Contact Center

Exploring Call Center Outsourcing Services for the BFSI Industry

Abhishek Punyani
April 16, 2024
10
 mins read

Last modified on

The BFSI (Banking, Financial Services, and Insurance) industry is increasingly turning to call center outsourcing to enhance customer service efficiency and reduce operational costs. 

This article explores the scope of call center outsourcing services for the BFSI industry, their benefits, and how Convin's agent assist technology can revolutionize these services.

Enhance Your BFSI Call Center Operations with Convin's AI solutions!

Navigating Customer Support: The Vital Role of Call Centers in the BFSI Sector 

Most relevant customer service statistics by Financial Onlin
Most relevant customer service statistics by Financial Online [Source]

Call centers play a crucial role in the banking, financial services, and insurance (BFSI) sectors. They act as the primary point of contact between institutions and their customers and handle a variety of functions, from customer inquiries and account management to compliance and crisis response. 

1. Specialized Customer Service

  • Description: Call centers in the BFSI sector are equipped to handle specific financial queries related to accounts, investments, insurance policies, loans, and more.
  • Use Case: A customer calls to inquire about the terms of their mortgage adjustment; the agent provides detailed information and assists in the adjustment process.
  • Impact: Ensures customers receive accurate, timely information that adheres to financial regulations, enhancing trust and satisfaction.

2. Account Management and Transaction Support

  • Description: These centers manage day-to-day transactions, including account transfers, bill payments, and credit card issues.
  • Use Case: A customer contacts the call center to report a lost credit card; the agent quickly secures the account and issues a replacement.
  • Impact: Provides immediate assistance for account-related issues, minimizing risk and inconvenience to the customer while safeguarding their financial assets.

3. Compliance and Security

Safeguarding Customer Data and Upholding Industry Standards
Safeguarding Customer Data and Upholding Industry Standards
  • Description: BFSI call centers are crucial in ensuring compliance with financial regulations and protecting against fraud.
  • Use Case: An agent uses verified security protocols to confirm a caller’s identity before discussing account details or processing transactions.
  • Impact: Reduces the risk of financial fraud and identity theft, ensuring compliance with laws and maintaining the integrity of the financial system.

4. Crisis Response and Management

  • Description: In events like data breaches or market crashes, call centers manage large volumes of inquiries and provide critical information and reassurance to customers.
  • Use Case: During a data breach, call center agents proactively contact customers to explain the situation and the steps to secure their accounts.
  • Impact: Effective crisis management can preserve customer trust and mitigate potential adverse effects on the institution's reputation.

5. Product Sales and Promotion

  • Description: Financial call centers also play a key role in cross-selling and upselling products such as loans, insurance, and investment plans to existing customers.
  • Use Case: A call center agent informs customers about a new savings account that offers a higher interest rate than their current account.
  • Impact: Drives revenue growth through informed and personalized selling techniques based on the customer’s portfolio. The financial services call center acts as a medium between customers and companies.

6. Cost Management

  • Description: Outsourcing call center operations can significantly reduce overhead costs associated with running in-house call centers.
  • Use Case: A BFSI company outsources its customer service operations to a specialized provider, reducing its operational costs while still maintaining high service standards.
  • Impact: Financial services institutions can better manage expenses, allocating resources to other critical areas like technology development or market expansion.

In the BFSI sector, call centers are not just support hubs but pivotal elements that enhance customer relationship management, ensure compliance, and drive business growth. With the strategic use of call center outsourcing, BFSI institutions can optimize both cost efficiency and customer service quality, ensuring they remain competitive and responsive in a rapidly changing financial landscape.

Benefits of Call Center Outsourcing Services for the BFSI Industry

Outsourcing call center services offers a wealth of advantages for the Banking, Financial Services, and Insurance (BFSI) industry. These services not only bolster operational efficiency but also significantly enhance the quality of customer service. 

Below, we delve deeper into the benefits, using examples and detailed explanations to illustrate how call center outsourcing can transform BFSI institutions.

