© Datamonitor the home of Business Intelligence innovative deliveryexpert analysisquality data © Datamonitor Contact center worlds collide Mona Sultan.

© Datamonitor

the home of Business Intelligence

innovative deliveryexpert analysisquality data

© Datamonitor

Contact center worlds collide

Mona Sultan – Analyst, Customer Interaction Technologies

October 2007

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Agenda

• Overview of contact centers globally

• What does the future hold

• Deep-dive on Portugal

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What is a call center?

Datamonitor defines a call center by the following features:

An Automatic Call Distributor (ACD) or Private Branch Exchange (PBX) with equivalent functionality overlaid (or soft ACD);

Agent positions are desks from which agents make and/or receive telephone calls to internal or external customers. This is taken to imply that the call in question involves communication between the agent and the internal or external customer.

Specifically excluded are public safety centers (i.e. 999/911), air traffic control, financial trading floors and legal interception centers.

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InternetInternet & e-mail

Digital TV

Tec

hn

olo

gic

al s

op

his

tic

atio

n

Time

Video-conference

Future Multi-channel Contact Center

Web-enabled Contact Center

Basic Call Center

A quick history lesson…

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What does the contact center world look like today?

• All regions are

experiencing growth

among all size

groups at a CAGR

of 4.7% (7.1 million

agents 2005)

• Growth is fastest in

the under 10 APs

size band

• The largest group in

2005 was the 31 –

100 APs. However

spending was

highest in the

>250APs bracket

($2.2bn)

-

500

1,000

1,500

2,000

2,500

< 10 APs 10 - 30 APs 31 - 100APs

101 - 250APs

>250 APs

2005

2010AP

s (‘0

00s)

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But each region has a different appetite for contact centers

Non-Switch software

All CC technologies

All CC technologies in Russia

All CC technologies in Africa

Switch-independent software in Western

Europe

All CC technologies in APAC

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What does the future hold? (I)

• Key trends 5 years ago:

Increasing efficiency inIncreasing efficiency inback officeback office

Raising productivity Raising productivity in the front officein the front office

Hardware / SoftwareHardware / SoftwareCommoditizationCommoditization

Open StandardsOpen Standards

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What does the future hold? (II)

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Virtualization creates efficiency and improved service

Interactions

CorporateHQ

In-housecontact center

Branch/storenetwork

Outsourcers

Interactions

Inte

ract

ions

• Many businesses through growth

and acquisition have highly

distributed customer contact

organizations;

• There are multiple types of

workers offering customer service;

• Usually these ‘silos’ don’t

communicated well – generating

inefficiency;

• This is a big problem for many

large companies in the EMEA

region (especially in W. Europe).

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New ‘agent’ types are a key feature of virtualization

0

100

200

300

400

500

600

700

800

900

2005 2006 2007 2008 2009 2010

Back office / knowledge

workers

Branch workers

Home workers

AP

s 00

0s

• Along with CC-based agents (in-

house or outsourced) new agent

types are playing an important role

in delivering customer services;

• Home working is seen as an

important way of motivating and

retaining staff;

• Branch workers are already trained

customer service professionals;

• Knowledge workers can help

improve first call resolution;

• Technology exists to enable these

groups to be incorporated into the

CC organization. (global numbers)

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Optimizing contact centers follows a development path

Basic efficiency

Efficiency & effectiveness

measures

PM

Time

Dev

elo

pm

ent

Basic scheduling

Core telephony reporting

Advanced scheduling &forecasting

Quality monitoring

Analysis ofperformance data

Integrated efficiency& effectiveness tools

Analysis fromagent through to CC landscape

• Optimizing contact center

performance can save

and make money through

greater efficiency and

effectiveness;

• The range of tools

available is broad – WFM,

quality monitoring,

analytics, speech

analysis;

• Efficiency improvement is

step 1;

• Blending efficiency and

effectiveness can create

true performance

management.

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Portuguese Customer service challenges

• An increasing number of contacts and escalating

customer service costs

• Multiple contact channels and a lack of channel

integration

• Customer churn, retention and ARPU

• How to deal with self-service?

• Ineffective marketing campaigns and unpopular

outbound contacts

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Portugal - A challenging economic and business environment• Sluggish economic conditions

• Continued focus on cost control and rapid ROI

• De-regulation and increasing competition

• Continues focus on customer service as a differentiator

in the market

• Burnt fingers as a result of the Internet boom mean

companies are unwilling to invest in large IT projects

• C-level interest in customer facing projects

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The Portuguese cloud has a sliver lining

Business transformation

Agent analytics

E-Coaching for successOutbound building proactive customer relationships

Speech self-serviceEmail, SMS and Video!

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Questions