Why Mexico is the new Nearshore Star?
Several factors continue to work together to shift outsourcing activity back to nearshore: rising wages in China and India; consumers demanding contact center service from agents who speak American-accented English and Latin American Spanish; and companies preferring to work with outsourcers who are geographically close and within same time zones.
Geographical proximity between US and Mexico, makes travel and communication easy
Proximity facilitates face-to- face ongoing training programs
Proximity, cultural affinity, same time zones, no language barriers.
Proximity facilitates face-to- face meetings and facility visits, enhancing trust and peace of mind
Tijuana has become one of the most important cities to host call center operations offering bilingual and bicultural agents by reducing cost with the same level of service.
Time zones matter:
Morning is morning, afternoon is afternoon, today is Today!
Increased revenue by double and tax and labor reforms have made the business climate more conductive.
Mexico is also considerably less inflationary than some of the major offshore locations.
Fourth-largest producer of BPO Services
The country is attractive to US clients for a number of reasons, it shares common time zones with the US, has many IT hubs, flight connections from many cities within Mexico and it boasts a growing population of residents who are fluent in both English and IT.
In Latin America the actual contract value of all deals including IT and BPO, went down 38% in 2016, Mexico however, posted a strong gain in Q1 2017, when ACV was up- $100 million.