Interactive Voice Response (IVR) systems are an amazing technology but underutilized. The reason is that customers hate IVR. The endless questions, entries, and navigation but still no right answer- the curse of IVR. According to a study conducted by an independent firm in the Philippines, 83% of customers were dissatisfied with the responses from IVR and preferred human agents over it. 

But how can this innovative technology with a market share of 81 million dollars fail to revolutionize customer experience? When we took a closer look at the situation, it turns out the fault doesn’t lie with the technology but the implementation. How a call center designs the menu and implements it for customers makes a huge difference in customers’ experience with IVR. 

Here are some actionable strategies to transform IVR into a customer-friendly tool for call centers to provide unparalleled customer experience. 

What is an Interactive Voice Response System?

Interactive Voice Response (IVR) is a system that can streamline call handling, reduce agent workload, and offer customers quick resolutions. Almost every person who has placed a call for support at banks, e-commerce stores, phone companies, etc. has interacted with a human-like voice that asks for multiple inputs to solve issues. The role of IVR is to answer routine inquiries or redirect the customer to a related agent by asking questions from a pre-registered menu. 

An IVR can answer questions that are frequently asked. For example- if you call a bank to get an updated account balance, you don’t need to talk to an agent. You can get your answer through IVR. 

So to simplify, IVR helps call centers deflect calls, simplify customer conversation by breaking it down with menu options, answer queries immediately, and divert calls to the right agents. It saves agents time and lets them focus on more complicated issues. 

How IVR works?

IVR has a predetermined call flow system set up according to the call center’s needs. Whenever a customer calls, IVR provides a menu with instructions on how to ask for their query, reach a particular department, or transfer to a customer service agent. Since IVR is automated, it provides a streamlined response to every customer, making it a cost-effective and reliable solution. Standard IVR allows customers to respond through their keypads, but with technological advancements, smart IVRs use voice recognition technology that can understand human speech.

A standard IVR conversation steps include:

• The customer is greeted with a specific greeting, prerecorded in the system. This greeting is customizable. 
• Next, the IVR presents menu options such as department, requirements, issues, etc. The caller has to enter the answer through the keypad. For example, it can ask – press 1 for sales, press 2 for appointments, and so on.
• The IVR then routes the call to either agent and provides an answer or a next menu as needed. 
• If the IVR transfers the call to the respective department, it lets the customer know that they are being redirected, requests the customer to stay on hold, and asks for feedback at the end of the call. 

Interactive voice systems are evolving every day with AI and machine learning. They empower call centers in better call management and improve overall customer service. But, often customers get frustrated with long menus, robotic tones, and unhelpful options in IVR systems. By understanding the characteristics of a customer-friendly IVR and implementing some actionable strategies, call centers can make it more customer-friendly. 

Characteristics of a Customer-Friendly IVR System

A customer-friendly IVR system is intuitive, efficient, and designed with the customer in mind. Below are some key characteristics, a customer-friendly IVR system must have 

• Simplicity: The menu should be easy to navigate. Overcomplicated menus, long lists, and too many options can overwhelm and confuse customers. A short and simple menu does the trick. 
• Human Touch: IVR should converse in a more empathetic voice similar to a human voice. Conversational tones with a non-robotic voice are best for IVR. 
• Personalization: IVRs work on a fixed menu but with AI and automation, they can be tailored based on the caller’s history or preferences.
• Quick Access: IVR should have an option to transfer the call to an agent without delay. Some customers don’t have the patience to answer questions and long menus frustrate most customers. 
• Consistency: IVR should be available at all contact channels including VoIP, toll-free numbers, customer care lines, emails, social media, etc. 

Let us jump on how to achieve these traits in an IVR system.

Actionable Strategies to Make IVR Customer-Friendly

The Philippines is becoming the hub for BPOs and call centers. The Filipino call centers have a knack for simplifying the customer journey by simplifying the customer interaction process. Some of the strategies used in the call centers to make IVR more customer-friendly are:

Don’t Overload Menu Options

Long and confusing menus frustrate callers, leading to abandoned calls and dissatisfied customers. More than 45% of customers get frustrated and disconnect calls due to long IVR menus. If your menu has 8-10 layers, the customer will forget what was in the first 2 layers and will never be able to keep going in the call.

