Ultimate Guide For Using IVR Software In 2023

Overview

Modern-day internet-first businesses need a reliable IVR system to succeed. That’s because your customers want service fast, and if recent trends are an indication, they’re only going to want it faster in 2023. 

A major challenge fast-scaling companies face is that the number of customer support channels is rapidly increasing each day. The influx of inbound calls and rising customer expectations make it imminent to have an Interactive Voice Response system (IVR) to get in front of your customers. 

Considering the customers’ preference for using phones to resolve support issues, an IVR solution is a must-have for organizations with high call volumes. 

When call flows are optimized and callers routed to the right department, your customer experience metrics improve. An intuitive IVR software caters to your bottom line as well as growing customer expectations. 

For today’s internet-first businesses, first impressions have the ability to make or break your brand’s customer experience. Most of the time, the first touchpoint for customer support is an interactive voice response (IVR) system. IVR software plays a critical role in primary interactions with your business and ongoing customer engagement. 

What makes IVR the entry point for voice callers for most businesses is that it can identify, segment, and route callers to the most appropriate resources, agents, or departments.  

In 2023, especially, you need to understand the basics of IVR technology and implement an IVR platform to start customers on the right foot and guide them on a seamless journey of digital engagement. 

We created this guide to help business owners make the right decisions for implementing the best IVR software. Throughout this guide, we cover the different IVR use cases, the benefits of an IVR system for your business, and a checklist to choose the right IVR solution.

For today’s internet-first businesses, first impressions have the ability to make or break your brand’s customer experience. Most of the time, the first touchpoint for customer support is an interactive voice response (IVR) system. IVR software plays a critical role in primary interactions with your business and ongoing customer engagement. 

What makes IVR the entry point for voice callers for most businesses is that it can identify, segment, and route callers to the most appropriate resources, agents, or departments.  

In 2023, especially, you need to understand the basics of IVR technology and implement an IVR platform to start customers on the right foot and guide them on a seamless journey of digital engagement. 

We created this guide to help business owners make the right decisions for implementing the best IVR software. Throughout this guide, we cover the different IVR use cases, the benefits of an IVR system for your business, and a checklist to choose the right IVR solution. 

What is IVR technology? 

As an organization grows, so do its communication complexities. Businesses are always under pressure to accommodate increasing customer interactions. With teams growing and departments getting specialized, directing callers to the right person also gets complicated.

Interactive voice response is a technology that combines speech-to-text, pre-recorded audio, and AI (in many cases) to automate information exchange with your callers without the need for a live agent. The voice-driven menu system of the IVR allows incoming callers to set pathways on the basis of which they are routed to resources that can best meet their needs. 

In addition to this, the IVR can be programmed to answer simple questions and enable self-serve options like letting the customer check the status of their order or answer their own queries by following an IVR dialogue. SMEs, startups, and enterprise companies use IVR solutions to automate business processes for hundreds of callers at once. This reduces customer wait time and frees up the contact center agents so that they can focus on value-driven and problem-solving interactions. 

The key benefits of IVR systems for businesses in 2023 

What are the benefits of IVR systems for businesses? 

• A better customer experience 
• 24/7 accessibility 
• Improved operational efficiency 

From customer experience to client retention, an IVR solution has multiple uses for different businesses. It gives you an edge over your competitors by minimizing human interaction on every customer call and directing customer traffic far more efficiently as compared to human call center agents to enable self-service. 

By getting customers to the right company representatives, you reduce the friction and frustration associated with both the customer and employee experience. The result is a boost in productivity and profitability for your business. 

A better user experience 

According to a survey by CGS, improving customer service was one of the top priorities for contact centers in 2022. In 2023, we see this continuing, as there is a direct connection between customer experience and profitability. What’s more, over 80% of customers feel emotionally connected to brands whose customer support teams solve their problems and 30% are even willing to pay more to brands that provide an exceptional experience (up from 24% in 2019). 

A key benefit of using IVR for business is: a better user experience since so much rides on how a business welcomes customers to its contact network. Even the best agent would not be able to redeem an experience when the customer interaction starts with long wait times. 

With an IVR platform, even a small business or startup can give a sophisticated user experience to customers and prospects. When your business telecommunications sound and work like the industry’s biggest competitors, it boosts both customer trust and confidence. 

