Every dollar counts in call centers and one of the smartest ways to keep your call center budget in check is by understanding your true cost per seat.
That means digging into everything from staffing and tech to rent and coffee (okay, maybe not coffee).
This article will help you get a clearer picture of what you’re really spending and where you might save.
So let’s break it down, in plain language.
BPO Pricing Models—What’s the Best Fit?
When it comes to business process outsourcing, there’s no one-size-fits-all model, and what works for a startup might not work for a Fortune 500 company.
Here are the three most common approaches:
Per-Agent Pricing: Clients pay a flat rate for each agent. This method is simple, predictable, and works well if call volumes are steady.
Per-Call Pricing: Pricing is based on the number of calls handled. Great for companies with variable call volume, but can be a bit trickier to forecast.
Hybrid Models: A mix of the two—For example, imagine a retail company that has a steady call volume for most of the year but gets a massive spike during the holiday season. A hybrid pricing model lets them pay per agent during quiet months and per call when things get hectic.
Rethink your operation and choose the models that fit your operation so you stay competitive without underpricing your services or overpromising.
What Goes Into Call Center Costs?
Your total costs usually fall into two big buckets. These are direct costs like agent salaries, benefits, and training. And indirect costs such as rent, electricity, internet bills, HR staff, and all the little extras that support your agents.
Type of Cost in Call Centers and How to Calculate Per Seat.
- Staffing Costs: This is usually your biggest expense. It includes base pay, benefits, onboarding, and ongoing training. Don’t forget about agent churn, replacing agents costs time and money.
- Hardware: Laptops, desktops, phones, and headsets. Multiply by the number of agents, and you’re looking at a sizable chunk of change.
- Software: Call routing, CRM, quality assurance tools, reporting dashboards, the list is long and growing.
- Overhead: Office space, utilities, and admin support all fall under this category. Even the coffee machine maintenance counts!
- Facilities: Whether you’re leasing an office or paying for a co-working setup, you need space. Add in janitorial services, internet, and utilities too.
So, how do you actually figure out the unit cost for each pricing model? Don’t worry—we’ll keep it simple and super practical. Here’s how it breaks down:
✔️ Cost Per Seat = Total Monthly Costs / Number of Active Agents
✔️Cost Per Call = Total Monthly Costs / Number of Monthly Calls
Now for the hybrid model, a combo of both. First, you need to calculate the monthly total cost for active agent operation and the monthly total cost for paying call-based. Then calculate and evaluate them separately.
How to Analyze Your Call Center Costs
Cost analysis doesn’t have to be complicated—it’s all about being methodical. There are 3 main things you need to know:
✔️Collect all your expense data. Go beyond payroll and include software licenses, support contracts, recruitment costs, etc.
✔️Compare yourself with industry standards. In this way, see whether you stack up against competitors or best-in-class centers.
✔️Look at your team’s working patterns. Are certain teams or shifts more expensive? Do some tools cost more than they’re worth?
Once you’ve got the data, you can make strategic decisions such as:
- Replacing underused tools,
- Rethinking your staffing model, or
- Renegotiating vendor contracts.
How to Actually Boost ROI in Your Call Center
You’re not just here to run a call center. You want to grow it, make it more efficient, and prove value to clients. ROI is the metric that shows your operation is worth the spend.
- Streamline Processes: Think of your workflows like traffic. The fewer red lights and bottlenecks, the faster you get from point A to point B. Clean up your call flows, simplify processes, and make sure agents aren’t getting bogged down with clunky systems.
- Use Smart Tech: Don’t make your agents do repetitive stuff that a bot can handle in seconds. Automate it. Lean on AI, analytics tools, and integrations to make everything smoother and smarter.
- Track Performance Metrics: You can’t improve what you don’t measure. Keep tabs on key metrics like AHT (average handle time), FCR (first call resolution), and CSAT (customer satisfaction). These tell you where you’re winning and where to tweak.
- Match Resources to Demand: If your call volume spikes every day at lunchtime, why have everyone log in at 9 AM sharp? Use your historical data to staff smart, not just hard.
What You Should Walk Away With
For calculating your cost per seat, you need to go step by step.
First of all understand your costs: Direct vs. Indirect.
Second, know your pricing model: per-agent, per-call, or hybrid.
Third, cut down infrastructure costs and scale easily.
With Call Center Studio’s Contact Center Management Software:
- Everything lives in the cloud. Save on IT maintenance and upgrade costs.
- Add seats during peak season, and scale back after. No headaches.
- Get real-time data to make smarter staffing and operational decisions.
Request Your Free Demo today. Promise. It will be a smart move for efficient budgeting for next quarter.
