Interactive voice response
Author: Sonia Older | Date published: August, 14, 2024, UK | Read est: 7 min read
Interactive Voice Response (IVR) systems are revolutionising customer interactions. But how?
Today, we're diving into how IVR technology enhances customer service whilst bringing a wealth of benefits to your business, no matter the industry.
What is interactive voice response (IVR)?
An Interactive voice response system (IVR) is an intuitive telecoms technology; an automated service that allows callers to access information through a voice response system.
Through pre-recorded messages, users can find the answers they're looking for without speaking to an agent or team member. Additionally, IVR systems utilise pre-recorded messaging and text-to-speech technology through touch-tone keypad selection or speech recognition, keeping things swift when customers are looking for an answer.
Taking this one step further, if the IVR system struggles to retrieve the correct information, the system's menu options employ call routing, which sends callers to a team member in the related department for assistance, meaning a backup is always in place to help those in need!
As the digital landscape continues to embrace new technologies, IVR evolves with the times, bringing new ways for business phone systems to stand out from the crowd. And with the PSTN Switch-off right around the corner.
For example, with the development of natural language processing technology, IVR phone systems can allow callers to verbalise their needs on the telephone, with the IVR system understanding and responding to their queries in real time!
From customer support and account inquiries to transaction processing, IVR systems enhance efficiency by handling high call volumes, reducing wait times, and offering self-service options. A win-win for everyone!
How does IVR work?
IVR phone system services can be broken down through this process:
- Call reception: When a caller dials a number, the IVR system answers the call. This system can be a part of a larger telephony setup within a business or service provider.
- Greeting and menu: The caller is greeted with a pre-recorded message. This message usually includes a menu of options. For example, “Press 1 for customer service, Press 2 for account information.”
- Input collection: The caller responds using their phone’s keypad or, in more advanced systems, via voice commands. The IVR system uses Dual-Tone Multi-Frequency (DTMF) signals to detect keypresses or speech recognition technology to interpret voice responses.
- Processing inputs: The system processes the input and maps it to a specific action. For example, pressing '1' might transfer the caller to a customer service agent, while pressing '2' could direct them to an automated account balance query.
- Database interaction: For more complex requests, the IVR system interacts with databases or backend systems to fetch or update information. This might include checking account balances, booking tickets, or processing payments.
- Response and routing: Based on the inputs and database interactions, the IVR system provides the requested information or routes the call to the appropriate department or individual.
Benefits of call centre interactive voice response
According to "Embrace the future of AI-powered CX", a trends report carried out by Zendesk, 65% of consumers expect customer service to be faster than it previously has been[1].
With IVR phone systems, businesses can achieve just that, and meet the customers' growing needs and expectations.
Here are just a few ways in which IVR phone systems can change your VoIP and telecom systems for the better...
Enhanced customer experience
By routing callers to the appropriate team member in your business, IVR enhances the customer experience by reducing wait time. With the potential offering of 24/7 self-service for routine inquiries, Hosted IVR services ensure quick access to information and support, streamlining interactions and providing a more convenient and responsive service experience for customers.
Lower operational costs
IVR handles high call volumes efficiently and allows businesses to serve more customers with fewer resources, ultimately cutting time and operational expenses while maintaining service quality.
On top of that, IVR can extend its usage to other areas users may want to consider, such as FAQs or asking for information outside of business hours. If a discussion is requested, the IVR system can also suggest leaving a voicemail for a callback during regular business hours.
Reduced room for errors
IVR reduces room for error by automating information collection and processing, ensuring consistent and accurate responses. Since it does not depend on human interaction, it eliminates manual data entry mistakes, leading to more reliable outcomes and enhanced efficiency in handling customer inquiries and transactions.
Increased security
IVR uses secure authentication methods, such as PINs or voice recognition, to verify identities, ensuring sensitive information is handled confidentially and providing a secure environment for transactions and personal data exchange. For example, by reducing human input, risk issues such as fraud decline.
