Interactive Voice Response (IVR) is a key technology used by contact centres to manage incoming calls efficiently.
It allows customers to navigate menus and access information without always needing to speak to an agent.
To find out more, we asked Tom Baker, Senior Product Manager at Vonage, to explain what an IVR is.
Video: What Is an IVR?
Watch the video below to hear Tom explain IVR technology:
With thanks to Tom Baker, Senior Product Manager at Vonage, for contributing to this video.
What Is an IVR?
Interactive Voice Response (IVR) is a system used in contact centres to manage and direct incoming calls.
“Historically, an IVR was interactive voice response. It’s a feature within your PBX or your contact centre system that allows you to present a menu to a caller that they can interact with, typically via the keys on their telephone keypad.”
It enables contact centres to present callers with automated menus, allowing them to select options and access information without immediate human assistance.
Originally, IVR was a feature within PBX or contact centre platforms, but it has since evolved to control the entire caller experience.
How IVR Works
Traditionally, IVR systems required callers to navigate menus using their telephone keypad, selecting options such as “Press 1 for sales” or “Press 2 for customer service.”
“Everyone’s interacted with these, where you press one for sales, press two for service. The feature has expanded.
It now effectively encompasses all of the technology that allows you to control a caller’s experience throughout a telephone system, from the point that they ring your number, all the way through to the point where they actually speak to a person.
That would be your IVR technology that can be used to control the caller’s experience in its entirety.”
Today, IVR can manage the entire call journey, from the initial dial-in to the final resolution – sometimes without the need for a live agent.
Depending on its design, an IVR system can either route calls to the appropriate department or provide fully automated self-service solutions.
Expanding the Role of IVR
Modern IVR solutions offer advanced functionality beyond basic call routing. They can handle common tasks such as balance enquiries, appointment scheduling, and order tracking.
With the integration of speech recognition, artificial intelligence, and self-service capabilities, IVR systems improve efficiency and enhance customer experience.
“Depending on how you build your IVR and what you’re trying to do with it, you may never actually deliver a call to a person.
You may instead serve the entirety of the customer’s requirements from within that menu and that automated experience.”
Whether used to streamline call management or enable full automation, IVR remains a valuable tool for contact centres looking to optimise customer interactions.
If you are looking for more great video insights from the experts, check these out these videos next:
- What Is Customer Analytics?
- At What Point Should You Move From Spreadsheets to WFM?
- How Do Chatbots Work?
Author: Tom Baker
Reviewed by: Robyn Coppell
Published On: 4th Jul 2022 - Last modified: 1st May 2025
Read more about - Video, IVR Solutions, Tom Baker, Videos, Vonage