This statistic shows the global market size of outsourced services from 2000 to 2019. In 2019, the global outsourcing market amounted to 92.5 billion U.S. dollars.

The global outsourcing market - additional information

The revenue of the global outsourced services industry has been unsteady over the last few years. In 2016, the industry market size dropped to 76.9 billion U.S. dollars, the lowest figure seen in a decade. The largest share of revenue for this industry came from the Americas, followed by Europe, the Middle East and Africa. A much smaller share of global revenue came from the Asia Pacific region.

Outsourcing involves the contracting out of business processes to third parties, usually in order for the business to avoid certain costs, such as taxes. In 2019, business process outsourcing contributed a much smaller proportion of the industry’s global revenue than information technology outsourcing, generating 26 billion and 66.5 billion U.S. dollars respectively.

Other outsourcing segments within the global industry include business services, energy, healthcare and pharmaceuticals, retail, travel and transport, and telecom and media. In 2016, the leading driver for using outsourcing services, according to business executives, was to cut costs. Other drivers included, enabling focus on core business and solving capacity issues.

It Outsourcing is Witnessing Significant Growth Due To Digital Transformation, Driving Businesses To Rely More On IT Services Outsourcing for A Competitive Edge. IT Support Outsourcing Has Evolved Beyond Cost-Cutting, With Cloud Services Migrations Fueling This Shift. IT Managed Services, Particularly Application Development and Maintenance, are in High Demand, With Companies Like Slack and Alibaba Capitalizing On IT Offshoring. The Market is Highly Competitive and Fragmented, With IT Contracting, It Service Management, It Business Process Outsourcing, and IT Infrastructure Outsourcing Playing Crucial Roles.

The statistic shows the revenue generated in the outsourcing industry by service type from 2010 to 2019. In 2019, 26 billion U.S. dollars was generated through business process outsourcing (BPO).

Global outsourcing industry - additional information

Outsourcing is the contracting out of processes to external parties. Business process outsourcing (BPO), which generated 26 billion U.S. dollars worldwide in 2019, involves transferring business processes to service providers outside of an organization. This process often requires offshoring. In 2019, India was the best country for offshoring when its financial attractiveness, the skills and availability of its people and its business environment are considered together. Information technology outsourcing (ITO) is closely related to business process outsourcing as many business processes are technology based. In 2019, global ITO revenue was 66.5 billion U.S. dollars.

The global revenue of business process outsourcing and information technology outsourcing amounted to around 92.5 billion U.S. dollars in 2019, of which more than half was generated in the Americas. Southern Europe was the region with the largest share of businesses practicing, or planning to practice, business process outsourcing. Latin America and South Africa also had high proportions.

Business process outsourcing includes delegating back-office or internal functions, like HR and accounting, and front-office or customer-related functions, such as those that would be passed on to call centers. In 2016, most companies used outsourcing services as a cost cutting tool while communication was a main driver of a successful outsourcing experience among mid-market business leaders worldwide.

The Americas had the largest outsourcing market in 2019, with 62 billion U.S. dollars of revenue created by contracts valued at over 25 million U.S. dollars. This was a significant increase from two years ago and meant that for the second time North America was a larger market than Europe, the Middle East and Africa (EMEA). Types of outsourcing Outsourcing can involve contained segments of an organization, such as customer care or specific business functions which cut across all segments like Information Technology (IT) and Human Resources (HR). While the industry may limit which organizations can benefit from the former type of outsourcing, the common nature of processes like IT and HR mean all industries can potentially outsource, creating a massive global industry. For example, while healthcare is expected to increase IT outsourcing the least of all industries, IT outsourcing in this industry alone is still expected to be worth over 50 billion U.S. dollars globally. Industry growth Considering only contracts above 25 million U.S. dollars, total contract value in the outsourcing market has declined in recent years from a 2014 peak of 104.6 million U.S. dollars. This decline is reflected in the intention of companies to expand their use of offshoring. Analysts point to several reasons for this trend. First, the increasing ability to automate business processes has overtaken the cost advantages of outsourcing in some cases. Second, there is greater quality control over in-house operations and increased flexibility in the deployment of these type of operations. Finally, social and political pressure has led to some companies preferring to keep jobs close to home, rather than utilize cheaper labor overseas.

