Outsourcing to rescue telecom companies in trouble times

November, 22, 2011: In customer service training sessions, the customer is always right slogan is given due importance. Customers usually remember negative experience they receive from the customer care executives and the positive or neutral experiences are often neglected. This makes it an area of concern for the telecom service providers.

The main objective of any telecom service provider is to ensure customer satisfaction, while effectively reducing the cost. This has gained much importance during the period of economic slowdown. Telecom service providers are aware of the fact that meeting customer expectations is essential for the existence of the company as customers now has plenty of options to choose from in terms of service providers.

A report published by Pitney Bowes, a mail stream service provider, the customer attrition rate in the telecom has reached 38 per cent which is a 5 per cent increase from that of 2005.

Moreover companies which are not from the telecom industry have come up with contents for mobile phones which have started to trouble the telecom service providers. As a result the position of the telecom service providers are shifting. If the trend continues into the future, the telecom service providers are going to face even more customer attrition rate.

In order to improve the customer service quality, telecom service providers are heavily depending on outsourcing service providers to make use of their expertise. With the help of various quality tools and methods like six sigma, outsourcing firms can bring improvements in the processes that will enhance the customer experience while reducing cost. To reduce the average handling time, an outsourcing service provider has developed a template, which the customer service executives can fill to document the call rather than typing it by him. This practice has helped the service provider in reducing the average handling time by 2 minutes, which will turn out to a billion dollar saving for the telecom service provider.

The outsourcing companies now look forward to control customer behavior which will help in reducing the call volumes. For example, if a customer calls for a simple issue like checking the account balance, the customer service executive can remind the customer that this service can be availed online.

So if the outsourcing service providers are able to reduce the number of routine simple calls, then they will be able to give attention to other calls which require expert help and advice. The telecom service providers should promote self service among customers for simple issues which will help them to reduce the inbound call volumes while maintaining a comfortable level of customer enquiries which will help them to cross sell additional services.

Telecom companies has now realized the important role of outsourcing service providers in changing the cost centers such as customer service into profit centers by selling new products. Datamonitor forecasts that the telecom related outsourcing industry will grow and reach $51 billion by 2013. 

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