Everest Group PEAK Matrix® Assessment 2024: CXM Services in the Americas - Focus on TELUS Digital
September 2024
Background and Scope of Research
The Customer Experience Management (CXM) market in the Americas has seen moderate growth, driven by strong economic conditions and increased digital transformation initiatives. Service providers are expanding their investments and offering a wide array of digital CX solutions, including automation, analytics, conversational AI, chatbots, self-service, omnichannel delivery, and cloud-based contact center solutions. Many providers have established Centers of Excellence (CoEs) to support the development and implementation of digital CX tools, including generative AI (GenAI) solutions.
CXM Services in the Americas PEAK Matrix® Assessment 2024
This report presents an assessment and detailed profiles of 43 CXM service providers. Each profile offers a comprehensive view of service focus, intellectual property (IP), solutions, domain investments, and case studies. The assessment is based on Everest Group's annual RFI process, client reference checks, and ongoing market analysis.
Provider Categories:
- Leaders: Alorica, Concentrix, Foundever®, Teleperformance, TELUS Digital, and TTEC. These providers exhibit strong language capabilities (English, Spanish, Portuguese, French Canadian) and extensive delivery networks. They are quick to adopt GenAI and have formed partnerships with technology providers.
- Major Contenders: Arise, Atento, CCI, Cognizant, Conduent, Datamatics, eClerx, Etech, EXL, Firstsource, Genpact, GlowTouch, HCLTech, HGS, ibex, IGT Solutions, Infosys, Intelcia, IntouchCX, Konecta, Probe CX, Qualfon, ResultsCX, Startek®, Sutherland, TaskUs, TCS, Tech Mahindra, Transcom, and VXI. They are proficient in multiple languages and serve clients across the Americas with a diverse shoring mix. They leverage proprietary tools and extensive partnerships.
- Aspirants: Auxis, Centro, Conectys, Ignition CX, MerchantsCX, Pentafon, and Welsend. These providers focus on specific regions or verticals, have smaller operations, and are developing GenAI solutions. They are recognized for scalability, domain expertise, and responsiveness.
Scope of this report:
- Geography: Americas
- Industry: All
- Services: Customer Experience Management (CXM)
Everest Group PEAK Matrix® Visualization
The Everest Group PEAK Matrix® is a proprietary framework for assessing market impact and vision and capability. Providers are plotted on a two-dimensional matrix:
- X-axis: Vision and Capability (Measures ability to deliver services successfully)
- Y-axis: Market Impact (Measures impact created in the market)
Providers are categorized into three quadrants:
- Aspirants: Located in the lower-left quadrant (low market impact, low vision & capability).
- Major Contenders: Occupy the middle ground, showing moderate to strong performance across both axes.
- Leaders: Positioned in the upper-right quadrant (high market impact, high vision & capability).
In the 2024 Americas assessment, TELUS Digital is positioned as a Leader.
TELUS Digital Profile
Overview
Company Profile: TELUS Digital is an AI-fueled CX partner that designs, builds, and delivers next-generation digital solutions, including Artificial Intelligence (AI) and content moderation, for global and disruptive brands. Its goal is to implement specialized solutions as well as solutions that assist in the digital CX journey.
Headquarters: Vancouver, Canada
Website: www.telusdigital.com/rebrand
Key Leaders
- Jeff Puritt, President and Chief Executive Officer
- Gopi Chande, Chief Financial Officer
- Jose-Luis Garcia, Chief Operating Officer
- Michael Ringman, Chief Information Officer
- Tobias Dengel, President, WillowTree, a TELUS Digital Company
- Michel Belec, Chief Legal Officer
- Monty Hamilton, Chief Product and Marketing Officer
Recent Deals and Announcements (excluding ESG initiatives)
- 2024: Announced the beta release of Fuel iX, an enterprise-grade AI engine for generative AI pilots.
- 2024: Established partnership with Local Measure for an omnichannel cloud contact center solution.
- 2024: Launched Fine-Tune Studio, a multi-modal and multilingual task-execution platform for GenAI models.
- 2023: Launched Experts Engine, an on-demand sourcing capability for GenAI model builders.
- 2023: Partnered with Five9 for an AI-fueled CCaaS solution.
- 2023: Expanded global operations to Africa (South Africa and Morocco).
- 2022: Acquired WillowTree, a digital product provider.
- 2021: Acquired Playment, specializing in data annotation and computer vision.
- 2020: Acquired Lionbridge AI, a provider of crowd-based training data and annotation solutions.
- 2020: Acquired Competence Call Center (CCC), enhancing European presence and content moderation capabilities.