The Contact Center Outsourcing Market is Segmented by Service Type (Email Support, Chat Support, Voice (Offshore and Onshore), and Other Service Types), End-User Industry (BFSI, Government and Defense, Healthcare, IT and Telecom, Retail, Manufacturing, and Other End-User Industries), and Geography (North America, Europe, Asia-Pacific, Latin America, and Middle East and Africa). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

The global IT outsourcing market size reached USD 600.9 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 835.5 Billion by 2033, exhibiting a growth rate (CAGR) of 3.64% during 2025-2033. The constant pressure to minimize expenses and increase profitability, the ever-changing regulatory landscape, and the escalating demand for the latest technologies and IT specialized skill sets are among the key factors driving the market growth.

Report Attribute	Key Statistics
Base Year	2024
Forecast Years	2025-2033
Historical Years	2019-2024
Market Size in 2024	USD 600.9 Billion
Market Forecast in 2033	USD 835.5 Billion
Market Growth Rate 2025-2033	3.64%

IMARC Group provides an analysis of the key trends in each segment of the IT outsourcing market report, along with forecasts at the global, regional and country levels for 2025-2033. Our report has categorized the market based on service model, organization size and end user.

Data Entry Outsourcing Service Market was valued at USD 1651.28 Million in 2023 and is projected to reach USD 2515.82 Million by 2030, growing at a CAGR of 6.3% during the forecast period 2024-2030.

Global Data Entry Outsourcing Service Market Drivers

The market drivers for the Data Entry Outsourcing Service Market can be influenced by various factors. These may include:

Cost-Effectiveness: Hiring outside service providers to handle data entry work can drastically save operating expenses. This includes cost reductions on infrastructure, perks, and salaries—all of which are especially advantageous for small and medium-sized businesses.
Concentrate on Core Competencies: Businesses can increase overall efficiency and productivity by outsourcing data entry services and concentrating more on their core competencies, which include strategic planning, product development, and customer service.
Access to Skilled Workforce: Data entry jobs are the area in which outsourcing offers access to a knowledgeable and experienced workforce. When compared to doing these jobs internally, this can result in higher accuracy and faster turnaround times.
Technological Advancements: By increasing efficiency and lowering the risk of error, the incorporation of cutting-edge technology like automation, artificial intelligence, and machine learning in data entry procedures makes outsourcing more alluring.
Scalability: Depending on the demands of the business, outsourcing provides the freedom to scale up or down operations. For organizations with varying workloads or seasonal demands, this is especially helpful.
Data Security and Compliance: Reputable outsourcing companies guarantee the confidentiality and integrity of sensitive data by adhering to international data protection rules and implementing strong security measures.
Globalization and Business Expansion: Effective data management becomes more and more important as firms grow internationally. Businesses can effectively handle massive volumes of data from multiple locations by outsourcing data entry services.
Increased Turnaround Time: Since outsourcing companies frequently work in different time zones, continuous workflow and speedier data entering task processing are possible, which can increase overall business efficiency.

Electronics Manufacturing Outsourcing Market size was valued at USD 534.65 Billion in 2023 and is projected to reach USD 790 Billion by 2030, growing at a CAGR of 6% during the forecast period 2024-2030.

Global Electronics Manufacturing Outsourcing Market Drivers

The growth and development of the Electronics Manufacturing Outsourcing Market is attributed to certain main market drivers. These factors have a big impact on how integrated gas systems are demanded and adopted in different sectors. Several of the major market forces are as follows:

Cost Efficiency: Cutting costs is one of the main motivators. In order to cut costs, electronics firms frequently outsource their production to areas with cheaper labor and production expenses.

Concentrate on Core strengths: By leaving the manufacturing process to specialized partners, outsourcing manufacturing enables businesses to focus on their core strengths, such as marketing, R&D, and innovation.
Globalization: Outsourcing has expanded as a result of the globalization of markets and supply chains. Businesses frequently look for manufacturing partners in other areas to access new markets and benefit from an international supply chain.

Technological Advancements: Specialised knowledge is needed to keep up with the rapid advances in technology. Companies can maintain their competitiveness without making large capital investments by outsourcing to manufacturers who have the newest capabilities and technologies.

Flexibility and Scalability: Without requiring substantial upfront infrastructure investment, outsourcing enables businesses to scale their operations up or down in response to market demands and offers flexibility in output volume.

