What is Outsourcing? Everything You Need to Know

3 Mins read

Are you curious about outsourcing and how it could help your business? Read on to discover everything you need to know to get started! 

Outsourcing Defined 

If you own or run a business, you are probably at least familiar with the term outsourcing. But, just to be thorough. Outsourcing is the act of hiring a third-party company to lift certain functional burdens off of your shoulders. 

This is especially helpful for smaller companies that are scaling at quick rates. Companies often do not have the resources or time to develop the necessary infrastructure to handle their operation. This is where outsourcing comes in handy. No matter how big or small, outsourcing helps you to instantly take on more than your resources will allow you to handle. 

Different Ways to Outsource 

There are hundreds of tasks or even departments you can outsource. Many companies like to outsource departments like distribution, customer service, payroll, and just about any other non-decision-making department that exists. 

The Importance of Outsourcing Customer Service 

While there are plenty of avenues for outsourcing, the main one that many companies go with is customer service. Customer service is one of those aspects of business that could make or break your company. Especially if you are smaller. Customer service outsourcing allows you to hire well-trained professionals to handle most or all of your customer service needs. 

Outsourcing customer service will solidify your company by taking care of your customers the way they want to be taken care of. There is nothing that turns people away faster than poor customer service. 

How To Choose a Company

Choosing a company to outsource to can be a great ordeal. There are several companies, all offering a different array of options. So, here are a few things to keep in mind while you search for the best company for you.

Determine Your Needs

First off, you should determine the needs of your company. If you are looking for a customer service company, do you want them to offer just phones and live chat? Or do you need them to take over other things like email and social media? 

Looking For Integratable Qualities 

All businesses run on technology, software, and systems. There is nothing wrong with that. In fact, it is the best way to go. You just need to make sure that whatever company you outsource to can integrate with your tech. This allows you to effortlessly start. As well as take more steps toward data-driven decision-making. 

Think About the Pros and Cons 

Last but not least, weighing those pros and cons. The final stage of any decision-making process is determining the best option for you. Consider the details like offerings, price, bandwidth, reviews, and anything else important to you. This should help you significantly narrow it down. 

How To Prepare to Outsource 

Once you have chosen the company you want to outsource, you should then begin the preparation process to get them started. You probably already have a good idea of what they will need from you, but here are a few tips. 

Prepare Details for Distribution 

Gather and prepare details. If you are hiring a customer service company, their reps will need a lot of information to answer all of the questions that may come their way. So, it is best to get started early with this information. 

Plan Achievable Deadlines 

Outsourcing will dramatically speed up whatever function of your company it takes on. But you still need to be reasonable. Get a feel for how fast they can work and set achievable deadlines. 

Pass the Baton 

Lastly, make sure you let them do their jobs. While it is important to make sure they are doing what you hired them to do, be sure to let their managers handle the microelements of their business. 

Customer Service Channels to Know About 

If you are considering outsourcing to a customer service company, here are a few channels they could offer that you should be aware of.


Texting is a great way to reach out to people and get them information like deals, birthday rewards, etc. 


Email newsletters and responses are great. Many people run their whole lives from their email. So, giving them the option to contact your company via email is often a great way to go. 

Social Media 

Social media is more critical now than it has ever been. In fact, many people will visit your company’s social media pages long before going to your website or storefront. Having people that can respond to comments and direct messages is a great way to provide information to a large portion of your customers. 

Live Chat

It is a known fact that the younger generation does not like talking on the phone. So, give the option for people to chat with someone on your website. 


This one is offered by almost every customer service company out there. It is essentially a must. It is a good idea to hire companies with call centers in various countries with bilingual agents so your company can help anyone who may have questions. 

Do It! 

The bottom line is that you just need to do it. Outsourcing comes with a lot of research, planning, and attention to detail. But it is all worth it! So, pull the trigger and enjoy the benefits of expanding your company’s abilities. 

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