Interactive Voice Response (IVR) is an automated telephone system that combines pre-recorded messages or text-to-speech technology with a dual-tone multi-frequency (DTMF) interface. It engages callers, allowing them to provide and access information without the need for a live agent. IVR systems are commonly used by businesses to handle incoming calls, provide self-service options, and route callers to the appropriate department or agent. They can offer features like call routing, information retrieval, payment processing, and appointment scheduling, enhancing customer service and streamlining call management
Here’s how it works:
- Call Flow: When a caller interacts with an IVR system, they hear pre-recorded prompts or receive text-to-speech responses. These prompts guide them through menu options or specific inquiries.
- Menu Options: Callers can use either touch-tone keypad selections or speech recognition to navigate the IVR menu. For instance:
A pre-recorded message might say, “Press one for store hours information,” and the caller responds by pressing “one.”
Alternatively, more advanced Interactive Voice Response systems allow callers to verbalize their needs, and the system responds in real-time using speech recognition technology.
- Routing Calls: Interactive Voice Response systems can route calls based on caller inputs. For example:
If a caller selects an option related to billing, the Interactive Voice Response system directs the call to the billing department.
If the IVR system cannot retrieve the requested information, it can guide callers to the appropriate representative for further assistance.
- Benefits:
Self-Service: Interactive Voice Response provides a self-service method for customers to access information without the need for human assistance.
Reduced Call Volume: By automating routine inquiries, IVR lowers call volume for contact centers, resulting in shorter wait times and cost savings.
Improved Customer Satisfaction: Efficient call flow and quick access to relevant information lead to higher overall customer satisfaction.
Historical Example: In the 1990s, Moviefone used IVR technology to provide movie-goers with theater listings and showtimes based on their zip codes. While Moviefone is no longer active, the underlying IVR technology continues to be leveraged in call centers for customer support. Interactive Voice Response systems enhance the customer experience by streamlining interactions and providing timely information.