The Indonesia Business Process Outsourcing Services Market is Segmented by Process (HR, Sales and Marketing, Customer Care, and Others), End User (BFSI, Telecom and IT, Healthcare, Retail, and Others), and Region (Java, Sumatra, Kalimantan, and Others). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

Service Desk Outsourcing Market size was valued at USD 88.55 Billion in 2023 and is projected to reach USD 130.66 Billion by 2030, growing at a CAGR of 5.09% during the forecast period 2024-2030.

Global Service Desk Outsourcing Market Drivers

The market drivers for the Service Desk Outsourcing Market can be influenced by various factors. These may include:

Cost-cutting: Outsourcing service desk tasks is frequently motivated primarily by cost-cutting concerns. By outsourcing, companies can obtain professional staff at a lesser expense than sustaining an internal help desk.
Concentrate on Core Activities: By contracting with outside service providers to handle mundane IT support duties, firms may concentrate on their strategic goals and core skills.
Scalability and Flexibility: Organisations can swiftly modify resources in response to varying demand, seasonal peaks, or corporate expansions thanks to service desk outsourcing’s scalability and flexibility.
Access to Specialised Skills: Hiring a service desk outsourcing company gives you access to knowledge and abilities that you might not have on staff. Teams at service providers frequently consist of individuals with a variety of backgrounds and industries of experience.
24/7 assistance: Outsourcing service desk functions can offer 24/7 coverage, ensuring uninterrupted IT assistance for companies operating in multiple time zones. This is due to globalisation and the growing requirement for round-the-clock help.
Technological Advancements: The evolution of service desk outsourcing is being driven by the rapid advancements in technology, including artificial intelligence (AI), automation, and self-service choices. By utilising these technology, service providers may increase productivity, speed up resolution times, and give a better overall client experience.
Emphasis on Customer Experience: Companies are looking for service desk outsourcing partners that can provide excellent customer care, individualised help, and prompt issue resolution as customer experience grows in importance as a differentiator in the marketplace.
Regulatory Compliance: Organisations outsourcing service desk tasks to providers with experience in data security and regulatory compliance are motivated by compliance requirements in a variety of industries, including healthcare, banking, and IT.
Globalisation: As businesses grow internationally, outsourcing service desk operations enables them to consistently support their international staff, clients, and partners.
Business Continuity and Disaster Recovery: By offering redundant support alternatives and backup resources in case of emergencies or disruptions, outsourcing service desk functions helps improve business continuity and disaster recovery strate

Recruitment Outsourcing Market Report is Segmented by Type (On-Demand, Function Based, Enterprise Based), by Service (On-Site, Off-Site), by Enterprise Size (SMEs, Large Enterprises), by End-User (BFSI, IT and Telecom, Healthcare, Manufacturing other End-Users), Geography (North America, Europe, Asia-Pacific, Latin America, Middle East and Africa). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

Payroll Outsourcing Market Report is Segmented by Type (Hybrid, Fully Outsourced), by Enterprise Size (SMEs, Large Enterprises), by End-Users (BFSI, IT and Telecom, Healthcare, Manufacturing, Government, Other End-Users), by Geography (North America, Europe, Asia-Pacific, Latin America, Middle East and Africa). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

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Document Outsourcing Market Size 2025-2029

The document outsourcing market size is forecast to increase by USD 19.5 billion, at a CAGR of 5.7% between 2024 and 2029.

The market is experiencing significant growth due to several key drivers. The need for cost reduction and enhanced efficiency are major factors fueling market expansion. Companies are increasingly turning to document outsourcing to reduce operational costs and improve productivity. Additionally, regulatory compliance is becoming increasingly important, particularly in industries such as healthcare and finance, leading to a growing demand for document outsourcing services. On the other hand, there are also challenges facing the market. Data security remains a major concern, as sensitive information is often entrusted to third-party service providers. There have been instances of data breaches and cyber attacks, which can result in reputational damage and financial losses for businesses. Another trend In the market is the increasing preference for cloud sourcing. This allows businesses to store and access their documents remotely, providing greater flexibility and convenience. However, it also raises concerns around data security and privacy, as cloud storage can be vulnerable to cyber-attacks.

