Call Center Outsourcing Market Size 2025-2029
The call center outsourcing market size is valued to increase by USD 26.3 billion, at a CAGR of 4.3% from 2024 to 2029. Rise of emerging countries as call center destinations will drive the call center outsourcing market.
Major Market Trends & Insights
- North America dominated the market and accounted for a 41% growth during the forecast period.
- By End-user - IT and telecom segment was valued at USD 36.60 billion in 2023
- By Type - Technical Support Services segment accounted for the largest market revenue share in 2023
Market Size & Forecast
- Market Opportunities: USD 44.51 billion
- Market Future Opportunities: USD 26.30 billion
- CAGR from 2024 to 2029 : 4.3%
Market Summary
- In the dynamic business landscape, the market continues to expand, driven by several key factors. Notably, the emergence of countries like India, Philippines, and Chile as preferred call center destations due to their large talent pools and cost advantages has significantly influenced the market's growth. Moreover, the increasing competition among companies has led to a surge in mergers and acquisitions and strategic alliances, aiming to enhance service offerings and expand geographical reach. The call center outsourcing industry's growth is further fueled by the rising demand for 24/7 customer support and the need to reduce operational costs. According to recent studies, the market is projected to reach a value of USD 219.2 billion by 2026, underscoring its substantial potential.
- Despite these opportunities, challenges persist, including data security concerns and the need for advanced technology integration. Companies must address these issues to maintain their competitive edge and meet the evolving demands of businesses seeking high-quality, cost-effective call center solutions. In summary, the market's expansion is shaped by various factors, including the emergence of new call center destinations, increasing competition among companies, and the growing demand for cost-effective, round-the-clock customer support. With a projected market value of USD 219.2 billion by 2026, the industry presents significant opportunities for businesses seeking to optimize their customer service operations.
What will be the Size of the Call Center Outsourcing Market during the forecast period?
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How is the Call Center Outsourcing Market Segmented?
The call center outsourcing industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.
- End-user
- IT and telecom
- BFSI
- Healthcare
- Retail
- Others
- Type
- Technical Support Services
- Customer Support Services
- Telemarketing Services
- Others
- Deployment
- Onshore Outsourcing
- Offshore Outsourcing
- Nearshore Outsourcing
- Organization Size
- Small and Medium Enterprises (SMEs)
- Large Enterprises
- Geography
- North America
- US
- Canada
- Europe
- France
- Germany
- Italy
- UK
- Middle East and Africa
- Egypt
- KSA
- Oman
- UAE
- APAC
- China
- India
- Japan
- South America
- Argentina
- Brazil
- Rest of World (ROW)
- North America
By End-user Insights
The it and telecom segment is estimated to witness significant growth during the forecast period.
The market continues to evolve, with the IT and telecom sectors holding a significant market share. This growth is driven by technological advancements, expanding data traffic, and the increasing preference for digital communication among consumers. In the telecom industry, the rollout of 5G technology is spurring innovation and investment. According to estimates, there will be approximately 4 billion 5G connections by 2025, marking a substantial increase from the predicted 3.6 billion in the same year. To effectively manage these interactions, call centers are incorporating advanced technologies such as multi-lingual support, quality monitoring systems, and automated call distributors.
The IT and telecom segment was valued at USD 36.60 billion in 2019 and showed a gradual increase during the forecast period.
Additionally, performance metrics like agent performance, customer effort score, and net promoter score are being closely monitored through performance dashboards and customer relationship management systems. Call center technology, including computer telephony integration, speech analytics platforms, and virtual contact centers, is becoming increasingly essential for optimizing operations. Workforce management tools, such as agent scheduling software and call recording solutions, are also crucial for ensuring efficient agent performance. By implementing these solutions, call centers can improve first call resolution, average handle time, and customer satisfaction scores, ultimately enhancing the overall customer experience.
Regional Analysis
North America is estimated to contribute 41% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
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The market in North America is experiencing growth due to the maturity of this market compared to others and the trend of offshoring operations to countries like India and the Philippines. This outsourcing practice has significantly increased revenue for the call center outsourcing industry in North America. Regulations are also driving market expansion in this region, with organizations responding by establishing new call centers or hiring additional staff to comply with changing regulations. The market's growth is further fueled by the increasing adoption of advanced technologies, such as AI and automation, to enhance customer experience and streamline operations.
Market Dynamics
Our researchers analyzed the data with 2024 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
The market is experiencing significant growth as businesses seek to improve agent performance metrics and reduce average handle times. Outsourcing call center operations to specialized service providers enables companies to optimize call routing strategies, measure customer satisfaction scores, and implement omnichannel contact centers. Cloud-based call center solutions are increasingly popular, offering flexibility, scalability, and cost savings. Managing contact center workforces efficiently is crucial for enhancing customer experience metrics. Analyzing customer feedback data and using speech analytics platforms help identify trends and areas for improvement. Leveraging call center automation, such as predictive dialer systems, can also increase first call resolution and reduce abandoned call rates. Security is a top concern in the market, with providers implementing robust measures to protect sensitive customer information. Meeting service level agreements (SLAs) is another key focus, with providers offering reliable and consistent performance to ensure customer satisfaction. Boosting net promoter scores and predicting customer churn are essential goals for businesses in the market. By integrating advanced technologies and adopting best practices, service providers can help their clients improve customer effort scores and enhance overall customer experience. In conclusion, the market offers businesses a range of benefits, from reducing costs and improving efficiency to enhancing customer experience and increasing sales. By partnering with a reputable call center service provider, businesses can leverage the latest technologies and best practices to optimize their operations and achieve their goals.