Data collection
Through IVR, requests made by the customer can be automatically noted and tracked. This is fantastic for businesses seeking deeper insights into common concerns or actions the user carries out across your services.
AI-generated responses (Focus Sound)
Did you know, 90% of callers hang up in less than 40 seconds if greeted by silence? Keeping customers engaged is an essential part of exceptional customer service, and with IVR, coupled with AI-generated responses, you can do just that!
We offer exactly this with our brand-new service, Focus Sound. This caller experience solution allows you to create professional, AI-generated welcome greetings, hold music, messaging on hold, auto-attendant, and call menu recordings, all mixed in with licence-free hold music, cued and ready to play to your callers!
Focus Sound is a great way for your business to immediately establish brand personality, with messaging and music that exemplifies your company values directly to your audience.
Industry use cases
No matter the size or scope of your business, be it a local or general business phone number, hosted IVR services can support whatever industry you reside. Here are just a few highlights of how IVR is helping industries across the globe.
Healthcare
From pre-treatment questionnaires to patient satisfaction surveys, IVR technology has many practical uses across the healthcare industry. Appointment scheduling can be a pain, especially with those long wait times on the phone. With IVR, that process can be streamlined to improve patient satisfaction.
Education
Research conducted through the "INTEractive voice response system for educational institutions"[2] shows that IVR can assist parents by keeping them up to date with their children's attendance and performance at school.
Public sector
IVR can assist the public sector in numerous ways, such as helping locals with specific polling places and times, licensing and permits, taxes or unemployment insurance.
Retail
Through self-service shopping and checkouts, alongside live chats that can answer at any time, customers can check up on delivery statuses or be routed to live agents for help. In a nutshell, IVR can make the customer journey all the more comfy in retail.
Hospitality
From airlines and hotels to train lines and even car rental companies, IVR can easily determine the reason for the call, and can help customers book, cancel or contact the right person all in a matter of moments.
Banking
IVR can be utilised in banking and finance for actions like providing account inquiries (e.g., balances and loan application statuses), enabling transactions, and facilitating activations and changes to investment portfolios.
Charity (Carers UK)
In this section, we thought we’d highlight a real-life example of how IVR can make immense improvements to customer communications. Over the past 18 months, Focus Group has worked with Telecoms World to develop a custom-designed IVR and phone service for Carers UK, to support unpaid carers across the country!
In the UK, 5.7 million people provide unpaid care, with 4.3 million more joining annually. However, 61% are unsure about available support, and many lack internet access, highlighting the need for more accessible solutions.
Carers UK sought an innovative method for carers without internet access to reach their services, and Focus Group provided the solution!
We developed a bespoke Interactive Voice Response (IVR) system linked to a freephone number, enabling carers to access crucial information by dialling in and navigating audio recordings using DTMF keys.
Designed for scalability, customisation, accessibility, and ease of use, the IVR system scales with user demand, offers tailored modules, and is free to use. Carers can navigate menus and replay information as needed.
This system has greatly improved access to support for carers, especially those without internet access. Its flexibility ensures ongoing enhancements to meet carers' evolving needs.
The IVR system is central to this study, proving its usefulness by offering a scalable, customisable, and accessible service, bridging the gap for carers without internet access and highlighting IVR's potential in addressing social care challenges.
You can read all about the work we did with Carers UK and dive deeper into our intuitive hosted IVR service.
Talk to an expert about our hosted IVR services
Ready to enhance your customer interactions with our hosted IVR solutions?
Get in touch with our IVR experts today, and explore how our scalable, customisable, and accessible systems can benefit your business and meet your bespoke needs. Let's make customer experiences better, together.
Footnote
Sonia Older
Brand & Campaign Manager
Sonia Older is the Campaign Manager at Focus Group and a highly experienced copywriter. She boasts over 20 years of experience in content marketing and PR across multiple industries, and is the key driver of content and PR for Focus Group across all UK offices. Away from work, Sonia usually swaps keyboard strokes for ski slopes in the Alps with her family.
