Colin Taylor
John Cockerill
The Taylor Reach Group, Inc on LinkedIn

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Call Center Industry Statistics Related to
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Call Center Industry Statistics Related to PREDICTIONS
Any information which includes a quantitative prediction.
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DMG Consulting forecasts rapid adoption of contact center speech analytics applications, with a growth rate of 120% in 2006 and 100% in 2007.
Speech analytics has already provided quantifiable benefits for early adopters, yielding an ROI of 9 to 12 months, even in the market’s infancy.

DMG

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Call Center outsource market growth in Europe, Africa and the Middle East will grow faster than in North America. By 2007 there will be 286,000 outsourced agent positions outside of North America.

The value of the call center outsourcing market will grow in EAME to $11.5 billion.

The US Call Center outsourcing market will grow to 23.9 billion pounds in 2008 and will represent 361,000 outsourced agent positions.

The Latin America call center growth is the fastest in the world at 16.8% agent position CAGR and number of call centers at 18.4% CAGR.
Business Insights

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Between 2004 to 2009, hosted contact center agent positions (APs) are projected to grow at a CAGR of 53% in the US.
Datamonitor

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60% of organizations are planning to deploy IPT to one contact center within the year and 82% within two years.
Most organizations will only migrate some contact centers.

Most organization expect to have a mixture of traditional circuit switched telephony and IP packet switched telephony across their organization for some time to come.

The US has been the slowest region to adopt IPT; Asia-Pacific leads deployment with 25%, EMEA with 19% and the Americas with 15%.
Gartner- March 2006

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7% to 12% of telecom service charges are in error.
85% of a typical enterprises telecom bills are not audited.
Aberdeen Group

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A Yankee Group study of 350 US and Candaian call centers has found that 24% of agents or 672,000 workers, work from their homes.

This number is expected to grow by 24% per year through 2010.
Yankee group

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In a published Brief, “Selling Offshore Outsourced Contact Center Services to the Healthcare Industry,” independent market analyst Datamonitor (DTM.L) puts 2005 global contact center outsourcing revenues associated with healthcare at approximately $800 million. By 2008, Datamonitor expects it to exceed $1.1 billion.
Datamonitor

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IDC estimates the number of home-based phone representatives in the United States, to grow from 112,000 today to over 300,000 by 2010.
IDC

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Only 5% of the 4.78 million agent positions worldwide will be outsourced to offshore locations by 2007.
Business Insights Dec 2005

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The call center outsourceing market will be worth $11.5 billion by 2007.
Business Insights Dec 2005

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By 2007 there will be 286,000 outsourced Agent positions outside of the US.
Business Insights Dec 2005

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Agent positions in Canada will grow from 9,900 in 2002 to 17,700 in 2007. More than 90% of the positions will service clients in the US.
Business Insights Dec 2005

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Demand for Egyptian outsourced, offshore call centers will grow by an astonishing compound of 50% by 2009.
Datamonitor

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Call centers: outsourcing on the increase in Western Europe
As businesses increase their propensity to outsource, all Western European call center markets will see the number of outsourced agent positions continue to grow over the next four years. In 2009, 14.5% of all call center agent positions will be outsourced positions, compared to just over 12% in 2004. This represents around 196,000 outsourced agent positions in western Europe by 2009.

Source: Datamonitor, “Call Center Outsourcing in Western Europe” (DMTC1106)

Datamonitor Nov 2005

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Nicaragua to add 4000 new call center jobs by 2009.
TRG

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IDC estimates 2004 customer care revenues totaled $45.8 billion and will reach $83.5 billion by 2009.

IDC

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250,000 new call center jobs to be created in India and the Philippines by 2009.
Datamonitor- March 2005

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Datamonitor expects more than 127,000 new offshore outsourced call center agent positions to be added in India and the Philippines over the coming five years.
Datamonitor- March 2005

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Hosted IP Telephony to represent 15% of IP telephony shipments by 2008-
Ovum- Sept 2004

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60% of Aussie companies will implement VoIP by 2007
VoIP technology sales look likely to boom in Australia, with about 60% of the nation’s medium and large organizations set to deploy the technology by 2007, according to new research.

