Cebu City from the Crown Regency tower toward the port. Philippines, Offshore BPO Confidence Index 2023
Flag of Philippines

Philippines

Overall confidence rating

77.2%

Cebu City, Philippines

Confidence ratings

SponsoredConfidence Profile Philippines 2023

Inspiro

Yuji Hamamoto, President and CEO, Inspiro, Philippines, Offshore BPO Confidence Index 2023: Man with glasses and shoulder-length hair in a dark jacket against a light gray background
The dedicated professionals in the Philippines are the backbone of the country's BPO legacy and the cornerstone of its emerging, tech-focused CX landscape.
Yuji HamamotoPresident and CEOInspiro
Inspiro team in Philippines, Offshore BPO Confidence Index 2023: Large group of employees in casual clothes posing together outdoors under a covered terrace

What drives your clients' confidence in the Philippines as an offshore BPO delivery point?

Yuji Hamamoto: From the feedback we regularly receive, our clients clearly value the talent they have access to in the Philippines. Filipinos are genuinely dedicated to providing excellent customer service and consistently surpass client expectations. Their English proficiency also ensures that communication barriers are virtually non-existent, something our clients often commend. I've heard multiple clients remark on the nuanced understanding our Filipino teams have of Western markets, leading to more refined, culturally aware customer engagements. Their agility in adapting to evolving work environments, especially hybrid setups, and their knack for weaving state-of-the-art tools into their processes further solidify client confidence. All of this enhances the country’s stellar reputation as a BPO powerhouse and highlights its ongoing potential.

What has surprised you the most about operating in the Philippines in 2023?

Yuji Hamamoto: Having witnessed the industry evolve over the last two decades, transformation is now the name of the game, so 2023 has been a year of significant technological advancement in Filipino BPO. We see greater demand for hybrid, cloud-based services to empower remote teams, and many companies, Inspiro included, are tapping into artificial intelligence (AI), focusing on self-service, chatbots, and operational excellence. This will undoubtedly lead to cost benefits, higher-value tasks for agents, and enhanced customer experiences.

What is driving Inspiro's confidence in the Philippines moving forward?

Yuji Hamamoto: Our optimism stems from a combination of things. There’s continued support from the government in creating a favorable business environment, and we envision a future with more connected islands, leveraging the potential of other cities in the archipelago. Still, to ensure sustained growth, we must focus on developing infrastructure, education, security, and business continuity across all locations and invest in upskilling our workforce to handle more complex tasks. These steps are crucial for the Philippines to be recognized as the heart of CX excellence.

About Inspiro

Founded in 2004, Inspiro employs 12,000 people in the Philippines. The company provides CX management, sales support, technical support, social media CX, and back-office services to clients in the US, Australia, Singapore, the Philippines, and Japan, in English, Filipino, Japanese, Chinese, and Korean.

Learn more at inspiro.com

Local Labor Market

Hiring for agents, team leads, and voice, non-voice, and customer care roles is seen as a clear strength, with social media, managers, and technical support also well regarded. Career preparation in public education, accounts receivable, content moderation, and work visas are viewed more moderately. Recruiting foreign workers and filling revenue generation roles draw the least confidence.

2023

Confidence rating

82.6%

How confident are you in your capacity to recruit for the following positions in your country?

  • Agents92.3%
  • Team leads90.8%
  • Managers84.6%

How confident are you in your capacity to recruit for the following functions within your country?

  • Customer care95.4%
  • Technical support81.5%
  • Content moderation73.8%
  • Social media86.2%
  • Accounts receivable76.9%
  • Revenue generation66.2%
  • Voice95.4%
  • Non-voice95.4%

How confident are you in the public education system's ability to teach the necessary skills for a career in an international CX delivery environment?

75.4%

How confident are you in the public education system's ability to train world-class language skills?

81.5%
  • Recruiting foreign workers69.2%
  • Ease of sourcing work visas for non-citizens73.8%

BPO Ecosystem

Support for the ecosystem has softened over the past year and is moderate. The government's openness to dialogue, competitors' international image, industry unity, and IBPAP draw the strongest support. The Board of Investments, favorable legislation, and freedom from government interference are viewed more moderately, with fiscal incentives the weakest point.

2023

Confidence rating

79%

How confident are you that your competitors present a professional, attractive image of your country to international clients and prospects?

81.5%

How confident are you that the country's CX and BPO players are unified and collaborate effectively to maximize the industry's success?

81.5%

How confident are you in the government's ability to engage in open dialogue with the BPO / CX industry?

