Demand for eCommerce is booming like never before, but for eCommerce businesses, there has never been as much competition either. For those businesses that want to get a competitive advantage, outsourcing to the Philippines has become a particularly attractive option.
With a young tech-savvy population, affordable wages, and excellent English, it’s easy to see why. But having access to great resources isn’t enough. For eCommerce businesses to really get the full benefits of outsourcing, they need to really take the time to build strategies that best utilize the resources that outsourcing can provide.
Having spent over 10 years helping eCommerce businesses around the world set up efficient, profit driving offshore support teams in the Philippines, the team at Cloudstaff have identified seven key things that all eCommerce operations should be doing to grow their businesses and increase their bottom lines.
Top 7 ways to grow your eCommerce business by outsourcing to the Philippines
- Trim your bottom line & invest the savings
- Add expertise
- Go 24/7
- Expand your market reach
- Look sharp and attract more eyes
- Ramp up operations
- Focus on your core
Trim your bottom line & invest the savings
The first and most obvious advantage to building an offshore eCommerce support team in the Philippines is the extraordinary cost savings that you can make. The Philippines has a very vibrant, growing economy, but because it is still developing, wages are much lower than they are in most Western countries.
When businesses outsource to the Philippines, most find that they are able to cut their staffing costs by 60-70%, with further savings being made on reduced operational costs such as office space, hardware, payroll and HR administration.
For eCommerce businesses in a growth phase, setting up offshore support teams is a great way to free up capital that can be better invested in adding new product offerings or targeted campaigns that extend your market reach.
So you have a great idea and a great product that you know that people will want. That’s a great start but unfortunately your great ideas aren’t worth anything if you don’t know how to reach your audience, and how to manage procurement, logistics, shipping, store platforms, and customer care.
This is where partnering with a reputable outsourcing provider is worth it’s weight in gold. Not only can you make the significant savings that we mentioned above, but top outsourcing providers are usually a one stop shop to find industry experts for any role you need.
Your online store never closes and if you are not there for your customers when they need assistance, there’s a good chance that you will be missing out on business.
Most online businesses recognize just how important this is for their operations, but in many cases the high costs associated with having a 24/7 team can be prohibitive and hold them back. By moving this function to the Philippines, however, the financial barriers are removed.
Just like in your home country, staff working late night shifts in the Philippines will receive a slightly higher rate of pay, but this is still nowhere near what you might expect to pay in Western countries.
Additionally, depending on where you are located, you may be able to avoid paying ‘night rates’ altogether by using time zones to your advantage. For example, if you are based in the US, your local team can handle customer queries and support during the day, and your Philippine-based team could handle them during your night time (their day time).
Expand your market reach
In a physical bricks and mortar store, your customer base is typically restricted to those who live within a relatively close proximity. But for eCommerce stores, the world is your oyster. You just need to know how to get noticed.
Outsourcing to the Philippines helps you reach wider audiences in a number of ways. First, it gives you access to top digital marketing and SEO professionals who can help you reach new audiences. Additionally, It also gives you access to new market insights. You might understand your home market well, but how well do you understand Asian markets, or US, Australian, and European markets?
Any time you outsource roles overseas, you are able to gain new understandings into what consumers overseas are looking for, but when you outsource to the Philippines, you are outsourcing to a destination that helped pioneer the eCommerce industry.
Right from the very early days of eCommerce, the Philippines has been the outsourcing destination of choice. This means that rather than building strategies by endless trial and error, you can shorten the learning curve by accessing experienced eCommerce professionals who have years of experience working with businesses and customers all around the world.
Look sharp & attract more eyes
According to Time Magazine (and many others) the average human attention span is these days considered to be 8 seconds, which means that when your potential customers visit your online store, you don’t have very long to catch their interest.
Your store needs to be visually appealing, easy to read at a glance, and enticing for your visitors.
Outsourcing gives you access to a wide range of roles, and designers and graphic artists are certainly no exception. The design scene in the Philippines is really booming right now, and if you are looking for world leading, cutting edge designers, this is where you will find them. The fact that they are super affordable is just the cherry on top!
Ramp up operations
One of the most difficult staffing issues for eCommerce businesses is the need for fluctuating staff numbers depending on market conditions. Outsourcing, however, can help you maintain business agility during peak and off-season by allowing you to scale up or down relatively quickly.
In many cases though, businesses are able to avoid the problems of onboarding and offboarding seasonal staff altogether because the affordable labor costs in the Philippines allows them to maintain a constant staff.
Focus on your core
Growing your eCommerce business by outsourcing isn’t just about the work that is done by your offshore team, it’s also about the special and high-value knowledge and vision that you bring to the table. When you have the right outsourced support team taking care of all the little things, it allows you to focus on the core parts of your business that really matter like your overall strategy and direction.
Looking for other outsourcing tips and strategies?
Cloudstaff’s outsourcing experts are always available to help. We’ve been setting up teams of outsourced staff in the Philippines for over 10 years for companies of all sizes. From helping you get started to fine-tuning high-performance teams, we are always happy to share our experience with you. Speak with us today.