The contact center outsourcing services market in Latin American and the Caribbean (CALA) remain relatively stable in terms of revenue in 2018, compared to 2017. This negative performance was mostly due to automation of a large number of interactions by telecom companies, which was partially offset by solid performances of Colombia, Central America and the Caribbean, and Chile. Moreover, the devaluation of some Latin American currencies against the United States dollar, such as the Argentinean Peso (69.9%) and the Brazilian Real (14.4%), pushed the revenue down measured in the North American currency.

Meanwhile, mergers and acquisitions continued to take place in the BPO space and impact the Latin American and the Caribbean market. In 2019, Grupo Konecta acquired Uranet in Brazil and Blue Connect in Argentina, while in 2018 Concentrix acquired Convergys, and Aegis merged with Startek; in Argentina, CAT Technologies acquired the local operation of Comdata Group, and in Colombia, Colombian Outsourcing Solutions bought Top Factory. In Chile, Upcom acquired DTS at the end of 2017, consolidating a significant player in this market.

New digital solutions, the intensive use of emerging technologies and service diversification is leading to a profitable business. Those CCSPs who can build a strong value proposition, based on added value rather than in price-competitiveness, are escaping from a margin-devouring price war. Nevertheless, competition is fierce, and clients are continuously demanding to win efficacies and lower costs. This is leading active CCSPs to periodically come up with new value propositions that can provide them with a competitive edge in order to escape commoditization and price war.

Moreover, the customer experience is becoming the primary factor impacting customer loyalty and the key differentiator deciding business’s fate. As organizations increasingly realize this, pay less attention to cost-related variables (such as Average Handling Time or AHT), and more to customer-related metrics (such as Net Promoter Score or NPS). As a result, companies are increasingly defining their incentives to CCSPs based on metrics such as NPS and customer satisfaction.
Frost & Sullivan expects this market to grow in the forthcoming years, based on a now consolidated offshore segment, as well as the recovery of the local markets. However, the rise and fall of major CCSPs will be largely determined by their ability to play a bigger role in their client´s path through the digital transformation.

This report provides a detailed assessment of the contact center outsourcing services market in Latin America and the Caribbean, including market shares, segmentation, and forecasts for several variables such as geography, industry vertical, channels of contact, service function, and technology adoption. The base year of this study is 2018 and forecasts reach to 2024.