In a survey of more than 300 Australian organisations, research company IDC found 14% of medium and large companies have already deployed VoIP and a further 47% will roll it out over the next three years. IDC said this uptake represented almost a $1 billion market for enterprise IP telephony equipment and VoIP services.

The main driver for the VoIP uptake remained cost reduction, with IDC expecting a steep price decline over the next 12 months as IP handset subsidies become almost “de rigueur”. Companies deciding not to deploy VoIP did so mainly through of a lack of understanding of the benefits the technology would provide, IDC said.

Originally published in Callcentres.net
IDC- August 2004

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50% of respondants believe that telephone companies will deliver the best VoIP Service.

The key attribute that the the service must include are Caller ID, Voice Mail and battery back up.
Ipsos-Insight- July 2004

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A 5% IMPROVEMENT IN CUSTOMER RETENTION IMPROVES PROFITABILITY BY 25 TO 100%
BAIN & CO.

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By 2008 the global market for contact center component technology will have grown to $5.1 billion. While there will only be minimal growth in North America and Western Europe, China, India, Brazil and Eastern Europe will grow significantly over the next five years.

Spending will shift from traditional technologies to IP-ACDs, CTI, self-service and managed services and hosted solutions.

The majority of contact center technology spending still occurs at the high end of the market, but the largest growth over the next five years will be at the low end of the market. This will be true in the more mature markets of North America and Western Europe, but also in rapidly growing domestic markets such as Eastern Europe and China.
Datamonitor- May, 2004

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Call Logging to grow at 13.5% CAGR to 2008
The voice/data recording, monitoring and logging market is one of the fastest growing markets today. End-user revenue is projected to grow to almost $3 billion by 2008, with a CAGR of 13.4% for the time period 2003 through 2008.
COMMfusion & Tern Systems

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31% of operators plan to implement Voice/Call Logging.

31% of respondants to a recent TRG poll indicated that were planning to implement Voice/Call Loggin technology. This contracted wit 38% who were employing this technology today and 31% who have no plans to implement voice/call logging.
TRG- June, 2004

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By 2008 there will be 260 million IP telephony lines worldwide nearly 14 times the current installed base.

The latest study by The Radicati Group, “Corporate VoIP Market, 2004 – 2008″ provides market size, four-year forecasts, IB breakdowns by business size, region, IP technology type, and competitive information for the corporate IP telephony market, including IP telephony clients.

Revenue in the corporate IP telephony market will total nearly $1.0 billion in 2004. Over the next four years, this revenue will increase significantly, reaching $5.5 billion in 2008. Although overall VoIP revenue will continue to rise annually, the price per user of IP telephony will decline as the technology proliferates.

Uptake for IP telephony will be greatest in large corporations. Most of these companies will deploy Hybrid PBX systems, which include both IP and traditional TDM technology. Pure IP-PBX deployments will take place primarily in small corporations and greenfield environments.
The Radicati Group

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VoIP predicted at over 12% of all telephony by 2009.

Findings from UK industry analysts, Juniper Research found that the VoIP market will contribute $32bn, out of a market worth $260bn, by 2009 (some 12% of total telephony revenues). Ian Cox, Broadband Specialist, said “VoIP brings new revenue generating opportunities to the telephony market, by combining voice services with other IP applications. This will redefine the telephone bringing brand new services, with telephony at its core”. The challenge to service providers will be to carefully manage this convergence, balancing new VoIP revenues against declines in traditional fixed line revenues. Flat-rate IP-based voice tariffs will gradually replace time and distance related tariffs.

Originally Published in Asia Pacific Contact Centre News
Juniper Research, May 2004

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US Banks will spend $1.9 Billion on Call Center technology in 2004
Contact Center technology spending by US Banks will reach $1.9 Billion in 2004. Staff and Contact Center personnel spending will reach $7.4 Billion.
Tower Group, May 2004

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Spending on the technology is forecast by Frost & Sullivan to grow to $143.7 million by 2010, representing growth of about 7.4%, according to the Australian Financial Review. Spending on interactive CRM rose 3.3% to $87.1 million in 2003 and is likely to grow more strongly in the next few years as call centres replace existing systems, the report concludes.

