CCAP: PHL still world’s call center capital
The Philippines still reigns as the call center capital of the world, and is expected to stay on top even though the local industry is past its peak.
Contact Center Association of the Philippines (CCAP) chairman Benedict Hernandez said that the country continues to be the largest outsourcing destination for delivery of contact services in the world, and not even India — which took the second spot — comes close.
According to CCAP, data from Texas-based global consulting and research firm The Everest Group showed the Philippines will remain as the biggest contact center market in 2018 as the country takes 16 to 18 percent of the total outsourced services worldwide.
Furthermore, The Everest Group noted a number of factors that enabled the Philippines to maintain its dominant status, which include:
- language skills;
- high empathy of Filipino agents;
- cultural affinity to Western countries;
- competitive costs; and
- government incentives (tax discounts, talent development programs, etc.)
Nevertheless, Hernandez said that while the contact center industry is expected to continue its growth in the coming years, it may not be able to grow as much as it had in the past.
The contact center industry has been one of the country’s top revenue generators in the past decade, with a recorded double-digit expansion in 2015.
In 2017, the contact center sector generated a $13-billion revenue, which is a slight improvement from the $12.77-billion revenue in 2016. This year, the industry is expected to expand by another seven to nine percent.
Hernandez, however, admitted that CCAP may need to “reforecast” in case something happens with regards to local and foreign policies that may affect the sector.
Meanwhile, CCAP president Jojo Uligan said that the group is cooperating with the government regarding the proposed rationalization of the fiscal incentives under the country’s second tax reform package.
“We want the Philippines to remain competitive. One of the things that has kept us competitive are the incentives,” he said.
via Philippine Star / Richmond Mercurio
