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When was the last time you needed customer service but the agents are already offline and you’ve just been informed that they will get back to you on the next working day? Picture that moment, when your urgent concern — maybe an issue about your purchase or some sort of trouble with the app you’re using — had to wait until the next business day.
Frustrating, right? The frustration you felt is exactly why companies are starting to offer after-hours support. And if you’re offering services or products that customers may still be using beyond regular business hours, then it might be worth considering investing in after-hours support for your business, too.
In this article, we discuss the importance of after-hours support services as well as the key reasons why most US businesses opt to outsource this business function to the Philippines. Spoiler alert: it’s because it’s the most practical way to provide support to your customers when they need it, as they need it.
Read on to learn more.
After-Hours Support: What It Is And Why It Matters
After-hours support services refers to the process of providing customer support (or, in some cases, technical support) to your customers outside of your usual business hours. This covers the time beyond the regular 9 to 5 office hours, weekends, and even holidays. It could come in different forms including, but not limited to, call center services, email support, chat support, and quite recently, even automated systems that provide real-time support to your customers, even, and especially when your team is not in the office.
According to a Salesforce research, as much as 77% of customers expect to immediately interact with a person when they contact a company. But as of 2023, only 54% of companies offer customer service after office or regular business hours.
In an ideal world, of course, most of the work should be done within the typical office hours. However, customers who utilize your products and services may encounter issues at any time of the day. And when a customer feels that a resolution is urgent, they may not think it’s ideal to wait until the next day. In the same way, you can’t expect your team to come pick up the phone and take calls in the middle of the night to address a specific concern.
The compromise: after-hours support services and 24/7 customer support.
Providing after-hours support not only enhances customer satisfaction but also increases brand loyalty and customer retention, crucial factors in today's competitive market. Extended support hours can lead to higher customer lifetime value and positive word-of-mouth referrals. These give companies that offer extended customer service a competitive edge over other brands.
Having established after-hours support as a necessity now raises the point of how challenging it is to build an onshore team so that you can provide a 24/7, in-house answering service.
For one, it would be a rather costly investment. You’d have to account for higher wages, overtime pay, additional HR and administrative costs, as well as the tech & utilities you need to keep operations running round the clock. For another, the talent pool for employees willing to work graveyard or weekend shifts is often limited — making hiring yet another concern. Provided that you do build an after-hours customer service team, you now have to worry about high turnover rates prompted by burnout and work-life balance challenges. Then, you’d have to recruit again and the cycle goes on.
Sounds pretty overwhelming, doesn’t it? Fortunately, building an in-house after-hours support team is not the only option.
The actual solution: outsourced after-hours support services.
By outsourcing to countries with time zones that are naturally different from that of the US’, after-hours support becomes more cost-efficient and more effective. For example, the regular business hours in Southeast Asian countries like the Philippines coincide with the “after-hours” of the US (plus they also offer support during regular business hours, in case that is what you need). This round-the-clock availability makes the Philippines an ideal destination for US businesses looking for an offshore after-hours support team, among other reasons.
Now, let’s go beyond this round-the-clock availability and discuss the reasons why most US businesses — from startups that want to hit the ground running to established multinational corporations — opt to outsource their customer service function, especially the after-hours support services, to top customer service agencies in the Philippines.
7 Reasons Why US Companies Outsource After-Hours Support To The Philippines
There are many countries offering excellent customer service. But why does the Philippines hold almost 15% of the global market share for global BPO, with customer service as its leading outsourced service?
Why outsource after-hours support to the Philippines? Here are just some of the reasons cited by business owners like you:
1. Cost Efficiency
Hiring a customer service agent to work after-hours costs 10-20% more in the US as night shifts require premium pay. Such additional costs can be too heavy for some companies, especially when there are lower cost options such as outsourcing to developing countries like the Philippines where cost of labor is lower.
In an after-hours customer service case study conducted by KDCI Outsourcing, US companies can reduce their staffing costs by 45% while extending their customer service coverage to 24/7 support.
More than the difference in labor costs, the significant cost reduction is attributed to the FTE outsourcing model, wherein companies can build their customer service teams offshore while the outsourcing partner takes care of everything from hiring and training to onboarding and management for a fixed outsourcing cost.
2. Skilled Workforce
39.2% of companies looking to outsource to the Philippines are interested in customer support services. This is unsurprising considering the Philippines is the world’s call center capital with over 700 call centers and over 1.3 million professionals supporting brands globally.
The demand for Filipino customer service agents can be attributed to their excellent English skills, high literacy, and hospitality.
Because the Philippines is the 3rd largest English speaking country in the world, ranking 2nd in English proficiency in all of Asia, its customer support professionals are renowned for their excellent communication skills with English speaking customers in the US, UK, and Australia.
It also helps that the country has a very high literacy rate of 97%, and has hospitality ingrained in their culture. Such skills make Filipinos in high demand for BPO, especially as a top destination for offshore customer service.
3. 24/7 Support Capabilities
The benefit of hiring after-hours support in the Philippines is not only due to lower labor costs, but also because they are located on the other side of the world, with very different time zones as the US, Europe, and Australia.
It makes outsourcing off hours to the Philippines a viable option since their after-hours are normal working hours in the Philippine time zone. Not to mention, customer support outsourcing companies in the Philippines are used to shifting schedules.
