Not because of the lockdowns or remote work chaos — but because it felt so good at the time.
Remember 2020–2022? Clients were desperate. New business practically walked through the door. Seat counts doubled overnight. Some BPOs saw 50% year-over-year growth without changing a thing about how they operated.
For new entrants, it was like starting a business on easy mode. For established players, it felt like validation that their model was working.
COVID created artificial demand that masked fundamental problems in how most BPOs operate.
Now the party's over.
Demand has leveled off. The market is crowded with more players than ever, all fighting for the same shrinking pie. Automation is deflecting calls. AI is starting to eat volume. And clients are fundamentally changing what they're buying.
They don't just want bodies in seats anymore. They want outcomes. Modernization. Strategic thinking. A partner who can help them rethink how work gets done — not just execute the current process more cheaply.
The Industry Is Demanding Evolution. Most BPOs Are Resisting It.
When we talk to BPO CEOs, most acknowledge that sales are harder today. Prospect conversations sound different than they did five years ago.
When we explain what needs to change — the sales approach, the positioning, the engagement model, the service offerings — they nod along. But then nothing happens.
Because what they really want is: "Get me more leads without me doing any work or making any changes."
Why? Because change feels impossible. Some think it's too expensive. Others genuinely don't know where to start. Many are in outright denial that change is necessary at all — after all, the way most BPOs operate today hasn't fundamentally changed since the 1980s.
But change is necessary. Savvy outsourcers are reading the tea leaves: embedding technology into their offerings, moving away from the per-seat model, and developing bespoke solutions for specific industries or use cases.
So if your value proposition is still "we'll give you a team at 30–50% savings, manage them well enough to mostly hit your scorecard, and replace them twice a year when they inevitably turn over," no salesperson or marketer, however skilled, is going to be able to drive more leads for you long-term.
That's the equivalent of trying to sell landline phone service to American households today. Sure, there may still be a small market there — but it's shrinking every year.
See What COVID Was Actually Masking
Artificial demand doesn't fix a broken commercial motion — it just delays finding out. The Commercial Gap Check is a free ten-question self-assessment across the four areas COVID-era growth let BPOs stop examining: go-to-market narrative, sales process, business strategy, and account management. Results shown immediately, no email required.
The BPOs that thrived during COVID were fortunate to be in the right place at the right time. The ones that will thrive over the next decade will be the ones willing to fundamentally rethink what they're selling, and who they're selling it to.
The question is: are you ready to do the work?
FAQ: Telling Real Growth From Artificial Demand
How do we tell if our current growth is real or still the COVID-era kind?
Ask where it's coming from. If new business is walking in through inbound demand and referrals without any change to your positioning or offering, that's the same artificial-demand pattern, just with a different trigger. Real growth shows up because you changed something clients actually value.
We're not trying to sell the business — does any of this still apply to us?
Yes. This isn't a valuation article, it's an operating one. Clients buying outcomes instead of seats, AI eating call volume, competitors moving to bundled offerings — none of that depends on whether you have an exit planned. It changes what you're selling regardless.
Where do we start if we've been in denial that anything needs to change?
Start with one conversation, not a transformation plan: ask your five best clients what they actually want from you in the next two years. Most BPO leaders already know the answer isn't "the same thing, cheaper" — they just haven't asked the question out loud yet.
Related reading
For the fuller case on building an actual technology point of view instead of a vendor-logo wrapper, see the AI & technology pillar.
Amanda Quinn
Founder of Evostr. She works with mid-sized BPO operators on the shift from selling hours to selling outcomes.