How to Determine the ROI of GigCX
If you’re a brand or BPO considering implementing GigCX and want to narrow in on determining the ROI of this model, you’re in the right place. If you want immediate results, check out our ROI calculator. You can quickly compare your current operational costs to what they would be if you leveraged a GigCX solution like ShyftOff.
In this piece, we will dig into how we come up with our numbers as well as highlight some of the not-so-obvious benefits of GigCX. When we think about GigCX, there are four three core benefits for contact centers:
- Flexibility to scale staffing up and down
- Ability to staff perfectly every single time
- An average of 35% cost savings when compared to a traditional model
In our experience, we’ve realized that not everyone understands the math of contact centers. One of our priorities in the sales process is ensuring our prospects understand how we arrive at our assumptions and why we’re confident about our model. If you’re interested in learning how GigCX can help your contact center, get in touch with us. We’d happily dive into the model and evaluate your current numbers.
So, how does GigCX really save costs? Contact centers save costs in four places.
- Never pay for shrinkage.
- Never pay for attrition.
- Optimize staffing (higher occupancy) at each interval.
- Minimize training costs.
For most contact centers, paying for shrinkage is naturally hard to get around, especially when you’re operating with W-2 FTEs. However, attrition is one of the most expensive costs of a contact center and often the hardest challenge to correct. For some contact centers, a 300% attrition rate isn’t out of the cards. This means you’re replacing your team three times a year. This is where most contact centers spend outrageous amounts of money.
Only Pay for Productive Time
We’ll circle back to attrition soon, but we’ll tackle the first point on our cost savings list. Shrinkage.
One of our favorite tools to use is contactcentrehelper.com’s Shrinkage Calculator. This tool is a great industry tool to help you get no BS numbers for your contact center operations. So, we’ll start with this to support our explanation.
To clearly define shrinkage, this is any time a contact center pays for when agents aren’t actively serving customers. There are two types of shrinkage: internal and external. A good example of external shrinkage is taking a day off. Internal shrinkage would include lunch breaks, meetings, or training. On average, 15% of a contact center’s shrinkage is external, and the rest is internal. There’s a real opportunity cost to minimize shrinkage. For the sake of our walkthrough, we’re assuming that a 200-person contact center that operates a standard 40 hours per week has 35% shrinkage.
With a GigCX model, contact centers aren’t paying for training, coaching, and quality sessions. These are costs we incur as a GigCX solutions provider. For our partners, we only provide you agents who are able to deliver you 100% productive time. However, we do want to note that shrinkage is a necessary part of a contact center. Our model is designed to help contact centers maximize productivity as much as possible without shrinkage being one of their largest contributors to cost.
If you’d like a more in-depth walkthrough of shrinkage, check out our latest podcast on YouTube. We dive in a little more to help any contact center pro understand the true cost of shrinkage.
Unlock Perfect Staffing and Eliminate Attrition
Another big ROI benefit we provide to our partners is they don’t pay for attrition. As a GigCX model, we are responsible for finding and retaining great people to service our partner accounts. For every partner, we are aligned with your company incentives to ensure our agents perform at your standard or, in most cases, even better than your current agents. Our agents are rewarded for performing better on our partner accounts to earn increased opportunities for choice, flexibility, and autonomy over their work within our model.
Our model is very agent-friendly, which is why they stick around and flourish for our partners. We also have a bench of gig agents trained at our expense that are always available to service our partner accounts. Not only do our partners never experience attrition, but they don’t pay for it either.
The cost of our model for contact centers is comparable to nearshore outsourcing, which enables contact centers to consider reintroducing US-based talent without overpaying. One thing that really differentiates us from a standard BPO or outsourcing partner is that our partners only pay for productive time.
We touched on this earlier in the blog post, but this is the true value of a GigCX model. By enabling contact centers to staff in 30-minute intervals while leveraging a hyper-flexible workforce, we can virtually eliminate the unnecessary costs that come with staffing a contact center the traditional way.
If you’re interested in really digging into the ROI of GigCX, we suggest we check out the following resources:
- ShyftOff ROI Calculator
- Future of Contact Center Podcast Episode 3: An Inside Look at the ROI of GigCX
- Reduce US Contact Center Cost with ShyftOff
Let’s make this holiday season your easiest one yet. Get started with your GigCX pilot this week. Contact our team to get started.