Transaction Based Pricing Charged by the BPOs Proves the Most Popular
Infosys BPO said it was seeing traction with transaction-based pricing model as customers look to convert their capital expenditure to operational expenditure while fighting an economic downturn.
“Customers are increasingly looking at adopting the transaction model as cost-cutting becomes imperative” said Gautam Thakkar, Vice President and Head of F&A, Infosys BPO.
The finance & accounting practice of Infosys BPO, which employs about 5,000 people, contributes about 48% of the company’s earnings from back-office services. For the December quarter, Infosys BPO reported revenue of $67 million and a net income of $10.8 million.
About 18% of Infosys BPO’s earnings are derived from services offered under a transaction-based pricing model and the company expects to see an increase going forward, Thakkar said.
Infosys BPO’s F&A practice got a major boost in 2007 after it acquired Philips BPO’s captive operations for $28 million.
