Business Process Outsourcing (BPO) Market Research Report: By Type (IT Outsourcing, Finance, and Accounting Outsourcing, Back Office Outsourcing, E-Commerce Support , others), Deployment ( Cloud, On-Premise), Vertical (BFSI, IT and Telecommunications, Healthcare and Life Sciences, Others), Region(North America, Europe, Asia Pacific, Middle East, and Africa, South America) – Industry Forecast 2027
|ID: VPR/CO/1017||Publishing Year: September 2021||Pages: 135||Format:|
Business Process Outsourcing (BPO) Market Overview:
The Business Process Outsourcing (BPO) Market is projected to grow from USD 232.32 billion in 2020 to reach USD 425 billion by 2027; it is expected to grow at a CAGR of 9% from 2020 to 2027.
BPO ' adaptability is boosting Business Process Outsourcing (BPO) Market Growth, as they are used in a variety of end-use industries, including banking, financial, healthcare, and manufacturing. The use of Business Process Outsourcing is being aided by advantages such as lower operational expenses and increased efficiency of support tasks such as customer care. BPO provide firms with improved interconnectivity while also providing dependable, relevant, and round-the-clock support for critical business activities. For continuing success and improved outcomes, a shift in focus from monopolistic business methods to a shared workload corporate culture is boosting demand for Business Process Outsourcing (BPO) Market.
Technological advances in fields including robotic process automation, artificial intelligence, machine learning, social media browsing, and big data analytics promise well for the Business Process Outsourcing (BPO) Market future growth prospects. The industry is being driven by an increased desire for cloud technology, AI, and other automation techniques. Furthermore, factors such as the growing usage of SaaS-based solutions, together with improvements in cloud-based infrastructure, and the rising adoption of process automation in corporate processes are all helping to drive market expansion. Furthermore, throughout the projected period, the increased usage of Business Process as a Service (BPaaS) for optimising various workflows by scheduling them in an automated manner is expected to propel market expansion.
Cloud computing aids Business Process Outsourcing (BPO) Market providers by reducing the time necessary to process data-intensive business operations. In BPO, cloud computing results in a more efficient data processing workflow with a shorter turnaround time.
- Accenture Plc
- Alight Solutions LLC
- American Data Exchange (AMDATEX)
- Atos SE
- Automatic Data Processing, Inc.
- Capgemini SE
- Capita Plc
- Ceridian HCM, Inc.
- CGI Group, Inc.
- Cognizant Technology Solutions Corporation
- DXC Technology Co.
- EXLService Holdings, Inc.
- Genpact Limited
- Infosys BPM Limited
- International Business Machines Corp.
- KARVY Limited
- NGA Human Resources
- NTT DATA, Inc.
- Randstad Holding NV
- SopraSteria Group
- StarTek, Inc.
- Tata Consultancy Limited
- TriNet Group, Inc.
- Wipro Limited
- WNS Ltd.
In the past, the availability of a low-cost talent pool in growing markets like India, China, and the Philippines aided the growth of the Business Process Outsourcing (BPO) Market. To take advantage of their affordable talent pools, companies in established economies outsourced their Business Processes to rising economies such as India and China. In 2016, the minimum pay in the United Kingdom was $1,724 per month, while the minimum wage in the United States was $1,257 per month, around 8.5 and 6 times greater than the minimum wage in India, making India appealing in the BPO sector. Corporates were able to outsource non-core tasks to enterprises in emerging countries due to wage differences in the past, which increased BPO activities in those regions and contributed to Business Process Outsourcing (BPO) Market Growth.
In the past, government rules aimed at protecting jobs had a negative impact on the growth of the BPO sector. State and national governments implemented policies between 2014 and 2018 to discourage outsourcing and offshore activities and lower unemployment rates in their respective countries. Many governments were also concerned about the security of customer-specific data and the legislation governing data sharing with third-party corporations in other countries. The Bring Jobs Home Act, for example, was introduced in July 2014 in the United States with the goal of discouraging outsourcing outside the country by providing business taxpayers with a tax credit of up to 20% of insourcing expenses incurred for removing a business located outside the country and relocating it within the country. The growth of the BPO business in emerging economies has been stifled by legislation prohibiting outsourcing and offshore activities outside of the parent country.
The Business Process Outsourcing Industry is rapidly using augmented reality (AR) to deliver high-quality work to their clients. Users can access specialised information, such as live direct or indirect views of actual real-world environments, using AR technology. Organizations utilise technology to train their employees so that they can encounter real-world and real-time circumstances in which they must perform according to their employers' objectives and directives. Remote assistance work, such as technical support, also employs AR technology, with agents guiding consumers through interactive video step by step. Organizations' rising usage of mobile technology and smart devices pushed the development of AR-enabled forward.
The widespread usage of social media across industries is creating new opportunities for outsourcing corporate activities. Millions of clients and prospects are exposed to your business thanks to social media. Around 3.5 billion people, or roughly 45 percent of the population, now utilise social media, resulting in a significant shift in consumer behaviour. Organizations are searching for BPO partners to monitor brand reputation online, participate in social dialogues, and create an interactive user interface since social media tools provide unequalled consumer data and input.
The CRM BPO segment will gain $27.9 billion in yearly sales by 2022, followed by the HRO BPO and F&A BPO segments, which will gain $20.0 billion and $15.9 billion, respectively, in the Business Processes Outsourcing Industry. Germany's Business Process Outsourcing Market will grow the greatest, to $21.6 billion. Market-trend-based methods for business process outsourcing include automating back-end office work to boost productivity, investing in big data analytics, and providing transparency in. In the Business Process Outsourcing Market, player-adopted strategies include reinforcing M&A initiatives, investing in newer technologies, and expanding into new geographies.
Type, Deployment, Organisation Size, Vertical, and Region have all been used to segment the Business Process Outsourcing (BPO) Market.
IT outsourcing, finance and accounting outsourcing, back office outsourcing, E-commerce support, training & development outsourcing, and others are the many types of outsourcing.
The Business Process Outsourcing (BPO) Market has been segmented into cloud and on-premise deployments.
The Business Process Outsourcing (BPO) Market has been segmented into small and medium-sized businesses and large businesses based on organisation size.
BFSI, IT and telecommunications, retail and consumer goods, manufacturing, healthcare and life sciences, government and defence, and others are the many verticals in which the Business Process Outsourcing (BPO) Market is segmented.
The countries covered in the Business Process Outsourcing (BPO) Market Report are the United States, Canada, and Mexico in North America, Germany, the United Kingdom, France, Switzerland, Italy, Spain, the Netherlands, Russia, Belgium, Turkey, and the Rest of Europe in Europe, Japan, China, India, South Korea, Australia, Singapore, Malaysia, Thailand, Indonesia, and the Philippines in the Asia-Pacific, and South Africa, the United Arab Emirates, and Saudi Arabia in the Middle East.
As a result of the increased acceptance of offshoring in developing nations due to low labour costs, the United States accounted for the biggest market share in the Business Process Outsourcing (BPO) offshore category. Due to increased business agility in every organisation, the United Kingdom accounted for the biggest Business Process Outsourcing (BPO) Market Share. Japan, on the other hand, had the biggest Business Process Outsourcing (BPO) Market Share due to lower labour costs and improved Business Process efficiency.
Frequently Asked Questions
Type Here for table of content.