by: Sarah Joson
Monday, September 3, 2012 | Outsourcing News |
According to XMG, one of China’s key strengths which could further propel its position in the BPO space is landing clients within the Asian market, unlike the outsourcing pioneer, India, which concentrated on Western markets specifically the US. XMG added that there’s a huge possibility that China will best India as the leader in the BPO industry within the next three years.
Revenues of the Philippine outsourcing industry will increase from $11 billion in 2011 to $12.7 billion by the end of this year. However, when it comes to the overall position in the BPO segment, India remains at the top with revenues that will grow from $59 billion in 2011 to $63.2 billion this year - followed closely by China, with revenues from $45.7 billion to $53.8 billion.
Meanwhile, ‘real growth’ is seen for China and India where the Philippines posted annual revenue growth at 25.4%, 23.6%, and 15.7% for 2010-2012 and China with 43.5%, 63.6%, and 33.0%. India showed that its revenue growth was deteriorating over the same period with 13.2%, 8.6%, and 7.1%
The increase in China’s market share during the last three years’ (2010-2012) growth cycle was more prominent with 35.76, 45.7, and 53.8 (US$ billion), compared to India’s 54.33, 59.0, and 63.2.
In 2010, India’s revenue was $18.6 billion more than China’s, but in 2012, the difference was down to $9.4 billion. The Philippines, on the other hand, also posted increasing figures from $8.9 to 12.7 billion, a 43% increase and marginally smaller than China’s 50% revenue increase.
Nevertheless, India still has the upper-hand as it was the first to dominate the services export or business process outsourcing space.