The rapid growth of the country’s voice business process outsourcing (BPO) industry in recent years is driving local property developers to create more mixed-use projects to cater to the needs of this growing market, global real estate consultancy firm Jones Lang Lasalle (JLL) said.
After recording a compounded annual revenue growth of 20 percent in the last five years, the country’s BPO industry targets revenue to further grow to $21.3 billion by end-2015 while the number of full-time employees is also seen increasing to 1.18 million at the end of this year from 1.03 million in 2014.
Outstanding traits of the Filipino labor force continue to attract global investors into the country’s voice BPO services. These traits include a good command of the English language, highly trainable skills, and the Filipinos’ distinctive, hospitable nature that is critical for customer care.
JLL said that the premier position of the local voice BPO industry on the global front is also fueling growth of the country’s property sector.
“The growth of the voice BPO and the offshoring and outsourcing (O&O) industry has motivated developers to build modern mixed-use projects, not just in the core Metro Manila area, but in the countryside as well,” JLL said.
JLL noted that more than 1,000 hectares of developed land have been opened up in Metro Manila in the last 10 years.
It said new townships that incorporate investment-grade offices, residential and retail property developments in urban areas outside Metro Manila such as Cebu, Davao, Clark/Pampanga, and the cities of Cagayan de Oro, Dumaguete, Bacolod and Iloilo, have emerged to service the growing demand of BPOs and O&O firms for property products and development.
In addition, JLL said that “As the industry moves on to capture other high-value outsourcing services, particularly non-voice BPO industries such as key back-office services, legal transcription services, healthcare information management, global in-house centers, as well as gaming and animation, the leadership position of the local voice BPO industry is likely to be maintained and will further enhance the growth of the property sector in the Philippines.”