You wouldn’t have to worry about language barrier when visiting, outsourcing or planning to start your business in the Philippines. English is more than just a subject or course in school for Filipinos. It’s the medium of instruction used in schools and corporate institutions—making it the second official language, after Filipino.
According to a 2018 report by EF’s English Proficiency Index, the Philippines ranks at No. 14 among the non-native English speaking countries around the world. It’s no surprise that with their command of the language, Filipinos are leveraging on their ability to read, write, and speak English. This skill serves as a strategic business advantage for foreign investors looking to start a business in the Philippines.
If you’re planning to start a business in the Philippines, here are some impressive statistics that will convince you to kickstart your operations in the country.
Their English proficiency boosts workplace efficiency
Asia is known to have the highest range of English proficiencies among the world’s regions, and the Philippines ranks second with a high EF EPI score of 61.84. With the rapid growth of technology that promotes globalization, it’s imperative for offshore businesses to employ workers with high English proficiency.
Having an excellent command for the English language serves as a competitive edge for Filipinos, especially those in the customer service industry. As such, foreign investors are encouraged to take their offshore business operations to the Philippines where they can hire English proficient workers who can easily adapt to cross-cultural demands. Meanwhile, there’s also a growing number of enterprises that outsource employees from the country.
Their neutral accent allows for a clear flow of conversation
Philippines is known for having many BPO and KPO hubs for customer support. In fact, it has dethroned India, which used to be the original home of the call center industry. In 2014, India lost 70% of its call center operations to the Philippines.
Filipinos, having been influenced by Western culture and language early on, developed a neutral accent that works phenomenally for voice communication, making customers wonder whether they’re talking to agents within their country or halfway across the globe.
Additionally, training them to listen for and speak in American English, Australian English, or UK English is easier than other outsourcing destinations. As a result, little is lost in translation, making them the preferred agents by Western clients.
If before, businesses would try to cover up where their client support agencies are located, now they don’t shy away from disclosing that they have Filipino call center agents or that they outsource to the Philippines. This small but valuable detail makes outsourcing to the Philippines the most cost-effective option.
Their ability to actively listen builds customer rapport
The BPO industry’s compound annual growth rate (CAGR) in the Philippines is at 9%, which speaks volumes about their skills and language proficiency. But most importantly, having the largest number of call centers in the world proves that they continue to excel in their mission—to deliver top-notch customer service.
Filipinos’ ability to remain calm and composed when talking to irate customers shows how good they are at their job. This means genuinely listening and understanding each and every person’s concerns, and addressing these issues accordingly – a great quality for an offshore team.
Having the ability to spout well-constructed and grammatically correct sentences isn’t enough to say that one’s a great communicator. Lending both ears to fully comprehend and understand where a customer is coming from makes an effective communicator.
Their intercultural communication skills work well when dealing with foreigners
Filipinos aren’t just known for their English proficiency, but they’re hospitality. Having been colonized by Spain, Japan, and the United States, the country has become used to dealing with foreigners while remaining sensitive to various cultures. Their warm and welcoming personality makes them the perfect workforce for businesses looking to outsource customer support and back-office operations.
In fact, an intercultural sensitivity study from 2010 revealed that 72.05% of its Filipino respondents registered a high sensitivity rate of 93.60. The study concludes that the respondents appreciate cultural diversity and as a result, they “promote appropriate and effective behavior in intercultural communication.”
Given this, Filipinos are able to mirror this trait when dealing with foreign clients, superiors, or colleagues, making them easier to work with.
Summing it up
Effective communication is vital to the success of starting and maintaining a business. Having the ability to deliver messages, address concerns, and turn your ideas into reality without worrying about the language barrier is a critical advantage. This saves both parties valuable time and resources.
Building a team of skilled and proficient employees in the Philippines can help you reach your goals in a shorter amount of time at less cost. You’d want to hire people who can actively listen, efficiently deliver tasks, and write and speak in highly proficient English.
Filipinos are proven to be a capable workforce who display exceptional business communication skills–an integral aspect in any organization. If you’re looking to build your own startup, EnterPH can help walk you through this complex and exciting journey of starting a business in the Philippines.
Rocky Chan is a lawyer and business consultant who excels in corporate formation, immigration procedures, and client relations. In the last 7 years, he honed his craft in the field of foreign investment consultancy.