1. Enhanced Customer Satisfaction

Call center outsourcing with proper equipment and technology to back them will lead to higher customer satisfaction rate
Call center outsourcing with proper equipment and technology to back them will lead to higher customer satisfaction rate
  • Description: Outsourcing to professional call centers allows BFSI companies to handle large volumes of customer calls more efficiently. These specialized agencies are equipped with trained professionals and advanced technology to manage customer interactions effectively.
  • Example: A BFSI company outsources its customer service to a call center that uses advanced CRM systems and AI technology. This integration allows for quicker retrieval of customer data, enabling agents to resolve queries more swiftly and accurately, thus reducing call wait times and improving overall service quality.
  • Use Case: A large bank uses an outsourced call center to handle after-hours customer queries. This ensures customers receive assistance at any time, enhancing the bank's reputation for customer care.

2. Improved Service Availability

  • Description: BFSI companies can offer round-the-clock customer support by leveraging outsourced call centers. This is crucial in today’s global market, where customers expect immediate and continuous access to support services.
  • Example: An insurance company partners with a call center in a different time zone to provide 24/7 claim filing support. This means that no matter when an incident occurs, customers can immediately start the claims process, greatly enhancing customer satisfaction and trust.
  • Use Case: A financial services provider that previously operated only during business hours outsources to a 24/7 call center, thus expanding its availability without the need for additional in-house staffing during off-peak hours.

3. Reduced Costs

  • Description: Outsourcing call center operations can lead to significant cost savings. BFSI companies can avoid the high expenses associated with setting up, maintaining, and staffing an in-house call center.
  • Example: A regional bank outsources its customer interaction management to a specialized agency, eliminating the need for a physical call center and the associated costs like rent, utilities, and telecommunications infrastructure.
  • Use Case: A credit card company outsources its customer dispute and fraud detection services to a call center with sophisticated fraud detection technology. This move reduces the company’s overhead costs while ensuring expertise in handling specific, sensitive customer issues.

4. Increased Revenue

  • Description: Specialized outsourcing companies are not only adept at handling customer care but can also effectively conduct sales and promotional campaigns. Their expertise in communication strategies can lead to better customer engagement and higher conversion rates.
  • Example: A financial institution employs a call center to manage outbound calls for promoting its new investment products. The call center's trained agents use tailored scripts and persuasion techniques, resulting in higher conversion rates than the institution's in-house team.
  • Use Case: During a promotional campaign for a new insurance policy, an outsourced contact center uses targeted customer segmentation and analytics to identify and reach potential customers, leading to increased sign-ups and enhanced revenue generation for the insurance company.

For the BFSI sector, outsourcing call center operations is not just about cost savings; it's also about leveraging expertise to enhance customer satisfaction and service availability, and drive revenue growth. These strategic benefits make call center outsourcing a compelling option for financial institutions aiming to improve their competitive edge and operational efficiency.

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Convin's Agent Assist and Its Impact on Call Center Outsourcing for the BFSI Industry

Convin's Agent Assist technology significantly enhances the capabilities of call centers in the BFSI sector, providing real-time support and analytics that transform the quality of customer service. By implementing this advanced tech, financial institutions can optimize their outsourcing strategies, leading to better customer experiences and streamlined operations.

1. Real-Time Assistance

Real-time Agent Assist solves knowledge gaps and prompts agents on live calls
Real-time Agent Assist solves knowledge gaps and prompts agents on live calls
  • Description: Agent Assist provides live, on-the-call support to agents with visual and audio cues. This includes suggestions for responses, timely warnings about customer dissatisfaction, and reminders about compliance requirements.
  • Example: During a call regarding a disputed transaction, Agent Assist can prompt the agent with the regulatory steps to handle the claim, ensuring all necessary procedures are clearly followed and communicated.
  • Impact: Ensures high-quality interactions by keeping agents informed and prepared, which significantly reduces the margin for error and increases customer trust.

2. Real-Time Monitoring and Script Adherence

  • Real-Time Monitoring: Convin's technology includes capabilities for real-time analysis of voice tones, conversation flow, and compliance adherence, providing immediate feedback and corrections to agents.
  • Script Adherence: During interactions, Agent Assist ensures that all agents stick to approved scripts and guidelines, especially critical in financial discussions, to maintain accuracy and compliance.
  • Example: If an agent deviates from the script in explaining loan terms, Convin will prompt a correction or suggest reverting to the script to ensure the information is precise and compliant.

