What Is Call Center Outsourcing? Costs, Models and Risks

Written by ayushi | Published on March 8, 2025 | 14 min read
What is Call Center Outsourcing

Call center outsourcing means hiring a specialist company to answer and make your customer calls for you. The partner hires, trains and manages the agents, runs the phone system and reports on quality, while you set the standards. It is also called contact center outsourcing (or call centre outsourcing in the UK and Australia) when chat, email and messaging are included. Clutch puts the average rate at $25 to $49 an hour, and the price depends mostly on where the agents sit.

That price range hides three choices that matter more than the rate: which model you buy (onshore, nearshore or offshore, dedicated or shared), how you pay (by the hour, the minute or the contact), and how you manage the risks of handing over your customers. This guide covers each, in the order most buyers work through them. If you already know you want a team, our call center outsourcing page shows how we set one up.

Call center outsourcing meaning

What is call center outsourcing?

Call center outsourcing is the practice of contracting an external provider to manage customer conversations on behalf of your business. Instead of building your own phone team, you pay a partner whose agents answer as your brand, in your tools, to your rules.

An outsourced call center usually handles:

  • Inbound calls: order status, returns, billing questions, product help and complaints
  • Outbound calls: follow-ups, renewals, win-back and satisfaction surveys
  • Email and web forms, worked as tickets in your help desk
  • Live chat and messaging, including SMS and social media messages
  • Back-office work tied to calls, such as refunds, address changes and order edits

Companies outsource some or all of this. Many keep a small in-house team for escalations and hand the partner after-hours, overflow and routine volume.

Call center vs contact center outsourcing

The two terms are used loosely, but there is a difference worth knowing when you compare quotes. A call center is built around the phone. A contact center covers every channel a customer uses: phone, email, chat, messaging and social. Most consumer brands now buy contact center outsourcing even when they search for call center outsourcing, because customers move between channels and one team with one history is easier to run than two.

What is a BPO call center?

BPO stands for business process outsourcing. A BPO call center is a third-party company that runs customer interactions for other businesses. Its agents answer as your brand, so the customer should not be able to tell they have reached an outsourced team.

A BPO call center typically offers two groups of services.

Inbound services (customers calling you):

  • Answering support questions about products, orders and accounts
  • Processing orders by phone: taking the order, entering details, taking payment and passing it to fulfillment
  • Dispatch and scheduling, such as booking a repair or a delivery slot

Outbound services (you calling customers):

  • Telesales and lead follow-up
  • Retention and win-back calls to lapsed customers
  • Phone surveys and market research, asking set questions and recording the answers

“BPO” also covers work that is not customer-facing, such as data entry or accounting. When people say BPO call center they mean the customer-facing part.

Types of call center outsourcing

There are two ways to describe the type you buy: where the agents sit, and how the team is shared.

By location: onshore, nearshore and offshore

Types of call center outsourcing

Model Where the agents are Cost What you trade
Onshore Your own country, for example a US team for US customers Highest Local accents and hours, at the highest wage cost
Nearshore A neighboring country or close time zone, for example Latin America for the US Middle Overlapping hours and lower wages, with a smaller talent pool
Offshore A distant country, for example India or the Philippines for the US, UK or Australia Lowest The widest talent pool and natural overnight coverage, with more training on accent, culture and brand voice

Offshore teams suit brands that need 24/7 cover, because an offshore day shift can cover the US night. Onshore suits calls that depend on local knowledge or regulated scripts. Many brands mix them: an offshore team for volume and nights, with a small onshore or in-house team for the hardest calls.

By team structure: dedicated, shared and overflow

  • Dedicated team. Agents work only on your brand. Best for complex products, a distinct brand voice or steady volume.
  • Shared team. Agents handle several clients’ calls. Cheaper for low or unpredictable volume, but the agents know your product less deeply.
  • Overflow and after-hours. The partner takes calls your own team cannot reach, or calls outside your hours. A common first step before a larger handover.

How much does call center outsourcing cost?

