Introduction

As customer demands grow, businesses can no longer rely solely on manual management to handle call volumes, and here's where the Interactive Voice Response (IVR number) steps in. 

Before adopting them into your workflow, it's essential to understand how they work and all the benefits they can offer your business.

Common Features That Go With An IVR Number

It dictates how incoming customer calls are directed based on predefined rules. (Image source: Wikimedia). 

1. Automated Greetings

A pre-recorded message will play at the beginning of a call in a quality IVR system (like that of the virtual phone centre StringeeX). Its purpose is clear: to welcome the caller to your company and briefly explain the menu options available (we will return to this later).

For businesses with varying call volumes throughout the day, time-based greetings for different periods are highly recommended. A more detailed explanation of self-service options during peak time, for example, can significantly help reduce wait times.

Your business can take it one step further with personalised greetings based on caller information. After all, "Welcome back, valued customer [Name]" sounds more engaging than a generic record. However, to run these messages, you must integrate the IVR system with your CRM (Customer Relationship Management) software. 

How about the global audience? Multilingual greetings, thanks to their self-explanatory inclusivity, will be your best bet in this case.

2. Menu Options

Menu options refer to the choices presented to your customers after the initial greeting. These options allow callers to navigate the IVR system and reach any department, information, or service they require.

This menu of options is usually presented through pre-recorded voice messages (which we just discussed earlier). Your customer will hear a list of choices, each corresponding to a specific action. For example:

• Press a button on their mobile phone keypad (e.g., "Press 1 for Sales").
• Speak a command using voice recognition (e.g., "Say 'Technical Support'").

Once the caller selects an escalation option, the IVR system takes them to the next step, which could be:

• Connecting them to a live representative in the chosen department.
• Playing a pre-recorded message with relevant information.
• Transferring them to a self-service option (e.g., checking account balance)

Some complex IVR systems even utilise sub-menus to categorise options further, which helps maintain a clear menu structure despite the larger number of choices.

3. Call Routing

Another key feature of the IVR system, call routing, is comparable to the brain behind an operation. In simpler terms, it dictates how incoming customer calls are directed based on predefined rules. 

Below is a general summary of how it works:

First, an incoming call reaches the IVR system associated with the IVR number. The IVR system proceeds to gather information about the call, such as:

• Time of day
• Day of the week
• Caller ID (phone number)
• Keypad selections from the menu options
• Voice commands spoken by the caller (if voice recognition is enabled)

Based on this collected data, the IVR system applies predefined call routing rules to determine the most suitable destination (administrators can set these rules up in the IVR system's configuration interface). Once the destination is identified, the system will take one of the following actions:

• Directing the call to a specific department with the appropriate skill set to handle the inquiry. The Automatic Call Distribution (optional) then continues to distribute calls to the best-suited agents within that department based on factors like agent skills or workload.
• Playing a message with relevant information
• Directing the call to an automated system for routine tasks like checking account balances or resetting passwords

What if all agents in a chosen department are busy? In that case, overflow strategies might be implemented. Some relevant options:

• Placing the call in a queue with a hold message and estimated wait time
• Offering a call-back option where the system automatically calls the caller back when an agent becomes available
• Transferring the call to a voicemail box or another dedicated department

4. Self-service Options

Customers can resolve issues on their own. (Image source: Pexels). 

As the name suggests pretty clearly, self-service options empower customers to resolve common issues or access information on their own without speaking with a live representative. 

Customers might hear prompts like "Press 3 for account balance" or "Say 'Order tracking' for delivery status" during the IVR greeting or menu options. They then choose the desired self-service option by pressing a button on their keypad or speaking a voice command.

The IVR system gradually guides your customer through the chosen option using pre-recorded messages and interactive prompts. Once the self-service task is 100% completed, the IVR system might offer extra options, return them to the main menu, or provide an exit message - depending on the task's nature or complexity level. 