Senior industry analyst Foad Fadaghi said many companies had focused on integrating their call centres with their core CRM. “Last year was all about getting the most out of what you already had,” he said. “Part of that was integrating the systems across the enterprise.”

Some of the new spending is going into call monitoring systems, which enable call centres to record and check their calls, and workforce management software to monitor the performance of operators. Fadaghi said speech recognition software was another area of activity as companies learnt from the mistakes made with early systems that did not respond well to everyday speech. “We think a lot of the call centres that were hesitant in the early stages are going to have to look at interactive voice response to get greater efficiency,” he said, citing anecdotal evidence that speech systems could cut the cost of each call centre transaction by 20% to 40%. “We think speech is going to be quite big this year.”

Originally published in callcentres.net
Australian Technology Spending in Call Centre to rise to $143 million by 2010- Frost & Sullivan

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The number of call centres across Europe and other parts of the world is set to grow
New Call Centres to create 600,000 jobs- Datamonitor-

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Workforce Optimization technology spending will grow globally from $695 million in 2003 to $1.2 billion by 2008.

The two fastest growing segments will be agent analytics and elearning which are respectively forecast to grow at 26% and 19% annually.

Quality Monitoring will continue as the largest single segment and is forecast to reach $414 million by the end of 2004.
Datamonitor- March 2004

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(The) Insurance BPO market will grow at twice the rate domestically/near shore than offshore through 2006.
Gartner- Feb 2004

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IDC predicts that Asia Pacific (excluding Japan) Internet users will increase to more than 240 million in 2005, from 64 million in 2000.
IDC, 5-6-2001

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The market for e-learning in the U.S. call center industry is expected to grow at a compound annual growth rate of 110% over the next four years, according to a report by Saddletree Research. (Cited in Call Center Management Review, May 2002, www.ccmreview.com)
Saddletree Research, 5-1-2002

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Datamonitor estimates that the 2.5 million agent positions in the United States today will increase more than 14% by 2005. (Cited in Call Center Management Review, May 2002, www.ccmreview.com)
Datamonitor, 5-1-2002

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Frost & Sullivan projects that Internet Protocol (IP) industry revenues will grow to $841 million by 2008, from $32 million in 2001.
Asia Pacific Call Centre News, 4-24-2002

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Revenue in the call center industry in India is projected to grow 70% in 2002, according to Nasscom, India’s National Association of Software and Services Companies.
Asia Pacific Call Centre News, 4-18-2002

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IDC estimates revenue in the contact center training industry will grow from $415 million in 2001 to nearly $1 billion in 2006.
ICCM Weekly, 4-3-2002

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Frost & Sullivan project at least 75% of global voice services will use VoIP by 2007. (Cited in Call Center Management Review, March 2002, www.ccmreview.com)
Frost & Sullivan, 3-1-2002

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Jupiter Media Metrix projects the number of customer service contacts via the Internet will reach 4.7 billion in 2006, up from 870 million in 2001. As a percentage of all customer contacts, online inquiries were 2% in 2001 and would be almost 10% in 2006.
Asia Pacific Call Centre News, 2-27-2002

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Datamonitor projects that global spending on voice technologies will grow at a compound annual growth rate of 43% between 2000 and 2006. (Cited in Call Center Management Review, December 2001, www.ccmreview.com)
Datamonitor, 12-1-2001

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IP phone calls will reach 6% of global phone-to-phone traffic in 2001, up from 3.8% in 2000, according to a TeleGeography study
Asia Pacific Call Centre News, 11-9-2001

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Frost & Sullivan projects Asia-Pacific call center industry revenues will increase from $655 million in 2000 to $1.5 billion in 2007.
Asia Pacific Call Centre News, 11-5-2001

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IDC predicts that by 2005 Web chat technology will be used by 90% of customer support operations. (Cited in Call Center Management Review, October 2001, www.ccmreview.com)
IDC, 10-1-2001

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By 2005, there will be 1.2 billion email mailboxes, up from 505 million worldwide in 2000, predicts International Data Corporation (IDC). The total number of email messages will exceed 36 billion in 2005.
IDC, cited by eMarketer, 9-17-2001

