In times of rising competition between businesses, most small and medium-sized companies prefer to implement an automated voice response system to smoothen their operations. The Interactive Voice Response system, or IVR, is a low-cost method that reduces our efforts to invest in specialized customer services.
The IVR can promptly address all our customer grievances and ensure smooth communication within the company. Therefore, our SMBs can gain a competitive advantage by leveraging automated customer interaction technology.
What is An IVR System?
An IVR refers to a software-based communication system known as computer-telephone integration. It will interact with the callers’ touch/voice-toned keypad selections and respond.
The IVR systems greet our customers, announce menu selections to navigate the system, connect the caller with an agent, or raise a ticket. Modern-day IVR systems are integrated with speech recognition technology, so the callers can directly talk to the service personnel instead of pushing buttons.
A well-designed and customized IVR has the potential to improve telecommunications within small businesses and also enhance customer satisfaction. Calls can be routed without going through the touch tones, and every caller can be re-directed to an official customer service representative. Callers can also complete simple tasks without waiting in the queue for long hours. It is highly beneficial during busy times when the call volumes are high.
Benefits of IVR for Small-Medium Businesses
Better Customer Service
An IVR sets the premium impression that it will serve our customers flawlessly. When small and medium businesses (SMBs) use this technology, they gain innumerable benefits that the system offers. IVR systems answer all customer inquiries in real-time with time-saving advice. Customers can also take help from specialized agents for high-level assistance.
It is a win-win situation for our business and our customers, mostly the former, as we can save on the high call handling expenses. Nowadays, SMBs also opt for customized IVR messages to impart unique brand value while catering services to a large group of clients.
Unlimited Access
Although our employees take vacations or extended breaks, the IVR is always accessible to our customers. Our customers can call on the IVR number and connect with the virtual assistant anytime, even outside business hours. If they need urgent humanitarian assistance, our IVR system can provide that as well.
Low Human Errors
IVRs are automated machines that do not make repetitive errors. It is one of the massive advantages of integrating an IVR system into our SMB.
Since manual call handling may cause several mistakes, most SMBs are migrating to the IVR system to enhance customer delight. Any organization, irrespective of its size, can handle large call volumes and customer queries with an INVR without feeling overwhelmed. The chances of call redirection to a different department or person are unlikely.
Once we equip our company’s call center with the IVR system, the calls will get routed through a phone menu in a logical order. It eliminates the need to make judgment calls or handle calls with a longer wait time.
The key to customer retention is better customer service. SMBs can achieve that with a comprehensive interactivity solution that can help communicate faster with minimal limitations.
Saves Time
As SMB owners, we adopt cost-saving measures to run our operations without hindrance. While implementing the IVR system, we save on the hiring cost of a receptionist or a front desk employee. SMB managers also wear multiple hats in a day. This is why implementing an IVR saves us time to focus on other vital aspects of our business.
For SMBs to achieve good customer service, they must stop bouncing their grievance calls from one professional to the next. This measure, if followed steadily, accelerates the first call resolution metrics while also cutting down costs on individual calls.
Increases Productivity
A crucial factor that compounds customer discontent is the call waiting time, which stems from the call being routed from one department to another. Hence, every company should aim to minimize this.
Due to call routing, contact centers can prioritize the most vital calls based on pre-determined information or ideas about the client. With the IVR system, we can also manage high volumes of calls and avoid frustrated customers. Overall the system enhances business productivity, be it an SMB or a large corporation.
Personalization
An SMB can retain existing customers by personalizing its IVR system. It is possible by integrating customized features into the IVR, for example, sending out specialized messages only to recognized callers. The system can also greet the caller with their name.
It can be executed by referring to the client databases stored in their systems and analyzing consumers’ overall behavior or journey. Today, IVR systems also come with native language choices, so callers from every corner of the country can participate in the process confidently. It is critical for SMBs with branches in other states or countries.
How Does the IVR Work?
The following instance will better help us understand how an IVR system works:
- We call an IVR number mentioned on a business website/literature/marketing material.
- Next, we hear a short automated message from the other end.
- We are asked to select the options from the menu – for example, we may be asked to press 1 or 2 to choose one of the available languages.
- The system will ask for our account number or customer ID or may check the purpose of the call – inquiry, booking, complaints, etc.
- We may need to answer some objective questions.
- After getting the appropriate response to our query or problem, we can return to the main menu.
- We can even connect to a live agent if we need urgent assistance.
Technically, the IVR forms an integrated technology by combining telephonic equipment, IVR applications, databases, and support infrastructure. The CTI or computer technology integration is the key operation for the IVR system as it allows the computer and phone to exchange information.
The CTI will take and input data collected from the telephone and query the databases based on customer account or caller-provided information. The same mechanism enables the computers to execute call transfers and automatic dialing.
The CTI also relies on DTFS or dual-tone frequency signaling to facilitate communication between phones and computers. The computers will recognize the phone-made tones when different frequencies made by various numbers on the mobile are sounded. At its core, this interlinking between the phone and computer enables IVR systems to utilize the DTFS.
The IVR systems are of two types –
- Inbound IVR is used during the calling and answering process. It’s used for instances like loan applications, telephone banking, or by retailers.
- Outbound IVR Systems are typically used for sending reminders, for example, in case of appointment bookings, meetings, and more.
Final Words
While getting started with an IVR, choosing the right cloud-based business phone system is vital to introduce effortless and collaborative communication within the organization. Knowlarity is well-known for advanced, multi-level IVR solutions that automate customer interactions in inbound and outbound calls.
We utilize cloud technology and AI-powered speech analytics to create bespoke IVR systems to help SMBs improve their ROI. A well-planned IVR system improves contact center communications, an important KPI for client engagement.
Our systems are easy to set up and personalized for active lead generation with noticeable features like multi-lingual integration, customized menus, and all-day support.