What is IVR?

Technically, the initials IVR stand for “interactive voice response,” but that’s a bit of a misnomer because an IVR system can also interact with keypad commands that a caller inputs, along with an actual human voice.

We’ve all encountered simple and complex IVR systems when calling companies to ask questions. Even the Internal Revenue Service, one of the largest and busiest government agencies, uses a multi-faceted IVR system to deal with more than 95 percent of incoming queries.

An IVR system can be set up to perform automated dialing and then interact with people who answer their phones. So-called political “robo-calls” are an example of this type of sophisticated IVR usage. The outbound calls go out by the thousands or millions, and when someone picks up, a pre-recorded message is delivered. After that, the listener can either hang up or continue to interact with the system by offering survey responses, opinions, or demographic data.

The essence of IVR is the collection and delivery of information in a totally automated way. The software can pick up or dial, respond to customer questions, give information, or even ask questions. Most consumers know about IVR systems that are in use by major banks and credit unions. Today, the majority of customer queries in the banking industry are handled by capable, efficient IVR software.

What are Some of the Major IVR Advantages?

High-volume: Perhaps the most obvious advantage of IVR systems, in addition to outbound dialing and automated dialing, is the sheer number of calls they can handle. Calls can simply be directed to the appropriate department or company division where they belong, with an option for the customer to wait for pick-up or to have an agent call them back.

First-ring answering around the clock: IVR, because it is fully automated, answers calls immediately at any time of the day or night. Customers can get their questions answers and issues addressed immediately, wherever they live and whenever they call.

Better company image: IVR software gives a great first impression to customers, often making a small startup appear to be larger than it is. There’s no deception involved here, just the accurate portrayal of a business entity that has decided to efficiently automate and prioritize its customer response systems.

Efficiency: Customers get routed to the departments where they can get the fastest help and get their questions answered rapidly. This has a two-pronged effect: it makes customers happier and it decreases response time for customer service agents.

Hands-free options: So-called “hosted IVR” software allows a company to fully automate its customer response systems. Hosted IVR software resides in the cloud and is managed by the vendor. That way, a company can totally outsource its incoming and outgoing customer interactions.

Case Studies of IVR in Action

Outbound dialing and automated dialing are both common parts of modern corporate business environments. IVR has been the primary solution for thousands of companies. A few representative examples are:

The Dubai Airport responded to a rapid increase in traffic with the implementation of an IVR system that handles thousands of queries each day, many of which are crucial for customers who need to connect on international flights and learn about itinerary changes by various airlines.

Major newspaper industry entity Scripps Company implemented an IVR software response system several years ago. Now handling in excess of 10,000 calls per day, the company’s owners say that IVR has increased customer usage of the system by more than 70 percent.

Econux Limited of Asia, a sales and service arm for a global electronics manufacturer, implemented IVR recently in order to route calls to appropriate departments. As a result, routine queries about hours and services are now answered immediately via automated interaction, while more complex inquiries about specific products and sales data are sent directly to the agents in charge of those departments.

Should You Implement an IVR System in Your Business?

An IVR system is actually a solution to dozens of different business challenges. Across a wide range of industries, IVR has already proven its capabilities for improving customer service, speeding up real-time customer assistance when needed, facilitating owner-client interaction, and accomplishing hundreds of other tasks that pertain directly to customer satisfaction, business efficiency and cost-cutting.

A fully integrated IVR system can be whatever the business owner wants it to be: a simple call response function, a multi-disciplined customer routing method, or a fully interactive and highly intelligent way to handle an infinite variety of client inquiries and needs.

If you think that IVR is the smart choice for your business, sign up for a free account with Nimblevox at their site, www.nimblevox.com.

Automated dialing, of which outbound dialing is just one type, is a common feature of the corporate marketing world. Telephony systems that contact thousands of potential customers each day are able to use interactive voice response systems to gather information from callers who willingly respond to a pre-recorded question after picking up the phone. Properly managed auto-dialing systems have the potential to identify potential customers and connect them with live agents when necessary, thus increasing a company’s client base with ease and at a very low cost.

Interactive voice response systems, also known as IVRs, are telephone-based menus that allow callers to choose from various options in order to be routed to the precise department that can best handle their inquiry. These arrangements are mostly used for both inbound calls as well as outbound dialing campaigns, as mentioned above.

There are both sophisticated, complex IVRs as well as simple, “Press 1 for Billing,” types of menus that offer just a few options for incoming callers.

Companies that use IVR systems quickly discover that there are literally dozens of advantages inherent in these automated response menus. The following are the most cited by professionals who work with IVR technology on a daily basis:

Five Key Advantages of IVRs

Companies implement IVR telephony systems for many of reasons, whether it’s to manage large call volume, to make a small entity appear large, to personalize the customer experience, to save money, or to offer around-the-clock customer service.

Handle large call volume with ease.
IVRs are capable of handling as many incoming calls as necessary, whether that means thousands for a mega-corporation or just a few for a startup or tiny organization. Automated responses require no live operators or complicated switchboards, just a simple computerized call response software that can handle massive incoming volume if need be.

Project the type of company image you choose.

As is often the case with startups, there is a need to project an image of being something other than a one-person shop, or the newest player in the field. IVRs are ideal choices for new companies with one or a few employees, or for home-based organizations that wish to project a professional, “brick and mortar” image to inquiring callers and potential customers.

Because of their low setup and maintenance costs, IVRs are used for this purpose by hundreds of different types of entities, from one- or two-person law or accounting firms, to new medical practices where a doctor and one assistant are the only staff on hand at any given time.

Offer personalized options to every caller.

IVRs can be set up to identify incoming calls by telephone number and thus greet particular clients by name, or with a dedicated message based on their typical inquiries. Even callers who wish or need to speak with a live agent can be immediately routed to someone who can help them.

As opposed to old-fashioned “live operator/receptionist” systems, IVRs can keep tabs on potentially infinite numbers of personalized responses to incoming callers. First-time inquirers can be sent to a special agent whose expertise is in dealing with new clients, for example. Likewise, repeat or established customers can be identified by their phone numbers and routed to their “favorite” customer service employee or department. The uses of IVRs for personalized response are endless, and most importantly helpful for every person who contacts the company by phone.

Save money.
Of course, one of the best-known advantages of IVRs is in the area of cost. The systems are much less costly than live operators and receptionists, can handle an unlimited number of calls for no increase in cost and are able to increase company efficiency to the point where every worker is dealing with customers that have been routed to them based on their needs.

Offer 24/7 customer service.

Customers appreciate the fact that they can call any time of the day or night and obtain basic information about hours, company policy, account balances, and a host of other necessary information. IVRs know no time clock, never get “tired,” and are always perfectly polite, even at midnight on a holiday!

Modern Marketing Techniques

Automated dialing, outbound dialing and IVR systems in general, are among the most potent of today’s phone-based marketing methods. They’re inexpensive, easy to set up, help bring in new customers, solidify current client populations, and do dozens of related business chores that impact the bottom line.

IVRs have become a staple of the modern commercial landscape, and the public has become quite comfortable with hearing and responding to automated/recorded versions of the human voice. The systems are in use by millions of small and large companies worldwide and are one of the simplest ways to boost ROI.