revealed that Intuit Nirvana LLC has placed in the top 500 companies on its third annual FT.com Fastest Growing Companies list, a ranking and special report on high-growth businesses in North, Central and South America. The Financial Times, in partnership with Statista, sought to identify The Americas’ 500 companies with the strongest revenue growth between 2017 and 2020.

“We are honored to be recognized as one of the fastest-growing companies in both South and North America,” says President and Founder Corey Kotlarz. “This award is a testament to the hard work and dedication of our amazing team, even through hard times over the last couple of years.”

Complete results of the FT.com Fastest Growing Companies, including an interactive database that can be sorted by country, sector, and other criteria, can be found at www.ft.com/content/6ee8f978-a2e0-4644-b7c7-0718a334adb7.

About Intuit Nirvana LLC

Intuit Nirvana LLC is a call center outsourcing advisory firm that specializes in matching top companies with outsource call centers that are a perfect fit. With our team’s over 150 combined years of call center industry experience, we are uniquely positioned to initiate long lasting partnerships between our clients and BPO providers. Our mission is to provide companies a call center industry insider’s expertise without requiring them to exhaust their own time and resources.

We have spent nearly a decade researching and screening outsource call centers to develop a proprietary database of over 500 of the world’s top-performing US-based, nearshore, offshore, and at-home BPO providers – including hundreds that wouldn’t have otherwise been on our clients’ radar. Our BPO analysts are continually updating our database daily to ensure our data is fresh and accurate to add maximum value to our clients.

Our unique matching algorithm uses over 50 data points to identify BPOs that meet our clients’ exact specifications and present the options in a side-by-side comparative matrix for easy analysis. We continue to monitor the ongoing performance of the BPO provider and act as an advocate for our clients after the selection has taken place.

Our BPO partners consistently deliver improved performance, exceptional language proficiency, and considerable cost savings. We simplify the outsource call center search process for our clients, and we’ll do it at NO COST!

Contact: Sarah Klosterbuer, sklosterbuer@outsource-consultants.com

More about Financial Times and FT.com The Americas’ Fastest Growing Companies

Methodology

The 2022 FT.com Fastest Growing Companies are ranked according to revenue growth between 2017 and 2020 that was primarily organic. To qualify, companies must be an independent entity headquartered in one of 20 American countries. Companies from these countries were eligible to participate: Argentina, Belize, Bolivia, Brazil, Canada, Chile, Colombia, Costa Rica, Dominican Republic, Ecuador, Guatemala, Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, the US, Uruguay, Venezuela. Companies must also have revenue of at least $100,000 generated in 2017, of at least $1.5m generated in 2020 and growth between 2017 and 2020 that was primarily organic.

About Financial Times

The Financial Times is one of the world’s leading news organisations, recognised internationally for its authority, integrity and accuracy. This broadsheet and digital publication is based out of London, England.

Better Utilize Technology

We all know that technology has become an essential part of the contact center industry, but we often forget why. The biggest impact made by technology is arguably the ability to reduce the amount of time an agent spends on the line. Whenever an employee handles an issue that could have been resolved easily with technology, money is being lost. This means having an understanding of what each innovation does is more important than ever. While many companies employ multiple ways to cut down call volume and increase self-service options, the three key types are: AI, automation, and access to account information.

AI is a tool used to learn from customer interactions and apply the data to improve user experience. One specific example would be chatbots, which analyze customer queries and responses to better serve the next person in line. Using AI as a supporting element in your call center better utilizes agents to handle the more complex transactions and cuts down on incoming calls. Interestingly, even customers understand AI’s importance, with 60 percent saying they are open to it being used in customer engagement because it can resolve issues promptly.

Automation is likely the most popular technology employed by call centers. Champion among automation — Interactive Voice Response or IVR. This system allows companies to interact with customers prior to getting a live agent on the phone. Doing this gives them the opportunity to route customers to the correct department without the hassle of speaking to multiple employees. Additionally, once a customer is on the line the agent will have nearly all of the information they need to resolve the issue. Even if your company is currently using IVR technology, it may be time to review your systems for innovation opportunities.