Key Metrics
Americas CXM Revenue (in US$ million)
- 2022: 1,243
- 2023: 1,364
Scale of Americas CXM (number of agents)
- 2022: 44,791
- 2023: 48,856
CXM Client Base (number of clients)
- 2022: 420
- 2023: 438
Capabilities
Americas CXM Revenue Mix
| By Geography | Percentage | By Industry | Percentage | By Process | Percentage | By Channel | Percentage |
|---|---|---|---|---|---|---|---|
| United States | 50% | Telecom and media | 58% | Customer service | 47% | Voice | NA |
| Canada | 49% | BFSI | 12% | Value-added services¹ | 18% | Chat | NA |
| Mexico | 1% | Travel and hospitality | 10% | Technical support | 11% | Social media | NA |
| Technology | 7% | Inbound sales | 6% | NA | |||
| Energy and utilities | 5% | Payment collection | 5% | Video | NA | ||
| Retail and CPG | 3% | Order fulfillment and transaction processing | 4% | Others | NA | ||
| Healthcare | 2% | Outbound sales | 4% | ||||
| Manufacturing | 1% | Others² | 5% | ||||
| Others | 1% |
Split of Americas CXM FTEs
| By Location³ | Number of FTEs | By Percentage of FTEs supporting a specific language | Percentage |
|---|---|---|---|
| Medium cost | 54% | English | 81% |
| Low cost | 42% | Spanish | 12% |
| High cost | 4% | French | 5% |
| Others | 2% |
¹ Includes channel management, customer analytics, customer retention management, and performance management and reporting
² Includes CX consulting, Customer Journey Mapping (CJM), etc.
³ High-cost regions include the UK, the US, and Western Europe; medium cost regions include Eastern Europe, Middle East and Africa, and Latin America; and low-cost locations include India, the Philippines, and Rest of Asia
Key CXM Investments and Partnerships
Strategic CX Investments
Advanced analytics: Adobe, Braze, Google Cloud, Microsoft, Sisense, Verint
RPA/Automation: Appian, Aura, Automation Anywhere, Microsoft, NetBrain, SS&C Blue Prism
Conversational AI: Azure Synapse Analytics, Google Cloud, Microsoft, TechSee
Gen AI: Anthropic, AWS, Google, Meta, Microsoft, Mistral AI, OpenAI, Salesforce, ServiceNow, Workday
Omnichannel / Agent Assist: Adobe, Automation Anywhere, Salesforce, Local Measure, TechSee, Upstreamworks
CCaaS/Cloud: AWS, Avaya, Cisco, Five9, Google Cloud, IBM, IIIO, Microsoft, Salesforce, ServiceNow, VMware
Others: Adobe, Cohesity, CyberArk, Dell Technologies, Fortinet, NetApp, SAP, Workvivo
Key Proprietary Solutions
| Product | Details |
|---|---|
| Fine Tuning Studios (FTS) | A multi-modal and multilingual task-execution platform that generates high-quality fine-tuning datasets for LLMs and GenAI models across over 100 languages. |
| Intelligent Virtual Assistant (iTIA) | Powered by generative AI, provides personalized and engaging experiences across platforms and channels. |
| Knowledge Base Automation | Generative knowledge base automation platform enabling rapid, personalized, and context-sensitive searches and recommendations. |
| Language Translation | Translation platform with pre- and post-processing for customized translation, integrating with chatbots, knowledge aids, grammar, and writing assistance using GenAI. |
| Experts Engine | Fully-managed, tech-enabled experts-on-demand sourcing solution for GenAI model builders, matching human expertise to GenAI tasks for high-quality training datasets. |
| Intelligent Insights | Intuitive RPA and chatbot management platform monitoring bot performance, reporting cost savings, and controlling bot lifecycle. |
| GenAI Jumpstart Accelerator Program | Eight-week engagement program to unlock GenAI potential, identify use cases, build risk mitigation tools, and deliver a bespoke prototype. |
| TELUS SPACE | Platform offering a distinctive onboarding experience via a gamified map-based environment for exploration of items, resources, and tools. |
| SAFE solution | Authentication and environment detection platform ensuring remote workspace security, detecting prohibited machine use and initiating alarms. |
| GT Studio | AI training platform for constructing quality AI training datasets, handling all data formats across 500+ languages and dialects. |
| Data Ingestion Platform (DIP) | Real-time data ingestion platform for streaming data into big data systems. |
| Visual IVR solution | Provides graphically guided menus for users to self-serve and interact directly with the system. |
| Fuel iX | Corporate AI platform offering flexibility, control, and productivity by combining generative AI technologies across cloud and model providers. Includes Fuel iX Core (integration, administration) and Fuel iX Apps (GenAI application templates, third-party support). |
Client Portfolio and ESG Initiatives
Key CXM Clients
- A US-based company operating an online marketplace for short- and long-term homestays and experiences
- A US-based video game and software developer and publisher
- A US-based multinational corporation and technology company
- A US-based video game developer and publisher
- A Canadian mobile flanker brand started by TELUS
Environmental Initiatives
TELUS Digital is working towards carbon neutral operations by 2030, with an approved SBTI target of 46% reduction in absolute Scope 1 and 2 emissions by 2030 and 100% renewable electricity by 2025. The company is committed to promoting a sustainable planet through various environmental efforts, including funding programs globally, prioritizing team members' education on environmental matters, reducing its carbon footprint, and supporting clients in achieving their carbon neutral commitments. Its new building in Morocco has obtained three green certifications, and sites in Noida, India, have received the India green building council platinum certification.
