7 IVR System Hacks To Help Your Small Business

An IVR system is an automated phone service tool that directs the flow of inbound communication. It typically has a pre-recorded voice that offers a series of menu options. The caller may need to press a number or state a key phrase to get successfully directed to a human agent, department answering machine, or an additional series of menu choices.

IVR systems may be simple or complex, depending on the company's size and needs. Some companies set up IVR systems to recognize a customer's phone number and use this information to access their account. Because businesses have become so accustomed to using an IVR system for its call routing ability, their flexibility and efficiency may be overlooked.

Below are some interesting facts about IVR that might surprise you.

• The IVR market will see significant growth: By 2030, IVR's overall market share is expected to reach or exceed $8.3 billion.
• North America dominates IVR: Studies find that while IVR is used worldwide, North America accounts for about 40% of market growth—more than Europe and Asia combined.
• IVR drastically reduces payment processing costs: Businesses spend up to seven times more processing payments using agents than an IVR system.
• AI is streamlining IVR system technology: While legacy systems that rely on touch-tone responses are still fairly common, many services are transitioning to AI to help businesses route calls more efficiently. For instance, Ringtree offers AI-powered IVR as part of its business phone service.

Over the past few years, artificial intelligence has sent progressive shockwaves across nearly every industry. AI has reduced the need for humans to perform repetitive, time-consuming tasks. In IVR, AI can recognize speech patterns to ask and answer callers' questions, efficiently directing them through a chain of options, more so than touch-tone IVR alone.

AI-infused IVR lets you professionally greet your callers and allow them to choose from a range of relevant menu options. Ringtree's AI-based IVR system is highly customizable, enabling you to choose from more than 50 voice models.

Businesses should leverage AI technology when choosing an IVR system. As the next section shows, this is not only time-saving but also great for reducing operational costs.

As callers navigate an IVR system, they often find themselves on hold, waiting to connect to a representative. Hold times vary, though you never want to keep someone waiting for too long. Research shows callers are likely to abandon the call if made to wait more than two and a half minutes. Parking customers may be unavailable, but business owners could transform this momentary inconvenience into a golden opportunity.

Businesses often use hold music to keep callers occupied, but this window of time also represents a perfect opportunity to share available products and services with potential customers. Known as "on-hold marketing," these precious seconds are a golden opportunity to capture leads and create repeat customers.

On-hold ads vary in length, though it may be best to stick to a script between 30 seconds and two minutes. You want to make sure callers get all the relevant information without having the hold period end before they know everything necessary about what you attempted to advertise!

Some companies use IVR to conduct post-call surveys, giving the caller a chance to directly communicate what they did and did not like about their experience. Likewise, you can set up an automated message directing callers to a website where they can answer additional questions meant to help you improve service quality.

Though helpful in getting direct feedback, you should know that the number of people willing to stay on the line to answer survey questions is remarkably low. One study found that response rates range between 10% and 30%. Still, there may be useful information that makes this data worth gathering. If you decide to set up a customer feedback survey using IVR, remember to:

• Keep it brief: The post-call questionnaire should consist of a few questions that are concise and easy to understand.
• Stay on topic: Keep the survey focused on the call experience and anything memorable related to it.
• Make it easy: There's no need for overly complicated questions. Instead, use a rating system between one and five or have customers answer "yes or no" questions. If you want a specific answer about their experience, remind the caller to keep it brief.

Even though post-call survey responses aren't always plentiful, these answers allow you to hear directly from your customers. Their feedback can help you understand what parts of your business phone system could be better streamlined, if hold times are too long, etc. As such, setting up some form of customer feedback through your IVR system is worth consideration.

Smaller businesses may use AI-powered IVR instead of live agents to save money. According to research conducted by IBM, companies using AI to lower costs can reduce expenses by 30%.

Overall, IVR and digital business phone systems let very small companies handle inbound, internal, and outbound calling with a complexity equal to traditional on-site landline structures. Voice over Internet Protocol (VoIP) and similar technology cost far less than old-school telecommunication service providers.

Want to know how much your business could save by switching to a virtual phone solution? Use our free cost-savings calculator. By comparing your number of employees and current monthly phone bill to Ringtree's rates, you may begin to see where you have been leaving money on the table that could instead get reinvested elsewhere in your business.

Perhaps you have been holding back on setting up an IVR system for your business because you weren't sure what it is or how to make the most of this technology. The good news is that you don't have to do it alone.

Ringtree has a wealth of articles to help you better understand how these services work. You can also directly reach out with questions about how the feature works and advice on how to get started. Ready to get started? Registration is quick and easy; you can set up your business number in as little as 60 seconds. Click here to get started!