Outsourcing stats:

• Nearly 54% of all businesses use third-party support teams to connect with their 
• customers.
• 78% of businesses worldwide feel positive about their outsourcing partners.
• The outsourced customer experience market around the world was estimated to be worth $75.1 billion two years ago.
•  24% of small businesses outsource some of their processes to improve efficiency.
• Each year around 300,000 jobs get outsourced out of the US.

Some common jobs that are outsourced are:

• IT management 
• Website development and other digital needs
• Administrative tasks
• Customer service 
• Human Resources
• Back office support
• Data entry 
• Marketing 

So how can you really scale your business with outsourcing? Here’s how:

1. Cost Savings

The money outsourcing saves is the biggest reason business owners decide to outsource some of their processes. Capital is always something a business owner has to focus on, especially when they are trying to scale. Labor is very costly so getting certain jobs done that require a lot of time and labor could be outsourced to get it done cheaper by skilled professionals that you may not otherwise be able to afford if you tried to hire one inhouse. Outsourcing some of the tasks, especially the non-essential tasks, you can save a lot of not only cash but also time and other resources. 

As a business owner, you and your inhouse team should be staying focused on income producing tasks. Functions that will help grow the company like marketing, strategic planning, product development, networking, etc. The money that you save by outsourcing tasks could be used towards those functions that are going to help you scale. 

Another way outsourcing saves you money is by not having to hire additional employees to complete all of the day to day tasks needed to get done to effectively run your business. Fewer employees means fewer salaries to pay but it also saves on rental costs as you don’t need a lot of space to run your business. 

2. Experts ready and available by request 

When you need an expert to complete certain tasks needed to run or grow your business, you don’t want to hire an in-house professional to do it at a high cost and have them on your payroll. Instead, you could simply outsource the task to a skilled professional who is an expert in that exact function. Outsourcing gives you access to the experienced experts at a fraction of the cost which means you get the job done right and in a shorter amount of time it would take if you tried to hire the expert in house. Basically, you are just paying for tasks as they come up rather than paying an employee full time to do it. 

Have a data entry project needing to be completed but don’t have the time? Outsource it! Have orders to enter, accounting work, payroll tasks? Outsource it! There are many processes that could be outsourced to professionals waiting to complete the work for you. When you hire a company that performs multiple job functions you could go to them for almost all of your business processes. Many companies are flexible and will adjust their services to fit your needs. 

3. Outsource first, hire second

When your business starts to grow, you might initially want to jump and hire a bunch of employees to help. This is not what you want to do if you want to scale your business and increase profits. As needs arise, first ask yourself if it’s a task that could get outsourced. If it is, then outsource first. If it’s not, then hire staff. Having staff on payroll cost a lot more than just salaries. You have the additional office space and rent, benefits like healthcare, taxes, etc. 

Don’t try to do everything yourself as that isn’t productive. Get help when you need it. Outsourcing is great because you could just pay for services when needed. Be OK with asking for help and hiring professionals to get the job done right. 

4. Focused and productive

With all the moving parts that need to be completed each day to successfully run your service business you are going to need some help. There’s just not enough time in the day for you to do everything yourself, and do it right. 

When you outsource some processes it allows you to stay focused and productive completing tasks that are income producing. You will then have the time to handle the core business functions as well as complete research and strategically plan your growth. When you are distracted by tasks that are not revenue producing you can’t be the most productive and scale.

• When people at work are less distracted 75% are more productive.
• 57% of them have increased motivation, and 49% are overall happier at work.

So outsourcing will save you time, money, make you more productive so you could really scale business! 

5. 24/7 customer service

Another huge benefit to outsourcing is the around the clock service offered. As an example, if you outsource your customer service, your customers could call, SMS, email, live chat, social media inquiry at any time of the day or night and get a quick response even after business hours. This will ensure no new lead gets missed and your customers needs are quickly handled. 

Your outsourced customer service team will be experienced in providing excellent service so your clients are happy and feel taken care of. This will add to a please buying experience which will create loyal customers that will come back to you time and time again. When your customer is happy with your products and services they will become your brand advocate. They will tell their friends and family about their pleasant experience and give you good online reviews (don’t forget to ask for them) which is free marketing to grow your business. 

6. Crush your competition

Competition is the name of the game in any industry. In order to really scale your business, you have to stand out from your competition. By outsourcing your processes, you’re able to reduce overhead costs and in turn offer more competitive pricing without sacrificing your profit margins. You will also be able to use the money savings for core functions like product development. 

Outsourcing also allows you to offer the 24/7 customer service which your competition may not, so it's a huge advantage for someone to buy from you. Your customer service team will be available by phone, live chat, SMS, email and social media which not all companies offer. They will be dedicated to providing excellent service though all channels.

Outsourcing gives you a competitive edge by having access to experienced skilled excerpts in many fields including technology. Staying current with the latest technology will prepare your business for the changing demands and expectations of consumers. By keeping up with these trends you will increase your relevancy and appeal to more customers, which will set you apart from the competition.

Marketing is a huge expense for a company wanting to scale. Excellent customer service will give you free marketing by word of mouth and positive online reviews. Also, the money you save by outsourcing some of the tasks could be used to beef up your marketing budget and take your business to the next level. 

Result:

There’s many ways outsourcing some of your processes will help you scale your business. Having the extra time to focus on growth plans and revenue producing taks will keep you moving in the right direction. With the ability to offer competitive pricing and 24/7 outstanding service, you are able to stand out from your competition. 

Ensure your outsourcing team is exceptional and has similar culture and values as your company so they will be easy to work and grow with. When you have the right team, they will act as an extension of your team and be working towards the same goals as your company. 

Contact Awesome CX today for all of your outsourcing needs and we will help you take your business to the next level! 

Sources:

Chi08-mark.pdf

https://fortunly.com/statistics/outsourcing-statistics/#gref

https://www.sba.gov/