What will be the Size of the Document Outsourcing Market During the Forecast Period?

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The market encompasses businesses outsourcing various document-related operations to external suppliers. These functions include, but are not limited to, operational costs reduction through offshoring, quality writing for emails and business pitches, content creation for technical brochures and product descriptions, maintenance guidance, and document printing and replication. Document processing involves scanning and converting electrical documents into electronic information for improved productivity and efficiency. Service providers offer expertise in handling core functions such as document management systems, business processing, and text-based work like handwritten and electrical document transcription. The market continues to evolve, with a growing emphasis on high-quality document processing, technical capabilities, and adherence to industry standards.

How is this Document Outsourcing Industry segmented and which is the largest segment?

The document outsourcing industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Service

  Onsite contracted
  Statement printing
  DPO


End-user

  Large companies
  Small and medium companies


Application

  Healthcare
  IT
  Retail
  Media
  Others


Geography

  North America

    Canada
    US


  Europe

    Germany
    UK
    France
    Italy


  APAC

    China
    India
    Japan


  South America



  Middle East and Africa

By Service Insights

The onsite contracted segment is estimated to witness significant growth during the forecast period.

The market involves onsite contracted services where providers establish and offer technology and services for document conversion, assessment, and consulting, as well as in-house printing. Service providers evaluate clients' IT infrastructure and implement document management solutions based on industry vertical, business size, and competitive factors. Onsite document management systems are in demand due to business process automation and data analysis for informed decision-making. Document outsourcing providers expand their service offerings to cater to this need. Companies seek advanced document management systems for compliance-driven industries, large organizations, and those adopting green initiatives. These systems provide scalable and adaptable solutions for digital data, hard copies, document lifecycle management, and document-related tasks.

Cloud computing technology, such as cloud sourcing, data centers, pay-as-you-go services, and cloud-based apps, contribute to the growth of document outsourcing. Machine learning, AI, natural language processing, and optical character recognition improve client turnaround times and document security. Document storage, access, and collaboration are essential aspects of cloud-based solutions, ensuring flexibility, affordability, and data security.

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The onsite contracted segment was valued at USD 26.20 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

Europe is estimated to contribute 37% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

Back Office Outsourcing in Financial Services Market size is valued at USD 145.37 Billion in 2024 and is projected to reach USD 296.1 Billion by 2031, growing at a CAGR of 9.30% during the forecast period 2024-2031.

Back Office Outsourcing in Financial Services Market Drivers

Cost Reduction and Efficiency: Outsourcing back-office functions can lead to significant cost savings due to economies of scale and access to lower-cost labor markets.
Focus on Core Competencies: By outsourcing non-core activities, financial institutions can concentrate on their core business, such as customer acquisition and relationship management.
Access to Specialized Expertise: Outsourcing providers offer specialized expertise and technology in areas like data processing, customer service, and compliance, ensuring efficient and high-quality operations.

Back Office Outsourcing in Financial Services Market Restraints

Data Security Concerns: Outsourcing sensitive financial data can raise concerns about data security and privacy breaches.
Vendor Management Challenges: Managing relationships with multiple outsourcing providers can be complex and time-consuming

Medical billing outsourcing market analysis report shows that the revenue expectation from this sector is US$ 19,184.1 million in 2024. The projected market CAGR for the next ten years is anticipated to be 16.6%. The medical billing outsourcing industry value is expected to reach around US$ 88,879.4 million by the end of the projected period.

Report Attribute	Details
Medical Billing Outsourcing Market Size (2024)	US$ 19,184.1 million
Market Anticipated Forecast Value (2034)	US$ 88,879.4 million
Market Projected Growth Rate (2024 to 2034)	16.6% CAGR

Medical Billing Outsourcing Market Historical Analysis Vs Forecast Outlook

Attributes	Details
Medical Billing Outsourcing Market Value (2019)	US$ 9,754.2 million
Market Revenue (2023)	US$ 16,683.9 million
Market Historical Growth Rate (CAGR 2019 to 2023)	14.4% CAGR

Country-wise Insights

Regional Market Comparison	Forecasted CAGR (2024 to 2034)
United States	13.4%
Germany	12%
Japan	11.3%
Australia	20.1%
China	17.1%

Category-wise Insights

Attributes	Details
Top Component Segment	In-house Medical Billing
Total Market Share in 2024	56.3%

Attributes	Details
Top Product Type or Segment	Hospital
Total Market Share in 2024	47.3%

U.S. Outsourced Sales Services Market size was valued at USD 1209.11 Million in 2024 and is projected to reach USD 1971.25 Million by 2031, growing at a CAGR of 6.95% during the forecast period 2024-2031.

