The Real-Time Contact Center Newsletter

March 2005

This issue of the newsletter will explore Quality Management (QM), one of the most exciting and rapidly developing markets for contact centers. There are many new and enhanced products available, providing a variety of functionality that will improve productivity, satisfy customers and boost revenue. If you haven't purchased or upgraded a QM solution in the past three years, now is the time to seriously consider doing so.

2005 will be a landmark year for QM and Liability Recording in contact centers, according to DMG Consulting's newest research. We forecast growth in all segments of the greater QM/liability recording market this year, driven by market innovation and compelling product offerings.

The overall QM/liability recording market is expected to grow by 12.5%, from $814 million in 2004 to $916 million in 2005. The fast-growing contact center sector should increase by 14%, from $463 million to $528 million. And this year will see the significant adoption of speech analytics, performance management, surveying, and coaching offerings as traditional QM vendors extend their reach further into the enterprise.

There are many noteworthy developments in the greater quality management market. Speech analytics applications are "hot," driven by the need to increase revenue. Voice over Internet protocol (VoIP) recording is a second area of substantial growth, led by increased sales of Internet protocol (IP)-based PBXs and contact center solutions. DMG Consulting expects 2005 to be a landmark year for VoIP recording, with at least a 100% increase in market penetration. That's because end users are making it clear that they want flexible recording solutions to address their dynamic operating environments. In the eLearning sector, coaching applications are attracting the attention of contact center managers, who want new tools for communicating quickly and effectively with agents. Workforce management (WFM) is another category that will enhance contact center productivity and profitability, when properly implemented and managed.

This year promises to be outstanding for the greater QM market. Current and planned releases, particularly those built upon portal-based frameworks, bring tremendous value to enterprises. Even if you have already invested in QM solutions, you owe it to yourself to take a look at the newer suites, which will yield a rapid ROI, increase customer satisfaction and loyalty, enhance contact center quality, and improve agent and supervisory satisfaction. These applications also have the potential to yield incremental revenue and improve relationships between your contact center and your other corporate departments. All it takes is a clean implementation and willingness to introduce new best practices.

Regards,

Donna Fluss

Principal, DMG Consulting LLC

“The {2005 Quality Management/Liability Recording Product and Market} Report is the best thing I have ever read around the call recording and quality monitoring space. It is extremely comprehensive - not only does it tell you everything you need to know, it tells you important things you hadn’t even considered."

Steve Morell, Principal, ContactBabel

03/09/2005	Innovation Drives Quality Management Market (ICCM Weekly)
03/07/2005	Speech analytics to take off in 2005 (SearchCRM.com)
02/25/2005	QM Is Poised For Growth (DestinationCRM.com)
02/04/2005	How QM Recording Is Changing For the Better (ICCM Weekly)

I manage a call center with 75 agents in the US and I am looking into investing in quality management or surveying applications. Can you please tell me which of these applications is more essential?

- Anonymous

I've been asked this question several times in the past few months, as these applications have increased in popularity. The answer is that you need both quality management and surveying solutions because they do different things. And if your call center sells at all, even if it's only up-sell/cross-sell, you also need a liability recording system.

Quality management systems measure how well agents adhere to the internal policies of your call center. Quality management is essential because it allows your managers/supervisors to make sure that your agents are conveying information accurately and in the manner you want it presented to your customers. Quality management systems have a rapid return on investment of approximately 6 to 9 months, because they also improve agent productivity. When monitoring calls, it's generally very clear where agents need help handling/resolving customer inquiries. An important aspect of any quality management program is the coaching process. If supervisors coach well, agent average talk time generally decreases. Therefore, quality management applications contribute to improvement in call quality and productivity.