This means that companies not only have the option to hire after-hours customer service, they can choose to do so for any shift, even if that means 24 hours a day, 7 days a week, and during weekends and holidays.
4. High-Quality Customer Service
The top customer service outsourcing companies in the Philippines have been operating for years or even decades. They already have systems in place to ensure the highest quality service when it comes to customer support.
To keep up with tech advancements, these firms leverage advanced technologies like AI and automation, which streamline routine inquiries and allow human agents to handle complex issues requiring empathy. They also invest heavily in comprehensive training programs and maintain rigorous quality assurance systems to consistently deliver superior service.
Supported by favorable government policies and initiatives in the Philippines, these companies also benefit from a robust infrastructure, making the Philippines a global leader in customer service outsourcing.
5. Technological Infrastructure
Philippine customer support outsourcing is quickly adopting new technologies in a bid to stay competitive in a fastly evolving digital environment. The best customer service outsourcing companies in the country are using technologies such as artificial intelligence (AI), robotic process automation (RPA), data analytics, blockchain, virtual reality (VR), and augmented reality (AR) for efficient, personalized, data-driven, and secure customer service.
This offers an attractive proposition for global companies looking to leverage the power of technology while also enjoying the other benefits of Philippine customer service. When it comes to after-hours support services, you can trust Philippine outsourcing providers to empower your team (and customers) with a blend of tech-driven and human services.
6. Cultural Compatibility
The Philippines has a long colonial history that “places them in a strategic position where they can relate and understand several nations while still embodying their principles, such as hard work, perseverance, warmth, and friendliness,” according to experts at Outsourcing Accelerator.
This cultural compatibility is especially important in after-hours customer support, where the need for empathetic and effective communication is heightened. During after-hours, customers often face urgent issues and require immediate assistance, making it crucial for support agents to not only understand but also relate to the customers' cultural context and emotional state.
Outsourcing to the Philippines offers significant value in this regard. Filipino agents, with their high level of English proficiency and cultural affinity with Western countries, particularly the U.S., can provide seamless and empathetic support. This reduces the likelihood of misunderstandings and enhances customer satisfaction.
7. Strong Government Support
Lastly, the Philippine government is a proactive supporter of the local BPO industry, creating special economic zones managed by the Philippine Economic Zone Authority (PEZA). These zones offer a range of benefits to BPO companies, including tax holidays, which can last for up to six years, and exemptions from certain local taxes and duties. These incentives reduce operational costs for companies, making the Philippines an attractive destination for outsourcing customer service.
Meanwhile, the IT and Business Process Association of the Philippines (IBPAP) created Roadmap 2022, which was designed to help the Philippine economy rebound and continue growing despite the challenges posed by the global pandemic. The strategies included are aimed at strengthening telecom infrastructure to support long-term remote work, accelerating investments in talent development programs, and enhancing digital and cybersecurity initiatives.
Now that we’ve outlined these reasons why MOST businesses outsource customer support, it’s only natural to wonder whether you actually need this solution for your business. After all, it’s a bold move and a huge business investment that will affect both your team and your customer relationships. So, we’ve prepared something that can guide you through the decision-making process.
Signs YOUR Business Needs Outsourced After-Hours Support
Yes, it’s something businesses (possibly even your competitors) have already invested in. But not all businesses are alike — so let’s see whether it’s time for your business to have an after-hours answering service.
1. More customers are calling after-hours.
The first sign: not all customer calls are received during the typical 9 to 5 — and the number of these calls is increasing exponentially. You will notice it: a few missed calls when you start the next day, and then more, all because no one was there to answer them. You can’t adjust the timing of these calls. You have to make sure that someone’s there to answer them.
2. The customers whose calls you’ve missed become unsatisfied.
That, of course, is a natural consequence of missing a call. As already discussed above, customers expect immediate response. When you can’t provide it, it’s only a matter of time before they call again to berate your team, or worse, call your competitor and check if they have the after-hours support services that you cannot provide.
3. You miss sales opportunities because of missed calls, too.
An angry customer is one thing, but a lost potential customer is yet another issue. Imagine the revenue you could have gained had there been someone to answer that late phone call. This is not a loss per se, but it’s a growth opportunity that passed you by just because the phone call was received after-hours.
4. You’re expecting an influx of sales or new customers.
Of course, not all the signs are negative. Investing in after-hours customer service can be a proactive move, too. If the holidays are coming up and you have promotions that may draw more customers in, then it might be an ideal time to have outsourced after-hours call center services that can address customer concerns 24/7.
5. Your market is expanding across multiple time zones.
Another way to be more proactive during an expansion is to make sure that clients can reach you (or at least, you customer service team) at any time of the day. This is important if you are now servicing multinational clients, with varying time zones. This way, there will be no delays in responses and it’s easier to ensure customer satisfaction.
If you’re seeing any of these signs in your business, then that’s your go-signal to consider having an outsourced after-hours support team. Whenever you’re ready to get started, all you have to do is ask us — we’d love to discuss how our outsourced customer service team can empower your business.
Outsource After-Hours Support To The Philippines
Delight your customers and keep them coming back by providing them the support they need when they want it.
At KDCI Outsourcing, we take after-hours support seriously, and make it a point to build offshore customer support teams in the Philippines that not only have the skills and expertise you’re looking for, but also the soft skills and cultural fit needed to integrate well with your organization and serve as ambassadors of your brand.
Learn more about after-hours customer service outsourcing in the Philippines. Contact us today!