Accessibility 

Another notable advantage of IVR is that it serves as a centralized digital hub that does the work of a team of operators. Customers can get answers to simple questions or be transferred to an agent who has contextual information about the caller. IVR platform ensures that the calls are directed to the right department so that support reps don’t waste time by transferring calls to colleagues best suited to answer specific questions. 

At the very core, IVR is built on automation and is designed to manning the frontlines. Human agents can focus on building relations and business values along the way. 

Operational efficiency 

For fast-scaling organizations, on one hand, it is not cost-effective to have a team of support agents handling every customer interaction. On the other hand, when the interaction escalates or is complex, human interaction and intervention is needed. 

An intelligent IVR platform can handle repetitive types of interactions, thereby saving time and effort while connecting the customer to the most appropriate agent. The result is two-pronged: improved productivity and overall work experience for the agent and increasing customer satisfaction.

Use cases of IVR for business 

Use cases of IVR for business 

• Healthcare
• Banking and financial services 
• Instructor-led industries likes ed-tech and wellness 
• eCommerce, retail, and DTC companies 
• SaaS 

#1. Healthcare

When patients call the doctor’s office when they feel unwell, they have a key priority: access to the information they need. In such times if they’re unable to connect with someone who can answer their questions or are left on hold, their satisfaction levels drop. 

Medical and healthcare offices can address this common problem by routing callers through a single line regardless of the number they dial, giving patients a consistent experience that is easy to navigate and clear to understand. Then on, patients also need speedy access to the right department. 

An IVR in healthcare efficiently routes patients to the right resources. Especially when you have multiple offices, the voice-driven menu system of the IVR streamlines the navigational steps for the patient to follow. 

The IVR system helps the healthcare office deliver an improved patient experience even when it is facing a high period of call spikes or multiple callers trying to get in touch at once. Also, this means shorter hold times for patients. By providing a patient-centric experience using IVR software, healthcare providers can ease pain points and streamline access to the right resources, leading to better relationships with patients. 

#2. Banking and financial services 

One of the most common IVR examples is its implementation in the banking industry.  Financial services ranging from insurance companies, banks, and crowdfunding platforms to fintech companies are using IVR programmable communications to deliver a customer experience built around security and customer preferences. 

The use cases of IVR in banking include: 

• Reporting a lost or stolen debit/credit card - Banks with an IVR system allow customers to block their stolen/lost card immediately without having to wait to connect to a customer support agent. 

Alongside this, the customer can also apply for a new card via the same IVR system. 

• Fraud detection - In case of a financial emergency, the inbound IVR system can immediately transfer the call to a live agent. Also, by using outbound IVR, banks can create awareness of possible banking frauds and instill confidence in the clients. 
• Product knowledge - Banks usually have several products and services. IVR for financial services and products allows these organizations to educate customers about the different products. The call can be transferred to the agent if the customer wants to avail the service. 

While the call center agents could miss out on some noteworthy information, an automated IVR platform can be used to contact the clients and give them the same information. Support agents, as a result, do not have to repeat the same features to different clients. 

• Loan application and status - Instead of having to manually visit the bank’s website or the physical location to know the status of the approval or disbursement of personal, home, or business loan, the customers can seek the progress directly over a call. 

As the IVR software works on logic, it can easily direct the call to the concerned department to understand the details of the loan process and repayments. 

3. Instructor-led industries like edtech 

Today, a student’s educational journey no longer begins and ends in the classroom. It unfolds across diverse touchpoints to facilitate learning anytime and anywhere. IVR systems in edtech can assist parents in getting an update on the client’s performance and attendance in school. 

‍Alohaa IVR system for startups upgrades the caller and agent experience for educational institutions. All calls can be dealt with effectively, limiting problems like dropped calls and long queue build-ups. 

In addition, the several ways in which edtech companies use IVR are: 

• Connecting students and mentors through extension-based calling. 
• Letting students access conversations with mentors through call recording. 

Alohaa IVR platform is designed to help digital education platforms, learning institutes, and teachers meet the challenges of remote learning. We strongly believe in facilitating the sharing of knowledge and offering a safe and engaging learning experience regardless of location. 

