Outsourcing Customer Service VS Hiring Full-time Customer Reps

Outsourcing Customer Service VS Hiring Full-time Customer Reps

Picture of Daven Michaels

Daven Michaels

New York Times Bestselling Author, 30-year business veteran, and Executive Chairman of CurrentC Group.

Outsourcing customer service has become a popular practice in today’s business world. Many companies and businesses are resorting to both offshore and on-shore customer service outsourcing companies to provide customer service. Perhaps, you’re wondering why this trend and what companies gain by going that route. Keep reading to learn why.

Highlights of Outsourced Customer Service Features

  • It is super cost effective in terms of remuneration — this is just one part of the cost-effective benefit. They charge less service fee in comparison. Another cost effective benefit compared to in-house customer service is zero cost that comes from not buying equipment’s or renting a space, plus you don’t have to train and retrain your customer reps
  • Customer Service is often 24/7: The rotational duty method is often employed by outsourcing customer service companies. As a result, your business does not go to sleep while you’re sleeping. Existing and potential customers can still call in to make inquiries regardless of the time of the day.
  • Customer reps are usually highly trained and qualified personnel that can handle even the toughest customer. As a result, your customers are satisfied, then they will remain loyal to your product.
  • Also, outsourcing customer service gives you and your in-house staff quality time to attend to the core business tasks that will bring in money and improved brand image
  • The customer rep can even operate from outside of the shores of the country where you business is located. In fact, customer service outsourcing to Philippines and other top-rated outsourcing destinations is a popular trend.
  • Risk sharing – you are able to share the risks that come with running customer service with the outsourcing customer service company.

Highlight of In-house Customer Service Features

  • It’s cost-intensive no matter how you look at it. First, you need to create and equip a space for customer service. Secondly, you will spend much in customer reps’ salaries since you’re employing them on a full-time basis.
  • The customer reps often attend to other duties, making it difficult to fully focus on customers and offer quality service
  • Monitoring customer reps is easier since they are in-house, but this may not always be the case if the business owner or executives are busy with other tasks.
  • Once the customer reps close for the day, business ends for that day. A customer who may want to make enquirers or order products urgently may resort to a competitor whose customer reps are still available

Indeed, outsourcing customer service pays better than hiring customer reps in-house.

Daven Michaels is a New York Times Best Selling Author and CEO of premiere global outsourcing company, 123Employee. The company employs hundreds of young bright individuals on three continents. His International event, Beyond Marketing Live! inspires entrepreneurs build & grow their business with revolutionary new theories and systems allowing them to design the business and personal lifestyle of their dreams.

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