Social Initiatives
The global team volunteered 93,815 hours in 2023, contributing to building houses and schools, installing eco stoves, and educating/mentoring young people, with a focus on women. TELUS Digital donated over US$1.6 million in local grants and in-kind contributions. The company hired 7,178 team members through impact sourcing programs in 2023 and collaborated with organizations like Yayasan International Cahaya Fajar (YICF) and SETU. It also runs the TELUS Wise program to help keep children safe online.
Governance Initiatives
TELUS Digital strives to uphold high standards of ethics and integrity in all transactions. Its board of directors is composed of qualified professionals dedicated to creating a diverse and inclusive atmosphere, emphasizing integrity and an ethical culture. The company is committed to ensuring privacy and security through investments in systems and robust training. It provides customers with annual carbon, water, and waste reports to aid their sustainability reporting and also produces an annual sustainability and ESG report to increase transparency.
Location Landscape
The following locations have delivery centers (number of centers in parentheses):
- Canada (1)
- United States (1)
- Guatemala (5)
- El Salvador (4)
- Germany (4)
- Switzerland (1)
- Latvia (2)
- Ireland (2)
- Poland (2)
- France (1)
- Austria (1)
- Romania (3)
- Bulgaria (3)
- Turkey (2)
- Bosnia and Herzegovina (2)
- India (2)
- China (1)
- Philippines (9)
Everest Group Assessment – Leader
Strengths
TELUS Digital is a global CXM services provider with over 48,000 agents, primarily serving clients in the US and Canada across verticals including telecom, media, BFSI, travel, hospitality, and technology. It offers a comprehensive range of solutions across the customer lifecycle, including marketing, sales, technical support, and customer support, with English, Spanish, and Canadian French language capabilities. The company has a diverse portfolio and expertise in serving companies of all sizes. It has developed Fuel iX and Fuel CX solutions. The acquisition of WillowTree enhanced its front-end design and build capabilities. The GenAI Jumpstart Accelerator offers an eight-week program for GenAI adoption. Key partnerships include Google Cloud, AWS, Microsoft, Adobe, Avaya, Five9, Verint, Automation Anywhere, Blue Prism, Salesforce, and Sisense. Buyer-highlighted strengths include culture, strong management team, language skills, policy adoption, rapidity in implementation, availability, ease of doing business, performance management, skilled talent pool, and innovation.
Limitations
TELUS Digital's capability to serve Latin American markets remains largely untested. It faces revenue concentration risk, with two-thirds of revenue coming from its 10 largest clients. Its shoring mix heavily favors nearshore and offshore locations (El Salvador, Guatemala, India), which may limit its ability to serve buyers seeking significant onshore presence. While serving a wide range of industry verticals, it has limited experience in energy/utilities, manufacturing, public sector, and healthcare. Expertise is also limited in certain service areas like order fulfillment, transaction processing, payment collections, and value-added services. Buyers identified timely problem resolution, implementation and transformation management, and proactiveness in communication as areas for improvement.
Appendix
PEAK Matrix® Framework
The PEAK Matrix® is a proprietary framework used for assessing market impact and vision and capability. It evaluates providers based on their market impact (market adoption, portfolio mix, value delivered) and vision and capability (vision and strategy, scope of services offered, innovation and investments, delivery footprint).
FAQs
Does the PEAK Matrix® assessment incorporate any subjective criteria?
No, the assessment is unbiased and fact-based, leveraging RFIs, proprietary databases, market experience, buyer interaction, and vendor briefings.
Is being a Major Contender or Aspirant on the PEAK Matrix, an unfavorable outcome?
No, it signifies being among the best-in-class providers, with many others not making it to the PEAK Matrix at all.
What other aspects of the PEAK Matrix assessment are relevant?
Beyond positioning, the assessment highlights distinctive capabilities and unique attributes, providing detailed metric-level commentary helpful for buyer selection and vendor strength demonstration.
What are the incentives for participation?
Enterprise participants receive summary findings. Providers gain brand visibility and access to a vital RFI process for database currency.
How can providers leverage their PEAK Matrix positioning?
Through press releases, customized profiles for clients/prospects, and branding badges, subject to licensing agreements.
Does the PEAK Matrix evaluation criteria change?
Yes, criteria are realigned as needed to reflect the dynamic nature of the global services market and future enterprise expectations.
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