What is IVR (Interactive Voice Response)? 

Modern technologies support the automation of customer service processes across various sectors, enhancing service quality and increasing business profitability. A prime example of such a tool is the IVR (Interactive Voice Response) system, which effectively aids the functioning of customer service departments. In this article, you will find the most important information about IVR. Learn what this system is, how it works, and the business benefits you can achieve with IVR. 

IVR (Interactive Voice Response) – What is it? 

In short, the IVR system is one of the components of an advanced virtual telephone exchange. The acronym IVR stands for Interactive Voice Response, which essentially describes the solution. It functions as an automated call center, enabling self-service for customers making phone calls. The IVR menu is an interactive platform that largely replaces the role of a receptionist or consultant, whose task would be to qualify the caller and direct them to a specific department within the company. Instead, IVR is used. The system guides the caller through a helpline using pre-recorded voice prompts, shortening wait times and relieving consultants, who can focus entirely on solving customer issues. 

How does the IVR system work? 

It’s worth taking a closer look at how the IVR feature works. A few years ago, this system allowed for basic operations, but it has evolved significantly over the years. Today, it is an advanced technological solution. One component of the system is called tone dialing. This feature allows the caller to be directed by voice prompts to select phone keys corresponding to specific actions. This system works through the implementation of DTMF (Dual-Tone Multi-Frequency) or tone dialing. In practice, each key is assigned a different tone. When the customer presses a key, the system identifies the selected action by verifying the received tone of the key. The designated action is then performed automatically (e.g., moving to the next menu, transferring to the appropriate department, receiving product or service information, assigning a rating after a conversation, etc.). 

The IVR system also utilizes TTS (Text to Speech) technology. This means that the company creates text, which is then converted into a recording that callers hear when they contact the helpline. This allows informing callers about new promotions, product launches, or rights and obligations related to GDPR. The IVR voice prompts system can serve many functions depending on the specific needs of the company. 

The third key technology implemented in IVR is ASR (Automatic Speech Recognition). This advanced software can recognize speech. Today, this technology can accurately understand various types of messages, including names, dates, numbers, addresses, single words, and even entire sentences. This capability is continually improving, which is another advantage of IVR. Already, callers can receive automatic responses to questions on various matters, including order status, product information, office hours, the current status of complaint processing, etc. 

The Potential of IVR in a Call Center 

Now that you understand how IVR works, it’s worth considering the potential of this service in a contact center. In short, IVR automates the handling of incoming calls. The voice menu guides the caller, replacing the receptionist and initial client qualification. Consequently, the call is immediately transferred to a consultant or department responsible for a particular area of the company’s operations. This relieves consultants, enabling them to handle more inquiries and improve customer service quality. On the other hand, it shortens the wait time for a connection, positively impacting customer satisfaction. In this regard, IVR for call centers works very well. The system can take over many repetitive and simple inquiries, providing tangible benefits. 

This tool is particularly effective in handling contacts with the company outside of helpline hours. If you allow it, customers can choose a preferred contact time on the next business day, saving their time and enabling your company’s consultant to increase contact personalization. This is because the consultant receives a list with times and associated phone numbers. The consultant can then schedule contact with the customer at the designated times. 

Where Else Can IVR Be Used? 

IVR enables many simple tasks, which is why this system is no longer limited to customer service departments. It can be successfully used in sales departments for initial qualification or marketing departments. There, it can handle customer satisfaction surveys related to products or services provided or the company’s service. Additionally, IVR is useful for data verification or patient registration in medical facilities. It can be invaluable support for voice interaction systems like voicebots. The potential application of this tool is vast and primarily depends on the actual needs of the enterprise. 

In Which Sectors is IVR Used? 

Today, IVR is successfully used in many sectors. Telephone banking has been using it for years, where interactive voice menus guide the customer through the process of verifying their data and logging into their account. IVR is also valued as a tool for automated customer service in other industries. It can be effective anywhere that telephone customer service exists on any scale. IVR is used in areas such as: 

• Qualifying customers for further conversation; 
• Providing information about products and services; 
• Directing the caller to the appropriate company department; 
• Informing about office hours; 
• Announcing new promotions; 
• Providing order status updates; 
• Providing complaint status updates; 
• Soft debt collection (informing about outstanding debts and encouraging repayment); 
• Technical support; 
• Reminding about scheduled appointments or meetings; 
• Conducting satisfaction surveys; 
• Market research before introducing a product or service; 
• Verifying caller data. 

This shows that IVR can be effective wherever there is the possibility of telephone contact with the company. This solution significantly supports the call center system. 

Key Benefits of Using IVR in Customer Service 

There are many benefits to implementing IVR in customer service. The key, of course, is the proper implementation of the tool. This involves not only integrating it with the systems used by the company (such as VoIP) but also setting up appropriate voice prompts and the entire communication path based on customer needs. This ensures the highest level of service, appreciated by both current and potential customers. 

Using IVR improves the efficiency of the call center and optimizes the costs of its maintenance. This allows for better management of human resources, directing consultants to key issues. Simpler ones can be handled by the automated system, allowing more inquiries to be processed simultaneously. In sales, this increases the profitability of the business. After implementing IVR, you may also reduce call center staffing, which translates into financial benefits. This aligns with building a modern, tech-savvy company image that also cares about customer satisfaction. 

An additional advantage of IVR is that it provides 24/7 customer service support. It doesn’t have off days and always communicates consistently. Callers outside of customer service hours are informed of this and placed in a queue for contact on the next business day, reducing the number of missed calls and unresolved issues. This positively influences the company’s perception among its clients. 

Does IVR Integrate with Other Systems? 

The IVR tool can be successfully integrated with other systems used in your company. This allows for creating a synchronized system and automating further processes, centralizing data, and ensuring consistency across all channels. Today, IVR can be integrated with CRM, chatbots, voicebots, social media, and email platforms. 

Professional Implementation and Support from EasyCall 

At EasyCall, we offer professional IVR system implementation for companies. Based on a detailed analysis of your needs, we will prepare an individual cooperation proposal for you. Upon acceptance, we will proceed with the tool’s implementation. We assist our clients in preparing the communication path and creating IVR voice prompts. We also offer comprehensive technical support at every stage of cooperation. We aim to ensure that the implemented solution brings tangible benefits to your company from day one. Want to know more? Feel free to contact our representative, who will guide you through the entire process. It’s also worth checking out our case study on implementing the Virtual Central Office with IVR at MarketLab.