All you need to know about Business Process Outsourcing or BPO

All you need to know about Business Process Outsourcing or BPO

In the marketing field, do you often hear the term BPO or Business Process Outsourcing? Yet you don’t know what this marketing term means exactly? If so, you’ve already come to the right place! In this article, we explain how this marketing strategy can help you stand out from your competitors.

BPO: what exactly is it?

BPO, commonly known as Business Process Outsourcing, is a marketing term used to describe the outsourcing of a company’s business processes or a specific task to a much more specialized service provider. In this context, we can define BPO as outsourcing. In fact, when your company’s employees don’t have the skills required for a task, you call on the help of a third party. This process is known as BPO or Business Process Outsourcing.

Generally speaking, a company uses BPO for processes that are not vital, but are nonetheless essential to its market positioning.

BPO’s place in the world of marketing

In the world of marketing, Business Process Outsourcing refers to all services related to the outsourcing of a company to a call center or customer contact center. In this context, companies call on outsourcers to handle customer service tasks.

What are the two main categories of BPO?

BPO, or business process outsourcing, falls into two main categories:

  • Business Process Outsourcing dedicated to the front office: this model includes services linked to customer relations, such as marketing, technical support and so on.
  • Business Process Outsourcing dedicated to the back office: this model mainly concerns the company’s internal tasks, such as invoicing, purchasing and so on.

What about international BPO?

When it comes to international business process outsourcing, we call it “offshore outsourcing”.

On the other hand, when BPO is carried out in a country close to where the company is located, we speak of “nearshore outsourcing”.

And finally, if your subcontracting does not take place outside the country where your company is based, but is located in another region, then you are “onshore outsourcing”.

BPO: what makes this strategy so advantageous?

Did you know? By opting to outsource all or part of a task, your company saves money. Indeed, salaries and taxes may be lower in other countries. This is especially true of companies that choose to outsource their call centers and services to developing countries.

In addition to this, BPO will also give you greater flexibility. In the event of a change in the market, your company will be able to react faster than your competitors. This marketing strategy will give you a competitive edge. By outsourcing the tasks that don’t set you apart, your staff can concentrate on the tasks that do.

Finally, you can gain in performance and time by using BPO suppliers. Because they specialize in the various tasks they offer, they’ll get you good results in the shortest possible time.