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Call Center Location Reports on Onshore, Nearshore & Offshore Trends

by King White, on Jul 22, 2016 8:19:53 AM

Site Selection Group recently completed an in-depth analysis of global location trends in its Global Call Center Location Trend Report to help identify growth trends in onshore, nearshore, and offshore geographies. The study analyzed 458 new and expanding call center projects that created 171,189 jobs as well as 93 call center projects involving 20,006 jobs at facilities that were either downsizing or closing. By analyzing this data, Site Selection Group identified some high-growth call center locations for companies to consider during the site selection process. 

Global call center industry growth continues across all regions

The call center industry continues to shift jobs to and from onshore, nearshore and offshore geographies. With the current trend of reshoring taking center stage, the United States led overall growth with 281 projects announced with 76,324 jobs due to strong economic conditions and corporate reshoring initiatives. Outside the United States, Western Europe had the highest number of openings and expansions reported with 66 total announcements that created 12,876 jobs. Offshore regions such as the Philippines and Latin America also incurred significant growth. The following interactive map identifies the growth of call centers by country: 

Call center activity by country

 

Country Number of
Openings & Expansions
Number of
Jobs Created
Number of
Closures &
Downsizings
Number of
Job Layoffs
United States 281 76074 63 14049
United Kingdom 50 10623 11 2080
Philippines 22 28510 1 15
Canada 20 4785 12 1200
India 13 18395 0 0
Ireland 7 913 0 0
Costa Rica 5 1100 0 0
Scotland 5 800 0 0
Jamaica 4 2500 0 0
China 3 N/A 0 0
Mexico 3 300 0 0
South Africa 3 3200 0 0
Brazil 3 5900 0 0
Romania 3 554 0 0
Australia 2 250 3 850
Sri Lanka 2 65 0 0
Colombia 2 1350 0 0
Japan 2 900 0 0
Morocco 2 950 0 0
Russia 2 800 0 0
El Salvador 2 500 0 0
France 2 250 0 0
Fiji 1 N/A 0 0
Israel 1 N/A 0 0
Suriname 1 N/A 0 0
Trinidad & Tobago 1 N/A 0 0
Madagascar 1 N/A 0 0
Pakistan 1 N/A 0 0
Nigeria 1 5000 1 0
Bulgaria 1 3000 0 0
Guyana 1 1500 0 0
Barbados 1 1200 0 0
Honduras 1 450 0 0
Myanmar 1 300 0 0
Thailand 1 200 0 0
Portugal 1 150 1 120
Northern Ireland 1 140 0 0
Malaysia 1 100 0 0
Lithuania 1 60 0 0
Latvia 1 45 0 0
New Zealand 1 40 1 70
Uzbekistan 1 35 0 0
TOTAL 458 170,939 93 18,384

 

Note: Site Selection Group data was gathered from press releases and government agencies. Data is representative
of market trends and in-depth country due diligence for all activity.

Onshore call center growth remained stable and created over 75,000 jobs

The expansion of onshore call center operations in the United States continued during 2015. Many companies continued to reshore operations from the Philippines and other offshore markets as they sought to improve quality levels despite higher costs. Site Selection Group estimates that 281 call centers opened or expanded within the United States. These centers created 76,324 jobs which has caused many labor markets to tighten, putting wage pressure on employers.  This reflects only a 0.35% decrease from 2014, so growth remained relatively flat. 

The following interactive map identifies which states had the greatest number of new projects and expansions.

Call center project announcements by state

Where is the next offshore market like the Philippines?

As companies continue to search for the next Philippines, Africa may be positioning itself as the next region. Africa has gained significant momentum with the creation of almost 10,000 jobs across the continent. “For the last several years, Africa appears to be positioned to become a potential alternative for long-term growth and scalability. As the education system and infrastructure improve, Africa could become a leading emerging destination in the next 10 to 20 years,” explains King White, CEO of Site Selection Group.

Conclusions 

Finding the optimal location for expansion continues to be a complicated question and requires extensive analysis to figure out the right answer. Based on the analysis conducted by Site Selection Group, it is clear that the United States, the Philippines and Latin America have established themselves as the dominant geographies for an onshore, nearshore and offshore global footprint for U.S.- based companies; however, Eastern Europe, South Africa and India continue to serve a role for companies needing additional languages or other skillsets beyond voice-related call center operations. To learn more about call center location trends, download the Global Call Center Location Trend Report.

Download the Call Center Location Trends Report

 

Topics:Call Center

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