New research shows that the energy and utilities sector has outsourced £286m worth of contracts this year.
Energy and Utilities companies have outsourced £268m worth of contracts in the first half of 2017, a 10% increase from the same period last year. A surge in customer service and collections outsourcing is the main reason behind the overall rise which has seen a 20% increase year-on-year according to the recent findings.
The research was carried out by analysts, Nelson Hall in conjunction with business process outsourcing provider, Arvato. It revealed that energy and utility firms invested £164m in improving their customer service in the first 6 months of the year, a huge increase compared to the £4m spent on the service in the same period in 2016.
Energy and utility companies made up 15% of the UK outsourcing market between January and June 2017, with only the government (30%) and financial services (17%) spending more. Growth in private sector investment resulted in £5.2bn worth of outsourcing deals in the UK, the largest half-year outlay since 2012.
Debra Maxwell, CEO, CRM Solutions UK & Ireland at Arvato said: “More businesses are recognising the importance of improving the customer experience as price differences become increasingly marginal and consumers are more liable to switch supplier.
“The research findings show that companies across the sector are reaching out to external partners to help deliver a more seamless customer journey by integrating digital and traditional contact channels – a crucial element in cultivating customer loyalty and maximising revenue.”