Majestic natural scenery, happy-go-lucky people, great English skills, and a thriving BPO sector — these are the things associated with the Philippines. Since the genesis of the country’s outsourcing industry, it has drawn countless foreign companies, offering world-class outsourcing services that promise business growth and a 70% to 90% reduction on overhead expenses. Want to find out the country’s outsourcing clients? Here are the countries outsourcing to the Philippines.
1. United States
The United States may be associated with its role as one of the global powers in the international scene. But interestingly, it is also a big player in the business process outsourcing industry, contributing a 2024 revenue of $81,445.9 million and exhibiting a 9.4% Compound Annual Growth Rate (CAGR) from 2025 until 2030, according to Horizon Grand View Research.
Furthermore, the United States and the Philippines have a long-established diplomatic relationship that dates back to 1946 — the year the latter became an independent country. Because of their shared history and the Philippines’ high English proficiency, the Southeast Asian state has become one of the best countries for outsourcing work.
While many well-known companies, such as Apple, Adobe, and Google, are outsourcing to overseas, this venture has been gaining traction in small and medium-sized enterprises (SMEs). Here are three examples of services that the United States outsources:
a. IT Services
Compared to half a decade ago, more tech executives in the United States (over 44%) are now considering outsourcing. From data security to software development, tech companies and corporations outsource these services to the best BPOs in the Philippines to get the best of both worlds: Highly qualified IT professionals and lower labor costs.
Alarmingly, Statista found that US-based corporations have been a target of network intrusion, data breaches, ransomware, and other forms of cybercrime, potentially causing the United States to surpass at least $639 billion in losses.
Hence, by outsourcing IT services, companies can work with offshore cybersecurity professionals who can employ more robust security measures to curb and avoid the costly repercussions of cybercrime.
b. Financial Services
The United States’ financial sector is critical to economic growth, accounting for an estimated 8% of the country’s gross domestic product (GDP). However, if we dig deeper, the country’s financial sector is not all that bright. The insurance industry, for example, is facing a talent shortage as thousands of individuals are retiring from their professions. Younger professionals are showing their disinterest in the field as well.
Issues concerning talent retention and lack of interest also extend to the banking and real estate industries. By outsourcing financial services to a BPO company, US-based companies can fill talent gaps without the additional cost of retaining talent.
Training and hiring costs are also slashed since the outsourcing provider handles the training of their outsourced team of financial specialists. This enables companies to reduce their employees’ workload and scale their business according to demand.
c. Customer Service
Americans are dissatisfied with customer service. According to the National Customer Rage study by the Customer Care Measurement and Consulting (CCMC), cited by the National Public Radio (NPR), speaking loudly or yelling was how nearly half (43%) of US customers let out their frustrations about a problem. Because customer service is tantamount to success, poor customer support can sully a company’s reputation and cause financial losses.
US companies outsourcing customer service to the Philippines enjoy increased customer satisfaction and streamlined digital customer service support. Thanks to Filipinos’ neutral accents and stellar English skills, they can excel in voice and non-voice customer support and provide high-quality round-the-clock support.
2. United Kingdom
Located in Europe, the United Kingdom — known for its rich history and the Royal Family — is also a country that outsources to the Philippines. With a revenue of $17,750.3 million in the outsourcing industry, the country is poised to experience a 10.9% CAGR from 2025 until 2030, as reported by Horizon Grand View Research.
According to YouGov, 26% of British companies are outsourcing operations (versus 17% of non-outsourcers) to an outsourcing provider due to cost-effectiveness and a lack of budget and talent. With Avon, HSBC, and Spotship garnering success through outsourcing, it has become a widespread practice among British companies. Below are the services commonly outsourced to an overseas BPO company:
a. Back-Office Support
Back-office operations refer to non-customer-facing functions that support and ensure the smooth operation of a business. They typically include human resources, sales processing, procurement, and IT.
In the United Kingdom, companies partner with an outsourcing provider to minimize expenses, which benefits businesses — especially smaller ones with tight budgets — as they can leverage the expertise of back-office personnel, like virtual assistants, from a Philippine outsourcing company without investing additional resources in training and equipment.
As a result, UK companies can focus on core operations, like research and development, which enables revenue growth and drives success.
b. IT Services
The United Kingdom is a leader in Europe’s IT industry, with an astounding market value of $1.1 trillion. Despite this, unsurprisingly, YouGov found that 34% of companies outsource IT to a third-party service provider, and rightfully so.
Because UK companies value cost-effectiveness and better operational efficiency, they greatly benefit from the expert knowledge of an outsourced team of IT professionals, or even an IT expert working on a contractual basis. All of which are cheaper than in-house IT staff members.
Outsourcing also comes with more choices, allowing businesses to choose the right expert for any IT need, whether it’s software development, network administration, or cybersecurity solutions.
So, by delegating IT services to IT outsourcing companies or an independent contractor, British businesses can close talent gaps and enjoy the peace of mind brought by a more robust IT infrastructure.
c. Payroll
The penetration of technology in payroll and the growing demand for offshore outsourcing has led UK companies to recalibrate their business strategies. According to YouGov, British decision-makers (28%) opt to outsource payroll to a service provider because of a lack of financial resources and a shortage of qualified talent in their companies.
As payroll is inherently a meticulous job, a simple mistake can make or break trust. For instance, Pay As You Earn (PAYE) employees reported errors in their payroll, including underpayment (78%) and overpayment (19%). While such payroll mishaps stem from human error (46%), they’re either rectified within the day (13%) or in a span of weeks (56%).