U.S. Outsourced Sales Services Market Drivers

Cost Efficiency: Outsourcing sales services can be more cost-effective than maintaining an in-house sales team. It reduces the need for recruitment, training, salaries, and benefits, allowing companies to allocate resources to other core business functions.

Access to Expertise: Outsourced sales service providers bring specialized knowledge and expertise. They have experienced sales professionals who are skilled in various sales techniques, industry trends, and customer relationship management, ensuring a higher quality of sales operations.

Scalability: Businesses can easily scale their sales efforts up or down based on market demand without the complexities involved in hiring or laying off staff. This flexibility helps companies manage seasonal fluctuations and market expansions more effectively.

Focus on Core Competencies: By outsourcing sales functions, companies can concentrate on their core competencies, such as product development, operations, and customer service. This focus can lead to better overall business performance and growth.

Speed to Market: Outsourced sales teams can quickly adapt to new markets, launch products, or respond to competitive pressures. Their established processes and networks allow for a faster go-to-market strategy compared to building an in-house team from scratch.

Advanced Technology and Tools: Many outsourced sales providers invest in the latest sales technologies, such as CRM systems, sales automation tools, and analytics platforms. Access to these tools enhances sales efficiency and provides deeper insights into sales performance.

Enhanced Customer Reach: Outsourced sales services often have established relationships and networks that can help companies penetrate new markets or reach previously untapped customer segments. This expanded reach can drive revenue growth.

Improved Sales Performance: Professional sales outsourcing firms typically operate on performance-based contracts, incentivizing them to deliver results. This model ensures a high level of commitment to achieving sales targets and improving overall sales performance.

Market Intelligence: Outsourced sales providers offer valuable market intelligence, including insights into customer behavior, market trends, and competitive analysis. This information can inform strategic decisions and help companies stay ahead of the competition.

Risk Mitigation: Outsourcing sales functions can reduce business risks associated with market entry, expansion, and fluctuating sales volumes. Providers bring experience in managing various sales challenges, helping companies navigate potential pitfalls.

The CRM Outsourcing Market is Segmented by Type (Communications Management, Multi-Channel Customer Engagement, Analytic Solutions, Marketing Automation, Customer Support & Service, and Other Types), Application ( Retail, BFSI, IT and Telecom, Healthcare, Manufacturing, and Other Applications), and Geography (North America, Europe, Asia Pacific, Middle East and Africa, and Latin America). The Market Sizes and Forecasts are Provided in Terms of Value USD for all the Above Segments.

In 2022, the market size of the Chinese service outsourcing industry amounted to approximately 252 billion U.S. dollars, representing an annual growth of 11.4 percent. From 2016 to 2022, the industry grew substantially.

The Knowledge Process Outsourcing (KPO) Market Report is Segmented by Service (Analytics & Market Research, Operations & Supply Analytics, Engineering & Design, Financial Process Outsourcing, Publishing Outsourcing, Research & Development Outsourcing, Other Services), by End-Users (IT and Telecom, BFSI, Retail, Manufacturing, Healthcare, Other End-Users), by Geography (North America, Europe, Asia-Pacific, Latin America, Middle East and Africa). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

The drug discovery outsourcing market is expected to expand its roots at a steady CAGR of 7.2% during the forecast period. The market is likely to hold a revenue of US$ 3.75 billion in 2023, while it is anticipated to cross a value of US$ 7.52 billion by 2033.

Attributes	Details
Drug Discovery Outsourcing Market CAGR (2023 to 2033)	7.2%
Drug Discovery Outsourcing Market Size (2023)	US$ 3.75 billion
Drug Discovery Outsourcing Market Size (2033)	US$ 7.52 billion

Category-wise Landscape

Category	By Workflow
Leading Segment	Lead Identification & Candidate Optimization
Market Share % (2022)	32.3%

Category	By Therapeutic Area
Leading Segment	Respiratory Systems
Market Share % (2022)	14%