Transition to non-voice to boost ITeS players' margins: Crisil SME Tracker

SMEs have been gradually adopting robotic process automation technologies such as chatbots, to transition from pure voice services to non-voice-based ones

Owing to fierce competition from the Philippines market and the pandemic-induced volume contraction, voice-focused players in the customer relationship management (CRM) segment of the IT enabled services (ITeS) sector will likely be at a disadvantage in the current fiscal year (FY21).

Small and medium enterprises (SMEs), accounting for about 70 per cent of ITeS sector revenues and having major exposure to CRM, are expected to be the worst-hit.

Last fiscal, the ITeS sector, including its three key segments of CRM, knowledge and transactions, grossed Rs 2.6 trillion in revenues. Exports accounted for 88 per cent, with CRM accounting for 39