Contact Center Solutions Featured Article

October 30, 2009

DTV Transition Led to Hiring of More Than 4,200 Temp Agents



The digital TV, or DTV transition this year had two, if short-term, beneficial and well-timed economic impacts: it led TeleTech Government Solutions, a TeleTech subsidiary, to hire 4,231 temporary contact center agents, representing 635 full-time equivalents, and in doing so bolstered the parent’s company’s revenues.
 
The TeleTech unit performed the work to support the Federal Communications Commission’s national DTV help line during the second and third quarters 2009. The agents handled more than 1 million calls to support centers in nine states: Alabama, Arizona, California, Colorado, Florida, Kentucky, New York, Pennsylvania and West Virginia. TeleTech Government Solutions provided support to consumers in English, Spanish and 113 additional languages.
 
“TeleTech Government Solutions has accurately and fully complied with all relevant government reporting requirements and worked closely with the FCC (News - Alert) throughout the data submission process,” said Mariano Tan, president of TeleTech Government Solutions, in a statement. “The FCC has also acknowledged the high quality of support provided to the American consumers during the DTV transition period.”
 
In turn the income from this highly visible program helped TeleTech through these rough economic times, which it now sees signs of smoothing out. The firm’s third quarter 2009 financial statement, released Oct.28, revealed that third quarter and nine months 2009 revenue only reached $281.5 million and $887.1 million, respectively, down from $349.1 million and $1.07 billion in the year-ago periods.
 
On the other hand during the third quarter, TeleTech signed an estimated $55 million in new annualized revenue from both new and existing clients. To date in the fourth quarter it has lined up an estimated $80 million in new annualized revenue and expects to close several additional new business opportunities before the end of 2009.
 
TeleTech said the financial statement “believes volumes in its base business are beginning to stabilize across its key industry verticals although volumes continue to be soft in certain of its smaller verticals including automotive, logistics, and travel and leisure.
 
Accordingly, TeleTech expects fourth quarter 2009 revenue will approximate third quarter 2009 revenue. “The revenue lift from seasonal volumes is expected to offset the absence of approximately $8 million in revenue recognized in the third quarter 2009 “related to the completion of the short-term program for the Federal Communications Commission's digital television conversion.”
 
“We are encouraged by the pace of new business wins thus far in the fourth quarter as well as the ongoing business discussions we are having with both current and prospective clients,” said Ken Tuchman, TeleTech chairman and CEO, in a statement. “The marketplace is expressing a high level of interest in our revenue generation capabilities, our on-demand suite of offerings, and our ability to help companies simultaneously reduce global delivery risk and overall cost to serve. The breadth of TeleTech's capabilities uniquely positions us to capture additional market share in 2010 and beyond.”

Brendan B. Read is TMCnet’s Senior Contributing Editor. To read more of Brendan’s articles, please visit his columnist page.

Edited by Amy Tierney


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