Business Process Outsourcing - Chad

Chad

Revenue in the Business Process Outsourcing market is projected to reach US$24.98m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 5.10%, resulting in a market volume of US$32.03m by 2029.
The average Spend per Employee in the Business Process Outsourcing market is projected to reach US$4.18 in 2024.
In global comparison, most revenue will be generated in the United States (US$146.30bn in 2024).

Key regions: United Kingdom, United States, Brazil, Japan, Netherlands

Market

Region

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Currency

Analyst Opinion

The demand for Business Process Outsourcing (BPO) services in Chad has been on the rise in recent years.

Customer preferences: Chadian companies are increasingly turning to BPO services to reduce costs and improve efficiency. Many companies in Chad are small to medium-sized enterprises (SMEs) that cannot afford to maintain large in-house teams for tasks such as customer service, data entry, and accounting. Outsourcing these tasks to specialized firms allows them to focus on core business functions and expand their operations.

Trends in the market: One of the key trends in the BPO market in Chad is the growth of the IT outsourcing sector. As technology becomes more pervasive in business operations, companies are seeking specialized IT services such as software development, network management, and cybersecurity. Additionally, the COVID-19 pandemic has accelerated the adoption of remote work and digital solutions, further driving demand for IT outsourcing.Another trend is the emergence of local BPO providers. While many Chadian companies have traditionally outsourced to firms in other African countries or overseas, there is now a growing number of BPO providers based in Chad. These local providers offer advantages such as lower costs, cultural familiarity, and the ability to provide services in French, the country's official language.

Local special circumstances: Chad's economy is heavily reliant on the oil sector, which has been hit hard by falling prices and production disruptions. As a result, many companies are seeking ways to cut costs and improve efficiency. BPO services offer a cost-effective solution that allows companies to streamline operations without sacrificing quality.However, Chad's business environment is challenging, with limited infrastructure and a small pool of skilled workers. This can make it difficult for BPO providers to deliver high-quality services and attract foreign investment. Additionally, political instability and security concerns pose a risk to business operations.

Underlying macroeconomic factors: Chad's economy is projected to recover gradually in the coming years, driven by higher oil prices and increased investment in non-oil sectors such as agriculture and mining. This is expected to create new opportunities for BPO providers as companies seek to expand their operations and improve efficiency.However, the country still faces significant challenges such as a large infrastructure deficit, high levels of poverty, and a young and growing population that requires investment in education and training. Addressing these challenges will be crucial for the long-term growth of the BPO market in Chad.

Methodology

Data coverage:

The data encompasses B2G, B2B, and B2C enterprises. Figures are based on enterprises' technology spending on products, consulting, and outsourcing services.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players in the industry, Statista's primary research and surveys, and IT associations. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, internet users, and telecommunication. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing method is used based on the market data characteristics. The main drivers are the GDP and its sector composition, internet penetration, the level of digitization, and the attitude toward IT security.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.