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Top Outsourcing Trends for Q4 2010

  • Top Outsourcing Trends for Q4 2010-

    In contrast to Q4 2009, Q4 2010 saw a much higher share of Tier-1 cities as compared to Tier-2 cities. The higher share of Tier-1 cities is largely attributed to new service providers that prefer established Tier-1 cities for expanding their delivery footprint in a new geography. Service providers having existing presence in offshore locations also actively consider Tier-2 cities given lower costs of delivery in these cities compared to Tier-1 locations.

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Top Outsourcing Trends for Q4 2010

  • 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11
  • Top Outsourcing Trends for Q4 2010-9

    In contrast to Q4 2009, Q4 2010 saw a much higher share of Tier-1 cities as compared to Tier-2 cities. The higher share of Tier-1 cities is largely attributed to new service providers that prefer established Tier-1 cities for expanding their delivery footprint in a new geography. Service providers having existing presence in offshore locations also actively consider Tier-2 cities given lower costs of delivery in these cities compared to Tier-1 locations.

Based on recent research from the Everest Group, the offshore services market continued to grow with 46 new offshore delivery centers established in Q4 2010, a 12-month high. Q4 also witnessed a revival of activity in emerging locations. South Africa announced a financial incentives and skills development program to further attract the IT-BPO industry. During 2011, Everest predicts we are likely to witness activity in emerging locations across both captives and third-party service providers.

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