Not all businesses offer the same self-service options, but from our observation, below are some of the most common: 

• Information retrieval: Provide callers access to pre-recorded messages containing frequently asked questions (FAQs), account information, or product details.
• Account management: Callers can check account balances, make payments, or update personal information through automated prompts and keypad selections.
• Order tracking: Customers track the status of their orders or reservations using their reference numbers or phone numbers.
• Password resets: Guide callers through a process to reset forgotten passwords for online accounts or services.

5. Voice Recognition

We did mention above that customers can choose a self-service option by "speaking a voice command." That's the power of Voice Recognition technology; callers no longer have to press buttons on the keypad!

Essentially, it translates spoken language into computer-understandable text, allowing customers to have a (literal) conversation with the IVR system: 

First, the caller speaks a command or phrase into their phone (commonly natural language questions like "What are your business hours today?"). The IVR system captures this audio data through the microphone and converts it into a digital format. If necessary, there are pre-processing steps to remove background noise and enhance clarity.

Each digital audio signal is carefully analysed to extract key features like pitch, loudness, and spectral characteristics. A complex algorithm then compares these extracted features against a vast database of pre-recorded speech patterns and spoken language models. 

Finally, the system will generate text corresponding to the spoken command based on the closest match in that database!

6. Call Tracking/Reporting

This powerful tool helps you gain a deeper understanding of your phone traffic and optimise the IVR systems for better performance. Again, no two businesses have the same performance metrics, but here are the most popular key metrics tracked:

• Call Volume Report: The total number of calls received through your IVR number, measured to identify peak calling times and trends.
• IVR Menu Usage: How callers navigate the IVR menu. This metric highlights frequently used options and any confusing elements that might lead to customer frustration.
• Call Completion Rate: The percentage of calls that reach a live agent or successfully complete a self-service task.
• Call Abandonment Rate: The percentage of calls where callers hang up before connecting with a customer care agent. From there, try pinpointing the issue with your current IVR system: is it the long wait time, menu complexity, or something else entirely? 
• Hold Time: Average hold times for callers waiting to speak with a live agent or sales representative. 

Should Your Business Use An IVR Number? Pros and Cons

1. The Pros

Increased Customer Satisfaction

As explained, IVR systems easily provide immediate answers to frequently asked questions (FAQs) and let callers complete common tasks entirely on their own without waiting for an agent. 

Coupled with the round-the-clock support, your customers can access information anytime and anywhere (even outside regular business time), undoubtedly resulting in much less frustration!

Improved Contact Center Operations and KPIs

Since the Interactive Voice response systems automate most basic tasks and customer queries, agents are now freed up to focus on more complex inquiries that require actual human interaction. This convenient design translates to your centre handling more problems in less time, improving both the quantity and quality of excellent customer service.

Less Dependence On Human Agents

IVR systems provide consistent service with few to no errors (Image source: Flickr). 

Your centre can cut down on the number of live agents without risking overall productivity. 

The best part: unlike humans, IVR systems are not susceptible to illness, vacations, or other forms of absenteeism that can affect live agent availability. They provide reliable and consistent service anytime with few to no errors.

Cost-Effective

Lower overall personnel cost (due to fewer live agents needed) is one thing; an effective IVR system also helps cut down operational expenses. 

The reason is straightforward: simple inquiries are likely to get resolved right away, leading to a higher first-contact resolution rate. This, in turn, reduces the need for repeat calls and saves money in the long run.

2. The Cons

As convenient as they are, IVRs are never well-suited for handling complex customer issues that require actual human empathy. Worse, when misused, the unclear instructions and complex menus might cause irreversible damage to your brand's public image. Tread with caution!

FAQs

How Many Options Should An IVR Have?

Do not overwhelm customers with too many choices. (Image source: Freerangestock). 

Strive for no more than 5 options at each level of the IVR menu. This standard is widely agreed upon to prevent overwhelming callers with too many choices.

How Should You Measure IVR Success?

Regular customer feedback and tracking tools are two powerful measurements you can use. To learn more about the latter, refer to the "Call Tracking/Reporting" section above.

Conclusion

The perks of an IVR number, especially with affordable yet distinctive solutions like StringeeX, clearly outweigh any drawbacks. But do not let your guard down! Be mindful of any possible issues it might bring up, and get in touch with us if you still need assistance.