Last but certainly not least is access to account information. For retail companies that sell consumer goods and ship them, many inquiries they receive will be regarding the item the customer ordered. These calls range from whether the item has been packaged, delivered, or even what they purchased in the first place. Additionally, service and utility companies may benefit from account information pages for bill payment, service outages, or employee arrival times. A system to quickly give updates in one central place will not only lower call volume, but it will give your customer a feeling of control over their own experience.

Find a Partner With Multiple Locations

A knee-jerk reaction to rising call center costs is often to find a new partner. Although the price may seem lower, severing the bond you have formed with a BPO partner may hurt you in the long run. Even if you find a partner who meets your immediate needs, they may not be what you need in the future, thus starting the cycle all over again. So, what if your existing partner had the ability to handle your changing needs, no matter what they were?

Selecting a partner with multiple locations means that you may only need to search for contact center options once. By having the choice regarding market type, agent numbers, and region all in one place, you minimize the reasons to ever have to scout again. Not only does this mean less potential hassle for you, but it enables a longer, more solidified relationship with your BPO provider.

Building a relationship with a partner can take time, which is why it is better to invest in someone who can adapt to a changing environment now.

Plan For Expected and Unexpected Inquiries

Whether it’s the launch of a new product or a website crashing, you generally know when an increase in call volume is about to happen. Sometimes situations arise with short notice that can affect the number of inquiries received. How you handle each scenario — expected or unexpected — is key to how much a situation will cost your company.

In the event of an expected increase in calls, working with your team and BPO partner is vital. Having an open dialogue about what to expect and what will be needed could help you avoid a disaster. For instance, if you are preparing to increase prices for a particular product or service, you may want to use multiple tools to inform customers. This could be a landing page and banner on your website, social media posts, or equipping your chatbot to answer new queries. The more information you give to your customers, the less likely they will be to call you confused or frustrated and the fewer agents you will need.

Events can be planned for even when they are unexpected. Create an action plan for addressing a variety of situations that could lead to increased customer inquiry volume, as well as how your team will handle them. You may not know when or if your website will go down, for example, but knowing that it’s a possibility and putting a plan in place will lead to your success.

In both situations, using the knowledge that more and more consumers are looking to the internet for information can help you better reach them. In fact, 88 percent of customers expect companies to accelerate their digital initiatives as a reaction to the COVID-19 pandemic. Following several years of engaging online rather than in-person, customers expect the same information on the internet that they would have at a brick-and-mortar store. Making sure you keep them updated on anything that may impact their experience through these mediums is pivotal.

Start Looking Towards Gig Workers

The gig economy has been a hot topic for the last decade as services such as ride-sharing and grocery delivery find a permanent place in consumers’ lives. Contrary to popular belief, gig work isn’t only being used by the delivery service industry. The number of people participating has increased by nearly 3 million since 2010, and many industries are beginning to take part in the initiative, including call centers.

Rather than paying for agents that you may only need during a seasonal influx of calls, gig workers offer flexibility that the contact center industry hasn’t seen before. Many companies know when to expect higher than average call volume, such as peak retail times. Rather than staffing enough agents year-round to cover these times or scrambling to hire in advance of an impending spike, they have begun to pad their roster with independent employees. Gig work makes finding competent agents easier, as well as transitioning to a smaller team after the season ends.

Get Help Finding Solutions

Finding the right partner with the best locations, gig workers and technology should be at the forefront of your mind in this new year. Don’t make it more complicated than it already is. Our team of outsourcing experts understands not only how to save you money, but also how to improve customer service. By applying our years of experience, we can develop a strategy that meets your unique needs.

Start the conversation by requesting your no-obligation call center cost proposal to help navigate the world of outsourcing options.

If you are a BPO Partner with Intuit Nirvana LLC looking for assistance with technology, gig work, or any other questions, contact us at partner@outsource-consultants.com!

Saint Louis Park, MN, March 15, 2022 – Intuit Nirvana LLC is excited to announce that we are a 2022 Inc. Regionals Midwest honoree.

Inc. magazine today revealed that Intuit Nirvana LLC is No. 83 on its third annual Inc. Regionals Midwest list, the most prestigious ranking of the fastest-growing private companies based in Iowa, Illinois, Indiana, Kansas, Michigan, Minnesota, Missouri, North Dakota, Nebraska, Ohio, South Dakota, and Wisconsin. Born of the annual Inc. 5000 franchise, this regional list represents a unique look at the most successful companies within the Midwest region economy’s most dynamic segment–its independent small businesses.

