The $100,000 Mistake: How Most Companies Are Overspending on Customer Support

How Most Companies Are Overspending on Customer Support

Poor customer support services can cost businesses a significant amount of money. In fact, Customer Think reports that $3.7 trillion is lost globally because of poor service. That’s money slipping through the cracks, day after day.

When you’re managing a high-volume contact center, those losses add up fast. It’s the overhead costs of onshore call centers, the constant cycle of hiring and training new agents, and the inefficiencies that chip away at business efficiency. Many companies don’t even realize how much they’re overspending — until they take a closer look.

Call center outsourcing allows for smarter financial decisions without sacrificing service quality. Here’s what most executives get wrong about call center costs — and how to fix it.

The Hidden Costs of Onshore Call Centers

Running an onshore call center isn’t just about covering hourly wages. The real costs come from:

  • High turnover
  • Constant training cycles
  • Outdated infrastructure that drains resources

Many companies don’t realize just how much they’re overspending until they step back and look at the full picture.

High Turnover and the Never-Ending Training Cycle

Call center turnover is notoriously high, with annual rates hovering between 30% and 45%, according to TechRepublic. That means nearly half of an onshore team could be gone within a year, taking their experience with them and leaving gaps that need to be filled fast.

The cost of replacing a single agent can climb as high as $35,000, (a study done by ScreenSteps) and that’s before factoring in lost productivity while new hires get up to speed. On average, it takes four to six months before a new agent is fully proficient, and until then, service quality and efficiency take a hit.

Staffing Challenges and Unpredictable Call Volumes

Keeping a call center staffed at the right level is a constant balancing act. Too many agents on shift during slow periods, and you’re paying for idle time. Too few during peak hours, and wait times spike, which means frustrating customers and overwhelming staff.

Many companies rely on outdated scheduling models that don’t adapt to real-time demand, leading to costly inefficiencies.

Technology Traps and Costly Contracts

Many onshore call centers are stuck using outdated infrastructure that’s expensive to maintain and lacks the flexibility today’s businesses need. Adding to the problem, rigid long-term contracts can lock companies into high costs, even as better, more cost-effective solutions become available.

Without the ability to scale or adapt, businesses end up paying premium prices for underwhelming service.

The Case for Offshore Call Centers: Smarter Spending, Better Service

Many companies assume that keeping support in-house or using an onshore provider is the only way to maintain quality. But that belief is costing them millions. Offshore and nearshore call centers have proven that businesses can save as much as 45-70% while still delivering exceptional service.

The key is choosing the right partner.

Benefits of Nearshore Outsourcing

Proximity plays a major role in making outsourcing effective. When a call center is located in Mexico or Latin America, businesses benefit from all the savings of outsourcing without the common frustrations of working with a team halfway across the world.

Bilingual agents fluent in both English and Spanish create a seamless experience for customers. Since these locations share time zones with the U.S., businesses don’t have to deal with middle-of-the-night meetings or long response times. Executives can visit operations with minimal travel, ensuring that service quality stays on track.

Lower wages aren’t the only reason offshore call centers offer cost-effective solutions. In-house customer support operations in the U.S. require companies to absorb high overhead costs:

  • Renting office space
  • Covering benefits
  • Maintaining IT infrastructure

These costs add up quickly, and many decision-makers don’t realize just how much of their budget is tied up in non-revenue-generating expenses. By shifting customer support services to a nearshore location, businesses gain the flexibility to scale their workforce up or down as needed, rather than locking into expensive long-term contracts.

Quality Without Compromise: Addressing Common Myths

The biggest concern many executives have about outsourcing is quality. Too often, they assume offshore call centers mean:

In reality, the best nearshore providers offer a level of customer service that is just as good — if not better — than onshore teams. Many of their agents have lived in the U.S. or have extensive exposure to American culture, making them well-equipped to handle customer interactions with ease.

Conversations feel natural, without the friction that some associate with offshore support.

Accent-neutral agents and industry-specific training help ensure that every call meets high service standards. A strong outsourcing partner also takes compliance and security seriously.

Making the Right Call: The Strategic Approach to Call Center Outsourcing

Not all call centers operate at the same level, which is why choosing the right outsourcing partner is essential. Experience in a specific industry makes a significant difference, especially when handling complex customer interactions in regulated sectors.

A provider that understands niche industries will always outperform a generic, one-size-fits-all operation, such as:

  • Claims processing
  • Patient advocacy
  • Warranty support

Many businesses struggle with fluctuating call volumes, and an outsourcing partner should be able to adjust staffing levels quickly to match demand. The ability to integrate seamlessly with existing technology and workflows is just as important. The transition should feel effortless, not like a constant uphill battle.

The best nearshore call centers aren’t just vendors — they act as true extensions of a business:

  • Aligning with company goals
  • Maintaining high service standards
  • Ensuring that customer loyalty remains strong

Companies that stick with an outdated, onshore-only approach to customer service are throwing away money. The high overhead costs, agent turnover, and inefficiencies of running an in-house team can drain millions of dollars from a company’s bottom line each year.

Call Center Outsourcing That Saves Money Without Sacrificing Quality

Call center outsourcing shouldn’t mean choosing between cost savings and quality. With the right partner, businesses can have both.

Centris brings 30 years of experience and delivers up to 45% savings compared to U.S.-based call centers while providing bilingual, 24/7 customer support. Our nearshore locations in Mexico offer seamless communication, easy client oversight, and built-in redundancy for uninterrupted service.

Stop overpaying for the same results. Partner with Centris and experience a smarter, more cost-effective way to manage customer support.

Reach out today to see how we can help.

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