3. Automated Coaching and Feedback

Ensure efficiency and compliance adherence with Automated Coaching Solution
Ensure efficiency and compliance adherence with Automated Coaching Solution
  • Description: Convin automatically identifies performance deviations and coaching opportunities based on preset criteria and real-time performance analysis.
  • Example: If an agent consistently fails to offer essential product information during upsell opportunities, Convin will flag these instances. It then delivers coaching content directly to the agent to improve their performance in future interactions.
  • Impact: Enhances agent skills and knowledge without the need for extensive manual intervention, leading to more efficient and effective training processes.

4. Enhanced Compliance

  • Description: Constant monitoring of all communications ensures that every interaction adheres to the strict regulations governing the BFSI sector.
  • Example: In a scenario where an agent is discussing account details with a customer, Convin ensures that all data sharing and handling comply with GDPR or any relevant financial regulations by prompting the agent if a compliance breach is about to occur.
  • Impact: Reduces legal risks and enhances customer confidence in the financial institution's commitment to regulatory compliance and security.

5. Impact of Agent Assist on Customer Service

a. Improved First Call Resolution

  • Use Case: By offering real-time suggestions and access to a comprehensive knowledge base, agents can resolve queries more quickly and accurately during the initial call.
  • Impact: This not only improves customer satisfaction but also reduces the cost per call for the institution.

b. Customized Customer Interactions

  • Use Case: Leveraging historical data and current interaction analytics, Agent Assist customizes communication to address individual customer preferences and histories.
  • Impact: Personalized interactions are known to enhance customer satisfaction and loyalty, as they make customers feel valued and understood.

c. Reduced Operational Costs

  • Description: Automation of monitoring and feedback processes significantly reduces the need for human quality assurance checks, thus cutting down on labor costs.
  • Example: Traditional QA involves sampling calls for compliance and quality, which is labor-intensive and less effective. Convin continuously monitors all interactions, ensuring comprehensive quality and compliance checks without additional human resources.
  • Impact: Lower operational costs and enhanced efficiency, allowing financial institutions to allocate resources to other critical areas

Through these advanced functionalities, Convin's Agent Assist not only supports call center outsourcing companies in managing day-to-day operations more efficiently but also helps in refining the overall strategy for customer interactions in the BFSI sector.

The Strategic Edge of Convin's Agent Assist

Call center outsourcing has become a strategic lever for the BFSI industry, offering cost efficiencies and significant improvements in service quality. Integrating advanced technologies like Convin's Agent Assist elevates these advantages, transforming customer service into a powerful tool for business growth and customer retention.

Incorporating Convin's Agent Assist into call center operations offers BFSI institutions a transformative opportunity to consistently meet and exceed customer expectations. This technology empowers call centers to act as strategic assets, driving sustained growth and fostering deep customer loyalty.

Discover the transformative power of real-time Agent Assist with Convin—contact us today to elevate your customer service experience!

FAQs

1. What is outsourcing in a call center?
Outsourcing in a call center involves contracting an external organization to manage customer service operations, including handling calls, emails, and other forms of communication.

2. What is customer care outsourcing?
Customer care outsourcing refers to hiring third-party service providers to handle customer support functions such as inquiries, complaints, technical support, and other service-related issues.

3. What are 3 disadvantages of outsourcing?

  • Loss of Control: Companies may experience less control over the customer service process and quality.
  • Cultural Misalignment: Differences in language and culture can lead to misunderstandings and decreased customer satisfaction.
  • Security Risks: Sharing sensitive information with third parties can increase the risk of data breaches and security issues.

4. What are 3 positives of outsourcing?

  • Cost Efficiency: Reduces operational costs by eliminating the need for in-house infrastructure and staffing.
  • Scalability: Allows businesses to easily scale their customer service operations to meet demand fluctuations.
  • Expertise Access: Outsourcing companies often have specialized knowledge and technology, enhancing service quality.

5. When outsourcing is not a good idea?
Outsourcing is not advisable when tasks require highly specialized knowledge of the company’s products or when maintaining full control over customer interactions and data security is critical.

6. Why do companies choose to outsource customer support?
Companies outsource customer support to reduce costs, access specialized expertise, and improve service efficiency, allowing them to focus on core business activities and strategic growth.

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