The global outsourcing services market is growing, and new destinations compete with traditional Asian offshore locations. One of these emerging destinations is Colombia, which has become a popular choice for call center outsourcing in Latin America. This is mainly because of the high demand for nearshore services from the US. Colombia has many advantages, making it an appealing option for businesses worldwide that outsource their call center operations abroad.
The contact center industry emerged in Colombia in the late 1990s and has since become a significant force in the global outsourcing market. The country gained popularity because of its talented workforce, business-friendly environment, and government support. These factors, along with technological innovations and shifts in global business trends, made the country an ideal place for the industry to flourish.
This article will look at the factors contributing to the success of contact center services in Colombia and why it is a preferred destination for businesses worldwide.
Key Features of Contact Centers in Colombia:
• Colombia ranks as Latin America’s 4th largest call center and BPO market, with over 230,000 call center workers and a market worth $2.80 billion.
• The country is recognized amongst the top 10 outsourcing destinations by AT Kearney, a global management consulting firm.
• Boasts Latin America’s third-largest labor force, providing access to a vast pool of skilled professionals.
• Strong economic and cultural ties with the US and excellent infrastructure, technology, utilities, and telephony systems.
• The contact center services in Colombia are strategically located in central business districts, university towns, and technical and commercial hubs throughout the country.
• Outsourcing to Colombia can result in substantial cost savings of 40%-50% compared to US call centers.
• Top BPO services providers adhere to PCI, ISO, and HIPAA certification standards, ensuring data security and regulatory compliance.
Colombia has been growing as a popular destination for contact center outsourcing in Latin America for several reasons:
- Bilingual Workforce: Colombia has a large English-speaking population, strongly emphasizing language learning in schools. This has created a skilled bilingual workforce that can effectively communicate with customers from English-speaking countries, making it an attractive option for companies looking to outsource their customer service operations.
- Cost-Effectiveness: Compared to other countries, Colombia offers competitive labor costs while maintaining high service quality. The cost of living in Colombia is lower than in many Western countries, allowing outsourcing companies to save on operational expenses without compromising customer satisfaction.
- Government Support: The Colombian government has recognized the potential of the outsourcing industry and has implemented various measures to support its growth. This includes providing tax incentives, investing in infrastructure development, and promoting foreign investment. These initiatives have helped position Colombia as an attractive destination for outsourcing companies.
- Time Zone Compatibility: Colombia’s time zone (GMT-5) allows for overlapping working hours with the United States and other countries in the Americas. This is particularly advantageous for companies requiring real-time customer support or 24/7 service availability.
- Cultural Affinity: Colombian culture shares many similarities with Western cultures, particularly with North America, which is a significant market for outsourcing services. This cultural affinity can facilitate better understanding and communication between agents and customers, improving customer satisfaction.
- Stable Economy and Business Environment: Colombia has made significant progress in economic stability and political security in recent years. This stability provides a favorable business environment for outsourcing companies, reducing risks and uncertainties associated with operating in volatile markets.
- Infrastructure and Technology: Colombia has substantially invested in its telecommunications infrastructure and technology capabilities. High-speed internet connectivity, reliable telecommunications networks, and advanced IT infrastructure contribute to the country’s ability to provide seamless contact center services.
- Geographical Proximity: The location of the country offers convenient access to North American markets, with direct flights to major cities in the United States and Canada. Proximity to the client’s home country can facilitate travel for business meetings and foster a sense of closeness and collaboration.
- Competitive Pricing: Colombia’s competitive pricing further strengthens its position as a top destination for customer experience management. With lower labor costs compared to other countries, businesses can achieve significant cost savings by outsourcing their customer service and experience operations to Colombia. Additionally, the lower cost of contact center services in Colombia allows companies to offer competitive salaries to their customer service and experienced employees while effectively managing costs.
- Suitable Business Climate: Colombia offers a favorable business climate that positions it as an attractive destination for customer experience management. The country boasts a stable political environment, a robust economy, and a government that actively encourages foreign investment and business growth. Moreover, Colombia has established numerous free trade agreements with countries worldwide, facilitating seamless trade and commerce. This has contributed to positioning Colombia as a thriving hub for business and commercial activities within Latin America and beyond.
These factors, combined with a strong talent pool, cost advantages, supportive government policies, and a favorable business environment, have contributed to Colombia’s emergence as a popular destination for contact center outsourcing in Latin America.
Colombia offers numerous advantages for outsourcing contact center services. These include a skilled bilingual workforce, cost savings, tax incentives, cultural affinity, time zone compatibility, excellent infrastructure, modern workspaces, government support, and security and stability. As a result, Colombia has become a top BPO services provider destination for businesses looking to outsource their customer service and support functions. With the continued growth of the call center industry, Colombia is expected to maintain its appeal as a top choice for outsourcing in Latin America.