83.1%
  • Quality of fiscal incentives72.3%
  • Favorable legislation for BPO/CX industry78.5%
  • Lack of government interference76.9%
  • Lack of interference in international promotion76.9%

How confident are you in the government bodies involved in investment promotion in their ability to lobby for favorable industry regulations?

78.5%

How confident are you in the national BPO / CX association or cluster's alignment with the industry's needs?

81.5%

Industry bodies

Investment promotion agencyBoard of Investments (BOI)Founded 1967boi.gov.ph BPO associationIT and Business Process Association of the Philippines (IBPAP)Founded 2004ibpap.org

Infrastructure

Infrastructure has slipped to a moderate level since 2022. Leisure, hotels, and restaurants draw the strongest views, while internet, mobile services, fixed lines, and the power grid draw more measured confidence. Airports and public transport are viewed with caution, and international travel connections are the clear weak point.

2023

Confidence rating

77.8%

How confident are you in the quality of the following utilities in your country?

  • Fiber internet81.5%
  • Mobile (voice)81.5%
  • Fixed phone lines78.5%
  • Mobile (internet)78.5%
  • Power grid78.5%

How confident are you in the quality of the following services in your country?

  • Leisure activities92.3%
  • Hotels & accommodation89.2%
  • Food & restaurants86.2%
  • Airports69.2%
  • Public transport64.6%
  • Travel connections55.4%

Commercial Property

Property remains a strength, even after easing slightly since the last index. Plug-and-play facilities, leasing, and sourcing space across several cities, with hubs such as Makati, Bonifacio Global City, and Cebu, draw the most support, and retrofitting and co-working follow close behind. Purchasing options draw slightly less confidence.

2023

Confidence rating

86.2%

How confident are you in the availability of commercial property options for BPO/CX operations in your country?

  • Plug and play89.2%
  • Co-working space84.6%
  • Temporary co-working84.6%
  • Leasing options89.2%
  • Purchasing options80%

How confident are you in the ease of retrofitting existing commercial property for BPO in your country?

86.2%

How confident are you in the ability to source commercial properties across multiple cities for CX/BPO operations in your country?

89.2%

Public Security

Security sentiment has softened since the 2022 edition. Business travelers are seen as safe, while confidence in staff commuting on public transport and in law enforcement's trustworthiness is more moderate. Law enforcement's responsiveness draws the least confidence.

2023

Confidence rating

75.4%

How confident are you that foreign business travelers will be safe visiting your country?

87.7%

How confident are you that the local labor force is safe using public transportation for commuting?

76.9%

How confident are you that local law enforcement is trustworthy and helpful?

70.8%

How confident are you that local law enforcement will respond to criminal activity promptly and efficiently?

66.2%

Political Stability

Political confidence has weakened since last year and remains cautious. A peaceful transition of power draws high confidence and foreign policy orientation is viewed moderately, while the central bank and the fairness of elections draw low confidence. The judiciary, core government, the civil service, and law enforcement are viewed with the most concern.

2023

Confidence rating

65.4%

How confident are you in the foreign policy orientation of your country's government?

78.5%

How confident are you in the fairness and competitiveness of your country's electoral process?

67.7%

How confident are you that your country will perform a peaceful transition of power after elections?

80%

How confident are you that the following public services are free from corruption and/or outside influence?

  • Core government56.9%
  • Civil service56.9%
  • Central bank69.2%
  • Law enforcement55.4%
  • Judiciary58.5%

Economic Stability

Economic stability draws a lukewarm response. Tax rates draw moderate confidence, while currency stability and inflation are viewed with more caution, and the management of utilities and public finances draws the least.

2023

Confidence rating

64.9%

  • Manageable inflation63.1%
  • Manageable tax rates70.8%
  • Stable currency69.2%

How confident are you in the government's ability to manage publicly-owned utilities and services?

61.5%

How confident are you in the government's ability to manage the country's public finances?

60%

Annual Comparison

Philippines

Overall rating

202279.9%
202377.2%
202482.1%202582.8%

Local Labor Market

202283.7%
202382.6%
202489.7%202589.4%

BPO Ecosystem

202282.6%
202379%
202487%202587.2%

Infrastructure

202283.8%
202377.8%
202480.5%202581.1%

Commercial Property

202290.4%
202386.2%
202482.4%202583.6%

Public Security

202279.7%
202375.4%
202480.8%202582%

Political Stability

202268.8%
202365.4%
202466%202567%

Economic Stability

202267.3%
202364.9%
202476.5%202579.2%