“Our team is truly honored to receive recognition of our hard work and our ability to evolve and rapidly grow despite some of the uncertainty and challenges over the last couple of years, ” says President and Founder Corey Kotlarz. “We are fortunate to have so many incredibly talented and innovative people working together to reach and even exceed our goals. ”

Complete results of the Inc. Regionals Midwest, including company profiles and an interactive database that can be sorted by industry, metro area, and other criteria, can be found at inc.com/midwest starting March 15, 2022.

“This year’s Inc. 5000 Regional winners represent one of the most exceptional and exciting lists of America’s off-the-charts growth companies. They’re disrupters and job creators, and all delivered an outsize impact on the economy. Remember their names and follow their lead. These are the companies you’ll be hearing about for years to come,” says Scott Omelianuk, editor-in-chief of Inc.

About Intuit Nirvana LLC

Intuit Nirvana LLC is a call center outsourcing advisory firm that specializes in matching companies with outsource call centers that are a perfect fit. With our team’s over 150 combined years of call center industry experience, we are uniquely positioned to initiate lasting partnerships between our clients and BPO providers. Our mission is to provide companies a call center industry insider’s expertise without requiring them to exhaust their own time and resources.

We have spent years researching and screening outsource call centers to develop a proprietary database of over 500 of the world’s top-performing US-based, nearshore, offshore, and at-home BPO providers – including hundreds that wouldn’t have otherwise been on our clients’ radar. Our BPO analysts are continually updating our database to ensure our data is fresh and accurate.

Our unique matching algorithm uses over 50 data points to identify BPOs that meet our clients’ exact specifications and present the options in a side-by-side comparative matrix for easy analysis. We continue to monitor the ongoing performance of the BPO provider and act as an advocate for our clients after the selection has taken place.

Our BPO partners consistently deliver improved performance, exceptional language proficiency, and considerable cost savings. We simplify the outsource call center search process for our clients, and we’ll do it at NO COST!

Contact: Sarah Klosterbuer, sklosterbuer@outsource-consultants.com

More about Inc. and the Inc. 5000 Regionals

Methodology

The 2022 Inc. 5000 Regional are ranked according to percentage revenue growth when comparing 2018 and 2020. To qualify, companies must have been founded and generating revenue by March 31, 2018. They had to be U.S. based, privately held, for profit, and independent — not subsidiaries or divisions of other companies — as of December 31, 2019. (Since then, a number of companies on the list have gone public or been acquired.) The minimum revenue required for 2018 is $100,000; the minimum for 2020 is $1 million. As always, Inc. reserves the right to decline applicants for subjective reasons

About Inc. Media

The world’s most trusted business-media brand, Inc. offers entrepreneurs the knowledge, tools, connections, and community to build great companies. Its award-winning multiplatform content reaches more than 50 million people each month across a variety of channels including websites, newsletters, social media, podcasts, and print. Its prestigious Inc. 5000 list, produced every year since 1982, analyzes company data to recognize the fastest-growing privately held businesses in the United States. The global recognition that comes with inclusion in the 5000 gives the founders of the best businesses an opportunity to engage with an exclusive community of their peers and the credibility that helps them drive sales and recruit talent.

The associated Inc. 5000 Conference is part of a highly acclaimed portfolio of bespoke events produced by Inc. For more information, visit www.inc.com.

Domestic Wage Increases: Now and Future

From October 2020 to October 2021, the USA saw a 9.77 percent wage hike, with lower-paid employees benefiting the most. These wage increases have been driven by several factors, from the early retirement of older employees to women leaving the workforce to cut daycare costs. Positions once held by these groups are freeing up, causing an excess of open jobs without a large enough working population to fill them.

With the high competition over potential employees, businesses have had to add competitive advantages to their hiring plans. Not only does this include higher overall wages, but the inclusion of benefits for positions that historically had none. Some companies have even gone as far as adding lesser seen perks like pet insurance, or sabbaticals to travel and explore interests outside of work.

In addition to the huge rise in the last year, wages in the USA are projected to continue climbing by 3.9 percent through 2022.  In truth, daily life for consumers will continue to reflect the growing tension between potential employers and candidates. Many consumers have already noticed barren grocery store shelves and longer wait times in restaurants as service and supply chain industry positions remain unfilled.