What are the key market drivers leading to the rise in the adoption of Call Center Outsourcing Industry?
- The emergence of countries such as India, Philippines, and China as prominent destinations for call center operations is the primary factor fueling market growth.
- Outsourcing has become a strategic initiative for businesses seeking to optimize processes, enhance customer experience, and reduce operational costs. Call centers are a significant area where outsourcing has gained traction, with countries like India and the Philippines offering attractive operating costs. However, challenges persist, including quality issues, wage inflation, high attrition rates, and complexities in remote management. To mitigate these challenges, call center organizations are expanding their operations in diverse locations such as Brazil, Colombia, Kenya, Egypt, and Malaysia. This strategic move enables them to access a broader talent pool, gain a competitive edge, and broaden their geographical presence.
- By diversifying their operations, these organizations can address the unique challenges of each location and ensure consistent service delivery. This approach not only enhances operational efficiency but also strengthens their competitive position in the market.
What are the market trends shaping the Call Center Outsourcing Industry?
- The trend in the market involves an upward trajectory in the number of mergers and acquisitions, as well as strategic alliances, among companies.
- The market is characterized by intense competition among companies. To expand their reach and gain access to technological expertise, companies are pursuing strategic partnerships and acquisitions with various market players. These strategic moves enable companies to explore new markets and broaden their customer base. For instance, in May 2023, Atento, a BPO company, announced its entry into the Iloilo Business Park in the Philippines. This strategic expansion will help Atento cater to the growing demand for call center services in the region.
- Furthermore, acquisitions have become a popular strategy for companies seeking to enter new markets and diversify their offerings. For example, a leading call center outsourcing provider recently acquired a technology services company, expanding its portfolio and enhancing its technological capabilities. These acquisitions not only provide access to new markets but also enable companies to offer a more comprehensive suite of services to their clients.
What challenges does the Call Center Outsourcing Industry face during its growth?
- The escalating costs of call center outsourcing services pose a significant challenge to the industry's growth trajectory.
- Call center outsourcing continues to be a significant business strategy for enhancing operational efficiency and cost savings. By partnering with specialized companies, companies can access a large pool of skilled professionals, enabling them to handle high volumes of customer interactions. However, the nature of call center work presents unique challenges. Agents often face demanding situations, such as managing abusive customers and adhering to strict scripts, which can impact their motivation and overall job satisfaction. Moreover, call centers operate around the clock to cater to diverse customer needs across various time zones. This dynamic environment necessitates flexibility and adaptability from both the service providers and their clients.
- In recent years, there has been a noticeable shift towards leveraging advanced technologies, such as AI and machine learning, to streamline call center processes and improve customer experiences. This trend is expected to gain momentum as businesses continue to prioritize process optimization and customer satisfaction. Despite these challenges, the market remains a vibrant and evolving landscape, with ongoing innovation and growth across various sectors. By staying informed about the latest trends and best practices, businesses can effectively navigate the call center outsourcing landscape and maximize the benefits of this strategic partnership.
Exclusive Technavio Analysis on Customer Landscape
The call center outsourcing market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the call center outsourcing market report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape of Call Center Outsourcing Industry
Competitive Landscape
Companies are implementing various strategies, such as strategic alliances, call center outsourcing market forecast, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the industry.
247.ai Inc. - This company specializes in call center outsourcing, managing business processes through offsite contact centers to optimize operational efficiency and enhance customer experience.
The industry research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:
- 247.ai Inc.
- Alorica Inc.
- Atento SA
- Bertelsmann SE and Co. KGaA
- Computer Generated Solutions Inc.
- Continuum Global Solutions LLC
- Datacom Group Ltd.
- DiRAD Technologies Inc.
- Epicenter Technologies Pvt. Ltd.
- Five9 Inc.
- Helpware Inc.
- Hinduja Global Solutions Ltd.
- Infosys Ltd.
- Serco Group Plc
- StarTek Inc.
- Sutherland Global Services Inc.
- Tata Consultancy Services Ltd.
- Teleperformance SE
- Transcom Holding AB
- XACT Acquisition LLC
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key industry players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
Recent Development and News in Call Center Outsourcing Market
- In January 2024, TechSolutions Corporation, a leading call center outsourcing provider, announced the launch of its AI-powered customer service platform, "IntelliAssist," designed to improve customer engagement and resolution times (TechSolutions Corporation Press Release, 2024).
