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7 Reasons Why Outsourcing to the Philippines is the Best Idea

Updated on : 02-Jan-2023 10:19 AM

There are many reasons you should outsource to the Philippines, and in this article, I'm going to cover the most compelling reasons why it makes business sense to do it. 

1. Lower staff cost 

You can save a lot of money; in fact, you will save between 70%-80% on salary costs by hiring virtual staff in the Philippines. 

It does not matter how big your business is; outsourcing to the Philippines will save you money whether you're hiring one part-time staff or looking to build a big team of 100+ people.

The fact is, the total amount of money you save will compound every time you increase your staff numbers. 

For example, let's say a customer service rep costs you $2,000-$2500/month in the USA, you can instead hire a degree educated and fluent English-speaking customer service representative in the Philippines for between $500-$700/month, and therefore save a giant pile of cash on staffing costs. 

The key, of course, is to outsource to the Philippines without quality compromising by replacing your local staff. 

This is precisely why I never promote that you should pay your Filipino staff as low as possible.

Instead, it would help if you looked to pay an attractive and competitive salary relative to the salary rates of outsourced staff in the Philippines.

You can download a copy of the ultimate salary guide for hiring virtual staff in the Philippines and learn the actual cost of outsourcing to the Philippines.

2. Flexibility (perfect for a solopreneur, realtors, or small business owner)

Outsourcing to the Philippines will mean you can delegate tasks. This would mean that repetitive and time-consuming tasks are removed from your workload and out of your life!

If ever you've read the book, "80/20 principle", delegating tasks by outsourcing to the Philippines is the epitome of what that principle is all about. 

Tasks like customer service, technical support, data entry, bookkeeping, research, and social media, among other things, you can assign to a virtual assistant.

As a business owner, you will have more time to focus on the development and expansion of your business. You can learn how to hire a virtual assistant in another article explicitly explaining how to do it.

3. You'll be hiring skilled virtual staff

The Philippines has a highly skilled and qualified young workforce. Millions of people here in the Philippines are educated at a minimum of bachelor's level.

English is the official language of the Philippines!

The Philippines has two official languages. One being Tagalog (Filipino), and the other being English. The Philippines' legal language is English!

When I was first moved here before I founded VirtualStaff.ph, I knew Filipinos spoke excellent English; however, I was not expecting that almost everything in the country would be written in English.

To give you some ideas of the kinds of things in the Philippines that you'll find in English, here are just some of the things:

  • Cinema. Yes, if you go see a movie in the Philippines, it'll be just like going to the cinema in the USA!
  • The constiution: The Philippines consistution is written in English.
  • Laws: All laws in the Philippines are written in English.
  • Signs: Road signs, restaurant menus, they're all written in English in the Philippines!
  • Degrees: College in the Philippines is taught in English. In fact, all the written exams that are taken in order to pass the degree, are all written in English.

What does this mean, and why is it important for someone who wants to outsource to the Philippines?

I'm assuming you're reading an English article that you're looking to outsource to the Philippines to hire English-speaking virtual staff?

If yes, then that's why it's so important to have the confidence and peace of mind that hiring virtual assistants and remote staff in the Philippines will be a success for you.

If you don't need English-speaking staff and instead need Spanish speaking or any other language, then VirtualStaff.ph is not the right option for you. Instead of considering Philippines outsourcing, you should maybe instead look at somewhere like Mexico.

4. It's mutually beneficial

When outsourcing to the Philippines, it's not only providing your business with huge advantages over your competition, such as colossal salary savings, increases profits, and more productivity. However, let's flip the coin and look at it from the perspective of the virtual staff you hire.

Here are some of the benefits the staff gets out of working for you:

It's a good salary (everything in life is relative)

If you pay your Virtual Assistant "$500-$800/month", it's a good salary here in the Philippines. It might sound low when you think of wages in the UK, USA, Australia, Canada, etc. But remember, the cost of living here is significantly less as well, 

On VirtualStaff.ph, you can browse hundreds of thousands of virtual staff profiles and see the exact salary rates that job seekers in the Philippines are looking for.

