What are the Costs for Outsourcing Customer Service? | ShyftOff

By:
Trevor Clark

How Much Does Outsourced Customer Service Cost?

There’s an old adage in business that says it costs five times as much to attract a new customer than it does to keep an existing one. While that number may be somewhat fluid in today’s climate, the point stands that retaining customers is always in the best interest of the business. And though some companies will turn to incentives like discounts to keep customers in their good graces, others are focusing more on providing exceptional experiences—a strategy that should start with sound customer service. 

If employees are the heart of your organization, customer service is its lifeblood and should be made a priority. Not sure your business is equipped to do that or that you can afford to farm out contact center services? You may be surprised to learn that ShyftOff has a model that cuts outsourced customer service costs dramatically. So, how much does outsourced customer service cost? Let’s dig in deeper. 

Outsourced customer service costs can vary by model

Whether it’s within an in-house role or at an outsourced contact center, the traditional full-time employee is generally paid for 40 hours of work per week. Does that mean the employee is working 40 hours each week? In most cases, no.

As I mentioned in a recent ShyftOff article, Is the GigCX Model Right for Your Contact Center?, I’ve found that the flexibility our model affords can account for wins across theboard.  

Full-time schedules are restrictive and limit the freedom that most people are looking for in a job today. Those same schedules also result in a lot of down time, which equates to the business paying for unproductivity. In a vacuum, these brief moments of inactivity seem harmless enough; but when compounded out across an entire staff, it really starts to addup. The ideal outcome is a scenario that promotes flexibility, thus attracting better, more experienced agents who can increase productivity. That is a win-win. 

That’s precisely why ShyftOff utilizes a GigCX model backed by 30-minute “microshifts” hand-selected by agents trained on specific accounts. The biggest difference between what we offer our customers and what other outsourced contact centers offer is that our agents are only paid while they are working. Because our agents are working in short sprints instead of the long marathon that is an eight-hour workday, there’s less risk of burnout or demotivation. That also typically means less unoccupied time and shrinkage. 

What outsourced customer service costs with ShyftOff

Answering the question, “How much does outsourced customer service cost?” can be tricky. There are many variables at play—including the location of the agents, their experience and knowledge, and the size of the team—that are subject to cause wildly fluctuating costs. What I can say is that a rough estimate of outsourced customer costs is between $30 and $35 per hour, per agent. With an account consisting of 25 agents and using the low end of $30 per hour and an average of 173 monthly hours billed, that adds up to a total ofabout $130,000 spent per month.  

Using those same numbers, it’s clear to see how there may bean opportunity for savings with ShyftOff’s GigCX model. With ShyftOff’s model, a business paying $30 per hour, per agent, for those same 25 agents isn’t paying $130,000 a month—it’s paying about $85,000. Of course, the math checks out with a smaller staff in the same way. For example, five ShyftOff agents totals a monthly cost of about $14,000, compared to nearly $19,000 if you’re paying allfive agents for 40 hours of work each week.

Many different factors can impact these costs, but the important thing to recognize is that we may be able to save you money—all while filling your customer service roles with skilled and experienced agents.  


When it comes to outsourced customer service costs, ShyftOff’s GigCX model is a game changer because you’re only paying for the time that the agent is providing service for your brand. Interested in learning how we can help your business improve its customer service, while also boosting the bottom line? Let’s chat.

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