Onshore vs Offshore Call Centers

A Comparison Between Onshore vs Offshore Call Centers

Business owners usually have conflicted opinions when it comes to deciding whether to onshore or offshore their contact center needs. Both options have their own set of unique pros and cons that could have a significant impact on customer service. Some companies choose to opt for offshore call centers to save costs. However, those who focus greatly on the CX side with onshore as this option provides businesses with more authority, allowing them to visit the call centers directly to ensure that the level of customer service provided is exceptional.=

What Is Offshoring?

Offshoring is the process of taking partial or all business processes overseas. Companies usually do this to expand their business to more territories. While the majority of employers take their businesses to developed countries to take advantage of a global pool of talents at a lower cost, some prefer to start their operations in less-developed countries in an attempt to reduce expenses.

How Do Offshore Call Centers Work?

If the primary goal of employers is to get the best contact center services at a reduced cost, offshoring this business need is the best decision. An offshore call center offers businesses round-the-clock service in multiple languages. The BPO company providing the service will be accountable for managing call center operations. They will deliver agents, infrastructure, and training. A business can choose to receive either partial or fully functional contact center support from an offshore agency. The operations offered typically encompass customer service, marketing, and sales trends.

Benefits of Offshore Call Centers

Business owners who offshore their customer services can expect to receive numerous benefits. Here are some of the major ones:

1. Saves Cost

Cost saving is perhaps one of the biggest perks of offshore call centers. Employers will be able to reduce labor costs associated with hiring and onboarding when they outsource.

2. Provides Access to Skilled Workforce

Offshoring call center operations helps businesses get access to talented agents who are trained to entertain customer queries and concerns efficiently. These employees will make sure to provide an excellent customer experience, enabling companies to foster better bonds with their audience.

3. Offers Best Results with Latest Technology

Another reason why offshoring call center service is a good idea is that the companies are deeply immersed in the industry and are familiar with the latest technology. They invest in high-quality solutions like omnichannel contact centers to enable businesses to serve their customers better which ultimately results in loyalty and trust.

Challenges of Offshore Call Centers

Offshoring call center service also has its cons. Let’s have a look at them:

1. Language Barriers

One of the biggest problems with offshore call centers is the linguistic and cultural differences. As the contact center is located outside the native country of the business, the customer support agents may find it difficult to speak fluently in their mother tongue. Even if the staff knows the language, they may struggle to interact in a conversational manner.

2. Lack of Business Control

Employers don’t have much control when they offshore. Visiting call centers will often be challenging. Plus, they will have no influence over who is recruited to answer the calls or what goes on in the place.

3. Security Issues

Offshore contact centers are prone to threats and risks as they might not adhere to proper enhance security protocols. There is always a possibility of a data breach which can seriously damage the reputation of a business.

What Is Onshoring?

Opposite to offshoring, onshoring is the process that involves businesses forming a contract with onshore companies located in the same country to handle their operations. Companies that support onshoring stimulate the growth and development of local economies.

How Do Onshore Call Centers Work?

If the main focus of the business owners is to deliver a better customer experience and improve satisfaction, they should consider outsourcing their contact center needs to onshore companies. Such companies are located domestically. Although this solution can be expensive, employers will have the peace of mind knowing that they have partnered with an agency that not only shares the same tongue but also understands the target market of their business.

Pros of Onshore Call Centers

Companies often prefer onshore call centers the most as they offer many benefits. Here are a few of them:

1. Better Collaboration and Communication

This is probably one of the most attractive pros for a business to go for onshore call centers. As all teams are working in the same country and in the same time zone, collaboration becomes easier. Secondly, the call center agents will have the same dialect, allowing them to carry out conversations with customers easily.

2. Fewer Cultural Differences

Onshore outsourcing minimizes cultural differences between a business and the contact center agency. This allows both parties to feel unified, fostering harmony among them which leads to improved working relationships.

3. More Control Over the Business

Another notable benefit of onshore outsourcing is that business owners can seamlessly interact with call centers. They can even visit them in person to ensure they are following the best practices of workforce management, and compliance protocols.

Cons of Onshore Call Centers

Onshore contact centers have some cons as well. They are as follows:

1. Expensive

Onshore contact centers are effective, but they cost more. This is because hiring skilled talent is not cheap in the United States.

2. Small Pool of Talents

Onshore outsourcing will give employers a small pool of talent as they will only be able to acquire services from local agents. This means that they may not find the ideal expert with the right skillset to manage customers. However, onshore call centers make sure to provide training, empowering the employees to achieve the desired results.

What Is the Best Option?

Deciding whether to opt for onshore or offshore call centers depends on your business needs. If you desire to get the best solution at a reduced cost, offshore outsourcing is the best option for you. However, do note that in some cases you may have to vet them extensively as the level of customer experience that these contact centers offer may not be as per your expectations. But you will get to afford more extensive services and round-the-clock support.

If you have a decent budget, you can try onshore contact centers. Opting for this option will give you more control over the call center’s internal operations. You can use this to your advantage and deliver an exceptional customer experience which will help your business create better relationships with the audience.

Although both offshore and onshore outsourcing solutions deliver great results, you should analyze your options and compare them with your business needs first before making your final decision.