Sep 2, 2004 : Outsourcing Giants Face Challenge

📅 September 2, 2004 - As the US domestic call center market rapidly shrinks, research calculated by independent market analyst Datamonitor (datamonitor.com) shows heavy competition among outsourcers scrambling for their share of the $600 billion global IT services market.

The report, entitled Call Centers in the IT Services & Outsourcing Landscape, highlights how the big guns such as Accenture and IBM Global Services face stiff competition from alliances of service providers. Some call center companies have shifted from being commodity businesses by offering a wider range of services in an attempt to take a slice of the overall IT services market globally.
Margins for call center outsourcing providers are being squeezed at a time when the US market is experiencing a downturn, says Datamonitor, that can partly be attributed to the loss of call centers to near-shore countries like Canada and cheap labor destinations like India.
Firms are also increasingly implementing Web- and phone-based self-service solutions, changing the types of calls reaching call center agents and potentially lowering call volumes.

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