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The technical support outsourcing market size is forecast to increase by USD 17.30 billion, at a CAGR of 7.99% between 2023 and 2028. The growth of the market depends on several factors, including the increasing need for cost-effective solutions and user-friendly services to improve efficiency, the need for enterprises to focus on core competencies, and companies' expertise in providing technical support. The market is expanding rapidly, with a growing focus on call center outsourcing as it can provide comprehensive, assistance to address complex technical issues and enhance customer satisfaction. In technical support outsourcing, the services are offered by an enterprise to its users. The services offered are related to technology products, such as PCs, software products, mobile phones, and electronic goods. Technical support is offered via telephone, email, or specialized tools.
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The technical support outsourcing market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD Billion" for the period 2024 to 2028, as well as historical data from 2018 to 2022 for the following segments
The market share growth by the help desk segment will be significant during the forecast period. A helpdesk is a general resource that provides product help to end users. This is commonly used to troubleshoot end-user technical issues. Helpdesk staff are usually very knowledgeable and have information on a wide range of topics. A helpdesk also provides advice on choosing the right technology for a particular application. A helpdesk provides end-user support regardless of whether the company's physical location is open or closed.
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The help desk segment showed a gradual increase in the market share of USD 14.70 billion in 2018. By outsourcing technical support helpdesk, companies can free up resources and reduce operating costs by focusing on core competencies. In addition, it helps companies to improve employee productivity and reduce turnaround time. Tasks outsourced to helpdesk providers are handled by experts who use the latest technology such as to provide efficient and effective support solutions, including chatbots and AI. Helpdesk service providers typically have teams of support specialists across different time zones. Helpdesk outsourcing is expected to contribute to the increase in market revenue during the forecast period.
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APAC is estimated to contribute 58% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. Many businesses in the region are turning to outsourcing technical support to improve customer service. Many American and EMEA companies outsource their technical support services to APAC because it saves them infrastructure and other costs. They also make use of local talent, which is available at low cost. This allows companies to reduce costs and focus on their core competencies. The rising need for cost reduction is one of the major drivers of the market.
Moreover, India and the Philippines are attractive destinations for technical support outsourcing due to the large number of new graduates each year. Companies in countries such as the US and the UK outsource their technical support to India as it saves more than half of their operating costs without compromising service quality. This is expected to drive the growth of the market in APAC during the forecast period.
The retail industry continues to innovate through digital technology and emerging technologies like quantum computing, enhancing customer databases for personalized services. In the technical support field, vaccination clinics are increasingly relying on advanced software solutions to streamline appointment scheduling, manage patient records, and ensure the efficient distribution of vaccines. Similarly, the BFSI industry prioritizes digital payment systems and electronic billing to streamline transactions and improve efficiency.
In the hospitality industry, online platforms and digital technology are utilized to deliver user-friendly services, while the e-commerce market relies on global digital transformation and cost-effective ways to manage operations and expand market reach. Across sectors, research and development efforts drive advancements in software projects and system upgrades, ensuring consumer technical support and seamless electronic health data records management. Challenges like broken servers necessitate outsourcing maintenance and training programs to maintain operational continuity. Office space optimization supports collaborative social media strategies and smart computing device integration, further bolstering internet service reliability in an increasingly interconnected world.
Companies' expertise in providing technical support is one of the key drivers for the growth of the market. Market players that provide technical support have sufficient expertise, knowledge, and experience to provide the right solution for their customers. These providers work with different customers in different industries, each with unique challenges. Companies can gain experience and learn many facets by working with a large number of diverse customers.
Moreover, intense competition motivates players to constantly upgrade and improve their businesses. Some companies do not have the experience or expertise to provide technical support. By outsourcing technical support services, companies can save operating costs and resolve problems more quickly and efficiently. Hence, these factors will drive technical support outsourcing market growth during the forecast period.
The use of analytics is one of the leading trends in the market. Analytics is used by enterprises to improve operations and increase customer satisfaction. The most common complaints of companies that outsource technical support are slow response times, long lines, unsatisfactory resolutions, and having to repeatedly explain the problem to multiple agents. These issues can be resolved with the help of analytics. For example, if a company looks at its hourly data volume and compares it to the number of employees, it can estimate the number of staff needed to reduce customer hold time. This is a simple example of how analytics can be used to find technical support outsourcing issues and make informed business decisions.
