Outsourcing customer service can be a strategic decision for improving service in several ways. While it may be frightening for companies to entrust another company in this vital area, it can prove critical in maintaining a competitive advantage.
With product innovations giving only a short-term advantage, companies must have a robust service strategy to differentiate themselves from their competitors. While many companies today look to technology like chatbots to improve service delivery, there is no substitute for the human touch.
However, running an in-house team can prove costly and impractical for many companies. In this article, we look at the benefits of customer support outsourcing and how it can lead to service improvement.
Cost Savings
While it may seem counter-intuitive, outsourcing customer service to a specialized service provider usually leads to cost savings. These providers may have lower costs in terms of labor. They will also have the infrastructure, and technology already in place, resulting in reduced expenses compared to setting up an in-house customer service team.
Furthermore, the third-party provider bears the costs for training their consultants and updating their skills. They maintain their own infrastructure and house the team, allowing your company to use the space more effectively.
Companies can reinvest these cost savings in training, technology upgrades, or other areas to enhance service quality. Therefore, hiring an outsourced team improves service quality on two fronts.
Scalability and Flexibility
Outsourcing customer service allows for scalability and flexibility to handle fluctuations in customer demands. Service providers can quickly adjust the number of customer service representatives to match peak periods or seasonal demands, ensuring that customers receive timely and efficient support.
Companies may also opt for dedicated support or shared support. The former is more expensive but provides the company with the closest version of an in-house team. The latter may prove more cost-effective during off-peak periods and involves sharing the team with other companies.
Finally, companies may select the level of support that suits them best. They can, for example, hire a team to answer calls and social media queries but handle emails themselves.
Access to Expertise
Outsourcing customer service to a specialized provider gives you access to a pool of skilled professionals experienced in providing customer support. These providers often have a broader range of expertise, including industry-specific knowledge, multi-channel support capabilities, and best practices for customer engagement.
These consultants focus solely on customer interactions, and so can deal with a wide range of customer types. Leveraging their expertise leads to improved service quality and customer satisfaction.
24/7 Availability
Many outsourced customer service providers offer round-the-clock support, enabling businesses to provide assistance to customers at any time. This 24/7 availability can enhance customer experience and satisfaction, especially for global businesses or those serving customers in different time zones.
Multilingual Support
If your customer base extends beyond a single language, outsourcing customer service can provide access to multilingual support. Service providers can offer assistance in various languages, ensuring effective communication and support for customers worldwide. This can lead to improved customer satisfaction and stronger international relationships.
Focus on Core Competencies
By outsourcing customer service, businesses can focus their internal resources and expertise on their core competencies. This allows them to concentrate on product development, marketing, and other areas critical to their growth and success. This focus on core competencies can indirectly lead to service improvement by enabling the company to excel in its primary business areas.
Conclusion
While outsourcing customer service offers several potential benefits, it is important to carefully select the right service provider, establish clear communication channels, and maintain oversight to ensure service quality aligns with your brand standards and customer expectations.
