Cost of Outsourced Customer Support Services

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Cut support costs without losing quality. Compare outsourced customer support services pricing, models, and case studies.

A support team of technical people cost a start-up $18,000 per month. The responsiveness was still lacking. People were still getting out of there. One change led to a 60% reduction of that cost and improved satisfaction. We knew the answer. They chose to outsource Customer Support Services.

What Does It Actually Cost to Outsource Customer Support?

Costs are usually based on location and types of services. 

Here is a useful breakdown 

  • Agents in India may expect to make $8-$15 an hour.

  • Agents in the Philippines may expect to make $10 to $18 an hour.

  • Eastern European agents might expect to earn $15-$25 an hour.

  • US-based Agents may expect to make $25-$45 an hour.

A dedicated team of three agents in India working 16 hours per day will cost small/medium-sized companies between $3500 and $5500 per month. The process is inclusive of quality checks and management costs.

This is compared to Hire Outsourced Customer Support Services in-house team in the United States where the total cost of coverage (salary, benefits, software, training, etc.) will be well over $18,000 a month.

Why Do Businesses Hire Remote Customer Support Services from India?

India has over 1.5 million customer support staff working in its business process outsourcing (BPO) sector. It is a global favourite due to its tech know-how, English proficiency and time zone compatibility.

India-based remote customer service services typically include.

  • 24/7 availability at no additional costs to support calls during night shifts

  • Trained agents within 1-2 weeks.

  • vendors with ISO-certified infrastructure and GDPR compliant

  • One-stop-shop support - tickets, chat/email, phone

After transitioning to an offshore team based in India, a SaaS company based out of Toronto was able to reduce their first response time from 11 hours to less than 2 hours. They improved their CSAT from 67% to 84% in just three weeks.

How Pricing Models Work When You Hire Outsourced Customer Support Services

When considering Outsourced Customer Support Services , firms tend to opt for one of three pricing models:

The per-hour type is ideal for an unknown number of tickets. Only time worked is paid.

The per-ticket model charges between $2 and $8 for each ticket (depending on its complexity) that is resolved. For very high volume product-based companies.

A team of experts to work with for a monthly retainer. It is the most economical for companies that receive a lot of daily calls.

What Did a Real E-Commerce Brand Save by Outsourcing?

A US-based e-commerce home goods company had nine agents to handle support - 40,000 orders a month. The cost, including benefits and overtime, was $22,000 per month.

They Hire Remote Customer Support Services from India  to respond to all customer queries by chat and email. The monthly cost went down to $7,200 with head and four agents.

Is Outsourcing Worth It for Small Businesses?

Yes, where the volume of tickets is beyond the capacity of one person.

Outsourcing begins to provide an immediate return for firms handling a large number (more than 200 tickets each month). By the second month, most small businesses have met their cost of investing.

Recruiting, training and retaining support staff is a highly volatile job in any company; outsourcing helps to ease this burden. 

 

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