#4. eCommerce, retail, and DTC companies 

Now, more than ever, meeting and exceeding customer expectations in the eCommerce, retail, and DTC space is crucial. An IVR system helps deliver and enhance customer experience. 

Some ways to use IVR for eCommerce and retail brands include: 

• IVR service reduces support costs. 
• Benefit from the automated voicemail system when agents are busy or after hours. 
• Facilitate business continuity at all times by enabling the quick transition to remote locations or home offices.  

#5. SaaS 

SaaS products with monthly subscriptions fight a major issue of high customer churn rate. Here, customer support can make the difference between the success or failure of the business. 

SaaS customer support assists customers with pre- and post-sale journeys. At all times, your customers want support to be quick and satisfactory.

A few reasons why call center IVR software for SaaS is critical are: 

• SaaS products can be complex - You need to provide clear instructions on how to overcome technical roadblocks.  
• SaaS products are integrated into the customer’s business - Any issue with the product can seriously affect the customer’s ability to operate. Any interruption in the product can impact their ability to generate revenue. You need to ensure that support is always available. 
• Retention depends on how often they use your product - In all possibilities, if the user fails to see the value in your product, they will cancel the subscription and move on. Prompt support is the essence of keeping customers onboard. 

For SaaS customer service teams and business owners, self-service, in the form of IVR software provides access to instant answers while reducing the redundant queries the team has to deal with. The IVR for SaaS can be used to remind customers of recurring bills or when the subscription is about to expire. The IVR system can give product information such as pricing and key features. 

Now that you know the different industries where IVR systems are commonly used, the next question would be, how to choose IVR software? 

Choosing an IVR software: A complete checklist 

The best IVR software allows your business to handle calls at a low cost while improving service quality. Sure, you need to define your intent to choose the right IVR for your business. However, with so many options available it can be hard to narrow down the best IVR platform. 

Here are the a few features to consider to make sense of which IVR software works for your business. 

#1. Purpose

Determine the aim of the IVR solution as well as your organization's specialized demands. This will assist you in determining which features and capabilities are most essential to you. 

For example, for a small business, the IVR software could be used to provide information or route calls. 

Whereas for banks, the IVR platform needs complex capabilities such as blocking a credit/debit card, checking the account balance, and an added layer of security. 

For DTC, retail, and eCommerce businesses, the call center IVR software would require helping customers track orders, make payments, and so forth. 

#2. Ease of setup and configuration 

If the setting up process is frustrating and needs additional technical support, your staff may lose faith in the solution. Before adopting an IVR solution, make sure to get buy-in from your support agents and the team who handles customer success. 

What’s also worth prioritizing is that the solution should be easy to set up and start running easily so that you can see results quickly. 

‍Tip - Over time, your IVR rules and menus will change, so you want a system that is easy to modify, test, and roll out changes when needed. 

#3. Functionality vs cost: a balance

Remember that more features do not equate to the IVR phone system being right for your business. Find the balance between the functionalities and the cost of that feature. 

For example, if you are a small business owner, touch-tone-based IVR would be suitable for your business. Don’t get swayed because an advanced solution has additional features like visual IVR.

But if you are an edtech company with instructors who are required to talk to clients, more advanced IVR features such as WhatsApp and OTP integration would be needed. 

While choosing the IVR service provider, focus on the functionalities that will enhance your team’s workflows. 

Tip - Opt for an IVR software that offers multiple packages at pricing tiers corresponding to different levels of functionality. 

#4. Unlimited call routing 

Unlimited call routing in IVR refers to the ability of a system to route calls to different extensions or departments based on the caller's input or predetermined criteria. This allows for more efficient and effective handling of incoming calls and helps ensure that the caller is connected to the appropriate person or department. 

‍Tip - With Alohaa IVR, you can now provide a seamless and efficient experience for the caller through unlimited call routing.

#5. Multiple functionalities with a single number (WhatsApp + OTP)

It is advisable to choose an IVR that provides calling as well as Whatsapp on a single number for better management of customer conversations. 

Let’s take the example of a wellness company with 20-30 instructors. 

The challenges this company faces are:

• Physical SIM management as each instructor has their own number. 
• Bills have to be paid individually. 
• Also, in the case of SMS OTP, each instructor has to share it with the department manually. 

