Asia Pacific Business Process Outsourcing Market Insights Forecasts to 2032

• The Asia Pacific Business Process Outsourcing Market Size was valued at USD 72.7 Billion in 2022.
• The Market Size is Growing at a CAGR of 9.8% from 2022 to 2032.
• The Asia Pacific Business Process Outsourcing Market Size is expected to reach USD 185.1 Billion by 2032.
• Asia Pacific is expected to Grow the fastest during the forecast period.

The Asia Pacific Business Process Outsourcing Market Size is expected to reach USD 185.1 Billion by 2032, at a CAGR of 9.8% during the forecast period 2022 to 2032. 

Market Overview

Business process outsourcing (BPO) refers to when a corporation outsources business procedures to a third-party (external) entity. The major goal is to reduce costs, save up time, and concentrate on the most important areas of the organization. Front-office and back-office BPO are the two forms of a business process outsourcing Back-office BPO includes a company's internal operations, such as payroll, inventory purchasing, and billing. Front-office BPO is concerned with activities outside of the organization, such as marketing and customer support. BPO has several advantages. One of the key benefits is that it reduces costs. Other benefits include allowing a company to focus on essential business processes that are critical to its development rather than administrative tasks or other non-critical components of managing a business. BPO also contributes to growth, particularly in terms of worldwide expansion. The Asia Pacific business process outsourcing industry is gradually growing as a direct result of the emerging countries' developing industrial sectors, expansion of infrastructure, and technological advancements. The primary driver fueling the market's rapid expansion is increased government support and investment in upgrading the aging transmission and distribution infrastructure. Furthermore, the Asia Pacific market is likely to be driven by the use of IOT and AI technologies over the forecast period.

Report Coverage

This research report categorizes the market for Asia Pacific Business Process Outsourcing Market based on various segments and regions and forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Asia Pacific Business Process Outsourcing Market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segments of the Asia Pacific Business Process Outsourcing Market.

Driving Factors

The Asia Pacific BPO market has changed over time, moving from basic services to specialist services like finance and accounting, human resources, legal process outsourcing, and even analytics. With the rise of automation and artificial intelligence, many BPOs are now integrating these technologies to provide complex, value-added services to their clients. Countries such as India, the Philippines, and China dominate the region's BPO landscape. India and the Philippines, in particular, have carved out a specialty in sectors like information technology, customer service, and back-office services. Furthermore, the region's strategic location, which caters to many time zones, allows for round-the-clock services, giving it a competitive advantage in the global BPO industry. Moreover, the cost advantages in terms of manpower and infrastructure add to their appeal to organizations looking for outsourcing solutions.

Market Segment

• In 2022, the customer services segment is expected to hold the largest share of Asia Pacific Business Process Outsourcing market during the forecast period.

Based on the service, the Asia Pacific Business Process Outsourcing Market is classified into customer services, finance & accounting, human resource, procurement, knowledge process outsourcing, and others. Among these, the customer services segment is expected to hold the largest share of the Asia Pacific Business Process Outsourcing market during the forecast period. The increasing emergence of customer service centers that require both online and offline technical assistance is driving segment expansion. Communication with customers provides an opportunity to strengthen the brand and develop consumer relationships. Furthermore, the human resource service segment is expected to grow at a significant CAGR over the forecast period, owing to the increasing demand for resources across various sub-segments such as payment processing, recruitment and relocation, administration, and other employee benefit services.

• In 2022, the third-party segment is witnessing the highest CAGR over the forecast period.

On the basis of ownership, the Asia Pacific Business Process Outsourcing Market is segmented into captive and third party. Among these segments, the third-party segment dominates the largest market share over the forecast period. Third-party BPOs are outside service providers who provide business process outsourcing to other organizations. They are commercial enterprises that specialize in specialized areas such as customer service, finance, or human resources. Cost savings have been the key driver of BPO expansion in Asia Pacific, and third-party providers frequently provide more competitive rates than setting up captive units. Third-party BPOs provide flexibility, allowing businesses to easily adjust to changing business situations.

• In 2022, the IT & telecom segment accounted for the largest revenue share of more than 32.7% over the forecast period.

On the basis of end-use, the Asia Pacific Business Process Outsourcing Market is segmented into IT & telecom, BFSI, healthcare, manufacturing, retail, government, education, and others. Among these, the IT & telecom segment dominates the market with the highest revenue share of 32.7% over the forecast period, attributed to the expansion of IT firms and fast modernization. Additionally, the government's support to enhance the market by encouraging sectors such as banking and healthcare to invest in technology is expected to increase. This aspect is expected to drive the Asia Pacific market. To cut costs, telecom companies in the region are using business process outsourcing and implementing telecom outsourcing. They outsource a wide range of corporate tasks, from call center operations to billing operations to finance and accounting.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Asia Pacific Business Process Outsourcing Market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Wipro Corporation
• Capgemini
• TTEC Holdings, Inc.
• Sodexo
• Cognizant
• Amdocs
• Infosys Limited
• NTT DATA, Inc.
• HCL Technologies Limited
• CBRE Group, Inc.
• NCR Corporation
• Tata Consulting Services Limited
• IBM Corporation
• Accenture
• Tech Mahindra Limited
• Helpware Octopus Tech

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Development

• On April 2023, Baker Tilly US has formed BT Pierian in collaboration with Pierian Services, a Bangalore-based business process outsourcing (BPO) firm. The joint venture will bring together Baker Tilly's internal service centers and third-party vendors with Pierian specialists to form a complementary workforce that will allow Baker Tilly to quickly scale its service delivery capabilities with the right personnel when it is most needed.

• On January 2023, Amdocs and Macau's CTM joined forces to bring commercial 5G services to the region. The commercial launch of CTM 5G demonstrates a concerted commitment to accelerate the city's digital transition.

Market Segment

This study forecasts revenue at global, regional, and country levels from 2021 to 2032. Spherical Insights has segmented the Asia Pacific Business Process Outsourcing Market based on the below-mentioned segments:

Asia Pacific Business Process Outsourcing Market, By Service

• Customer Services
• Finance & Accounting
• Human Resource
• Procurement
• KPO
• Others     

Asia Pacific Business Process Outsourcing Market, By Ownership

• Captive
• Third Party     

Asia Pacific Business Process Outsourcing Market, By End-use

• IT & Telecom
• BFSI
• Healthcare
• Manufacturing
• Retail
• Government
• Education
• Others    

Asia Pacific Business Process Outsourcing Market, By Country

• China
• Japan
• India
• South Korea
• Taiwan
• Rest of the Asia Pacific