No industry is safe from rising labor costs, especially the contact center industry where a majority of employees are the heavily affected low-wage earners. Aside from just wage inflation, recruiting cost increases and benefits additions have put a major strain on the margins of domestic contact centers. Due to these tighter margins, BPO leaders have had no choice but to renegotiate contracts in an attempt to avoid operating at a loss, often doing so with little warning to their clients

Global Wage Increases: Now and Future

Although a majority of wage growth has been seen in the United States, wages have also risen globally over the last year. Many countries have seen companies offer more competitive compensation in a bid for skilled workers, including India, the Philippines, and South Africa.

As costs rise domestically, other countries will begin to see more U.S. companies looking to outsource any positions they can to less expensive regions in an attempt to keep costs under control. The surge in demand for employees in nearshore and offshore regions, coupled with each country’s changing workforce, will undoubtedly affect the United States’ global partners. In fact, through 2022, compensation growth in South Africa and the Philippines is forecast to be roughly 6 percent each. India is set to experience a rise similar to the 2021 numbers in America at 9 percent.

As with domestic changes, global wage increases will have an impact on the BPO industry as well. Many companies have seen the cost savings and reliability of outsourcing, leading them to move some or all of their support to other regions. This influx of business has put a strain on foreign markets, which has caused the costs of their outsource contact centers to go up.

What Can You Do To Prepare?

Whether your company utilizes in-house or outsourced customer support, everyone will feel the labor cost surge. If you prefer to keep your contact center support in the United States, you can expect to see costs go up and should budget accordingly. Of course, there are still price differences among domestic BPOs due to factors such as location and call center size, so there are opportunities to minimize the financial impact. It may simply mean moving support to a state or region that is less expensive, or from a large provider to a mid-sized one.

But the most effective way to reduce, or at least maintain, call center costs is to look beyond our borders. There are hundreds of BPOs across the globe that provide comparable – often superior – customer service at a lower price point. Established players like the Philippines and Latin America have already proven themselves to be exceptional options, and emerging markets like Africa aren’t far behind.

The biggest key to offsetting rising costs is simple — plan ahead. Business leaders will need to understand and embrace the changing market in order to adapt. Additionally, having an understanding that competition for outsourced services is becoming fierce will help prepare you while scouting new BPO partner opportunities. Adaptation may ultimately mean being prepared to pay more, look for new partners, or both.

Simply put, your BPO partner isn’t always going to be able to give you notice regarding cost adjustments — you need to be prepared before they bring it up. Having a full understanding of your options and potential costs will put you in a better position to make wise choices.

Intuit Nirvana LLC knows the industry and understands the trends, so we can help you sort through your options and help you find the right outsource call center should you choose to add or replace partners. Get started with a no-cost, no-obligation call center cost proposal.

United States

How do your friends describe you in one word?

Reliable. With a world-class communications infrastructure and a culture of outstanding customer service, I remain a dependable option for both inbound and outbound call centers. With me, BPO leaders know what they’re getting — top-notch service.

What is something you want to change about yourself?

I wish I could change the rising cost of doing business with contact centers in my country. However, organizations looking to keep their call centers close to home can find lower-cost options in certain regions.

Tell me something about yourself that would surprise people.

I have a thriving outsourcing industry! While the average consumer tends to associate outsourcing with overseas workers, many organizations are trusting their CX to outsource call centers right here in the United States. This provides access to domestic agents without having to worry about staffing, payroll, and facilities management.

How many languages do you speak?

It’s hard to say how many languages I speak because of my status as a cultural melting pot. While my most frequently used language is English, it is not uncommon for citizens to speak additional languages like Spanish, Chinese, Tagalog, or French.

What is your motto for this year?

“I’m worth it!” Wages might be rising, but many business leaders looking for reliable contact center solutions will still find that I’m an excellent choice. I have a history of exceptional customer service, world-class infrastructure, and talented agents.

The Philippines

How do your friends describe you in one word?

Established. This word speaks to how long I’ve been a first-rate contact center outsourcing option. Companies looking for offshore alternatives have seen value in me due to my excellent English skills and my affinity with Western culture.

What is something you want to change about yourself?

