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An industry note: The Domestic Market Segment of the Business Process Outsourcing (BPO) Industry in India |
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“We plan to ride this wave of the domestic BPO boom and consolidate our position further by focusing on areas that are traditionally considered weak in the domestic BPO sector such as service quality.” 1 - Susir Kumar, CEO, Intelenet Global Services Pvt. Ltd.2, in June 2006. “The main reason why we got into domestic market is because it acts as a hedge to our global business.” 3 -Alok Mishra, CFO, MphasiS Ltd.4, in November 2007. “It is a wrong perception that margins (in domestic market) are low.” 5 - Partha Sarkar, CEO, HTMT Global Solutions Ltd6, in November 2007.
IntroductionAccording to a study released by Ernst & Young in July 2009, the revenues of the Indian Business Process Outsourcing industry from the domestic market (domestic BPO) were expected to touch US$ 6 billion by FY 2011-12. Two major industry verticals – banking, financial services, and insurance (BFSI) and telecommunications (telecom) were expected to contribute 80% of these revenues...
1] “Face to Face with Susir Kumar,”
www.nasscom.in, June 14, 2006. |
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