Industry Analysis & Industry Trends
Industry operators have faced difficult conditions over the past five years as a result of the downturn. Before 2008-09, the industry did well as businesses focused on improving their customer service and chose to outsource non-core operations. However, the financial crisis and the subsequent recession caused demand to fall considerably because businesses slashed their spending to rein in costs. The industry has also faced strong competition from offshore call centres, which further hampered its performance. Offshore call centres in developing countries such as India have been helped by the lower labour costs, which are operators' largest cost, and the large pool of English-speaking workers available.
Industry revenue is expected to decline at a compound annual rate of 1.1%... purchase to read more
Industry Report - Starting a New Business Chapter
IBISWorld analysis indicates that the barriers to entering this industry are currently low, but increasing. Market share concentration is low because the vast majority of call centres are operated by companies as in-house operations. There is no significant initial capital outlay, as many operators choose to rent equipment and office space. However, although it is relatively simple to enter the industry, this is no guide to future success.
This is driving the industry-wide outsourcing trend and is likely to raise the barriers to entry. The major industry cost, and also one of the key success factors, is employing an experienced and well-trained labour force... purchase to read more