Clutch, which lists customer support outsourcing firms and their rates, puts the average at $25 to $49 an hour. Offshore rates sit below that range and onshore specialists above it. The model you buy and the pricing structure move the final bill more than the headline rate.

Pricing model How you pay Suits
Per agent hour A rate for each hour an agent is logged in to your work Dedicated teams and steady volume
Per minute A rate for each minute of talk time Low or unpredictable call volume
Per contact or ticket A fixed price per call, chat or email handled Simple, repeatable questions
Monthly per agent (FTE) A fixed monthly fee for each full-time seat Long-term teams with a stable headcount
Outcome-based Part of the fee tied to results, such as resolution or sales Mature programs with clean measurement

What an in-house agent really costs

To compare a quote fairly, cost your own team fully. The Bureau of Labor Statistics puts the median US customer service representative wage at $21.53 an hour in 2025. Benefits add more: the BLS Employer Costs for Employee Compensation release shows benefits made up 30% of total compensation for private industry workers in June 2026. At that ratio a $21.53 wage becomes about $30.76 an hour before you add supervisors, quality analysts, trainers, the phone and help desk software, workspace, recruiting and the cost of replacing agents who leave.

Hours multiply the bill. A week has 168 hours, so keeping one phone line staffed around the clock takes more than four full-time agents working 40 hours each, before breaks, holidays and sick days. That is why after-hours cover is usually the first thing brands outsource.

How call center outsourcing works

How call center outsourcing works

  1. Scope the work. Decide which channels, call types, hours and languages move to the partner, and which stay in-house. Pull a few months of volume by hour and by reason.
  2. Shortlist and trial. Compare two or three partners on the same scope. Ask for a pilot on one channel or call type before you commit.
  3. Agree the contract and targets. Set service levels, quality scoring, security terms, reporting and how either side can change headcount.
  4. Transfer knowledge. Share your help center, macros, policies and escalation rules. Give the partner access to your help desk and order system.
  5. Train and go live. Agents train on your product and voice, then start on a slice of volume with your team listening in.
  6. Measure and adjust. Review the numbers weekly at first: service level, average handle time, first contact resolution, CSAT and QA scores. Our guide to essential call center metrics explains each one.

Benefits of call center outsourcing

Benefits of call center outsourcing

  • Lower cost per contact. You pay for the coverage you use instead of salaries, benefits, software and space. Cost reduction is still a leading reason to outsource in Deloitte’s 2024 Global Outsourcing Survey of more than 500 executives.
  • Skilled people you did not have to hire. The same survey found that access to skilled talent and agility now sit alongside cost as the main reasons companies outsource.
  • Longer hours. Offshore and multi-site teams can answer at night, on weekends and on holidays without overtime.
  • Room to scale. Consumer brands see spikes around sales, launches and holidays. A partner can add agents for the peak and release them after.
  • Better tools. Partners already run call recording, quality scoring and workforce planning, and most now pair agents with AI. Deloitte found 83% of executives already use AI as part of their outsourced services.

Risks of call center outsourcing, and how to manage them

Challenges of call center outsourcing

Risk What it looks like How to manage it
Loss of control You stop hearing what customers say Weekly reviews, shared dashboards and access to call recordings
Quality drift Agents follow scripts but do not solve the problem QA scoring on a sample of every agent’s calls, calibrated with your team
Brand voice Calls sound generic or off-tone A voice guide, example calls and the right to approve team leads
Data security Customer and payment data handled outside your walls Least-access permissions, compliance terms in the contract, and payment handling that meets card industry rules
Hidden costs Setup fees, minimums, overtime and paid training Ask for a full price sheet and a written ramp plan before you sign
Automation overreach Customers trapped in menus or bots A clear route to a person on every call flow

Security deserves weight. IBM’s Cost of a Data Breach Report puts the global average cost of a breach at $4.99 million in its 2026 edition, a record high. Ask any partner how they limit agent access, record calls and handle card numbers.