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The global cost of implementing personalization technology will reach $2.1 billion in 2006.
Datamonitor, 9-7-2001

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Datamonitor estimates the number of call centers in the United States will be around 78,000 in 2003. (Cited in Call Center Management Review, September 2001, www.ccmreview.com)
Datamonitor, 9-1-2001

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An Ovum study predicts the number of people using their personal computer to place calls over the internet will be greater than 10 million in 2001, and then will roughly double in each of the following years, rising to more than 20 million in 2002 and reaching 40 million in 2003.
Ovum, 2-7-2001

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Online customer service transactions will number 67 million in 2005, compared to 33 million in 2001, predicts Jupiter Media Metrix. (Cited in Call Center Management Review, August 2001, www.ccmreview.com)
Jupiter Media Metrix, 6-26-2001

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According to Ovum, the rate of call center growth in Central and Eastern Europe, along with South and Central America (including the Carribean), will accelerate so rapidly that each of these regions’ share of global call center capacity will increase from 2% of worldwide call center seats in 2001 to 7% in 2006 (a combined increase to 14% from 4%). Much of the increased capacity will come from new call centers that will be designed as multichannel contact centers.
Ovum, 6-14-2001

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Ovum predicts that call center capacity worldwide will nearly double within five years, growing from 7.3 million seats in 2001 to over 13 million early in 2006. Seats in multichannel contact centers will also increase as a percentage of total call center seats, from 18% in 2001 to 51% in 2006, representing growth from 1.3 million multichannel contact center seats to 6.8 million.
Ovum, 6-14-2001

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A United Kingdom government report predicts more than 50% of the U.K. will have broadband access by 2003.
eMarketer, 5-7-2001

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IDC predicts that by 2005 Americans will spend $700 billion online and 30% of all Internet users will be native English speakers.
IDC, 4-25-2001

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Forrester Research estimates that large corporations will each spend about $75 million on CRM over the next three years, although some may spend as little as $60 million while others pay as much as $130 million.
Forrester Research, 4-24-2001

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Jupiter Media Metrix predicts the number of broadband Internet users in Europe will rise from 3.5 million now to 10 million by 2003.
Jupiter Media Metrix, 4-10-2001

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Gartner Group revised its widely quoted projection that by 2004 $7.3 trillion a year in global transactions would take place over the Internet. The new estimate is $6 trillion, a $1.3 trillion decrease. The global economic slowdown was cited as one of the reasons for the revision.
New York Times, 3-26-2001

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Ernst & Young estimates that the online channel will represent 10% – 12% of sales by 2005 in such categories as apparel, accessories, health and beauty, and toys.
Ernst & Young, 2-15-2001

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Dataquest, Inc. projects that voice-over-packet (VoIP) services will reach $87 billion by 2004.
GartnerGroup, 2-6-2001

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Workforce management software was used in less than 12% of U.S. call centers at the end of 2000, according to a report published by Saddletree Research, but the market is expected to grow to $1.2 billion at a 74% compound annual growth rate through the year 2004.
SaddleTree Research, 2-5-2001

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According to TeleManagement Search (TMS), there are 7 million call center agents in the U.S., and the annual growth rate is expected to be 20%. The number of call centers is estimated to be 69,500 and will grow to 78,000 in 2003. (Cited in Call Center Management Review, February 2001, www.ccmreview.com)
TeleManagement Search, 2-1-2001

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The global call center market will have a value greater than $56 billion by 2003, according to a study by International Data Corporation.
Peppers and Rogers Group, 1-15-2001

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According to an Ovum study, by early 2006, 23% of internet users, or 166 million people around the world, will be using IP telephony to regularly make phone calls from their PC, up from 5%, or 11.3 million users, at the start of 2001. These calls will produce 251 billion minutes of IP telephony traffic in 2005, up from 3.4 billion minutes in 2000. Annual revenues for these services will be $6.2 billion by 2005.
Ovum, 1-3-2001