Don’t be fooled by my last answer — I’m constantly working on myself to become everyone’s perfect outsourcing option. I have spent a lot of time improving myself through the Foreign Investments Act, and I would like to continue to pursue those goals. I’m aiming to give better competitive advantages to different sectors, including the BPO industry, and continue to provide excellent training for the next generation of call center agents.

Tell me something about yourself that would surprise people.

I have the largest outsourcing industry in the world. This status has been earned through my contact centers setting themselves apart from global competitors by offering world-class service and fluent English.

How many languages do you speak?

When it comes to business, I tend to speak English, and I speak it well. In fact, BPO leaders are often surprised by the fluency of my contact center representatives. When I’m with my friends and family, I usually speak one of our native languages like Tagalog or Filipino.

What is your motto for this year?

“Take time for self-care.” These past years have been challenging with the COVID-19 pandemic, but I’ve taken the time to focus on myself. I’ve learned that sometimes a little change, like working from home or welcoming more foreign investment, can go a long way.

El Salvador

How do your friends describe you in one word?

Affable. My proximity to the United States allows call center leaders easy oversight and flexibility. Additionally, the contact centers in my country are eager to work with geographically and culturally similar business leaders. To attract these prospective partners Salvadoran BPOs offer a significantly lower cost than those in the U.S. and Europe.

What is something you want to change about yourself?

With a new government administration, I’ve been focusing on bettering my infrastructure for foreign investors, including BPO partners. Most notably, I am working to expand airport capacity to ease travel for business leaders.

Tell me something about yourself that would surprise people.

Many Fortune 500 companies have chosen me as their outsourcing option. The BPO industry that services these companies is especially strong in major cities like San Salvador, where my business and communication infrastructure are at their strongest.

How many languages do you speak?

I speak both English and Spanish fluently. The fact that these languages are two of the top four spoken worldwide has helped my BPO industry service customers all across the globe.

What is your motto for this year?

“Maintain your close friendships.” I want to continue to provide excellent customer service and cost savings to companies looking for call centers in my country. I’ve already invested in expanding my airports and want to continue to make corporate leaders feel welcome within my borders.

South Africa

How do your friends describe you in one word?

Enterprising. As an emerging outsourcing option, I have remained open to anything that will help me grow in the contact center industry. Those who know me well would say that I’ve really put in the work to stand apart from the crowd.

What is something you want to change about yourself?

I’m hoping to elevate the ease of doing business in my country for foreign business leaders, especially those looking for outsourcing options. In fact, I have added lucrative perks for the BPO industry, including a lump sum cash incentive for each new contact center job created.

Tell me something about yourself that would surprise people.

I’m more than just lions and giraffes. I’m home to several huge, modern cities like Johannesburg, Durban, and Cape Town. My cities are great tourist destinations but also have thriving economies and well-developed business infrastructure.

How many languages do you speak?

Although you’ll find my citizens speaking English while doing business or relaying news, I speak far more than just that one language. Between my cultural diversity and my proximity to other African countries, I’ve picked up 10 additional languages.

What is your motto for this year?

“Growth is good.” I’ve grown a lot over the last few years, but there’s still no slowing me down. BPO leaders have benefited from the work I’ve put into my business infrastructure and my improvements to ease of doing business. I want to keep growing in these areas to offer the best outsourcing options possible.

Poland

How do your friends describe you in one word?

Active. Ever since joining the EU, investments have been channeled toward growing my economy. I’ve been able to focus on building my infrastructure aimed at foreign businesses – like contact centers.

What is something you want to change about yourself?

I recently adopted EU regulations, giving my private-sector autonomy and offering tax incentives to foreign investors. My aim is to continue to leverage these regulations while also keeping my costs for the BPO industry low.

Tell me something about yourself that would surprise people.

Although I’m not necessarily the first European country most people think of, I still have a lot of cultural similarities with other Western nations. This makes me an ideal outsourcing location when companies look for a European partner.

How many languages do you speak?

My connections with other European countries have helped me learn just about every language in the region. You can expect to hear my citizens speaking English, Polish, German, Italian, and many more.

What is your motto for this year?

“With every step, I get closer to my goal.” I know that as I invest in my business infrastructure, I’ll get closer and closer to my goal of being a top BPO option in the European region. Many corporate leaders have already begun seeing the benefits of partnering with contact centers within my borders because of the progress I’ve made.

