Why Outsourcing in the Philippines Entices International Companies
The Philippines is notable for its beautiful beaches, delicious fruits, tourist attractive landmarks, and of course, warm people. But apart from those, outsourcing customer service in the Philippines became popular and has been the quintessential business strategy of many companies from the developed countries like the US, UK, Australia, and other western nations. As an outcome, outsourcing customer support online became one of the most rising industries that contribute to the country’s economic growth. It gives many Filipinos a great chance to choose the most appropriate career for them. It also offers an option to the Filipinos to work in the Philippines and receive a higher compensation compared to the average salary rate in the country.
Why does the majority of international companies choose to outsource customer service in the Philippines? Below are some interesting facts why this small archipelagic country makes it exceptional and irresistible among Asian countries.
English fluency — the Philippines still holds third place in Asia when it comes to English proficiency. There are many factors why English becomes the second official language in the country. First, the country was colonized by the Americans for 48 years. After that, the relationship between the two countries was strong and unbreakable. The Philippines’ education, politics, entertainment, media, and other aspects have been greatly influenced by the US. Filipino conversations are composed of 20% to 30% English by the native speakers and 100% English for academic, business, medical, and other formal communications. Furthermore, the English language is a requisite subject for all grade levels and a medium of teaching.
Flexibility — apart from American colonization, the Philippines was invaded by the Spaniards for more than 300 years and three years of Japanese occupation. In addition to that, Filipinos tend to adapt to other cultures by loving their music, dramas, and movies. That’s why it is not surprising why Filipinos are so flexible to handle and blend with different nationalities.
“Cultural differences” and “intercultural communication” are some of the dilemmas of many companies when they are asked about the challenges they face in outsourcing for e-commerce. Fortunately, the Philippines is deeply immersed in western culture. And of course, their English proficiency is flawless. Therefore, these dilemmas wouldn’t appear when you outsource customer service in the Philippines. A clear proof is that call center jobs have the biggest part in the BPO industry.
Labor Reduction — based on the outsourcing industry report, many American companies enjoy the cost-effectiveness they received when outsourcing customer support in the Philippines because they can save 75% from the salary of Filipino workers than hiring American and other workers from the developed countries in the same position.
What makes offshoring Filipino workers more favorable and attractive is that you pay less with Filipinos who are highly-skilled and experts in their field and prefer BPO jobs as their long-term career. The remuneration received by Filipinos from their outsourcing jobs and American and other western employees are the same. But because of the different standard of living, the compensation is higher for Filipinos but lower for the workers in the Western countries.
Outsource customer service in the Philippines is a wise decision for startup entrepreneurs because it will help build your own business with only a meager budget. It is also beneficial even for big companies that want to hire skilled, hardworking, and talented Filipino workers.
