Study: outsourcing can lead to plummeting customer loyalty [arstechnica.com]
Ostensibly, the potential payoff is that saved costs will be passed on to consumers, which will allow them to perceive the company as providing better value. The reality is that there was no correlation between outsourcing and perceived value; the authors suggest the companies are simply using the savings to increase their profits instead. As a result, from the consumer's perspective, outsourcing is a complete negative.