BPO industry report says Africa is becoming global CXM hub
New data in a report by Everest Group and CCI highlights the continent's untapped potential in the CXM sector. Primary factors to this industry growth is an average age of 25, with 420 million people aged 15 to 35, that forms the core of a dynamic workforce eager to engage in the global economy.
This demographic advantage, combined with investments in talent development and skill-building initiatives, is nurturing a highly skilled labour force ready to meet the demands of modern customer service.
African governments are also actively promoting a business-friendly environment, implementing policies that encourage foreign investment and infrastructure development.
Initiatives such as Kenya's special economic zone for CXM businesses and Rwanda's focus on becoming a technology and innovation hub are indicative of the continent's commitment to becoming a global leader in the CXM space.
Energy and broadband penetration factors
While challenges such as unreliable power and internet connectivity persist in some regions, ongoing investments in digital infrastructure are steadily bridging the gap.
The report reveals that several African countries are privatising their telecom and power sectors to improve network uptime and power grid infrastructure, further boosting the continent's appeal as a CXM destination.
This is presented in the data as 85% of global companies surveyed now view Africa as an attractive region to outsource their global customer care operations to, and 82% of global companies have seen a positive shift in their perception of Africa over the past three years.
Africa's strategic time zone positioning, aligning with major markets in Europe and North America, is another key factor contributing to its rise as a CXM powerhouse.
This alignment enables real-time collaboration and streamlines communication, enhancing operational efficiency and customer satisfaction.
Multilingual advantages
Africa has become a popular outsourcing destination due to its broad language proficiency, with 65% of firms listing this as a key factor.
The continent is home to 250 million English speakers, as well as a large population proficient in French, Portuguese, Spanish, Italian, and Arabic.
As a result, about two-thirds of global companies now view Africa as a competitive option for scalable, multilingual talent.
These results come weeks after the President of Kenya, William Ruto, announced plans to create 25,000 BPO service jobs in Kenya through outsourcing firm CCI during the official opening of the country's largest call centre facility in Kiambu County.
The announcement was also made at the Elevate Africa Conference in Kenya, attended by both the US and UK governments, to drive BPO job growth in Africa.
Pan African BPO growth
Data points to the bulk of new call centre jobs concentrating around South Africa, Kenya and Egypt which were identified as the ‘established CXM outsourcing markets in Africa’ in the report’s analysis.
Countries such as Ghana, Rwanda and Ethiopia were identified as ‘upcoming CXM markets in Africa’, with these countries also standing to benefit from increased global outsourcing investment.
Africa's emergence as a global CXM hub is a testament to its demographic dividend and ongoing digital transformation. As the continent continues to invest in its people and infrastructure, it is poised to play an increasingly pivotal role in shaping the future of customer service on a global scale.
