If the call center outsourcing industry in the Philippines were a person, it would be someone at the prime of their adulthood—between 20 and 30 years old, and definitely thriving. Since the establishment of the first call center in the Philippines, this sector has seen nothing but growth, and has become widely acknowledged as the largest and leading contact center outsourcing destination in the world.
Ask executives of call centers in the Philippines why they choose to do business here, and one common answer pops up: the standard of English is great! Filipinos, from a very early age, are introduced to the language, whether through school or the media, and it’s this language culture that has given the nation its edge when it comes to producing talent for the call center industry. Additionally, Filipinos are generally soft spoken and very calm even in stressful situations; an ideal mix for a call center agent.
And speaking of culture, the Philippines is probably the only country on the Eastern side of the world that affiliates itself very closely to the West, embracing US food, fashion, music, movies, sports—as well as the English language. A high literacy rate also means a huge well-educated working population, which is now close to 60 million.
The issue of cost, of course, also comes into play—companies from around the globe have found the Philippines to be best place for call centers, because the cost of offshore rather onshore is significantly lower (comparing rates with that of the US, the Philippines’ is 50 percent lower).
But, really, it’s the proficiency in English that has become the Philippines’ primary pull for international companies to outsource their call centers, and it continues to be the country’s best asset. Location, location, location, however, matters, because call centers in the Philippines aren’t created equal—and the same goes for their agents.
“In the US, it doesn’t matter if your call center is located in Memphis, Tennessee or in Houston, Texas. Provided that both call centers employ native speakers that were born and raised in the country, the English language proficiency of the agents is about the same,” says Ralf Ellspermann, CEO of PITON-Global, an award-winning call center in the Philippines.
In the Philippines, however, it’s a different story. Sure, everyone’s exposed to English, but the level of exposure, as well as usage, vastly changes depending on where you are and who you talk to in the country.
“Here, English language proficiency can vary greatly— from A+ all the way to F,” Ellspermann explains. One has to remember, of course, that the Philippines is also a hodgepodge of languages; the majority of Filipinos are native Tagalog speakers, and these people mostly live in or around the capital. Head out to the provinces, and you will encounter other native tongues, from Ilocano up north in Luzon, to Bisaya and Hiligaynon in the middle island of the Visayas, and even Chavacano, a language that closely resembles Spanish, all the way down south in Mindanao. All in all, and considering all variations, there are over 100 languages being spoken in the Philippines—including English and Tagalog, which have been classed as the official ones.
Generally, it is those people living near the capital and in urban centers that have a higher exposure and proficiency in English, and this should be an important consideration for call centers in the Philippines, because, as Ellspermann explains, the call center business is one that is rooted in communication.
“All the agents have is their voice and English language proficiency, which can vary substantially. In the Philippine call center industry, you have agents that speak an impeccable, accent-free English, that can effortlessly carry a conversation, and then, on the other hand, you have agents that can barely read their call script. In order to make programs work, and to achieve high customer satisfaction levels, you need A/B-grade agents. Without them, it’s hard to achieve high customer satisfaction levels,” says Ellspermann.
Proficiency also isn’t just about one’s ability to speak a language. There’s also listening and comprehension skills, which Ellspermann explains can be a problem area for a lot of agents. “If you don’t get what the customer is saying, then you are bound for trouble,” he adds. “That’s also the main cause of complains and low customer satisfaction scores, that disconnect between the caller and the agent.”
A number of factors can affect a Filipino call center agents’ English proficiency levels. If the agents grew up in Manila or other city centers, and were therefore surrounded by a more cosmopolitan lifestyle and access to US media influences, they would have a better grasp of the English language. If they spoke English at home, that also enhances their English proficiency.
It also matters where an agent went to school; those who received private education, or studied abroad, would naturally have better English-speaking and comprehension skills.
An agents’ social background can even make them more proficient in English than in a native Filipino language, with some agents even preferring to communicate in English. The English skills of these agents are at par, or in some cases, even better than those of US-based agents. They can effortlessly carry a conversation with customers, even if the call goes off-script.
Call centers in the Philippines would do well to employ these gifted agents—but it is worth bearing in mind that they know their worth and the value they can bring. “Filipinos who are ‘native’ English speakers know they can choose their employers,” says Ellspermann. “They are not going to work for anything less than US$4-6/hour, a rate that they can easily get with globally leading outsourcing providers after a few years of work experience.”
“If you’re a low-cost vendor that charges US$8 per hour, or less, then you simply can’t afford to hire them”, he adds. “More often than not, low-cost vendors are left with the agents that don’t make the cut with the country’s largest and leading outsourcing providers—so it’s best to invest, and take into account just how much English matters to the success of call centers in the Philippines”. Ultimately it’s a false economy to hire second tier agents and a risky call to have them at your customer interface.
