John Jonas breaks down why companies outsource call centers: US agents cost $20-25 per hour versus $10-12 overseas. India dominated early on, but many switched to the Philippines a decade ago because Filipino workers speak American English and deliver better service. Jonas shares an Amazon customer service story that shows the difference.
Questions this video answers
$20–$25 per person (hour).
$10–$12 per person (hour).
The Outsourcing Lever.
$7 shipping.
About 113 pages.
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Why are call centers outsourced? Hey, my name is John Jonas, and in this video I'm going to talk about why call centers are outsourced so often. So the initial reason why people started outsourcing call centers was because of cost. In the US it costs 20 to 25 dollars per person to have a call center, and overseas it costs 10 to $12 per person. @ least that's what it was originally. So you can see the costs are about half. The problem they ran into was most call centers got outsourced to India, and so problems didn't get solved. And so their $10 to $12 an hour cost went up. However, about 10 or 12 years ago, people started realizing that the Philippines were was really, really good for things like this. They speak American English, they're very helpful, there's no communication problems. They want to make customers happy. And all of a sudden you saw this major shift in call centers from India to the Philippines, and now you get the same cost savings, but you also get people that are solving problems. I'll give you an example of this. About 10 years ago, I called Amazon because I had a problem with an order and I got someone in India and I couldn't understand them, they couldn't understand me, and I hung up because I was frustrated. I knew this isn't going to work out. I immediately called back, and this time I got someone in the Philippines. And I knew this because I could tell the difference between the Indian accent and the slight, slight Filipino accent. And I only knew that because I deal with the Philippines every single day. And this time the person was super helpful and polite and they solved my problem immediately, and I was done after that happened. Amazon was testing call centers in the Philippines at the time because nobody had really done this yet. So after that happened, basically the whole world's call centers changed from India to the Philippines. So why are people outsourcing call centers? One, it's expensive to maintain your own call center internally. Two, there's some really good savings in going overseas. Three, there's really good people overseas. In fact, I would venture to say that they're better in the Philippines than they are here in the US they're more helpful, they're more polite, they're more patient, they're more willing to bear with a customer as they complain or as they get irritated or whatever. So the overall experience is just better. So my name is John Jonas. I created OnlineJobs ph, which is the largest marketplace for finding virtual workers in the Philippines. And if you haven't tried the Philippines. It's a different experience the rest of the world. For hiring virtual workers or for outsourcing, head over to onlinejobs ph and just search for the skills that you're looking for in a virtual worker and see if you can find some amazing talent that is super affordable. And if you don't know how to do this, I just wrote a book titled the Outsourcing Lever and it's all about how and why to hire virtual assistants in the Philippines to help you run your business. I'm giving it away for free. I bought a whole bunch of copies. It's available@outrigourcinglever.com and if you'll just pay shipping, it's $7 shipping. I will ship this book to you and it's only like 113 pages and you'll be an expert in a couple hours on how to hire virtual workers in the Philippines. Again, head over to OutsourcingLever.com and get my book. It's free. N.
