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Why you should outsource Customer
Service as you scale

Apr 03, 2020 at 11:20 pm

As your business starts to grow it is important to keep in mind that one of the main drivers behind your revenue is customer satisfaction. However, B2C companies are not always sure of how to maintain a level of customer loyalty once the operation expands. Soon, hundreds of requests from customers are pouring in daily, and not having the proper infrastructure to handle customer service in a timely manner can result in complaints and other potential problems.

It’s also a common mistake to assume that anybody can fulfill the role of a CS agent. Customer service agents require proper training and guidance on many levels. Additionally, in-house staffing can become a huge risk if a proper floor manager is not accounted for. Managers are key for agents to stay competitive enough to carry out their tasks. A lot of agents need consistent re-training and help when they have customers on the phone. Their tasks may not be overly complicated, but they are crucial to the development of a relationship with the customer. In the age of relationship marketing, engaging properly with every customer contact is key, and doing this takes experience.

Organizations that are willing to run their own manufacturing, fulfillment, or customer service operations are usually experiencing a high level of fixed costs. A lot of these organizations are not producing the revenues necessary to justify their costs. In the case of in-house staffing for CS, paying hourly wages is not always coherent when you look at the amount of hourly contacts. If you have an agent taking one call per hour then you’re effectively paying minimum wage per contact! Your cost per contact is literally your agent’s salary in this scenario.

Outsourcing customer service to the right vendor can cut your costs and increase your savings by offering you performance based Customer Service, which means you only incur costs when a request is being handled by a third party. Outsourcing also implies no costs for training, time, and capital expenditures. Your efficiency and competitiveness are enhanced by skilled expertise. Finally, one main advantage is that you can focus on strategic areas of your company while your core business is getting all the help it needs.