The great thing about the way we set VirtualStaff.ph up is that you as the employer can see the actual asking salary rates and then directly hire and pay the staff on the Virtual Staff Philippines outsourcing marketplace.

5. VirtualStaff.ph: Hire staff direct using the Philippines outsourcing marketplace.

By outsourcing jobs in the Philippines and hiring virtual staff and VA's using a site like VirtualStaff.ph, you can be assured that you're paying the actual salary rates because you hire the workers direct!

6. Better services 

Jack of all trades? I was one of them once, I juggled eight balls, and often 3 or 4 got dropped.

Instead, apply the 80/20 principle, focus your time on the 20% important stuff, and outsource and delegate the remaining 80% that's not the best use of your time.

This could be graphic design, video editing, customer support, social media, admin/research, bookkeeping. Anything that's not the best use of your time.

By doing this, you can cost-effectively improve your customer's experience. (cost-effectively). 

I repeat those two words because, in a competitive marketplace, costs are as significant as increasing revenue, as ultimately, "revenue is vanity, profit is sanity."

New to Philippines outsourcing or hiring a virtual assistant? You might find this video helpful. THE ULTIMATE GUIDE TO WORKING WITH A VIRTUAL ASSISTANT 

7. Improved Work/Life Balance

You'll not only have time to focus on tasks that are the best use of their limited and valuable time, but you will also have time for your personal life.

I mean, we all have lives outside of our businesses, such as marriages, kids, hobbies, and other things that we enjoy doing.

For me, I like to go out and swim in the sea with my golden retriever dog, work out in the gym, go for meals with my partner, and enjoy looking out onto the ocean and relaxing. 

That's the stuff I like. I'm sure you have the stuff that you enjoy doing.

These are only some of the reasons why companies should outsource to the Philippines. Here are the key takeaways below:

  • Better work-life balance (outsource the crap)
  • 80/20 Pareto principle. Delegate and outsource the 80% that is not the best use of your time, and double down on the rest.
  • Improve customer experience by adding staff you might not be able to afford to hire locally. (customer support, dedictated tech support, social media/community manager, etc.)
  • Systems: The key to growing and selling your business is to put systems in place. Combine tech systems with staff systems, and make your business perfect for an eventual sale. 
  • Location outsourcing leverage: Hire skilled virtual staff without paying big local salary rates due to geolocational leverage!

BONUS TIPS:

You ultimately have three options to outsource to the Philippines.

  1. Hire direct by cutting out the middlemen. You can do that at www.VirtualStaff.ph and contact virtual workers in the Philippines
  2.  Go to a recruiter/headhunter: Have a recruiter find you a virtual assistant. This is an expensive way to go as they will charge you a staff finder or recruitment fee, usually ranging between $500-$2,000
  3. Use a BPO company: Salary markups are applied and you will be paying significantly higher costs.

The VirtualStaff.ph Philippines Outsourcing Marketplace: The easiest place to find, hire, and pay your virtual staff in the Philippines!

It's easy. All you need to do is go to VirtualStaff.ph and create your employer account. 

After creating your account, you can choose from thousands of Filipino virtual assistants and remote staff and immediately begin outsourcing to the Philippines and building your virtual team.

Why businesses outsource to the Philippines (fun facts about the country)

  • English is the joint official language. This means all road signs, official documents, and even the constitution itself is written in English.
  • Degrees in the Philippines are tested in English. All written exams are in English.
  • If you go to the cinema in the Philippines, virtually every movie is in English, and there are no subtitles.
  • On average, by hiring virtual staff in the Philippines, you'll save between 70-80% on American/British/Australian salary costs.
  • The Philippines was one of the few countries in the world to have been a colony of the USA. (1898-1946), this came about because the USA bought the Philippines from Spain.
  • The Philippines are named after King Philip II of Spain. (It was a Spanish colony from 1521-1898
  • The Philippines is alongside India, the outsourcing capital of the world. In fact, for customer support-related roles, the Philippines is by far #1 with over 1.2 million people officially employed in the BPO (business outsourcing) industry.

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Michael Brodie

Helping make outsourcing to the Philippines easy for everyone. Michael is the Founder of VirtualStaff.ph - "The Philippines Outsourcing Marketplace".

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