South Africa call centers attracts major share of UK outsourced business

December 23, 2011: The call centers in South Africa are succeeding in attracting large chunk of business from UK. SA has piled on opportunities presented to them due to decreasing quality of service from other call center destinations like India. Analysts observe that South Africa could reap benefits from the shifting of English based voice operations out of India from the next year onwards.

The industry has started to witness the shift and one such instance is where Santander, one of the leading banks in the UK declared in July that it will bring back its call center operations back to the UK as a result of concerns from the customers on quality. For most of the companies which has outsourced call centre functions to India, quality of service is a major concern along with security. They now consider South Africa as an alternative destination to outsource.

The South African government has identified Business process Outsourcing as a key industry that will drive the economic growth and generate huge employment opportunities. According to statistics, the BPO industry has provided direct employment to about 60,000 people in 2009 and has also provided indirect employment to about 75,000 people. The BPO industry in South Africa contributes about 7.95 billion Rands to the economy and is estimated to grow at a rate of 50 per cent over the next five years.

The South African government also introduced a support program worth 1.1 billion rand in 2007, in an effort to improve the competitiveness of the Business Process Outsourcing industry.

Industry sources said that India used to a world class destination for offshoring call center functions, but recently the quality has taken a back seat off late. So to strike a balance between customer satisfaction and cost, South Africa is being now favored as a better destination for offshoring voice based call centers. It offers a large pool of English speaking graduates and also enjoys time zone advantage with the UK. So it expected that more and more companies in the UK will start to outsource call centers functions to outsourcing service providers in South Africa from 2012.

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