The best strategy is to keep the IVR menu concise and relevant. Limit the options to 3-5 in each level. Using a friendly and intuitive tone for conversation also helps a lot. For example,  press 1 for billing inquiries, 2 for technical support, or 3 to register a complaint.  Additionally, including an option to skip menus entirely and directly connect with an agent, provides a safety net for confused callers.

Add a Call Back Option

Most IVRs do not have an option to call back. If you don’t have it, update the IVR menu as soon as possible. This feature is as important as any other option as many customers cannot find resolutions while interacting with IVR. 

If a customer can’t navigate through the IVR menu, with a callback option, the customer can simply request a callback. This way, the business will not lose a customer due to a lack of issue resolution and customers will be happy to be assisted. 

Incorporate Multilingual Support

The Philippines is a multilingual country, with Filipino and English as official languages with many regional dialects spoken nationwide. By accommodating diverse languages, businesses can make customers feel valued and understood.

You can update the first layer of the IVR menu to give the option to choose the language. Offering language options at the beginning of the IVR menu makes it simple for those customers who are more comfortable with the local language.

Use Natural and Conversational Tones that Complement Your Brand

Robotic or monotonous voices are impersonal. People do not want to listen to robots and don’t trust them to solve their issues. 

Adopt conversational AI and natural voice recordings in IVRs. Conversational AI can simulate human-like interactions to make customers feel at ease while conversing. Another way to humanize IVRs is to pre-record agents’ voices in warm and welcoming tones. Prerecorded Voice not only feels friendly but also reflects your brand personality and reputation for hospitality.

Additionally, IVR should include regular updates in a friendly way during the conversation- please hold for 2 minutes, you are 2nd in line, or the agent will connect with you in the next minute to make it feel more natural. 

Enable Personalization 

You cannot just install an IVR system with generic menus. They often fail to address specific customer needs and do not relate to your brand voice. 

The simple way to personalize the IVR system is to integrate it with the existing CRM. Top IVR systems in the Philippines can easily integrate with other technology solutions like CRM to deliver tailored service. By CRM integration, IVR in call centers can increase customer satisfaction and loyalty. 

Provide an Easy Access to a Live Agent

IVR is indeed a way to simplify customer interactions but not everyone is comfortable navigating through long menus. When you force customers to go through these endless menus, they get frustrated leading to a high call abandonment ratio. 

Many call centers in the Philippines prioritize live agent accessibility in their IVR menu to ensure customers feel heard and valued. Including a clear way to reach a live agent in any layer is best to make it a successful tool.

Incorporate Omnichannel Integration

Omnichannel integration is a must for every call center. The same goes with IVR. Today, customers use multiple channels to connect with call centers and expect a seamless transaction from email to call. Disjointed communication channels lead to repetitive interactions and customer frustration.

Call centers should ensure that the IVR system is integrated with other technology tools and channels of communication like chatbots, emails, websites, and social media platforms. 

Future of IVR in the Call Center Industry in the Philippines 

The Philippines is emerging as the “Call Center Capital of the World”. The robust outsourcing industry accounts for 16% of the global call center markets. Known for its exceptional customer service, the country will be a grand market for IVR systems. As technology advances, IVR systems will continue to evolve and become more customer-friendly with AI, automation, and natural language processing. 

The AI-powered IVR is already smart. It uses machine learning to predict customer needs from previous interactions and call history. They also offer creative solutions tailored to the customer without human agent interference. Additionally, with omnichannel Integration, IVRs will continue to ease customer experience across multiple platforms providing a unified communication experience. 

The Philippine’s call center industry is well-positioned to adopt these innovations, setting a benchmark for customer service excellence.

Conclusion: Enhance Your IVR with Lgorithm Solutions

A customer-friendly IVR system is the backbone of call centers in the Philippines. If businesses continue to use the latest analytics and update their IVR systems, they can improve customer experience with IVR, tenfold. Technology solution providers like Lgorithm Solutions can help streamline menus, incorporate personalization, and follow a more customer-centric approach to make IVR systems a powerful tool for enhancing customer experience. By using track metrics like call abandonment rates, average handling time, and menu navigation trends, they can also identify the pain points and continuously optimize the IVR system.