IVR Technology

IVR Technology

What is IVR—and What Can It Do for Your Business?

Interactive voice response (IVR) is an automated phone system that enables callers to interact with a computer program, rather than a human voice agent. Virtually all IVR systems are able to route calls to the appropriate department or personnel (or a voicemail box) at the end of the process.


Traditional IVR systems prompt callers to supply simple information by selecting from a list of pre-set options and offer canned responses to the prompts the caller selects. These limited capabilities often lead to customer frustration, which is why conversational AI-powered IVR, offered on an omnichannel platform, is a game changer for customer experience (CX).


Read on to find out what an advanced IVR system is, how it works, and the benefits it delivers for your business.


IVR: Your Most Valuable Channel

When it comes to customer service and engagement, the voice channel reigns supreme.


Although organizations have focused much of their efforts and budgets on digital transformation in recent years, telephone calls still accounted for nearly three-quarters of inbound contact center interactions as recently as 2019. This includes self-service and agent-assisted calls, both of which are usually routed by an IVR .


How Does IVR Work?

IVR technology at its most basic level works by using dual-tone multifrequency signaling (DTMF) or voice recognition technology—sometimes both.


With DTMF, customers use their keypad to pick a menu option, no human operator necessary.


Voice recognition technology allows for directed dialogue, meaning a caller can give verbal answers instead of using a keypad. Callers are typically asked a question and given a limited number of possible responses. If they stray off script—that is, respond in ways that aren’t in the computer’s preprogrammed arsenal—they will be reach a dead end.

Video: Learn More About IVR

Video: Learn More About IVR