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Dataquest, Inc. reports that the average amount companies spend on CRM initiatives is greater than $1 million, and will be twice as high by the end of 2001. Dataquest estimates the global market for CRM grew 28% in 2000, to $19.9 billion.
GartnerGroup, 12-20-2000

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Dataquest, Inc. reports that the average amount companies spend on CRM initiatives is greater than $1 million, and will be twice as high by the end of 2001. Dataquest estimates the global market for CRM grew 28% in 2000, to $19.9 billion
GartnerGroup, 12-20-2000

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According to supportindustry .com and Help Desk 2000, the average cost per call for 75% of the support organizations they surveyed is $25 or less. The analysts expect this cost to fall to $18 per call within three years as a result of e-support technologies. (Cited in Call Center Management Review, November 2000, www.ccmreview.com)
supportindustry.com, 11-1-2000

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Ovum estimates the web shopping market will grow to $10.39 billion by 2005, representing a huge opportunity for companies who have implemented e-CRM solutions, which personalize self-service electronic channels for the needs of their customers.
Ovum, 9-28-2000

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A study by Deloitte Research reveals that by 2002 nearly 34% of U.S. citizens will use the Internet as the primary access point to government services — a 191% increase from the current level of 12%. (Cited in Call Center Management Review, July 2000, www.ccmreview.com)
Deloitte Research, 7-1-2000

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A Gartner Group study projects that North American spending over the internet will reach 5 – 7% of all retail spending by 2004, up from less than 1% in 1999. According to Gartner, 1999 internet retail spending in North America was $16.8 billion, which was 157% higher than in 1998. 2000 spending is projected to exceed $29.3 billion. The largest segment of this market will continue to be computer hardware, software, and consumer electronics, which totaled $7.5 billion in 1999 and could grow to $59.7 billion by 2004. Growth in banking and financial services totaled $3.6 billion in 1999, and should reach $12.3 billion by 2004.
GartnerGroup, 6-27-2000

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IDC estimates that softswitches, which control the flow of voice and data traffic by managing both internet protocol (IP) and public switched telephone network (PSTN) on a telecommunications network, will grow to $5.7 billion by 2004.
IDC, 6-14-2000

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Dataquest, Inc. estimates that the number of “telewebber” (people who watch TV and surf the web at the same time) households in the U.S. grew from 27 million in 1999 to 44 million in 2000, and will grow to 52 million early in 2001. In 1999, 44% of these telewebbers used the internet to find information occasionally about a product they saw on television, and 20% placed orders online. In 2000, those percentages increased to 60% who sought information and 32% who placed orders. 12.5% of telewebbers have broadband access to the internet, compared to 6% of the U.S. adult population as a whole. By the middle of 2001, Dataquest projects 18% of telewebbers will have broadband access, while the percentage for the U.S. overall will only have grown to 8%.
GartnerGroup, 6-8-2000

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IDC estimates people will spend more than 3 trillion minutes per year talking on the web (using live voice communication applications) by 2004.
IDC, 4-24-2000

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Based on a survey of contact center managers, Datamonitor, Inc. says it is possible that e-mail received by contact centers may increase as much as 1000% by 2003 from 1999 levels. Datamonitor found that a more probable estimate is for 720% growth, with the percentage of customers using e-mail to contact companies rising to 18% in 2003 from 5% in 1999. Postal letters are expected to decrease as a proportion of customer contacts by 50%. Phone contact will still be the preferred method, at 72% of all contacts in 2003, down from 84% in 1999. Only 2% of contacts are expected to come from “call-me” buttons on web sites by 2003. Overall contacts are expected to increase to such a degree that double the current number of agents will be required by 2003.
Datamonitor, Inc., 4-6-2000

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By 2004, North America’s share of voice-over-packet (VoIP) revenues will be less than 40%, down from 65% in 2000.
GartnerGroup, 3-6-2000

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According to a Datamonitor study, spending on call center outsourcing in Europe was $7 billion in 1999 and will be approximately $15.1 billion in 2003.
Datamonitor, 12-6-1999

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According to a Datamonitor study, 64% of small European call centers will have CTI by 2001. Spending by all European call centers on CTI was over $500 million in 1999, and will increase to $1.2 billion by 2002.
Datamonitor, 11-29-1999