Find Your Perfect Call Center Match

Finding the perfect match BPO partner is key to providing great CX for your customers. If you want us to introduce you to any of the countries you’ve met here, or set you up on your own custom speed dating session with additional countries, just request your free call center cost proposal.

The results show a clear trend toward SMBs relying on BPOs to handle many of their services – with positive results.

Notably,

• 82% of small businesses have increased outsourcing following the pandemic.
• 83% plan on growing their outsourcing efforts in 2022.
• 93% report having positive experiences with their outsourced providers.

Intuit Nirvana LLC Founder & President Corey Kotlarz was asked about the survey’s findings that 20% of businesses used referrals to find BPO partners and provided the following quote: “I’m surprised that referrals didn’t account for a higher percentage. Given the size and complexity of the outsource call center market, I would have expected business owners to rely more heavily on trusted colleagues to help sift through the options.”

You can read the full results of this survey here: Small Business Outsourcing Statistics: A Deep Dive Into 2022

Mr. Gackle has spent the last 29 years working in the BPO industry, distinguishing himself as an expert in CX improvement and call center partner identification. He has helped companies of all sizes – from small businesses to Fortune 50 powerhouses – improve their customer support systems. He has held executive roles at major BPO providers and specializes in the insurance, financial, and healthcare verticals.

“I’m excited for this new venture with Intuit Nirvana LLC. Our large network of BPO vendor partners provides the opportunity to perfectly tailor my recommendations to the needs of my clients,” says Gackle. “This is a business model that perfectly aligns with my priorities as I embark on this next chapter of my career.”

About Intuit Nirvana LLC
Intuit Nirvana LLC is a call center outsourcing advisory firm that helps companies find the perfect fit outsource call centers. Our team of veteran BPO industry experts simplify your search process by matching you with call center providers that meet your exact requirements. We save time, reduce costs, and find you the right partner, at no cost to you.

CONTACT:
Sarah Klosterbuer
sklosterbuer@outsource-consultants.com

So where do things stand now? Let’s take a look at how the potential threats we covered in 2019 have played out, and how the Philippine call center industry has faced the additional difficulties initiated by the pandemic.

The Rise of the Casino Industry

2019 Status: In 2019, online gambling aimed at Chinese customers found a foothold in the Philippines due to low taxation. As they expanded, these companies snapped up prime office real estate previously occupied by other types of organizations – like call centers. However, many were unsure if the online gambling industry could outpace the BPO industry as government eyes finally began to settle on it.

2022 Update: Of all the industries to potentially disrupt the contact center industry in the Philippines, one has stood out: Online gambling. One of the biggest challenges to the contact center industry has been the loss of available office space to these gambling establishments. For several years, a lack of taxation energized the growing industry. Unfortunately for online gambling operators, however, those days seem to be coming to an end.

Lawmakers issued a new tax plan on Dec 3, 2021, for online gambling operators. The new tax will see licensees paying out either 5 percent of their gross gaming revenue or 5 percent of an agreed-upon minimum monthly revenue. This new tax will also see licensees pay a 25 percent annual income tax on any of their non-gambling operations.

Outlook: The changes in taxation are sure to make the online gambling industry less lucrative. With interest in the industry waning, prime office space is likely to open back up for contact centers. As BPO leaders look to open their doors for the first time or expand their existing staff, these vacant offices are sure to catch their attention.

Reduction of Tax Incentives for Urban Development

2019 Status: In June 2019, President Rodrigo Duarte issued an order to pull resources previously dedicated to urban development and apply them to rural areas. This shift in economic objectives led to less lucrative tax breaks for businesses in urban areas.

2022 Update: Investment by the Philippines into both urban and rural ecozones has taken a back seat amid lockdowns and fiscal drain.

Though investment in centralized places of business has dwindled, the Philippines has created other incentives for foreign investors by amending the country’s Foreign Investments Act. Included in this amendment is the Foreign Investment Promotion and Marketing Plan (FIPMP) which includes competitive advantages, natural resources, skill and educational development, and other areas of improvement.

Outlook: While investment in the development of all ecozones has largely stalled, the Philippine government still has the importance of foreign investors in mind. By establishing objectives through the Foreign Investment Act, the Philippines has given investors peace of mind that the country will recover financially from the COVID-19 pandemic.

