July 30, 2024

Debunking Myths About Outsourcing Contact Centers

Customer service excellence is critical for business success. 1 in 3 customers defect after one bad experience, and 92% would completely abandon a company after two or three negative interactions. Outsourcing can help, but many myths about outsourcing prevent organizations from using this valuable resource. We dispel those myths.

July 30, 2024

Author

Walter Wakulowsky

President, Serefin Experiences

Walter Wakulowsky is a visionary leader with over 30 years of experience in the contact center industry. As President of Serefin Experiences, he is committed to delivering exceptional customer experiences and driving client loyalty. Walter's extensive career includes senior and executive roles at some of Canada’s largest contact centers, where he has consistently demonstrated his technical and operational expertise.

Beyond the Hype: The Truths and Benefits of Outsourcing Customer Service

In today's competitive landscape, exceptional customer experience (CX) is no longer a luxury; it's a necessity.  PwC reports1 that 1 in 3 customers defect after one bad experience, and 92% would completely abandon a company after two or three negative interactions. Yet, many contact centers need help to meet these rising expectations. The gap between customer expectations and the reality of customer service can be significant. This is where outsourcing customer service comes in. However, myths and misconceptions often cloud the decision-making process.

Common Myths About Outsourcing Customer Service

Customer service excellence is critical for business success. It directly impacts customer retention, brand reputation, and your bottom line. But when your internal team struggles to manage increasing support demands, outsourcing customer service becomes a compelling option—however, valid concerns often surface, shrouded in a fog of uncertainty.

Let's cut through the confusion by addressing four of the most common myths surrounding outsourcing:

Myth #1: Loss of Control: Outsourcing equates to surrendering control over customer interactions. Is this a legitimate concern, or can collaboration with a qualified partner empower you?

Myth #2: Increased Costs: Outsourcing might seem like a financial burden. However, a closer examination reveals potential cost savings. Let's explore the facts.

Myth #3: Brand Disconnect: Can outsourced agents genuinely understand and represent your unique brand identity? We'll delve into strategies for ensuring brand alignment.

Myth #4: Declining Customer Experience: The fear of declining customer satisfaction is a natural reaction. Can outsourcing improve your customer experience metrics?

Myth #1: Loss of Control

Maintaining Control Through Collaboration and Transparency

OA common concern with outsourcing customer service is the feeling of giving up control, yet strategic outsourcing can actually strengthenyour control.

Here's how it works:

  • Collaborative Goal Setting: Work hand-in-hand with your outsourcing partner to define clear, measurable goals (e.g., call resolution time, customer satisfaction) for your customer service. This ensures everyone is aligned and working towards the same objectives.
  • Transparent Reporting and Regular Updates: Receive regular reports that track your key metrics. This transparency allows you to identify areas for improvement and adjust as needed.
  • Dedicated Team and Account Management: Many outsourcing providers offer dedicated teams assigned to your account.

Setting clear goals upfront and receiving regular performance updates lets you stay informed and maintain control over your outsourced customer service operation.

Myth #2: Increased Costs

The Cost-Effective Advantage of Outsourcing

Another concern is that outsourcing customer service will be more expensive. However, strategic outsourcing can lead to significant cost savings.

Here's how:

  • Economies of Scale: Outsourcing providers benefit from economies of scale, enabling them to offer competitive rates for their services. They have a larger talent pool and expertise at a potentially lower cost than an in-house team.
  • Operational Efficiency: Experienced outsourcing partners have efficient processes and technologies, leading to cost savings for you through reduced overhead and faster resolution times.
  • Flexible Cost Structure: Outsourcing allows you to convert fixed costs into variable costs, enabling you to scale your customer service team based on your needs to align expenses with growth.

Outsourcing can help you optimize your customer service budget by leveraging economies of scale, operational efficiency, and a flexible cost structure. And let’s not forget the biggest unknown cost—the cost of customers defecting and the potential loss of future revenue due to poor service.

Myth #3: Brand Disconnect

Cultivating Brand Ambassadors Through Comprehensive Training

A consistent and positive brand experience is crucial in today's experience-driven economy. Surprisingly, there are specialized outsourcing providers that understand this important aspect.

Here's how they ensure brand alignment:

  • Comprehensive Agent Training: Specialist outsourcing providers invest heavily in training their agents. This training ensures that agents are thoroughly knowledgeable about your brand, products, and values and best practice customer experience handling.
  • Close Collaboration: Constant communication ensures the outsourcing provider is updated about any changes in brand, product, or service.

By partnering with an outsourcing provider that prioritizes comprehensive training and close collaboration, you can ensure your outsourced agents deliver consistent and brand-aligned customer experiences.

Myth #4: Declining Customer Experience

Elevating Customer Experiences with Specialized Expertise

Many businesses hesitate to outsource customer service due to fears of a drop in quality and customer satisfaction. However, strategic outsourcing can enhance the customer experience.

Here's how:

  • Deep Expertise in Best Practices:  Leading outsourcing providers utilize best-practice processes refined through experience with many clients. They know how to handle complex inquiries efficiently, confidently navigate challenging situations, and consistently deliver exceptional service that reflects your brand values.
  • Advanced Technologies: Many outsourcing partners have extensive experience implementing cutting-edge omnichannel contact center technology and AI tools to enhance the customer experience, which prospective clients can access.

Customer experience leaders among outsourcing companies have honed their expertise and designed best practices from working with a diverse set of clients. The learning curve for in-house contact centers is significant. By partnering with an outsourcer, you unlock immediate benefits for your customer experience, empowering you to deliver exceptional service that drives brand loyalty and business growth.

Conclusion

Making Informed Decisions: Considering Outsourcing for Exceptional Customer Service

In today's competitive landscape, exceptional customer experience is no longer a luxury; it's a necessity.  In the past, businesses have been hesitant to outsource customer service due to misconceptions. These concerns can be effectively addressed through strategic partnerships with reputable outsourcing providers, leveraging their expertise, gaining access to advanced technologies, and benefiting from economies of scale. This allows you to focus on your core business while delivering exceptional customer service that fosters brand loyalty and drives growth.

Transform Your Customer Experience. Partner With Serefn.

Download our free eBook, 'The Ultimate Guide to Outsourcing Customer Service,' to learn more about the benefits and discover how Serefin can help you achieve them.

Contact us to discuss your specific needs and the potential for exceptional customer service.

Contributors to this post

Below are the additional team members who contributed to this blog post.

Nadine Brown

Nadine Brown is a tech marketing leader with 19+ years of experience driving results in B2B and B2C. Her passion is crafting data-driven marketing strategies across integrated channels to achieve measurable goals. A proven leader, Nadine builds and motivates high-performing teams, ensuring clear communication for success. Her diverse background in healthcare and technology positions her to offer insightful perspectives on the challenges and opportunities facing businesses in Serefin's core markets: health, travel, and contact centers.

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