The Cost of Outsourcing Customer Support: How much does external customer service really cost?

Many companies eventually find themselves asking: is it worth outsourcing customer support, and what does it actually cost? The answer is more complex than it might seem at first glance. This is because the costs depend heavily on individual requirements: service hours, languages, systems and volume all play a decisive role. In this article, we provide a clear breakdown of how the costs of customer service outsourcing are made up and what a partnership with XELEO might look like in practice.

What pricing models are available for outsourcing?

In customer support outsourcing, there are essentially two common pricing models: fixed-cost models and variable, bespoke cost models. Both approaches have their merits. The key factor is which model best suits your business model.

Fixed-cost models offer a high degree of predictability, whilst variable models allow for maximum flexibility. In practice, at XELEO we rely on bespoke solutions that are tailored precisely to your requirements.

Here is an overview of the advantages and disadvantages of these models:

MODEL

ADVANTAGES

DISADVANTAGES

Fixed-cost model

High degree of planning certainty
Clear monthly costs
Simple budgeting

Requires readjustment at the end of the year
Less flexible in the face of fluctuations

Customised model (variable)

Flexible adjustment to volume
Costs incurred only when actually used
Ideal for highly fluctuating demand

Less predictable
More complex costing

At XELEO, our approach is not to offer rigid models, but to develop bespoke solutions that are both economically viable and operationally efficient.

What are the key cost factors to consider when outsourcing customer support to XELEO?

The actual costs involved in outsourcing customer support arise from the interplay of several factors. These factors are interlinked and, taken together, determine how complex a project is and how it is costed.

1. Service hours

Service hours have a significant impact on the cost structure, particularly for smaller projects, as they directly influence staffing requirements. A support service available exclusively during standard business hours requires significantly less resource planning than a 24/7 service.

Models that must operate round the clock are particularly demanding, as they require the planning of shift systems, night-time surcharges and consistent availability. At the same time, there are also hybrid models in which, for example, additional support is provided by AI only during peak times. In such cases, efficiency can be improved by deploying resources specifically where they are actually needed.

2. Volume

The volume of enquiries is one of the most important factors when calculating the cost of outsourcing customer support. This is not just about the sheer number of tickets or calls, but also about how they are distributed throughout the day, the week or during seasonal peaks.

Higher volumes often allow for more efficient processes and better utilisation of resources, which can reduce the cost per enquiry. At the same time, highly fluctuating volumes require flexible staff planning to ensure that a consistently high standard of service is maintained even during short-term peaks.

Another particularly relevant factor is how predictable the volume is. Companies with stable volumes of enquiries are significantly easier to manage than projects with unpredictable peaks in workload. This is precisely why XELEO relies on scalable support models that can be flexibly adapted to growth, campaigns or seasonal fluctuations.

3. Languages

The number and combination of languages offered affect both the costs and the organisational complexity. Whilst support in German alone is relatively straightforward to organise, the effort involved increases slightly with each additional language.

Multilingual support means not only that suitably qualified agents must be deployed, but also that processes, knowledge bases and quality assurance must be adapted. Particularly with combinations such as German and English, the additional effort is moderate, whilst additional languages such as French or Italian can increase the recruitment and training workload.

4. Set-up and training costs

At the start of a project, there are usually one-off costs for set-up and training. These include, amongst other things, technical integration into existing systems, the definition of processes, and the induction of agents into products and procedures.

The level of these costs depends heavily on the complexity of the system landscape and the specificity of the knowledge that needs to be imparted. Projects using standardised tools can be set up more quickly, whilst bespoke systems require a greater initial investment.

Professional customer support is based on transparency and continuous optimisation. That is why reporting is an integral part of every collaboration.

5. Ongoing support costs for overheads and quality assurance

In addition to operational support costs, ongoing overhead and quality assurance costs also play a significant role in the overall cost structure. These items are often underestimated or not shown separately in traditional price comparisons, yet they are crucial for stable and professional customer support.

These include, amongst other things, team leadership, quality management, monitoring, process optimisation, as well as regular feedback and training initiatives. Quality assurance, in particular, ensures that defined service levels are consistently met and that support processes are continuously improved.

A professional outsourcing partner takes these factors into account transparently in the planning stage right from the outset. After all, sustainable customer support is not achieved solely through the availability of agents, but above all through clear processes, ongoing optimisation and consistent quality control.

The costs of outsourcing customer support cannot be reduced to a single factor. Rather, the total cost is determined by a multitude of factors that are tailored specifically to your business. What matters is not just the price itself, but above all the balance between cost, quality and scalability. This is precisely where XELEO comes in, by developing bespoke solutions rather than applying one-size-fits-all models.

What pricing models does XELEO offer?

Monthly basic fee

Many of our projects include a monthly basic fee, which covers a certain level of core services. This serves to cover fixed costs such as infrastructure, project management and minimum availability requirements.

In practice, this basic fee is often structured in such a way that certain services are already included, for example a defined number of minutes or a fixed number of contacts. This creates a combination of predictability and flexibility that proves particularly effective for stable volumes.

