Business Process Outsourcing - Taiwan

Taiwan

Revenue in the Business Process Outsourcing market is projected to reach US$2.44bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 4.77%, resulting in a market volume of US$3.08bn by 2029.
The average Spend per Employee in the Business Process Outsourcing market is projected to reach US$93.97 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

Region comparison

Currency

Analyst Opinion

Taiwan, a small island nation in East Asia, has been steadily developing its Business Process Outsourcing (BPO) market in recent years.

Customer preferences: Taiwan has a highly educated population with a strong proficiency in English, making it an attractive location for outsourcing services such as customer support and technical assistance. Taiwanese companies also have a reputation for being reliable and efficient, which is valued by international clients.

Trends in the market: The BPO market in Taiwan has been growing steadily in recent years, with a focus on providing high-quality services at a competitive price. One trend that has emerged is the increasing demand for digital transformation services, including data analysis and cloud computing. Another trend is the growing interest in outsourcing services for the healthcare industry, such as medical billing and coding.

Local special circumstances: Taiwan has a strategic location in East Asia, with easy access to other major markets such as China, Japan, and South Korea. This has made it an attractive location for international companies looking to outsource services to the region. Additionally, Taiwan has a strong technology industry, which has helped the BPO market to develop and expand.

Underlying macroeconomic factors: Taiwan has a strong economy with a high level of economic freedom, which has helped to attract foreign investment and support the growth of the BPO market. The government has also been supportive of the industry, offering incentives and tax breaks to encourage companies to set up operations in Taiwan. However, the ongoing trade tensions between the US and China could have an impact on the BPO market in Taiwan, as many companies are closely tied to these two major markets.

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.