Have you ever considered outsourcing your customer support?

In today’s fast-paced customer-first world, providing excellent customer service is crucial for the success of any organization. Customers expect quick and efficient support whenever they need it. And failing to provide that can lead to negative reviews, lost business, and damaged reputations.

But what happens when a company is unable to provide that level of service in-house? That’s where outsourcing customer support comes in.

A frustrated customer on the phone with a long hold time, while employees are busy with other tasks

What is outsourced customer support?

Outsourcing means contracting with an external company to handle your customer service needs. This can include telephone answering, live chat support, and social media support. Outsourcing customer support has become increasingly popular, particularly among franchise businesses. But is now the right time for your franchise?

Benefits of outsourcing

One of the most significant advantages of outsourcing customer support is cost savings. Outsourcing can be more cost-effective than hiring and training in-house staff.

A report by Deloitte found that companies can save up to 40% of costs by outsourcing their customer service. The money saved can then be invested back into the business to support growth and development.

A graph showing the cost savings of outsourcing customer support compared to hiring in-house staff

Flexibility is another major advantage of outsourcing customer support. that’s because it allows businesses to adjust their customer service resources quickly to match fluctuations in demand. This means they can scale up or down depending on their business needs without having to worry about staffing capacity. 

Sounds peachy, right? 

Think about efficiency. Outsourcing providers have the expertise, technology, and infrastructure necessary to provide efficient and effective customer support. This allows businesses to focus on other critical areas of their business, such as product development and marketing.

Hands typing on laptop offering omnichannel customer service

Outsourcing also provides access to skilled professionals. Outsourcing providers employ experts in customer service who are knowledgeable about various industries, which allows businesses to offer specialized customer service support to their customers.

Factors to consider before choosing to outsource customer support

Before outsourcing your customer support, there are several factors to consider. The first is company size and growth plans. Smaller businesses may find it more challenging to justify the cost of outsourcing compared to larger businesses. Additionally, if a business is planning on expanding rapidly, outsourcing can be a more cost-effective and flexible option than hiring and training new staff.

Budget and cost considerations are also crucial factors to consider. While outsourcing customer support can be more cost-effective than hiring in-house staff, it is still essential to consider the overall cost and the potential return on investment.

A virtual receptionist with a headset in a home environment

Outsourcing can be a strategic decision that helps a business achieve its goals. But that only works if it aligns with the company’s overall objectives. You need to consider if outsourcing will help you meet your business goals or if it will hinder progress.

Customer expectations and needs are at the heart of everything you do. Outsourcing can only be successful if the provider can meet or exceed customer expectations. It’s crucial to choose an outsourcing provider that understands your customers and can provide a high level of customer support.

Finally, you need to consider industry regulations and compliance. Outsourcing providers must comply with industry regulations and laws, and businesses must ensure that their outsourcing provider meets these standards.

Signs it’s time to outsource customer support

There are several signs that indicate it’s time to outsource customer support. Overwhelmed staff is a clear indication you need to look at outsourcing. If in-house staff are struggling to keep up with customer demands, outsourcing can help alleviate the workload and improve efficiency.

A business owner sitting at their desk, with piles of customer support requests and phone calls stacking up around them, looking overwhelmed

High turnover rates

High turnover rates can also indicate the need for an outsourced customer support solution. They can also be a sign of employee burnout, which can impact customer service quality. Outsourcing can provide relief for in-house staff and reduce the risk of burnout.

Long wait times

If customers are experiencing long wait times, unanswered calls, or unaddressed inquiries, it’s time to consider outsourced customer support. To ensure consistent customer satisfaction, you have to ensure customer needs are met in a timely and effective manner.

Inconsistent service

Inconsistent service quality is another warning sign that it’s time to get outside help. Customers expect a high level of service quality, and if in-house staff is struggling to provide that consistently, outsourcing can help to maintain that standard.

Deteriorating customer satisfaction

Declining customer satisfaction scores are another big issue that outsourcing can alleviate. Poor customer satisfaction scores can lead to lost business and a damaged reputation. Outsourcing can help to improve customer satisfaction by providing high-quality and consistent customer support.

Choosing the right partner

Choosing the right outsourcing partner is crucial to the success of outsourced customer support. When choosing a partner, businesses need to consider experience and expertise, communication and collaboration, and security and data protection.

Expertise

Experience and expertise are essential traits in a customer support provider. It’s crucial to choose one with experience with franchise businesses and the expertise to provide high-quality customer support.

Communication

Communication and collaboration are also crucial when outsourcing customer support. The provider should have effective communication channels and be willing to work closely with the business to ensure customer needs are met.

Security

Security and data protection are also critical considerations. The provider must have robust security measures in place to protect customer data and ensure compliance with industry regulations.

Man working as virtual receptionist with headset and desktop monitor in home setting

Preparing to outsource

So what does preparing to outsource customer support look like? It starts with:

  • Defining expectations and goals
  • Developing a training plan, and
  • Establishing key performance indicators.

Defining expectations and goals involves identifying the desired outcomes of outsourcing customer support. This includes defining the level of service quality, response times, and where leads and customers should be sent following the interaction.

Afro american talks looks at outsourced customer support options on laptop

Outsource to overcome customer service challenges

Outsourced customer support can be a cost-effective, flexible, and efficient solution for businesses of all sizes. However, before making the decision to outsource, businesses need to consider factors such as company size, budget, business goals, customer expectations, and industry regulations.

Signs it’s time to outsource include:

  • Overwhelmed staff
  • High turnover rates
  • Inability to meet customer demands
  • Inconsistent service quality, and 
  • Declining customer satisfaction scores. 

Choosing the right outsourcing partner is crucial for success. Preparing to outsource involves defining expectations and goals, developing a training plan, and establishing key performance indicators.

graph showing increases and decreases in cost

By making an informed decision and choosing the right partner, you can provide high-quality customer support and focus on other critical areas of their business, such as product development and marketing.

Want to learn more about outsourcing your customer service? Get in touch with us today and we’ll talk you through the whole process.

Book a free consultation