What Is An IVR? Use Of IVR In A Call Center, and How Does It Work?

Jun 8, 2022

Banks, call centers, and even doctors use IVR to manage relationships with their customers. With advanced technology, all this is possible without talking to a real person and just a computer, from booking appointments to fixing bugs, which saves time and makes things clearer. But, what is IVR?

Going ahead explaining the topic, IVR is a virtual assistant technology that presents a pre-recorded message with the business' menu to the caller. It makes providing service easier as in a call. There's just the problem statement and the solution. There's no back and forth. Let's learn more about IVR in this article.

What is IVR?

In short, known as IVR, Interactive Voice Response interacts with customers using a pre-recorded message with touch-tone technology, spoken word responses, or both. They are automated phone systems that can route calls. Contacting a representative for the IVR is the last option the customer has. Virtual Assistants also come under this category.

Companies use the information you provide to these automated systems to meet your needs. The system doesn't send information before the call ends. IVR is scalable as it doesn't require someone to code. One can utilize the existing ones until he needs a new one. Benefit from data, statistics, and monitoring services. Isn't it all amazing?

How Costly Is It?

IVR service providers are cheaper than RPA and other software in-built systems. They come in a wide range, from $10 to even $1000. In India, they are expensive, with costs touching thousands. Charges differ because of different plans. Some of them charge per month, some per user, etc. A good IVR makes the caller feel empathy towards them and makes the conversation clear as if it knows the problem statement of the caller.

An IVR Example

Let's understand, with an example, that what we experience every time we call a certain number to check our balance is nothing but IVR. Suppose that you've called a doctor's office to make an appointment for yourself. The calls get picked up, and the machinery gives you a few options, like "press 0 for this, press 7 for this, press 6 for this..." and goes further this way. In the end, you get a message with which you can meet the doctor.

What Builds An IVR?

IVR systems consist of three major components that make them come to life. Let's know about them.

- TCP/IP networking:

How do you expect a technical system to work without the Internet? Never, right. The IP network is required to provide an internet or intranet connection.

- Database:

Information and data are a must for the application to work. These are in addition to the other components for the supply of appropriate data.

- A Web Server:

Just like web pages and websites need to be hosted somewhere on the Internet, IVR systems must also be hosted.

- Telephone Network:

Whether incoming or outgoing, calls are routed over a VoIP network or any telephone network.

- Telephony Server:

Placed between a phone network and the internet network, this acts as an interpreter. It's for the callers to interface with the software and access information accumulated in databases.

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How Does An IVR Work?

As an IVR is an in-built software product, it is based on a programming language, that is, voice extensible markup language (vxml).

Other programming languages can also be used to build up an IVR system. Hence, the telephony server uses the same software as IVR.

It works when interlinked with Automatic Call Distribution (ACD) solutions. ACDs use the information found from the IVR and the call metadata to place callers in a queue so that no caller crashes while placing a call and every customer gets the best services possible. This tool is responsible for the increased number of calls received in a day.

The other components mentioned in the above section interact with each other and make the IVR work.


As technology is getting more advanced every day, predictions have been made that it will soon replace most of the jobs done by humans with robotics.

Thus, IVR systems have replaced human workers in one of those jobs. Coming up with its advantages, it's less costly than robotics and other software products. Enhancing the customers' experience, this software is built with two most important components: DTMF and Voice Recognition Capability. Ranging from lower to higher prices, this technology is one of the products that boost your productivity.

Go ahead and get one to skyrocket your business idea. To get IVR solutions, or IVR services, or for more details, click now or contact us through our toll-free number 1800-1020-340 or write to us at customersupport@knowlarity.com or VISIT US

Written By:  Manna Khare


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