The Rise of Nearshore Outsourcing

2019 Status: Cost increases in the Philippines had been making it more difficult to significantly undercut other prime outsourcing regions like Central and South America, causing some business leaders to consider alternative destinations for their outsource call centers. However, the widespread fluency of English and excellent customer service kept the Philippines competitive even as pricing became less of a differentiator.

2022 Update: For most of its history, the Philippines has enjoyed a cost advantage as a BPO leader. However, in recent years experts have noticed a shift as the cost of outsourcing has risen. This has led some to wonder if the country is on the verge of losing the cornerstone of its competitive edge. While the Philippines’ costs remain below, or at least comparable with, nearshore and African regions, it can no longer offer the massive discount it once enjoyed.

But pricing isn’t the only reason the Philippines is a world leader in the call center industry. One key factor in the Philippines staying competitive: exceptional customer service. With a thriving industry comes the ability to invest in excellent training programs and customer service best practices.

Outlook: The margins may be closing, but Philippine BPOs are still able to undercut nearshore competitors in most cases. This means that the Philippines can remain a leader in the world of call center outsourcing. Though the cost of call centers in the Philippines is on the rise, the years-long investment in customer care can counteract the price increase. Those looking for a way to elevate their customer experience at a competitive cost will still find the country an exceptional choice.

The Impact of COVID

2019 Status: COVID-19 was first documented on December 31, 2019. Epidemiologists had been theorizing about the likelihood of a global pandemic, and the world had been regularly battling smaller outbreaks for decades, but the reality of COVID-19 was barely a blip on the radar prior to 2020.

2022 Update: In the past two years, the Philippines has been hit hard by COVID-19. The fact that only 36 percent of the population has received at least one dose of a vaccine has been a major hindrance to minimizing spread. However, with government vaccine campaigns rolling out over the last several months, the country has finally started to see a decline in its infection rate.

As the transmission of COVID-19 slows, Philippine citizens are starting to return to work and a semblance of normal life – for now. The Omicron variant is sweeping through the world, leaving many experts uneasy about how long normalcy will last.

Outlook: The effects of a slow vaccine rollout after being hard-hit by COVID-19 has dealt a blow to the Philippines and its BPO industry. However, the government’s commitment to vaccination is helping the country’s recovery keep pace with other outsourcing regions and will likely allow it to stay competitive.

The Future of Working From Home

2019 Status: Working from home was generally not considered feasible by the call center industry, with most agents taking calls from offices equipped with productive workspaces and high-speed internet. This was especially true in the Philippines, where poor internet connectivity and multi-generational households made working from home less efficient than coming into an office. As a result, few call centers had employees working remotely, and many lacked the technology and security to do so.

2022 Update: Many Philippine call centers faced difficulties while transitioning to a work from home model at the height of pandemic lockdowns. Ultimately, most BPOs were able to find a solution in the face of necessity and have been implementing solutions for long-term remote work in many cases.

One of the biggest factors to ease the transition has been the spread of reliable internet services. The World Bank has approved a $600 million loan designed to help the Philippines build infrastructure to keep the country competitive. Part of this loan is for the expansion of broadband services that will support both urban and rural households as more employees work from home.

After two years, many employees feel confident in their ability to remain productive outside of an office environment. Many employers report that they are experiencing higher productivity but are becoming concerned for their employees’ mental health. Work from home employees are less likely to take breaks and more likely to pack more into their daily schedules, causing high levels of stress.

Outlook: Many employees are hoping for at least a hybrid model, but employers are still hesitant. The current efforts to expand internet services will certainly help make the case for remote work, but employees without adequate home offices will probably return to the office full time.

Overall Outlook for the Philippines

Although the Philippines has faced challenges over the last two years, it is still on track to remain a reliable outsourcing destination. With a strong commitment to customer service and English language fluency, business leaders will find themselves hard-pressed to find a better balance between cost and benefit.

Additionally, the Philippines has made strategic investments in response to a global pandemic. The country has a renewed commitment to adding practical infrastructure to support not just businesses, but their employees as well.

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Looking back on 2021, what surprised you the most about the state of the call center outsourcing industry?

I continue to be amazed at how resilient the industry has been as it has faced many significant challenges over the past two years. We continued to see strong demand for outsourced services, and BPOs were able to step up and provide adequate supply and fantastic CX. The call center industry continues to evolve to meet current needs, and is thriving.

