Introduction

The third-party contact center spend has grown steadily at 7-8% in 2012 to reach US$65-70 billion. Being a mature, highly fragmented, and competitive market, organic growth is slow and there are increased instances of mergers and acquisitions indicating a shift towards consolidation. Also, buyers are looking for value beyond labor arbitrage. The conversations are now increasingly targeted at business outcomes and buyers look to evaluate service providers more holistically. Service providers are therefore focused on creating value-added solutions that include social media channel, customer analytics, and skill development & training to drive better customer experience management.

In this study, we focus on CCO outsourcing segment to analyze the following:

• CCO service provider landscape overview
• CCO PEAK Matrix 2013
• Key insights on PEAK Matrix dimensions
• Emerging trends

Scope of analysis

• More than 750 CCO deals signed as of December 2012
• All languages, geographies, and industries
• Coverage across 20+ CCO service providers, including Aditya Birla Minacs, Aegis, Capita, Cognizant, FirstSource, Genpact, HCL, HP, Infosys, Serco, Sitel, Sutherland Global Services, Sykes, TCS, Tech Mahindra, Teleperformance, Teletech, Transcom, Webhelp TSC, WNS, and Xerox

Content

This report examines the global CCO service provider landscape and its impact on the CCO market. It focuses on service provider positioning in the CCO market, changing market dynamics and emerging service provider trends, and assessment of service provider delivery capabilities.

Some of the findings in this report are:

• CCO service providers can be divided into three categories – CCO specialists, BPO pure-plays, and IT+BPO players. The CCO market is currently dominated by CCO specialists
• The CCO market is fairly competitive, with leading service providers varying across geographies and industries
• Everest Group classifies 20+ CCO service providers on the Everest Group Performance | Experience | Ability | Knowledge (PEAK) Matrix into three categories of Leaders, Major Contenders, and Emerging Players. The PEAK Matrix is a framework to assess the relative market success and overall capability of service providers
• Top quartile performers across each PEAK Matrix dimension were compared with others to identify differentiating strategy and operational capability across the dimensions of market success, scale, scope, technology, and delivery footprint
• The high competitive intensity and fragmentation in the market saw service providers making investments in mergers and acquisitions, customer analytics and social media channel, agent skill development and training, and in shifting towards a balanced shoring approach