Translation Tool
Business case of automatic translation tool implementation.
Context
A mid-sized e-commerce company expands geographically (DACH, France, Spain), which requires localized customer support. However, growing the support team per language with native-speakers is unscalable and cost-inefficient. The company considered automatic translations of customer interactions as a solution.
Pain points
- Language-specific support positions are up to 70% more expensive than EN only
- Splitting support per language increases staffing requirements and challenges service levels.
Success metrics
- Agents’ average salary rate: maintain flat across all languages;
- CSAT: maintain 95% of target for translated interactions;
- Average handle time: maintain 98% of target for translated interactions;
Solution
Overview
CRM-integrated LLM-based translation engine, automatically translating two-way interactions with customers (emails) from EN to any language.
Scope
- Email and webform submissions
- All customer support inquiries
- Languages: Spanish, French, German
Features
- Zendesk integration, providing a completely native experience for both agent and customer.
- API to Azure AI translator engine.
- Custom glossary for specific terminology.
- Keep record of original and translated communication.
Workflow
Implementation roadmap
Timeline: 16 weeks
Phase 1 - Foundation (week 1-3):
- Creating custom glossary per language (EN, FR, DE, ES)
Phase 2 - Build (week 4-8):
- API development
- Zendesk setup
- Azure services setup
- Reporting
- Testing
Phase 3 - Pilot (week 9-11):
- Launch for DE translations only
- Daily monitor over the translated interactions and escalations
- Additional agents QA to control translation accuracy
- Launch dev. command center for operative reaction on issues.
Phase 4 - Scale (week 12-16):
- Deployment and testing for FR (2 weeks)
- Deployment and testing for ES (2 weeks)
Phase 5 - Optimize (ongoing):
- CSAT review for the translated interactions
- AHT review for the translated interactions
- Glossary maintenance SOP
- Technical support documentation
Financials
Cost saving
Total annual cost saving:
€ 134,160 (22%)
Annual budget with native-support team
| Position | Language | FTE | Hourly rate | Monthly hours | Monthly budget | Annual budget |
|---|---|---|---|---|---|---|
| Agent | English | 2.5 | € 15.00 | 430 | € 6,450 | € 77,400 |
| Agent | German | 3 | € 25.00 | 516 | € 12,900 | € 154,800 |
| Agent | French | 3.5 | € 19.00 | 602 | € 11,438 | € 137,256 |
| Agent | Spanish | 2 | € 16.50 | 344 | € 5,676 | € 68,112 |
| Sr. Agent | English | 2 | € 18.00 | 344 | € 6,192 | € 74,304 |
| Team Lead | English | 1 | € 23.00 | 172 | € 4,472 | € 53,664 |
| Subtotal staff | € 47,128 | € 565,536 | ||||
| Overheads | € 4,713 | € 56,554 | ||||
| Grand total | € 51,841 | € 622,090 |
Annual budget with translation tool
| Position | Language | FTE | Hourly rate | Monthly hours | Monthly budget | Annual budget |
|---|---|---|---|---|---|---|
| Agent | English | 10 | € 15.00 | 1720 | € 25,800 | € 309,600 |
| Sr. Agent | English | 2 | € 18.00 | 344 | € 6,192 | € 74,304 |
| Team Lead | English | 1 | € 23.00 | 172 | € 4,472 | € 53,664 |
| Subtotal staff | € 47,128 | € 565,536 | ||||
| Overheads | € 4,713 | € 56,554 | ||||
| Grand total | € 40,661 | € 487,930 |
Investment
Total investment:
Implementation costs (one-time): € 23,631
Annual ongoing costs: € 14,400
Implementation costs (one-time)
| Category | Hours | Hourly rate | Cost |
|---|---|---|---|
| APIs development | 220 | € 60.00 | € 13,200 |
| Zendesk setup | 50 | € 50.00 | € 2,500 |
| Azure setup | 25 | € 50.00 | € 1,250 |
| Custom glossary | 68 | € 42.00 | € 2,856 |
| Analytical reporting | 30 | € 45.00 | € 1,350 |
| Project management | 45 | € 55.00 | € 2,475 |
| Total | € 23,631 |
Ongoing costs (annual)
| Category | Annual cost |
|---|---|
| Azure translation service | € 4,500 |
| Cloud infrastructure | € 800 |
| Support & maintenance | € 8,000 |
| Glossary maintenance | € 1,100 |
| Total | € 14,400 |
Business impact
Financial Summary
┌────────────────────────────────────────────────────────────┐ │ Implementation Cost (Year 0): €23,631 │ │ Annual Ongoing Cost: €14,400 │ │ Current Annual Service Budget: €622,090 │ │ │ │ Annual Cost Savings: €134,160 (22%) │ │ │ │ │ │ Year 1 ROI: 315% │ │ Payback Period: 72 days │ │ 3-Year NPV: €443,528 │ └────────────────────────────────────────────────────────────┘
Operational benefits
- Flexible planning and coverage: all agents universally have a single language skill that helps with coverage;
- Go-to-market strategy is significantly simplified in the customer support part: any language can be added within 1-2 weeks (glossary customization).