Moreover, by analyzing customer data available to technical support outsourcing companies, they can identify process flaws and take appropriate action to improve their operations. This helps them to provide customers with satisfactory solutions. The analytics help technical support outsourcing companies maintain peak performance and support the increasing adoption of technical support outsourcing worldwide. Hence, the use of analytics will boost technical support outsourcing market growth during the forecast period.
Threat to data security and privacy affects the growth of the market. Data security is a top concern for companies that outsource their technical support duties to third parties, as it can lead to exposure of sensitive data in some cases. A technical support outsourcing company has permission to access sensitive customer data.
Moreover, the organization has no control over the technical support provider's internal processes, policies, or systems and is unaware of the security protocols used by the service provider. Therefore, businesses should carefully consider their technical support outsourcing provider to ensure that their data is secure and their contract includes a penalty clause in the event of an incident occurs. Thus, this threat will impede technical support outsourcing market growth during the forecast period.
The technical support outsourcing market report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the technical support outsourcing market forecasting report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Global Market Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
The technical support outsourcing market research and growth report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
Ensuring user-friendly services is paramount in the digital age, where broken servers and technical issues can disrupt operations. Global SMEs rely on in-house technical knowledge and technology awareness to collaborate with independent software vendors and maintain technical support quality. Developing unique selling propositions (USPs) in front-end services and quality control mitigates risks such as data breaches that could lead to financial harm. Furthermore, managing internal IT teams and enhancing employee capability are essential for improving accessibility and executing effective business plans through cost-effective ways like strategic app development and automation initiatives.
In the international financial market, maintaining electronic data record maintenance and leveraging chat boxes for customer interactions requires skilled technical expertise and efficient work-from-home models. To optimize help desk systems, minimizing call volume and operating expenses while maximizing personnel resources is critical. Implementing qualified technical support with a tiered staffing structure (including Tier 1 staff and Tier 2 support center analysts) and leveraging CRM and virtual help desks ensure first call resolution and enhance overall customer satisfaction.
The technical support outsourcing market is expanding across industries such as BFSI, eCommerce, retail, and hospitality, driven by the need for user-friendly services and cost-effective ways to manage broken servers, system upgrades, and front-end services. Outsourcing allows companies to access technical skills and consumer technical support without relying on in-house resources or in-house technical knowledge. Work-from-home models and help desk systems have become crucial, especially during the shift toward digital payment systems, electronic billing, and electronic health data records. The outsourcing model also supports research and development efforts in emerging technologies like quantum computing. By reducing office space needs and enhancing customer databases, companies can focus on training and innovation, optimizing their operations across industries.
Market Scope |
|
Report Coverage |
Details |
Page number |
168 |
Base year |
2023 |
Historic period |
2018 - 2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 7.99% |
Market Growth 2024-2028 |
USD 17.3 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
7.32 |
Regional analysis |
APAC, South America, Europe, North America, and Middle East and Africa |
Performing market contribution |
APAC at 58% |
Key countries |
China, Brazil, India, Germany, and Argentina |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Aress Software and Education Technologies P Ltd., Computer Generated Solutions Inc., CSS Corp., Essentiel Outsourcing S.L., Flatworld Solutions Pvt. Ltd., Genpact Ltd., Global response Corp., HCL Technologies Ltd., IBN Technologies Ltd., Infosys Ltd., International Business Machines Corp., Invensis Technologies Pvt. Ltd., ISPL Support Services, Qcom Outsourcing Ltd., StarTek Inc., Suma Soft Pvt. Ltd., Tata Consultancy Services Ltd., Telegenisys Inc., Wipro Ltd., and Worldwide Call Centers Inc. |
Market dynamics |
Parent market analysis, Market Forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, Market growth and Forecasting, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the market forecast period |
Customization purview |
If our technical support outsourcing market growth analysis report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Type
7 Market Segmentation by Business Segment
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Opportunity/Restraints
11 Competitive Landscape
12 Competitive Analysis
13 Appendix
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