That’s why outsourcing payroll to a BPO company in the Philippines does wonders for UK companies. They have access to skilled professionals who have high regard for accuracy, calculating employees’ wages with little room for error. By minimizing the margin of error, employees are more likely to regain their trust in payroll specialists as well as ensure compliance with UK payroll regulations.
Outsourced payroll specialists from the Philippines can also cover downtimes of in-house specialists, so employees can still receive their paychecks on time. With outsourcing service companies employing advanced payroll software, offshore payroll experts can speed up calculations and protect sensitive financial data.
3. Australia
Closer to Southeast Asia is none other than Australia — a country with breathtaking natural landscapes and multicultural communities. According to Horizon Grand View Research’s report, Australia’s business process outsourcing revenue in 2024 amounts to $3,566.9, projecting a growth of 8.9% CAGR from 2025 until 2030.
As Australian businesses struggle with labor shortages — partly due to the country’s aging population — and high overhead expenses, offshore outsourcing has become a more appealing business strategy. Because Australian workplaces are embracing remote work, this shift in mindset has led to businesses realizing the benefits of this setup in the modern workplace. With video-based communication and other digital tools taking center stage, remote collaboration has become more seamless than ever.
Since offshore outsourcing often involves working with a home-based outsourced team, Australian companies are seeing the positives of remote work and outsourcing in the flesh — specifically, smooth collaboration and reduced expenses. Like the aforementioned countries, Australia outsources IT and financial services. However, there are other services the country delegates to a foreign company.
a. Digital Marketing
Digital marketing is defined as the promotion of products and services via digital platforms, such as social media and websites. It also leverages search engine optimization (SEO), paid ads, social media content creation, and email marketing when crafting marketing campaigns.
According to the Association for Data-Driven Marketing and Advertising (ADMA), citing the Australian Privacy Index 2022 by Deloitte, a small percentage (30%) of individuals have expressed their satisfaction with a brand’s delivery of personalized experiences. What’s even alarming is that brands are coming off as “creepy.” Combine this with labor shortages and evolving technologies and regulations, it can be hard to keep up.
By outsourcing digital marketing initiatives to a Philippine outsourcing company, Australian companies can work with skilled Filipino professionals who excel at delivering personalized, non-creepy campaigns that comply with the General Data Protection Regulation (GDPR) and the Australian Privacy Act. This eases the regulatory burden most often shouldered by Australian businesses.
The cost-effectiveness of Filipino labor and the timezone advantage also work in the country’s favor, reducing overhead expenses and promoting hassle-free collaboration between in-house employees and offshore digital marketers.
b. Graphic Design
With Australian brands focusing their design efforts on visual branding, there is now a demand for skilled graphic designers. Unfortunately, companies end up hiring designers that have a lackluster understanding of design or lack the artistic acumen to craft high-fidelity visual content.
To any company, bad hires are detrimental to success. Not only do bad hires produce low-quality work, they also tarnish a company’s reputation — potentially causing client and financial loss.
Delegating design work to a reliable outsourcing partner or Philippine creative agencies can help prevent the aftermath of a bad hire. Whether companies need web design or multimedia design assistance, Filipino professionals in Philippine-based graphic design firms bring fresh ideas and trends to the table.
This allows them to produce creative visuals that maintain a consistent brand identity, captivate the Australian demographic, and convert would-be customers. By hiring the right Filipino graphic designer, Australian companies can expect faster turnaround times and a significant return on investment (ROI) on outsourcing design.
c. Human Resources and Recruitment
While it’s true that Australian employers find it easy to hire people, not everyone shares the same sentiment, as reported by the Recruitment Experiences and Outlook Survey (REOS) on the Australian Government’s official website. The survey revealed that poor working conditions (24%) and shortage of qualified hires (38%) are the most prevalent challenges employers face.
Thanks to the growing demand for business process outsourcing solutions, Australian companies can offload HR and recruitment functions to an outsourcing partner, specifically a recruitment process outsourcing company.
Offshore outsourcing lets Australian businesses access specialized talent from the Philippines at budget-friendly rates, allowing employers to close labor shortages while slashing overhead expenses. At the same time, external hires from the Philippine BPO industry bring the gift of best hiring practices and technologies, which can fast-track HR and recruitment operations and bolster efficiency.
Outsource to the Philippines Today!
Overall, it is clear why most businesses in Western countries outsource to a foreign company. From hiring qualified professionals for a role to bolstering cybersecurity at a fraction of the cost, an outsourced team of experts rivals or surpasses the caliber of in-house hires. If outsourcing operations are on your radar right now, choose KDCI Outsourcing.
Headquartered in Pasig City, Philippines, KDCI Outsourcing has been a key contributor to the Philippine BPO industry, successfully delivering state-of-the-art outsourcing services to clients abroad since 2011. Speaking of services, its outsourcing solutions are broad. From travel hospitality to real estate, KDCI Outsourcing’s skilled workforce makes sure your business is primed for industry success.
As your outsourcing partner, we tailor our solutions according to your needs and workplace culture. Through our careful screening of our Filipino offshore team of professionals, you can count on us to recruit outsourcing staff that aligns with your vision and expectations.
Ready to take the next step? Contact us now, and bask in your newfound success with KDCI Outsourcing!
