An arrangement through which product or service delivery is provided by an external organization.
 
For example, an Internet marketer can outsource merchant account services, e-mail and autoresponders, software development, web hosting, etc.
 
One of the biggest benefits of outsourcing is what’s called economy of scale. This simply means that outsource companies, by design, are more efficient both in terms of productivity and operating cost. They are set up to do things faster, cheaper, better because they are highly specialized organizations. Part of their cost savings and other efficiencies are passed on to you, the customer.
 
Outsourcing is an important staple in the digital economy and companies engaged in it provide a very valuable service to the marketplace. It’s a global business phenomenon that spans thousands of industries both online and off.