Market Analysis
published on Dec 19, 2012
Report Overview:
This NelsonHall market analysis analyzes the CMS BPO industry and CMS trends.
Who is this Report for:
NelsonHall's "Targeting Customer management Services" (CMS) report is a comprehensive market assessment report designed for:
- Sourcing managers investigating sourcing developments within CMS BPO
- Vendor marketing, sales and business managers developing strategies to target BPO service opportunities within CMS BPO
- Financial analysts and investors specializing in the IT services and BPO sector, including CMS BPO.
Scope of this Report:
The report analyzes the worldwide market for CMS BPO and addresses the following questions:
- What is the market size and projected growth for the global CMS BPO market by geography?
- What is the profile of activity in the global CMS BPO market by industry sector?
- What are the top drivers for adoption of CMS BPO?
- What are the benefits currently achieved by users of CMS BPO?
- What factors are inhibiting user adoption of CMS BPO?
- What pricing mechanisms are typically used within CMS BPO and how is this changing?
- Who are the leading CMS BPO vendors globally and by geography?
- What combination of services is typically provided within CMS BPO contracts and what new services are being added?
- What is the current pattern of delivery location used for CMS BPO and how is this changing?
- What services are delivered from onshore and which from offshore?
- What are the challenges and success factors within CMS BPO?
Key Findings & Highlights:
The CMS BPO market is at a mature stage although NelsonHall estimates that the CMS BPO market is still set to grow over the following five years.
The current state of the global CMS BPO market is highlighted by issues that include the following:
- CMS market still dominated by demand for "cost-take" out , with customer experience enhancement, revenue optimization, and globalization becoming increasingly important
- Commodity customer care services remain dominant
- Voice remains by far the dominant channel within customer service
- AHT remains the primary KPI within customer management services.
NelsonHall estimates that growth will be led by LATAM over the following five years.
NelsonHall has separated the CMS BPO industry into the following four segments:
- 'Cost take-out
- 'Revenue optimization'
- 'Customer experience enhancement'
- 'Globalization'.
Critical success factors across all CMS BPO market segments include:
- Vendors need to be able to provide labour arbitrage to customers through offshore delivery of services
- With vendors moving to outcomes based pricing models, the need for not only increasing revenue but "optimizing" revenue through increasing the wallet share of each customer is increasingly important
- Optimizing agent training through the use of analytics is proving increasingly effective
- Vendors need to be able to deliver multilingual support to allow for clients rapid expansion into new markets.