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Why English Proficiency Separates Premium Philippine Call Centers From Low-Cost Ones

The rise of the Philippine call center industry is one of the great business success stories of the last twenty years, and English is a big part of why it has lasted. The sector now employs more than a million people and is a leading contributor to the national economy, largely because U.S. brands keep…

The rise of the Philippine call center industry is one of the great business success stories of the last twenty years, and English is a big part of why it has lasted. The sector now employs more than a million people and is a leading contributor to the national economy, largely because U.S. brands keep choosing a managed provider for inbound and outbound calls in Manila or Cebu over staffing onshore.

This success has been driven and sustained mainly by U.S. companies that achieve substantial cost savings. Chime, Netflix, and Airbnb are among the brands that route customer support to Filipino teams. And as more companies follow as a cost-efficient way to improve business efficiency, agility, and customer experiences, the industry will likely grow even bigger.

The importance of English-language proficiency in call centers in the Philippines

A significant contributor to this growth is the nation’s high level of English fluency. The country’s long association with the U.S. and cultural affinity with the West, combined with a college education, means most Filipinos speak fluent English. With Tagalog being the country’s official language, English is pervasive throughout the local culture.

Filipinos are also well-versed in American-style slang and idioms and can adopt different accents or maintain a neutral one when needed. From a business perspective, this versatility gives Philippine call center agents the ability to provide high-quality telephone-based customer services to American customers. 

Varying levels of English proficiency 

However, despite an affinity for the language, call center agents’ levels of English-speaking skills can be wildly dissimilar. Variables like where an agent was born and raised, their upbringing, schooling, social environment, and geographic location can determine an agent’s English-speaking abilities. For instance, those living in or near cities have a better grasp of English usage than those from rural areas.

This language gap also means service quality can vary greatly from one provider to the next. Companies that invest in a high-quality team will likely get a high return on their investment and long-term success.

Why cheaper isn’t always better

Low-cost operators that compete on price, not quality, typically don’t have the financial means to match the salaries offered by premium providers. Where a premium provider pays its agents well above the local market, a budget operator can only afford wages too low to attract the country’s top-skilled and English-proficient agents. The lack of English competency can be a handicap.

To offset the lack of talented English-speaking employees, budget operators attract U.S. clients by offering service rates noticeably lower than those of premium providers. Companies looking to trim their offshore budget often take the low-cost bait, but at what cost?

Customers want exceptional service

Outsourcing to call centers offshore is meant to make it easier for companies to solve customer problems and resolve issues and complaints. In today’s ultra-competitive business environment, excellent customer experiences are critical to business success. Customers not only expect exceptional service but also bring higher expectations to their interactions with agents. 

Since most customers still prefer engaging with a person when contacting a company, clear communication between agents and customers is of utmost importance. Communication difficulties are the biggest source of customer irritation when dealing with offshore teams. In a business world where a single negative experience can send a customer to a competitor, poor agent/customer communication and engagement can be very bad for businesses.

You get what you pay for

But this is what companies risk when partnering with a budget operator. Angry or upset customers who can’t understand an agent will not only take their business elsewhere but tell the world about their bad experience on social media. Word travels fast, and this ripple effect can be devastating.

Ironically, companies looking to save money with a low-budget provider stand to lose revenue through loss of customer retention, satisfaction, and trust, all of which can negatively impact a company’s revenue. The best solution is to choose a provider based on the quality of service and language proficiency rather than cost.

For companies looking to get the biggest bang for their buck, choosing a high-quality premium provider is a sound business decision. They might charge more, but the guarantee of excellent customer service from agents that speak fluent English is money well spent.

In the long run, English proficiency gives the country’s providers an edge in producing quality talent. Because when it comes to offshoring your phones, English matters.

Why English Proficiency Separates Premium Philippine Call Centers From Low-Cost Ones

The growth of the Philippine call center industry is well documented—how the industry grew and what it means for the economy is a story of its own. It now employs more than a million people and is a leading contributor to the national economy.

This success has been driven and sustained mainly by U.S. companies that achieve substantial cost savings. Chime, Netflix, and Airbnb are among the brands that rely on Filipino teams for customer support. And as more companies follow as a cost-efficient way to improve business efficiency, agility, and customer experiences, the industry will likely grow even bigger.

The importance of English-language proficiency in call centers in the Philippines

A significant contributor to this growth is the nation’s high level of English fluency. The country’s long association with the U.S. and cultural affinity with the West, combined with a college education, means most Filipinos speak fluent English. With Tagalog being the country’s official language, English is pervasive throughout the local culture.

Filipinos are also well-versed in American-style slang and idioms and can adopt different accents or maintain a neutral one when needed. From a business perspective, this versatility gives Philippine call center agents the ability to provide high-quality telephone-based customer services to American customers. 

Varying levels of English proficiency 

However, despite an affinity for the language, call center agents’ levels of English-speaking skills can be wildly dissimilar. Variables like where an agent was born and raised, their upbringing, schooling, social environment, and geographic location can determine an agent’s English-speaking abilities. For instance, those living in or near cities have a better grasp of English usage than those from rural areas.

This language gap also means service quality can vary greatly. Companies that invest in a high-quality provider will likely get a high return on their investment and long-term success.

Why cheaper isn’t always better

Budget operators that compete on price, not quality, typically don’t have the financial means to match the salaries offered by premium providers. Where a premium provider pays its agents well above the local market, a budget operator can only afford wages too low to attract the country’s top-skilled and English-proficient agents. The lack of English competency can be a handicap.

To offset the lack of talented English-speaking employees, budget operators attract U.S. clients with service rates noticeably lower than those of premium providers. Companies looking to save on their offshore budget often take the low-cost bait, but at what cost?

Customers want exceptional service

Offshoring customer support is meant to make it easier for companies to solve customer problems and resolve issues and complaints. In today’s ultra-competitive business environment, excellent customer experiences are critical to business success. Customers not only expect exceptional service but also bring higher expectations to their interactions with agents.

Since most customers still prefer engaging with a person when contacting a company, clear communication between agents and customers is of utmost importance. Communication difficulties are the biggest source of customer irritation when dealing with offshore teams. In a business world where a single negative experience can send a customer to a competitor, poor agent/customer communication and engagement can be very bad for business.

You get what you pay for

But this is what companies risk when partnering with a budget provider. Angry or upset customers who can’t understand an agent will not only take their business elsewhere but tell the world about their bad experience on social media. Word travels fast, and this ripple effect can be devastating.

Ironically, companies looking to save money with a low-budget provider stand to lose revenue through loss of customer retention, satisfaction, and trust, all of which can negatively impact a company’s revenue. The best solution is to choose a provider based on the quality of service and language proficiency rather than cost.

For companies looking to get the biggest bang for their buck, choosing a premium provider makes good financial sense. They might charge more, but the guarantee of excellent customer service from agents that speak fluent English is money well spent.

In the long run, English proficiency gives Filipino agents an edge in producing quality talent. Because when it comes to picking an offshore partner, English matters.

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