Looking ahead to 2024 offers a fascinating glimpse at what’s possible for BPOs. Several sources predict that industry growth, improved productivity, and technological changes will shape next year’s opportunities and provide BPOs the chance to set themselves apart.
Here’s a list of the top 6 trends playing prominent roles in the BPO industry and advice on how BPOs can take advantage of them going forward.
1. Bots and AI Assistance
Technological advancements such as ChatGPT, bots, and artificial intelligence (AI) are improving the productivity of BPO agents and transforming daily contact center operations. In fact, a 2023 study from the National Bureau of Economic Research found that adopting AI technologies in contact centers improved the lowest-skilled workers’ productivity by 35 percent. According to Insider, pairing workers with AI-powered assistants that provide information and generate response recommendations during conversations can reduce employee turnover and improve the employee experience.
2. Industry Growth
A report from Grand View Research estimates that the BPO industry will see a compound annual growth rate (CAGR) of 9.1 percent each year between 2023 and 2030. This growth is expected to continue despite concerns about global economic health as organizations across industries consider strategies for reducing costs and increasing efficiency. With this growth, there will be a greater need for staff, services, technologies, and organizations, which BPOs can meet by expanding into new markets and investing in new technologies.
3. Increased Hybrid and On-Site Work
As the market for BPOs grows, employment in the industry is also expanding, and companies are hiring for remote, hybrid, and on-site arrangements in increasing amounts. Although the number of remote workers skyrocketed during the pandemic, companies are slowly returning to the office, with many contact centers returning on-site or switching to hybrid work models. Luckily, BPOs have a variety of options to keep their teams engaged, connected, and productive at work, and organizations that know how to use remote work processes and systems effectively are well-positioned to thrive and retain talent.
4. Competitive Talent Markets
Companies are getting creative and expanding their hiring searches to new locations as traditional markets become increasingly saturated with existing employers. BPO hiring managers have a competitive advantage because BPOs hire around the globe. BPOs that want to set themselves apart with the best talent and customer service should consider opportunities available through nearshoring in locations such as Mexico and Eastern Europe.
5. Outsourcing for Small Businesses
Small businesses concerned about a possible global recession are learning about the advantages of outsourcing tasks such as accounting, customer service, and cybersecurity that were previously done in-house. Many large organizations already embrace outsourcing, but small businesses are a growing client base for BPOs as companies look to cut costs and access essential talent. Technological advances are one of the reasons BPOs are better positioned to serve small business clients, making even smaller accounts more profitable and easier to onboard.
6. Emphasis on Social Responsibility
BPOs have a considerable impact on the world as employers and as companies using vital resources. How BPOs use their influence and how they interact with their communities is under more careful consideration. For example, energy consumption among contact centers is one area where resource savings is socially responsible and benefits both the organization and the broader community.
Predictions for 2024
BPOs can benefit from the predicted industry growth if they are prepared for the pressure of talent sourcing and the increasing demand for high-quality customer experiences. Being amiable in adopting more efficient, productive, and responsible practices is also important.
To meet these demands, BPOs need modern, reliable technological solutions that help maximize agent productivity, improve operational efficiency, and execute their business processes more effectively. Broadvoice CCaaS is a cloud contact center platform specifically developed to help BPOs meet these needs while reducing IT costs and increasing productivity.
Learn more about how Broadvoice CCaaS can help streamline your BPO operations by scheduling a demo.