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Sep 18, 2024
X min read

Ramping Up vs. Scaling: Defining Industry Terms for Strategic Success

Ramping Up vs. Scaling: Defining Industry Terms for Strategic Success

Growth can be a great problem to have

As long as you have the right team.

Get started

Ramping Up vs. Scaling: Defining Industry Terms for Strategic Success

Ramping Up vs. Scaling: Defining Industry Terms for Strategic Success

Case Study
September 18, 2024
X min read
Case Study
September 18, 2024
X min read

About

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SupportNinja Services

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Written by

Alex Eigenmann

Alex Eigenmann

Senior Vice President of Global Operations

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The Full Story

Most companies aspire for growth — whether that’s focused on employee headcount, revenue, profit, or locations. Scaling is another core objective, especially for startups. 

But if you asked various business leaders to define scaling, you'd likely receive very different answers — especially where outsourcing is concerned. Scaling tends to be used interchangeably with growing and even ramping up, despite significant differences between the terms

Each strategy requires its own unique approach, so it’s crucial to understand what it means to scale, grow, or ramp up — and how outsourcing can play a crucial role in each.

What is Scaling in Business, Really?

Scaling is often used to refer to both increasing team size and output around seasonal peaks, as well as overall business growth. 

However, at its core, scaling a business is a strategy focused on increasing revenue without proportionally increasing resources spent — for example, automating a manual process or outsourcing customer service to meet growing demands.

Unlike other forms of growth, scaling in business focuses on sustainable, efficient growth over time.

Read more about scaling a business for growth with outsourcing.

What About Other Kinds of Growth?

When businesses talk about scaling, they’re often referring to ramping up for peak season or linear growth.

Peak Season Ramp Up

To prepare for peak seasons (which vary depending on the industry) companies often expand their customer service teams and beyond to manage the influx of sales, customers, and inquiries. A seasonal ramp-up plan can involve hiring new full-time employees or outsourcing to maintain high standards of customer care even when demand grows significantly.

Learn more about preparing for peak season.

Linear Business Growth

Linear business growth involves growth that is closely tied to an increase in resources such as capital, people, or technology. With linear growth, the increase in revenue is tied to a proportional increase in resources. 

While linear growth can be effective, it is not always sustainable in the long term due to the continuous need for additional resources — many businesses hit a growth plateau if they stick to a linear approach.

How Outsourcing Helps with Different Types of Growth and Scaling

Across different types of business growth, strategic outsourcing can help you efficiently manage growth and meet demand without compromising on customer care.

Outsourcing for Seasonal Ramp Ups

Seasonal peaks occur at various times throughout the year across different industries. While retail seasonality largely focuses on times like back to school and the holiday season, that doesn’t apply across the board. Examples of peak seasons for other industries include:

  • SaaS: Around new feature launches
  • Fintech: During tax season
  • Insurance: During enrollment periods
  • Health and wellness: At the beginning of the year

Marketing campaigns can also trigger a peak regardless of seasonality.

To manage these peaks, companies frequently expand their customer service headcount by hiring new full-time employees or through outsourcing.

For example, one of our insurance clients saw increased activity during enrollment periods and partnered with SupportNinja to effectively handle the influx of customer service inquiries.

Outsourcing When Quickly Scaling for Growth

Rapid expansion can be a double-edged sword unless you’re prepared — and while it’s best to take a proactive approach to outsourcing, it can also be a last-minute lifesaver during periods of unexpectedly rapid growth. If you’re working with an experienced, flexible vendor, outsourcing ramp up time can be exceptionally short.

One of our clients in the AI industry discovered this firsthand after experiencing a rapid increase in revenue.  Their in-house team wasn’t prepared to handle the sudden, overwhelming surge in billing inquiries. And as many SaaS companies and startups go, they aim to keep the revenue per FTE ratio high. SupportNinja deployed an outsourced team in just a few days, helping them resolve over 1,000 backlogged inquiries.

Outsourcing When Growing Over Time

Sustainable growth over time is the new norm for many companies, but that doesn’t eliminate the need for support. Growing an outsourced team along with your success can help you manage tickets and inquiries, ensuring your systems can handle increasing demands.

Contrary to popular belief, outsourcing doesn’t always mean adding a large group of people or replacing your in-house teams — it can start with a small supplemental team that grows as your needs change. 

Especially if outsourcing is incorporated into your business plan from the start, you can work with a flexible, value-centric outsourcing partner to create a custom plan for long-term growth (and make adjustments as needed).

You Can Grow Your Own Way

Scaling, growing, and ramping up are all forms of business expansion, each with different strategies and implications. Outsourcing can play a crucial role in managing each of these growth types, providing efficient support for seasonal peaks, quickly addressing rapid expansions, and fostering sustainable long-term growth.

Whether you need to ramp up to survive the holiday season or you’re building a team to grow alongside you over time, SupportNinja can set you up with a team and help you craft a strategy for success. 

Growth can be a great problem to have

As long as you have the right team.

Get started
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