Billing by the minute / Billing per call

A key aspect of cost calculation is the question of how the service is billed. With billing by the minute, the actual call duration, including follow-up time, is taken into account. This model is particularly transparent and is well suited to projects with fluctuating volumes.

Billing per call, on the other hand, has a simpler structure, as each contact has a fixed price. However, this model can be less accurate if call durations vary significantly. In practice, the choice of model is always based on the specific requirements and the expected contact structure.

Here at XELEO, we develop a individual pricing model for you that is precisely tailored to your objectives and requirements. Thanks to our bespoke project planning, we can address your wishes and specific needs in a targeted manner and implement them efficiently and effectively.

What do different pricing models look like in practice?

Many companies want specific price quotes. The honest answer is that flat-rate prices are not credible in this sector. Different industries operate using different systems, have widely varying volumes and require bespoke training programmes. A general price range would not do justice to these differences.

To give a realistic picture nonetheless, we present three typical real-world scenarios.

Use Case 1: Customer service outsourcing for an e-mobility company

In the field of e-mobility, projects benefit greatly from existing system experience. XELEO regularly works with platforms such as Chargecloud, be.energised, eRound and charVIS. This significantly reduces the training effort, as existing expertise can be utilised.

At the same time, round-the-clock availability is crucial in this sector, as users may require support at any time. The volume of enquiries rises significantly, particularly during peak periods, such as holiday seasons. In such scenarios, a hybrid approach is often adopted, in which traditional agents are supplemented by AI-powered voicebots. This allows costs to be managed efficiently without compromising service quality.

Use Case 2: Customer Service Outsourcing eines Energieversorgungsunternehmens

Im Energiesektor zeichnet sich der Customer Support durch eine vergleichsweise hohe Planbarkeit aus. Historische Daten ermöglichen präzise Forecasts, wodurch Ressourcen langfristig effizient eingeplant werden können.

Diese Stabilität erlaubt den Einsatz von Fixkostenmodellen, bei denen eine monatliche Grundgebühr zentrale Leistungen abdeckt. Innerhalb dieses Rahmens werden individuelle Bausteine definiert, die exakt auf die Anforderungen des Unternehmens zugeschnitten sind. Gleichzeitig bleibt genügend Flexibilität erhalten, um auf Veränderungen im Volumen reagieren zu können. Das Ergebnis ist ein wirtschaftlich stabiles und gleichzeitig anpassungsfähiges Support-Modell.

Use Case 3: Customer Service Outsourcing for a Telecommunications Company

The telecommunications sector places particularly high demands on customer support, as customers expect prompt and expert assistance across a range of channels. At the same time, the product portfolio is usually very broad, ranging from mobile phone contracts and internet and fibre-optic products to TV and streaming solutions.

This results in complex support structures, which often require dedicated teams or so-called multi-skill set-ups within a project. Agents must not only be proficient in different products and processes, but also receive regular training on new tariffs, promotions and technical changes. Ongoing coaching, skills development and rigorous quality management therefore play a central role in ensuring a consistently high standard of service.

Furthermore, the underlying systems are often highly bespoke, leading to increased integration efforts at the start of the collaboration. In addition, the sector requires close coordination between the client and the support partner, as campaigns, products and sales promotions are constantly changing and need to be regularly adapted.

At the same time, additional opportunities are emerging in the telecommunications sector, for example through up-selling and cross-selling during customer interactions, meaning that customer support is viewed not only as a service function but also as a key factor in business success.

Would you like to know how much your project would cost with XELEO?

XELEO is your partner for tailored customer service solutions. Rather than relying on standard models, we develop solutions that are precisely tailored to your requirements and processes and integrate seamlessly into your existing structure.

Our experience in the telecommunications, energy supply, electric mobility and payments sectors enables us to precisely meet industry-specific requirements. Our primary focus is on quality, transparency and controllability. Through structured knowledge databases, regular training and clear reporting, we ensure that your brand communication remains consistent and that results are traceable.

With in-depth expertise in workforce management (from forecasting to shift planning), we ensure flexible scalability: from short-term peaks to permanent, multilingual 24/7 support.

Our approach is clearly customer-focused: through optimised processes and technical know-how, we reduce waiting times, increase the first-call resolution rate and create predictable cost structures. This not only makes your customer service more efficient, but also turns it into a genuine competitive advantage.

As every project is different, we’d be happy to provide you with a bespoke quote based on your specific requirements. The best way to get in touch is via our contact form or by calling us on +43 2742/28520. We look forward to hearing from you!

Contact us to discuss you project.
Jakob Zehethofer
Jakob Zehethofer

Managing Director
Jakob has more than 26 years’ experience in customer service and in establishing and managing high-performing customer service units. He brings with him many years’ expertise in developing efficient service processes and BPO solutions for customer support. Furthermore, he possesses extensive knowledge of strategic and operational business management. He combines in-depth knowledge of customer care and customer service with a clear understanding of efficient processes, high service quality and economic contexts. His focus is primarily on future-oriented service solutions for e-mobility, energy supply, telecommunications and payment, as well as on hybrid models combining human and AI elements.