The automation risk is the newer one. In Forethought’s 2025 consumer research, 46% of US consumers said they would hang up after navigating more than four menu options. A partner that uses AI well takes the routine calls off agents without hiding the human.

When outsourcing is not the right call

  • Your call volume is low and steady, and one or two in-house agents cover it well
  • Calls need rare product knowledge that takes a year to learn
  • Your processes are not written down yet, so there is nothing clear to hand over
  • You are not ready to give a partner access to your systems and data

How to choose a call center outsourcing partner

Choosing the right outsourced call center

  1. Fit. Do they already support brands like yours, with the same order, returns and subscription questions?
  2. Quality. How are calls scored, how many are reviewed, and will you see the scores?
  3. Coverage. Which hours, languages and holidays are included in the price?
  4. Tools. Can they work inside your help desk and phone system, or do they need theirs?
  5. Security. What compliance support do they offer, and how are recordings and payment details handled?
  6. Scaling terms. How fast can agents be added for a peak, and how much notice is needed to reduce?
  7. Exit terms. Who owns the macros, recordings and knowledge base if you leave?

For a shortlist, see our list of the best call center outsourcing companies.

How Atidiv runs outsourced call centers

Call center outsourcing with Atidiv

Atidiv runs voice, email, chat, messaging and social media support for direct-to-consumer and ecommerce brands, from teams in India and the Philippines that can cover any time zone, including 24/7. Our agents work inside your telephony and help desk, and dedicated QA analysts score tickets and calls against scorecards built to your brand standards. It is part of our wider customer experience service.

  • 98% average QA score and a 4.8 average CSAT
  • 200,000+ customer experiences delivered
  • Support in 11+ languages
  • A team that can scale by up to 200% within two weeks when volume spikes
  • SOC 1, GDPR, CCPA and ISO compliance
  • Up to 60% cost saving against in-house teams

See how a team is set up on our call center outsourcing page, or contact us to talk through your volume.

Frequently asked questions

What is call center outsourcing?

Call center outsourcing is the practice of partnering with an external provider to manage customer calls, and often email, chat and messaging, on behalf of a business. The provider hires, trains and manages the agents and reports on quality, while the business sets the standards and keeps the escalations it wants.

What is the difference between call center and contact center outsourcing?

A call center handles phone calls. A contact center handles every channel: phone, email, chat, messaging and social media. Most outsourcing partners now sell contact center services, even when buyers search for call center outsourcing.

What does BPO mean in a call center?

BPO means business process outsourcing. A BPO call center is a third-party company whose agents handle inbound and outbound customer calls for other businesses, answering as those brands.

How much does it cost to outsource a call center?

Clutch puts the average for customer support outsourcing at $25 to $49 an hour. Offshore teams cost less and onshore specialists more. The pricing model, per hour, per minute, per contact or per agent, and the hours you need covered change the final bill.

Will I lose control over customer service if I outsource?

Not if the contract and reporting are set up well. Agree service levels and quality scoring up front, get access to recordings and dashboards, and review results weekly in the first months. You keep the policies, the escalations and the final say.

How do I keep customer data secure when outsourcing?

Give agents access only to what they need, put security and compliance terms in the contract, confirm how card payments are taken, and ask how recordings are stored and deleted. Review access when agents join or leave.

Is call center outsourcing cost-effective for small businesses?

Often, yes, especially for after-hours or overflow cover. A small business avoids paying for salaries, benefits, training and phone systems for hours it rarely uses. Per-minute or per-contact pricing suits low volume.

How long does it take to set up an outsourced call center?

It depends on the call types, systems access and training needed. Simple inbound lines can start within weeks; complex or regulated calls take longer. Ask any partner for a written ramp plan before you sign.

ayushi
ayushi
Vice President - Customer Experience

Ayushi leads Customer Experience services at Atidiv with a strategic/operations-focused mindset. Her primary objective is to increase how well businesses deliver service and retain customers. She evaluates customers' journeys through marketing impact, performance metrics, and gaps to develop improved systems and processes. With a reputation for curiosity and structured thought processes.

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