The rate of wage escalation in the United States was certainly a surprise. Both internal and external call centers needed to dramatically increase pay and benefits to retain and attract talent. While we always expect to see steady increases, the pay hikes of 10% – 20% were beyond what many anticipated. This caused a run on nearshore and offshore vendors who were able to pick up the business efficiently, leading to very strong nearshore demand and growth.

Besides remote work, what industry changes that arose from the pandemic are likely to become standard practice in the future?

Pandemic-induced operational changes sped up the adoption of new contact center technology. As inquiries rose and it became more difficult to keep call centers fully staffed due to the logistical challenges of pivoting to remote work, many organizations took strides to minimize the need for live agents through digital tools. Deflection and self-service options, like improved knowledge bases and AI-driven chatbots, that had previously been “nice to haves” on a roadmap were suddenly a top priority for organizations. These features may have been implemented out of necessity, but the efficiency and cost savings they produce have made them permanent staples in a modern CX platform.
Many companies were also forced to update their security technology to maintain compliance while their employees were working at home, but the improvements they offer apply regardless of where the agent is working. Remote work made top-notch security and compliance a priority, and it will continue to be a primary focus.

What are the biggest unknowns facing the industry right now?

The ongoing impact of COVID-19 is a giant question mark for everybody, and the call center industry is no exception. There is a very real possibility that a new variant could send regions into another lockdown. While most BPOs have contingency plans in place now, it would still be a major disruption.

It’s also unclear how vaccine mandates may impact call centers. Some governments have attempted to implement legislation requiring vaccine compliance for employees, but appeals and litigation have stalled any meaningful enforcement. But larger BPOs, in particular, may face additional staffing challenges if these mandates are upheld.

International travel is a cornerstone of most outsourcing programs. It has been difficult, or even impossible, to perform in-person due diligence for potential vendors, or to meet with existing partners face to face for training or performance optimization. BPOs have attempted to fill the void with impressive virtual site visits and virtual training, but they’re not as optimal as an in-person visit.

Where do you feel organizations are most unprepared as they head into 2022?

The rapid rise of labor costs in the US has had a devastating impact on domestic call centers, all but evaporating margins that were often slim to begin with. As a result, many BPOs now find themselves in the precarious, but necessary, position of having to renegotiate rates with existing clients. With little to no warning preceding these conversations, clients are forced to choose between paying higher rates or scrambling to find another provider to shift contact volume to a lower-cost location.

This speaks to a larger problem that we’re continuing to see within the industry. Even after all of the disruption and uncertainty brought on by the pandemic, a surprising number of organizations lack adequate diversification and redundancy in their outsourcing strategy. They continue to put all of their eggs into one geographical basket. Organizations that don’t have support dispersed contact volume allocation to several geos could face some considerable challenges in the coming year.

Which outsourcing regions do you believe are poised to thrive in the coming year?

Rising costs in the United States are going to benefit foreign markets due to increased demand for their services. Established markets like Latin America and the Philippines are in a great position to take on new business and scale over the coming months.

We’re also seeing demand for African markets begin to take off. In areas where the industry is relatively young, outsource call centers have an almost endless pipeline of talented, motivated, affordable agents. We’re also seeing major strides in infrastructure improvement in emerging markets. As traditional markets begin to feel a greater strain on labor capacity, African BPOs will have an opportunity to shine as a low-cost option with a deep labor pool.

What are your thoughts on the current state of the call center industry?

I’m bullish as we enter 2022. The demand for call center outsourcing is stronger than ever, and BPOs continue to embrace leading-edge technology and exceptional training.

Certainly, the landscape is changing. Many of the large publicly traded BPO providers are raising rates considerably to maintain margins and shareholder value. Middle market BPOs are raising their rates as well, but not at the magnitude of larger organizations. This has led to companies shuffling providers more frequently as costs and capacity shift within markets.

The outdated idea that this shuffle inevitably comes with a quality reduction is quickly becoming a myth. There are exceptional BPO providers in every market, often producing better results than their more expensive counterparts. We’re seeing a mindset change, where BPO partner selection is no longer driven primarily by geographic location, but by performance and specialization. As call centers around the world continue to improve, the possibilities become limitless. I am excited to see what 2022 brings to our industry.