Internet of Things
IoT Viewpoints explore the IoT opportunity in 2018 and beyond. Download our latest e-book to get our newest collection of thought leadership articles on the emerging IoT trends, technologies and opportunities.
The analysts, enterprise decision-makers, and outsourcers meeting this week in Cape Town for the Business Process Enablement South Africa (BPeSA) summit are sure to be impressed with the ongoing development of this country as an offshore delivery center. However, in Ovum’s view, BPeSA needs to outline its plans for driving South Africa as a logical alternative for value-added BPO services over the long term.
A successful strategy employed by BPeSA and its members in recent years has been to target the UK, Australia, and New Zealand as demand centers for South African front-office BPO services. By taking advantage of linguistic, cultural, and commercial overlaps between these countries, South Africa has developed a rightly deserved reputation for cost-effective, high-quality voice and non-voice customer experience. This was most recently validated by iiNet’s decision to expand its offshore delivery capacity into Australia at Merchants’ Cape Town facility.
This is not to say that South African-based contact center vendors should limit themselves to UK, Australian, and New Zealand enterprises for offshore contracts; however, new overseas target markets must be analyzed thoroughly and mapped as closely as possible to this (to date) winning formula. The efforts to service the Dutch market by Afrikaans speakers has largely been abandoned by most outsourcers (due to limited linguistic synergies), and while the North American market may offer longer-term potential, this will require a great deal of education for enterprise contact center decision-makers in Canada and the US who may be unaware of South Africa’s track record in this sector.
Another element that will determine the success of BPeSA’s meetings in Cape Town this week will be the extent to which South Africa is positioning itself in the non-CRM outsourced services market. Among offshore destinations, South Africa ranks as one of the most expensive (according to Ovum’s most recent analysis, CRM Outsourcing Pricing and Cost Analysis, 2014–2015). While delivery of higher-value contact center functions is a solid niche, diversifying its capabilities and leveraging its large and wide skills base will be key to long-term success. For years, the potential for legal process outsourcing has been discussed, given the common law similarities between South Africa and much of the Anglosphere. Considering the level of sophistication among graduates in technology, engineering, healthcare, and commerce, the country also provides possibilities for IT service delivery and back-office processes (such as accounting, procurement, and healthcare). This week’s industry conference should provide attendees with a sense of which value-added services will be emphasized and in what time scales, as well as what investment and support will be forthcoming to help these succeed.
Service Provider Markets
ByMike Roberts 01 Oct 2018
Verizon 5G Home is a milestone in the telecoms market because it is the first large-scale commercial launch of broadband services based on 5G technologies, albeit not on a fully standardized version of those technologies.
ByEvan Kirchheimer 26 Apr 2018
Service provider interest in justifying 5G investment through its potential to open new revenue streams from the enterprise segment is growing ever greater.
Europe, Middle East & Africa team - +44 (0) 207 017 7700
Asia-Pacific team - +61 (0)3 960 16700
US team - +1 646 957 8878
Already an Ovum client? Login to the Knowledge Center now