- In March 2024, TeleTech Holdings, Inc. and Convergia, a telecommunications and business technology solutions provider, entered into a strategic partnership to expand TeleTech's multilingual capabilities and reach in Latin America (TeleTech Holdings, Inc. Press Release, 2024).
- In April 2025, TCS, a global IT services, consulting, and business solutions organization, acquired a majority stake in BPO provider, Wipro's call center operations, strengthening its position in the market (Tata Consultancy Services Press Release, 2025).
- In May 2025, the European Union passed the new Data Protection Regulation for Outsourced Services, requiring stricter data security measures for call center outsourcing companies handling EU citizens' data (European Union Press Release, 2025). This regulatory change is expected to drive increased investment in advanced security technologies and processes within the call center outsourcing industry.
Dive into Technavio's robust research methodology, blending expert interviews, extensive data synthesis, and validated models for unparalleled Call Center Outsourcing Market insights. See full methodology.
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Market Scope |
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Report Coverage |
Details |
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Page number |
206 |
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Base year |
2024 |
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Historic period |
2019-2023 |
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Forecast period |
2025-2029 |
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Growth momentum & CAGR |
Accelerate at a CAGR of 4.3% |
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Market growth 2025-2029 |
USD 26.3 billion |
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Market structure |
Fragmented |
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YoY growth 2024-2025(%) |
4.1 |
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Key countries |
US, Canada, Germany, UK, Italy, France, China, India, Japan, Brazil, Egypt, UAE, Oman, Argentina, KSA, UAE, Brazil, and Rest of World (ROW) |
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Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Research Analyst Overview
- The market continues to evolve, adapting to the changing needs of businesses across various sectors. Multi-lingual support and quality monitoring systems are becoming essential components of call center infrastructure, enabling companies to expand their customer base and ensure consistent service delivery. The abandoned call rate remains a significant concern, with automated call distributors and agent performance metrics used to optimize call handling and reduce wait times. Computer telephony integration and service level agreements enable seamless communication between call center technology and customer relationship management systems. Speech analytics platforms and customer interaction management tools help analyze customer data, providing valuable insights into customer needs and preferences.
- Virtual and omnichannel contact centers are gaining popularity, allowing businesses to engage with customers through multiple channels. Industry growth is expected to reach double digits, driven by the increasing importance of customer lifetime value and customer effort score in call center operations. Workforce management tools, such as agent scheduling software and call recording solutions, are essential for optimizing contact center workforce performance. Net promoter score and performance dashboards help measure customer satisfaction and agent productivity, respectively. For instance, a leading retailer implemented a predictive dialer system and achieved a 30% increase in first call resolutions, reducing customer frustration and improving overall customer satisfaction.
- Call center software and agent training programs are continually being updated to keep up with evolving call center technology and customer expectations.
What are the Key Data Covered in this Call Center Outsourcing Market Research and Growth Report?
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What is the expected growth of the Call Center Outsourcing Market between 2025 and 2029?
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USD 26.3 billion, at a CAGR of 4.3%
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What segmentation does the market report cover?
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The report is segmented by End-user (IT and telecom, BFSI, Healthcare, Retail, and Others), Type (Technical Support Services, Customer Support Services, Telemarketing Services, and Others), Geography (North America, Europe, APAC, South America, Middle East and Africa, and Rest of World (ROW)), Deployment (Onshore Outsourcing, Offshore Outsourcing, and Nearshore Outsourcing), and Organization Size (Small and Medium Enterprises (SMEs) and Large Enterprises)
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Which regions are analyzed in the report?
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North America, Europe, APAC, South America, and Middle East and Africa
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What are the key growth drivers and market challenges?
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Rise of emerging countries as call center destinations, Increasing cost of call center outsourcing services
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Who are the major players in the Call Center Outsourcing Market?
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247.ai Inc., Alorica Inc., Atento SA, Bertelsmann SE and Co. KGaA, Computer Generated Solutions Inc., Continuum Global Solutions LLC, Datacom Group Ltd., DiRAD Technologies Inc., Epicenter Technologies Pvt. Ltd., Five9 Inc., Helpware Inc., Hinduja Global Solutions Ltd., Infosys Ltd., Serco Group Plc, StarTek Inc., Sutherland Global Services Inc., Tata Consultancy Services Ltd., Teleperformance SE, Transcom Holding AB, and XACT Acquisition LLC
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Market Research Insights
- The market continues to evolve, with organizations increasingly relying on external providers for communication protocols, customer feedback management, and contact center scalability. According to industry reports, the market is expected to grow by 10% annually, driven by the need for cost savings and improved customer experience. For instance, one company reported a 15% increase in sales following the implementation of a multichannel contact center solution. This trend underscores the importance of contact center metrics, agent productivity tools, and real-time monitoring in delivering efficient and effective customer support.
- Additionally, chatbot integration, compliance regulations, and customer journey mapping are crucial components of a successful outsourcing strategy. Contact center security, call center analytics, and ivr optimization also play significant roles in ensuring customer satisfaction and business growth.
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