Wednesday, July 20, 2011

The Outsourcing Conundrum

Outsourcing has become an intricate part of various business processes. In service industry, there has been a pronounced shift in the direction of after-sales support outsourcing. Today, manufacturers, suppliers and retailers believe that outsourcing after-sales service helps them slash overhead costs, streamline service management, and sharpen their focus on competencies which are core to them. (http://www.zed-axis.com)

But is your brand ready to withstand the possible downfalls of such a move?

The moment a company outsources its support services to a third party, it immediately brings into its fold a group of people who may not necessarily understand the brand promise. The brand promise is crafted by a company after a deep understanding of the customer. The customer in turn expects this promise to be delivered across every touch point with the same consistency. This becomes the inherent challenge of outsourcing customer service.

When a company outsources their after sales service needs they are also outsourcing the brand. An outsourcing partner may not always make keeping up the brand promise its priority. With cost savings being one of the selling points, the outsourcing partner may allow the client’s brand promise fade into the background. Therefore, if a company centers its entire marketing and sales pitch to the consumer on a brand promise, outsourcing that very commitment can prove fatal to the brand.

This is what we think, what do you think?

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