The worldwide market for customer service outsourcing is set to grow from $8.4 billion in 2004 to $12.2 billion in 2007, but the offshore component will remain small, according to Gartner Inc. In addition, Gartner found that: *Through 2007, 80% of organizations that outsource customer service and support contact centers with the primary goal of reducing cost will fail. *Up to 2008, 60% of organizations that outsource parts of the customer-facing process will encounter customer defections and hidden costs that outweigh any potential savings they derive from outsourcing. Originally published in Direct Newsline * Despite the hype surrounding offshore call centers, offshore customer service outsourcing only represents a tiny fraction of the market - less than 2% in 2005, increasing to less than 5% in 2007.