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Excellent Prospects for Asia Pacific BPO Market

A Gartner report predicts that the Asia Pacific (Japan not included) BPO market could be worth US$9.5 billion in 2016, compared to US$5.9 billion in 2011.  In 2012, the market will be worth US$6.45 billion, according to this study “Market Trends: How to Profit from BPO Services in Asia Pacific, 2012.”

BPO service providers planning to invest in the Asia Pacific region stand to benefit from the potent opportunities available. Quality, scalability, excellent service levels, state-of-the-art integration of technology and processes are listed among the advantages. Moreover, cost remains an important consideration with regard to all services. The study suggests that India and China will continue to lead the BPO markets in the region. Technology, travel and transportation, retail, banking and financial services, communications, and government continue to be the largest consumers of BPO services. Service providers can tap into the profitable and high growth markets that are still untapped and underdeveloped. However, some negative outcomes are also likely. These include attrition and higher wage inflation, which are a consequence of the competition between the domestic market and offshore market for acquiring talent.

According to the Gartner report, the Asia Pacific region’s BPO market can be categorized into:

  • Enterprise services
  • Supply management services
  • Customer management
  • Vertical services

At present the service providers in the region include a number of regional, local as well as multinational BPO service providers. The market is dominated by India based and global companies but the regional and local service providers display fast growth.

It is expected that governments, providers and industry groups will develop various incentives to attract BPO jobs.

About Julie Clements

Julie Clements

Joined the MOS team in March of 2008. Julie Clements has background in the healthcare staffing arena; as well as 6 years as Director of Sales and Marketing at a 4 star resort. Julie was instrumental in the creation of the medical record review division (and new web site); and has especially grown this division along with data conversion of all kinds.