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Call Center Business Model: How Does a Call Center Make Money

When starting a call center, one of the first decisions you need to make is what type of call center you want to operate. Each model has benefits and drawbacks. In addition, the model and services provided will determine how much money the center makes.

 

Pick the Call Center Business Model

Average call center revenues are between $5 million and $10 million annually. The size of the call center, however, does not determine how much money it can make. The type of business model adopted for the call center will have a big impact on profitability.

Call centers can make money differently, depending on their chosen business model. However, there are four most common models.

  1. Segmented Services 
  2. Multi-Channel Blending
  3. Super Agents
  4. Skills-Based 

Segmented Services Call Centers

Segmented services call centers offer a range of services to its clients, typically large businesses. These services can include customer service, order taking, and technical support. The call center charges its clients a monthly or annual fee for these services.

Multi-Channel Blending Call Centers

Multi-channel blending call centers handle customer inquiries from multiple channels, such as phone, email, chat, and social media. The call center then uses a technique called blending to route the inquiries to the most appropriate agent.

Super Agent Call Centers

Super agent call centers employ agents who are experts in a particular subject or industry. These agents have deep knowledge about the products and services they support. As a result, they are often able to resolve complex customer issues quickly and efficiently.

Skills-based Call Centers

Skills-based call centers assign agents to specific tasks based on their skills and experience. For example, an agent with sales experience may be assigned to upsell customers who are calling to cancel their service.

Incoming Calls vs. Outgoing

Call centers can also make money by handling both incoming and outgoing calls. Incoming calls are typically handled by customer service or technical support agents. Outgoing calls can be made by sales or telemarketing agents.

For example, a call center specializing in technical support may handle incoming calls from customers having problems with their computers. The call center would charge the customer a per-minute rate for the support services.

 

Pricing Strategies for Call Centers and Services

Call centers typically charge their clients a per-minute rate or a flat monthly fee. The per-minute rate is usually based on the number of agents required to handle the calls. The flat monthly fee is typically based on the volume of calls expected.

For example, a call center specializing in customer service may charge its clients a flat monthly fee for the services. The fee would be based on the number of customer service agents required to handle the calls.

 

Call Centers and Startup Costs

The startup costs for a call center can vary depending on the type of business model you choose. For example, a Super Agents call center may require you to hire experts with deep knowledge about your products and services. This can be costly. You can also expect to spend money on training your agents and setting up your call center infrastructure. The investment can set up your call center for a bigger payday.

 

Write a Business Plan

Once you’ve decided on the type of call center you want to operate, the next step is to write a business plan for your call center. This will help you establish your goals and objectives, as well as how you plan to achieve them.

By researching the market, you gain a better understanding of your call center’s profitability. You can also use your business plan to attract investors and secure funding for your call center.

 

Establish the Call Center Staffing Model

The staffing model for your call center depends on the type of business model you choose. It also determines how much money your call center can make. A Segmented Services call center may require a large team of customer service agents. A Super Agents call center may require a small team of experts.

 

Manage Ongoing Costs

Ongoing costs for a call center can include agent salaries, benefits, and training. They can also include the cost of technology, such as phone systems and cloud-based software. If you keep your expenses in mind, you can ensure that you manage your costs and optimize your profit.

By understanding how call centers make money, you can choose the business model that best suits your needs. Then, with a well-written business plan and the right staffing model, you can set your call center up for success.

 

Choose the Business Model

Now that you understand how call centers make money, it’s time to decide which business model is best for you. Then, you’ll have the information you need to determine how much your call center can make based on services provided and staffing.