Is it Currently Profitable to Set Up an Inbound or Outbound Call Centre in India?
Starting a call centre business, especially as an inbound call centre, can be a challenging venture, particularly for new companies without a strong track record. Many new companies are often promised low-budget fixed billing offers, which are often fraudulent and aimed at exploiting new entrants in the market. However, the outbound call centre segment presents a more viable opportunity for profitability, provided certain conditions are met.
Why Inbound Call Centres Pose Risks to New Companies
Client distrust:
One of the main reasons new companies struggle with inbound call centre projects is the inherent mistrust clients have towards outsourcing to new or unknown centres. Clients prefer to outsource inbound projects to well-established call centres to avoid the liability that may come with using a new company.
Client recommendations:
For new call centres, it is essential to have a strong recommendation and referral from existing clients or partners. This is crucial because clients are less likely to take a risk with a new company unless they have a proven track record of successful outbound sales. Without such a track record, even the most attractive and affordable offerings can be nothing but false promises.
Outbound Call Centres: A More Profitable Segment
Profit potential:
The outbound call centre segment is the goldmine for investors. While inbound call centres often offer low-budget fixed billing offers that can be misleading, outbound call centres provide flexibility and performance-based earnings. When setting up an outbound call centre, you can earn based on your team's performance, and you have the flexibility to set your own targets.
Minimun investment:
To start an outbound call centre, you need to consider an initial investment of at least 10 to 15 Lakhs. This includes setting up operations, hiring a good team with consistent performance, and securing a genuine client with long-term projects. Investing in the right way will ensure that your business thrives and makes substantial profits.
Key Elements for Success in the Call Centre Industry
Quality databases:
To reach a profitable stage, you need to invest at least 10 to 20 Lakhs to purchase quality databases. These databases are crucial for any genuine projects and will help you target the right customers for your services.
Experienced staff:
Having a well-experienced and skilled staff team is essential for success. You need a minimum of 20 team members, and while freelancers can be useful in the short term, they are not a long-term solution for achieving consistent sales and profits. If you cannot guarantee consistent performance from your staff, you may struggle to generate the desired results.
Profit expectations:
While profits are the ultimate goal, it is important to recognize that they do not come overnight. Staff performance is key, and if your team can generate even minimal sales, you can potentially earn between 25 to 40 Lakhs per month, or more, depending on your local currency.
Challenges and Realities of the Call Centre Business
No easy money:
Traditional call centre operations do not offer guaranteed profits, and you must be prepared to face challenges, make hard decisions, and continuously improve your business model. The call centre industry is highly competitive, and you need to be financially prudent to succeed.
Common scams:
Pay attention to online scam brokers or consultants who promise low-budget fixed billing offers through social media or online platforms. These are usually fraudulent and should be avoided. Experienced call centre owners and investors will confirm that the outbound segment is the most profitable, as it rewards performance-based earnings.
Final Thoughts and Advice
Starting and running a call centre business requires patience, hard work, and a consistent focus on performance. Do not fall for easy money promises or low-budget scams. Instead, focus on building a strong team, securing genuine clients, and investing in quality resources. Success in call centre business is not a dream but a realistic goal, provided you have the right mindset and strategy.
Good luck in your journey to establish a profitable call centre in India.