It’s not just cost.
The secret’s out. Some customers don’t like it when their calls are answered by someone with a different nationality from theirs. Usually, it is because of the language barrier during the interaction. Some customers feel undervalued whenever their calls are transferred to an offshore staff. Despite this, why do Australian companies such as Vodaphone, TPG, Optus, and Telstra offshore their call centers to the Philippines nonetheless? Well, it’s because of the following factors that are too compelling to resist
Why Australian companies offshore to the Philippines:
In Australia, the average monthly salary of a call center agent is approximately 3, 627 AUD. This amount is enough to pay the salary of 5 to 8 call center agents in the Philippines. Apart from this, Australian business owners will no longer have think about the infrastructure, equipment and go through the hassles of getting legal permits if they offshore their call center.
The Business Process Outsourcing (BPO) Industry in the Philippines started way back in the early 1990s. This means that the BPO firms in the Philippines are very much knowledgeable with call center operations and already have mature processes and practices in place to meet clients’ requirements for both their inbound and outbound call centers.
The Philippine labor force welcomes approximately 500, 000 college graduates yearly. Filipinos are also highly proficient in speaking the English language. To be specific, 93.5% of Filipinos can speak and understand English well. Therefore, Australian business owners have access to a pool of highly-skilled individuals that can easily be trained to meet business objectives, may it be to improve customer experience or to hit sales goals.
The non-stop flight from Sydney to Manila can take around 7 to 8 hours, while the quickest one-stop flight can take up to 13 hours. With these few hours to travel, Australians can easily go back and forth to the Philippines if they want to check their call center operations. Some actually can’t help but stay longer because of the great food, awesome nightlife, powder-fine beaches and hospitality of the Filipinos.
Australia has six states and two territories. Western Australia and the Philippines share the same time. Northern Territory is 1 hour and 30 minutes ahead. Queensland is 2 hours ahead. South Australia is 2 hours and 30 minutes ahead. Victoria, New South Wales, Tasmania, and Australian Capital Territory is 3 hours ahead. These are the time differences between the Philippines and these Australian states or territories if it’s Daylight Saving Time in Australia. If it’s not Daylight Saving Time, which starts during the first Sunday of October and ends on the first Sunday of April, South Australia is only 1 hour and 30 minutes ahead; Victoria, New South Wales, Tasmania, and Australian Capital Territory is only 2 hours ahead; while the rest stays the same. With this little difference in time between the Philippines and Australia, time will not be an issue for Filipinos to work for an Australian account.
With these factors, the initial reasons why customers don’t like to interact with an offshore staff can easily be resolved. Hence, outsourcing to the Philippines is really a win for Australian companies.
Did we miss any factor? Comment them below!