Outsource Call Center to the Philippines, the BPO Capital of the World (Plus a Better Way to Get It Done)

Key Takeaways

• The Philippines is the global BPO leader, employing over 1.3 million professionals across customer support and business services.
• Companies outsource customer service here for quality and cost efficiency, benefiting from strong English proficiency and cultural alignment with Western markets.
• Businesses can reduce labor costs significantly, with estimated savings of up to 55% for US companies, 50% for Australian companies, and 44% for UK companies.
• Offshoring offers greater control than traditional outsourcing, allowing companies to build dedicated teams while maintaining operational oversight.
• Customer support teams in the Philippines support multiple industries. Sectors such as healthcare, financial services, technology, retail, and telecommunications frequently rely on Filipino support professionals.

In a consumer-based society, customer service can make or break companies. A Qualtrics survey forecasted that companies worldwide may lose up to USD 3.7 trillion annually from poor customer service.

Qualtrics research estimates trillions in revenue are at risk globally when customers have bad experiences.

This number is alarming, as 88% of consumers value customer service in 2024. Customer experience is as important as a company’s product or service. Most customers shift to their favorite brand’s competitors when they experience poor customer service.

If you have a growing need for exceptional customer service, consider outsourcing customer service. When you outsource to the Philippines, you partner with longtime customer support establishments with proven capabilities. We’ll also tackle a better way to do outsourcing.

Why Is Customer Service Outsourced to the Philippines?

The Philippines is not just a budget decision. It is a strategic move. Companies outsource here because Filipino professionals consistently deliver two things that AI and low-cost alternatives cannot: emotional intelligence and cultural fluency. They know how to read frustrated customers, de-escalate tension, and find resolution without sounding scripted or robotic. And they do it in English that global customers can easily understand.

The EF English Proficiency Index regularly ranks countries and regions based on standardized test data.

But this goes beyond soft skills. It is also about reliability and alignment. Filipino teams are accustomed to working night shifts to match US, UK, and Australian time zones. That makes support feel local, even if the team is based remotely. For business leaders focused on outcomes, this consistency matters. It is not just about reducing costs. It is about maintaining quality and customer trust across every interaction.

Related: Hire a Customer Experience Specialist Who Create Lasting Loyalty

The Philippine BPO Industry: Timeline and Milestones

Did you know that the BPO industry in the Philippines started in 1992? The year saw the first contact center for outsourcing in the Philippines being established. 

By 2005, the Philippines had conquered 3% of the global BPO market. It became the world’s BPO capital in 2010. In 2022, the Philippine BPO industry had an estimated value of USD 32.5 billion. It is set to grow annually by 10%.

At present, over 1.3 million remote Filipino workers are in the Philippine BPO industry. They represent 10-15% of the global BPO market. Although India is still the top player in the field, the Philippines ranks closely, brought about by the impressive soft skills of Philippine remote workers.

IBPAP continues to report strong growth projections for the Philippine IT-BPM industry in jobs and export.

Filipinos are known for their excellent service, English proficiency, and affinity to Western culture. In fact, one of the most commonly outsourced jobs in the Philippines is customer support. 

Filipinos deliver reliable customer service to sectors like:

• Healthcare
• Financial Services
• Retail
• Technology
• Telecommunications

The skills and expertise of Philippine remote professionals have improved the profitability and cost savings of businesses worldwide. A US company needing customer service support can save on labor costs with Filipino call center agents. 

Related:

• Hire a Customer Service Supervisor Who Builds Loyalty That Lasts
• Hire Offshore Across the US, UK, AU, and SG: The Core Rules Operators Need

Are BPO and Outsourcing the Same?

Business Process Outsourcing (BPO) and outsourcing are closely related, but they are not exactly the same.

Outsourcing is a broader business strategy where a company delegates certain tasks or functions to a third-party provider. Businesses outsource work to reduce costs, access specialized skills, or improve operational efficiency.

BPO, on the other hand, is a specific type of outsourcing focused on entire business processes rather than individual tasks.

Common examples of BPO services include:

• Customer service and call center support
• Human resources and payroll administration
• Finance and accounting operations
• IT support and technical services

In simple terms, all BPO is outsourcing, but not all outsourcing is BPO. BPO focuses specifically on structured operational processes that can be managed externally by specialized providers.

For many global companies, outsourcing these processes to countries like the Philippines provides access to skilled talent while allowing internal teams to focus on strategic work.

How Much Is the Salary of a Customer Service Representative in the Philippines?

More experienced professionals, especially those handling technical, financial, or healthcare accounts, can earn up to USD 591 per month. Apart from this average salary, Filipino customer service workers also value stability, good leadership, and the opportunity to grow. These priorities often translate into lower attrition and higher loyalty.

Tip: Check out customer service roles and their salaries compared to your location in the 2025 Philippine Salary Guide.

If you are building a remote customer support team, it helps to know the numbers. But the bigger advantage lies in long-term performance. Filipino professionals offer more than affordability. They bring reliability, adaptability, and retention. That means less time spent rehiring, faster team ramp-up, and fewer dropped conversations with your customers. These are the cost savings that do not show up on the payroll sheet but impact your bottom line every quarter.

Based on a transparent offshore salary calculator, choosing the Philippines as a BPO partner can have up to: 

• 55% savings for US companies 
• 50% savings for AU companies
• 44% savings for UK companies

These massive savings estimates allow companies to invest in their core processes and leave room for more profit.