Here, a key feature of Alohaa IVR comes to help: WhatsApp and SMS OTP integration. 

The benefits of this one-of-a-kind feature are:

• The company owns WhatsApp and customer care numbers. Even when an agent moves out of the organization, you retail the number and the conversation history. 
• This way, new agents can retail customers on the same number eliminating the need to create a new WhatsApp account each time a new instructor/support rep/employee joins. 
• Also, the shared inbox allows other teams such as finance to take the OTP instead of having to ask the respective agent to manually share it. 

Tip - If you are in an industry with a customer-facing staff, the WhatsApp + SMS OTP feature of Alohaa IVR software helps improve your team’s productivity and effectiveness. 

#6. Unlimited IVR levels 

IVR software allows companies to create automated phone menus for customers to use. Depending on the demands of the organization, these menus, also known as "levels," might contain an infinite number of possibilities. 

For instance, a company's initial IVR level may allow clients to select from alternatives such as "sales," "customer service," and "technical assistance." If the consumer chooses "customer service," they may be routed to a further level with options like "billing queries," "product returns," and "general inquiries." This procedure may be repeated as many times as needed to meet the diverse demands of the business and its consumers.

Usually, companies require 3 IVR levels, however, Alohaa IVR for SMEs, startups, and enterprises can provide unlimited similar levels to match your business requirements.

#7. Provision to handle unlimited support agents 

A key feature of Alohaa IVR system is that: There is no limit on the number of agents you can add to assist customers with their inquiries or requests. It allows businesses to handle a high volume of calls and ensure that all customer inquiries are addressed in a timely and efficient manner and improve customer satisfaction.

In other words, when you are starting up, the customer support team might include you and the core team members. But as you scale, there would be a customer support team to answer customer queries. At such times, the ability of Alohaa IVR to handle unlimited support agents ensures that you don’t have to change owing to scalability issues. 

Conclusion

With its application in most industries, IVR technology is a gold mine for companies looking to scale their customer support without having to waste a lot of time or resources. 

IVR software for business can generate rapid value if your company adopts a systematic approach and focuses on the most important customer journeys. 

If you’re looking to get started with IVR for business, here are the steps you need to take: 

• Investigate the requirements of customers at each stage of their journey with your brand. 
• Develop capabilities to meet these requirements right within the IVR. 
• A/B test new customer journeys with a sample group. 
• Based on the results, refine and improve the workflows. 
• Lastly, track the progress and analytics. 

In 2023, as we usher in a digital world, automated call handling in the form of IVR platforms will retain its position as the front line for customer-service interactions. 

Forward-thinking businesses have already switched their thinking of IVR systems as an integral tool to create customer satisfaction. 

Alohaa IVR is one of the most affordable and widely used IVR solutions used by companies of all sizes and industries to offer varying levels of self-service and customer support. 

Team up with an IVR solution that’s committed to supporting effective and affordable calling operations for your business. Book your personalized demo. 

Frequently asked questions

‍#1. How does IVR work?

IVR systems use automated voice prompts and touch-tone input to interact with callers. When a caller dials a number associated with an IVR system, they are presented with a menu of options, which they can navigate by pressing the corresponding key on their phone's keypad. The IVR system then routes the call to the appropriate destination based on the caller's input.

‍#2. Can IVR handle multiple languages?

Many IVR software for call centers are able to handle multiple languages. Some systems use pre-recorded voice prompts in different languages, while others use text-to-speech technology to generate voice prompts in the desired language on the fly.

‍#3. Can IVR systems handle calls from mobile phones?

IVR platforms are able to handle calls from both landline and mobile phones.

‍#4. Can IVR systems handle multiple calls at the same time?

Yes, most IVR software such as Alohaa IVR are designed to handle multiple calls simultaneously. Some systems use a queue to hold calls until an agent becomes available, while others use call routing algorithms to distribute calls to available agents as efficiently as possible.

‍#5. Can IVR be customized to meet the needs of a business?

Yes, IVR solutions can be customized to meet the specific needs of a business. This might involve programming the system to handle specific requests or inquiries, or customizing the prompts and messages that are played to callers. 

Customization can help ensure that the IVR system is able to effectively meet the needs of a business and its customers.