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Some companies struggle to set up their call center operations. Others face big challenges in scaling their team and maintaining good service levels while managing agents daily and maintaining performance. Having the right tools and resources to manage call center operations is key in both scenarios.
A nearshore call center in Mexico is a great solution. Alternatively, companies can turn to virtual assistants in Mexico to accomplish some of the work. This article discusses the reasons outsourcing call center processes to Mexico benefits your business.
Why Outsourcing Call Center Services to Mexico Makes Sense
Before we begin, what is business process outsourcing (BPO)? It involves hiring a third party to perform functions you cannot manage in-house.
For good reasons, Mexico is one of the top BPO destinations in Latin America. Here are six reasons outsourcing call center services to Mexico makes sense:
1. Lower Call Center Costs
Companies realize an immediate competitive advantage due to the significant cost savings of hiring a call center in Mexico. Call center overhead expenses and agent rates in Mexico are up to 50% less than in the U.S. The country’s call center outsourcing costs are globally competitive and just as alluring as those of offshore locations, such as the Philippines and India.
Typically, companies choose from two affordable pricing programs when outsourcing call center activities to Mexico: turnkey call center pricing and corporate advantage.
Turnkey call center pricing allows you to set up high-performance solutions in Mexico with minimal to zero capital expenditure and legal exposure. The BPO company uses its existing personnel and administers the operation within its corporate structure. It is also legally and financially responsible for your call centers and their employees, taxes, and regulations.
However, you have full control over training, protocols, procedures, and management functions. The pricing for this program ranges between $14 and $16 per agent per hour, which is as globally competitive as the pricing for offshore outsourcing. The total service costs depend on the length of the agreement and the number of agents you have.
The benefits of this program include the following:
- Minimal capital expenditure
- All-inclusive per hour per seat call center rate
- No legal liability
- Easy integration with existing systems such as contact center as a service (CCaaS) solutions
- Existing personnel, information technology (IT) infrastructure, facilities, and furniture
Under the corporate advantage program, you establish a nearshore call center for your specific infrastructure needs, which is ideal if you are willing to invest in the startup costs. You will fund and approve capital start-up and continuous expenses for the call center, allowing you to control operating expenses and build the floor to your specifications. The benefits include:
- Reliable call center provider as a partner
- Competitive agent hourly rate
- Easy management
- Outsourced recruitment, training, and workforce management
2. Wide Availability of Call Center Agents
Mexico is home to one of the largest bilingual workforces in Latin America. The country has a population of over 130 million individuals and a workforce of more than 50 million. It also has a young demographic, with a median age of 29. The country’s labor force offers a wide recruitment pool of skilled agents who speak fluent English, minimizing language barriers.
Agents in Mexico are also in sync with U.S. happenings, contributing to their superior service. Due to their proximity to the U.S., agents are bicultural and bilingual, capable of interacting with North American clients. A big chunk of the population frequently visits or has lived in the U.S., which lets them understand its culture and nuances.
Moreover, Mexican agents take pride in their IT knowledge, strong interpersonal skills, motivated spirits, and customer-oriented mindsets. They can handle call center and technical support outsourcing effectively, making a good impression on clients with their diligent work ethic and ability to communicate, complete tasks, and achieve goals well.
Outsourcing call center functions to Mexico is a good idea because the agents are hard-working, and Mexican BPO companies have low attrition rates. Lastly, many consider working in a call center a prestigious job since manufacturing jobs are abundant in the country.
3. Continuous Call Center Agent Training
The most competitive BPO companies in Mexico keep a roster of highly competent agents who undergo continuous training. A reliable outsourcing provider not only focuses on equipping agents with call center skills and knowledge; it also aims to improve communication, active listening, negotiation, and computer skills necessary for handling customer interactions.
Common types of training that call center agents undergo include:
- Customer experience
- Systems and processes
- Flow charts and call techniques
- Negotiation and closing techniques
- Upselling and cross-selling opportunities
- Dealing with rejection
- Certification programs
Other agent development initiatives in which BPO companies invest include:
- Leadership training programs
- On-site supervision
- Top agent mentoring programs
- Best practice documentation and training
- Call monitoring
- Rewards and bonuses
Some agents acquired their skills by working for multinational companies with unique processes that have been outsourcing call center tasks to Mexico for years. Their services include tech support, customer service, data entry services, debt collection, order processing, and more.
Furthermore, the government provides additional training opportunities to increase the workforce according to the needs of each industry. State universities in the country focus on IT, communication, marketing, and business degrees, giving agents technical and soft skills to improve customer service.
4. Better Management Control and Proximity
Mexico’s proximity to the U.S. allows client companies to remain in control of agents and processes. The separation reduces the difficulty of maintaining quality control. It also enables seamless integration between your in-house and nearshore operations, which is vital for smooth implementation, better process supervision and compliance, and continuous training.
Partner with a back-office outsourcing provider in a strategic location such as Mexico City or Tijuana. The aim is to make you feel like your call center operation is next door. Here are some key insights about the two locations to help you understand what makes them excellent sites for your call center operations.
Outsourcing call center services to Mexico offers benefits that some competing locations cannot match. Mexico’s growth as a top nearshore outsourcing location is steady, with robust business, finance, and trade policies. Many industry leaders have chosen Mexico for affordable nearshore call center operations to support their North American markets.
5. Mature IT Infrastructure
Private developers and the Mexican government have invested in technology and business parks. Both are actively investing in transforming the country into a creative digital hub. As the demand for talent grows, private and public investment in IT parks and workspaces keeps rising.
IT parks with facilities and offices on par with those in the United States have opened in the following countries since 2023:
- Guadalajara Software Center
- Monterrey Technology Park
- Apodaca Technology Park
Guadalajara, with a thriving tech labor force of 115,000, is part of the country’s “Silicon Valley.” The nation’s infrastructure, technology parks, and talent pool continue to attract companies looking to outsource nearshore. As a result, the country’s best and brightest are competing to work for BPO companies that replicate American-style work environments and perks.
Mexico’s image problem is also worth noting. The Mexico people see in the media, Mexico for most of the population, and the BPO providers are very different. Many do not hear about the millions of skilled workers working on processes for local and foreign companies.
6. Real-Time Collaboration Between the U.S. and Mexico
Outsourcing call center activities to Mexico is easier than partnering with a BPO team from India, Indonesia, or other offshore locations. Its compatibility with many U.S. time zones allows for real-time collaboration and exchange.
Communicating with a call center team in India means a ten- to twelve-hour time gap, so you might not receive a response or see actions until the next shift. Language barriers are not a problem when outsourcing to Mexico, either. English is widely spoken and is the international language of businesses, which is encouraged in most workplaces.
Flying to Mexico from the U.S. is also easier, with more than 300 flights daily and a maximum six-hour flight from most mainland U.S. airports. You can fly up to meet your nearshore time with no problem. Conversely, flying to India takes up to 30 hours, depending on the location.
Outsourcing to Mexico should be no problem since it has a lower attrition rate than the 47.2% in the U.S. Mexican call center agents do not simply learn technical skills. They know from continuous investment in career development and experience how to handle customers from the U.S. So you can expect the same commitment and professionalism from local agents.
The Bottom Line
Many companies realize the significant advantage of outsourcing call center services to Mexico. The most significant benefits are 50% cost savings, an improved customer experience due to broader capabilities, and access to highly skilled agents with solid English proficiency.
Other reasons to outsource to Mexico are real-time communication, commitment to results, and the workers’ professional attitude. The low attrition rate in Mexican BPO companies is also an advantage in maintaining institutional knowledge.