Watch how a Filipino customer service desk agent impacts his organization’s goals through excellent communication and negotiation skills:

10 Types of Call Centers for Customer Support

Call centers can differ based on the services offered or the location of the team. Knowing which type of customer support team is best for your organization’s needs is a must.

1. Inbound

Inbound call centers receive a large volume of calls from customers of a company or brand. Support specialists answer or resolve customer requests regarding questions, issues, and tech support, to name a few.

2. Outbound

Outbound call centers are the opposite of inbound support. Outbound support agents call customers to provide or offer various services. These range from market research, customer satisfaction surveys, lead generation, scheduling appointments, telemarketing, and event registrations.

3. Combined

Combined or blended call centers simply provide both inbound and outbound support. Customer service outsourcing companies in the Philippines are commonly combined call centers.

4. Automated

Because of automation technology, artificial intelligence outsourcing is changing the game. Intelligent call services like online scheduling help with inbound calls. The new technologies build efficiency in automated call centers.

5. Omnichannel

Omnichannel call centers are combined call centers but with expanded media means. They provide call support and text, email, and social media services to perform inbound and outbound customer services. Research on omnichannel behavior shows customers often use multiple channels during their journey, and it can improve results for retailers and service teams.

6. Multichannel

Multichannel call centers offer omnichannel services. However, structurally, every team for a certain communication channel works independently from each other.

7. Virtual

Virtual call centers are unique because they don’t have centralized locations. Virtual assistants work in their homes and give 24/7 service in any time zone.

8. In-House

In-house call centers are call teams housed in a company’s headquarters. However, an in-house group requires a significant investment in infrastructure, onboarding, training, technical support, and many others.

9. Outsourced

Outsourcing companies in the Philippines may be an alternative to in-house teams. Third-party service providers already have the manpower, infrastructure, and other requirements to sustain call teams.

10. Offshore

Offshore call centers may be more optimal than in-house or outsourcing work to the Philippines. They provide more significant cost savings because customer support agents do not need a centralized facility for work. Companies also gain better control over their offshore team than outsourced customer support in the Philippines.

Related: Outsourcing to the Philippines: The Business Case, Costs, and Risks Decision-Makers Should Model

Should You Offshore or Outsource a Call Center to the Philippines?

You can access some of the best customer service support from outsourcing to the Philippines or through offshoring. The two strategies provide viable solutions to the global talent shortage. You implement either of them through outsourcing or offshoring partners. Both bring cost savings and allow your main team to dedicate their time and efforts to core functions.

Executive surveys show outsourcing and extended workforce strategies are evolving as leaders balance cost, access to skills, and governance in a multi-sourcing world.

However, the difference between outsourcing and offshoring is the distinct advantages of the latter. Offshoring provides low-cost and long-term global talent for your company. As a result, you can gain increased productivity because of delegated customer service. You still retain a high control level over your offshore team to ensure quality.

How to Build Your Offshore Customer Support

You can find, hire, and build your team using the following checklist:

• Determine your customer support goals
• Choose your offshore partner
• Calculate needed funds and resources
• Try out different call tools and equipment
• Maximize call processes using integrated tools
• Design a plan for implementation
• Initiate positive connections
• Plan for the unexpected and emergencies
• Follow remote team performance

An offshoring partner for customer service in the Philippines can help support your customer’s satisfaction metrics. They can also perform the following tasks for you:

• Onboard seasoned and empathic Filipino customer service workers
• Provide adequate training
• Give full HR, payroll, and compliance support

Offshore Customer Service Support to the Philippines

Customer service is more crucial than ever for any company. Because of the current market attitude, building a customer support team has become a priority.

Offshore to the Philippines the customer service operations you need. Remote support workers provide skills, experience, and cost savings. At the same time, the productivity of the main team is highly likely to increase, while you maintain a high level of control for quality assurance.

Hire offshore employees and secure quality customer service for your clientele.

Related articles:

• 6 Benefits of Offshore Staffing Aside From Cost Savings
• Salary Costs of Remote Staff in the Philippines for 2024
• How to Deal With 5 Offshore Talent Acquisition Challenges
• Penbrothers Ranks 64th in Top 500 High-Growth APAC Firms List

What Is the Largest BPO Company in the Philippines?

Several global outsourcing companies operate large delivery centers in the Philippines, employing thousands of Filipino professionals across customer support, IT services, and business operations.

Some of the most prominent BPO companies in the country include:

• Accenture
• Teleperformance
• Concentrix
• Alorica
• TaskUs

These companies operate large contact centers and service delivery hubs across major cities such as Manila, Cebu, and Davao.

However, the strength of the Philippine outsourcing industry goes beyond any single company. The country has built a reputation as one of the world’s leading outsourcing destinations because of its large English-speaking workforce, strong customer service culture, and decades of experience supporting international businesses.

At the same time, many global companies today are looking for more flexible alternatives to traditional BPO models. Instead of outsourcing entire processes to large call center providers, businesses increasingly prefer embedded offshore teams that work directly with their internal operations.

This is where modern offshore staffing partners like Penbrothers come in. Rather than operating as a traditional BPO, Penbrothers helps companies hire dedicated Filipino professionals who integrate directly into their teams across roles such as technology, marketing, finance, and operations.

The model gives companies access to the same deep Filipino talent pool that powers the Philippine outsourcing industry while maintaining greater control, transparency, and long-term team alignment.

Frequently Asked Questions