Customer service is a vital aspect of any business, playing an important role in building relationships with customers and positively influencing the company’s reputation and profitability. However, customer service can also be a costly and time-consuming function, especially for small and medium-sized businesses that may not have the resources or expertise to handle it in-house.
That’s why many businesses choose to outsource their customer service to a third-party provider, such as a call center or a business process outsourcing (BPO) company.
One of the most popular and attractive outsourcing destinations for customer service is Mexico. Geographically, as the third-largest country in Latin America, Mexico’s vastness is evident, encompassing northern deserts, southern rainforests, and mountainous regions. The 11,122 km coastline, coupled with a 3,000 km border with the US, solidifies its standing as a prime location for companies eyeing global exports and outsourcing services.
Photo by Adam Winger via Unsplash
Customer Service Outsourcing to Mexico: An Overview
Mexico has a lot to offer as an outsourcing destination, boasting a dynamic industrial base, extensive mineral resources such as oil, natural gas, and minerals, and a wide-ranging service sector. Read on as we discuss in detail the advantages of outsourcing customer services to Mexico.
Proximity and accessibility
Mexico’s strategic location has been a major factor in its success as a nearshoring destination. Mexico’s geographical advantages have allowed it to capitalize on about 80% of global nearshoring opportunities.
Market access
By outsourcing your customer service to Mexico, you can tap into a huge and growing market of Spanish-speaking consumers. According to Statista, there are over 559 million Spanish speakers in the world, and 41 million of them live in the US. By offering customer service in Spanish, you can increase your customer loyalty, retention, and referrals among this segment.
Time zone compatibility
Mexico shares similar time zones with the US and Canada, which means you can offer 24/7 customer service without compromising on quality or efficiency. You can also avoid the communication delays and misunderstandings that can arise from working with distant time zones.
Diverse and talented workforce
Mexico’s workforce shares cultural similarities with Western countries, enabling seamless collaboration.
Businesses can outsource “non-core” or specialized services like human resource services, call center services, and property management services .Mexico produces over 451,000 undergraduates, graduate, and postgraduate students finish their studies in the public system (not including the Subsystem of Teacher Training Institutions and their schools).
Of these, 37.5 % studied one of the Science, Technology, Mathematics, and Engineering (STEM) disciplines. In fact, Mexico has the largest pool of STEM graduates in the American continent. The National Autonomous University of Mexico, the National Polytechnic Institute, and the National Technological Institute of Mexico are the key institutions for nation’s talent pool in STEM.
Advanced digital ecosystem
In the 2023 comprehensive annual report by the IMD – International Institute for Management Development, Mexico ranks 56th among 64 economies measured for their global competitiveness in the Overall and Factor Rankings (five years) in the World Competitiveness Ranking 2023, ranks 28th for Economic Performance, ranks 49th for Business Efficiency, and 54th in Digital Competitiveness (capacity and readiness of economies to adopt and explore digital technologies).
Additionally, Mexico is one of the most attractive IT outsourcing destinations in Latin America. It has five key tech hubs — each with great tech ecosystems and talented IT professionals:
Guadalajara: Known as the “Mexican Silicon Valley,” Guadalajara is home to a thriving tech industry, with a focus on software development, IT services, and electronics manufacturing. The city is home to several major tech companies, including IBM, Intel, and HP.
Mexico City: With a population of over 21 million people, Mexico City is the largest city in North America and a major hub for innovation and entrepreneurship. The city has a growing startup ecosystem, with a focus on fintech, e-commerce, and logistics.
Monterrey: Monterrey is considered to be Mexico’s industrial capital, with a strong focus on manufacturing and engineering. The city is home to several major universities, including Tecnológico de Monterrey, which has a strong reputation for producing talented engineers and entrepreneurs.
Tijuana: Tijuana is a border city that has become a hub for manufacturing and technology. The city has a growing startup ecosystem, with a focus on biotech, medical devices, and electronics.
Yucatan: The state of Yucatan is home to several emerging tech hubs, including the city of Merida. The region has a growing startup ecosystem, with a focus on software development, e-commerce, and tourism.
Other notable tech hubs in Mexico include Querétaro, Puebla, and Cancún. Querétaro is home to several major aerospace companies, while Puebla has a growing automotive industry. Cancún is a major tourist destination, with a growing tech industry focused on travel and hospitality.
Conclusion
Customer service plays a vital role but can be a costly and time-consuming function, especially for small and medium-sized businesses that may not have the resources or expertise to handle internally. With a vast Spanish-speaking market, a workforce brimming with talent, and a flourishing tech landscape, Mexico offers a comprehensive outsourcing solution for businesses.
By outsourcing your customer service to Mexico, enterprises gain access to an expanding market of Spanish-speaking consumers, real-time support for customer service operations, a competitive and diverse talent pool for organizations seeking specialized services, and a thriving digital ecosystem.
If you are interested in outsourcing to Mexico, get started by reading our curated list on the top 10 call center outsourcing companies in Mexico.
Connext helps companies build custom, dedicated Nearshore support teams from Mexico and across Latin America. Get started today.
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Sources:
The most spoken languages worldwide in 2023. Statista. https://www.statista.com/statistics/266808/the-most-spoken-languages-worldwide/. 2023. Accessed December 14, 2023.
Voices of Leaders. Mexico Emerges as the Top Destination for Nearshoring. Newsweek. https://www.newsweek.com/insights/mexico-emerges-top-destination-nearshoring. Accessed December 14, 2023.
Alejandro Guízar. The startup ecosystem in Mexico’s largest entrepreneurship hubs: Mexico City, Guadalajara, and Monterrey. LATAM List. https://latamlist.com/the-startup-ecosystem-in-mexicos-largest-entrepreneurship-hubs-mexico-city-guadalajara-and-monterrey/. July 14, 2022. Accessed December 14, 2023.
GoGlobby. Mexico’s Most Prominent Tech Hubs: from Guadalajara to Queretaro. https://gogloby.io/mexicos-most-prominent-tech-hubs-from-guadalajara-to-queretaro/. February 21, 2023. Accessed December 14, 2023.
Secretaría de Economía, Subsecretaría de Comercio Exterior. Mexican talent for economic growth and nearshoring, Mexico City, 2023. https://www.gob.mx/se/. 2023. Accessed December 14, 2023.
IMD – International Institute for Management Development, World Competitiveness Ranking 2023. https://www.imd.org/centers/wcc/world-competitiveness-center/rankings/world-competitiveness-ranking/. 2023. Accessed December 14, 2023.
IMD – International Institute for Management Development, World Digital Competitiveness Ranking 2023. https://www.imd.org/centers/wcc/world-competitiveness-center/rankings/world-digital-competitiveness-ranking/. 2023. Accessed December 14, 2023.
