Transforming Customer Service: How to Balance Traditional IVR and Conversational IVR to Drive Business Growth


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In the age of digital communication, it’s crucial for businesses to maintain a strong customer service presence. Interactive Voice Response (IVR) systems have long been used to streamline call center operations, but their limitations often lead to customer frustration. With the advent of conversational IVR, businesses can create a more personalized and efficient customer experience, resulting in improved satisfaction and loyalty.

The Problem with Traditional IVR

Traditional IVR systems, with their keypad navigation and predetermined menus, can be frustrating for customers. According to a survey by CCW, 75% of customers find IVR frustrating, leading to a poor customer experience. In his bestselling book, “The Best Interface is No Interface,” Golden Krishna argues that user experience design should be measured by the amount of happiness it brings to customers. The main issues with traditional IVR include limited options, lengthy menus, and a lack of personalization, which can hinder the overall experience.

The Rise of Conversational IVR

Conversational IVR has emerged as a solution to the limitations of traditional IVR systems. OpenQuestion, a new conversational IVR technology, provides a more welcoming and natural experience by leveraging advanced technologies like AI, natural language processing, and natural language understanding. This powerful approach speeds up the support process, reduces customer effort, and ultimately fosters loyalty. With OpenQuestion, customers can use voice commands and describe their needs in their own words, allowing the system to understand their requirements and route them to the appropriate department or information.

3 Benefits of Conversational IVR

Improved Customer Satisfaction and Revenue Growth:
A Forrester study suggests that focusing on improving the Telephone Experience (TX) can result in a 5-10% increase in revenue. Conversational IVR reduces frustration and provides a seamless, effortless, and highly personalized experience that keeps customers coming back. With the global IVR market projected to reach $6.7 billion by 2026, up from $4.2 billion in 2020, there is a growing demand for this technology. By investing in conversational IVR, businesses can stay ahead of the curve and meet customer expectations.

Enhanced Call Center Performance and Cost Reduction:
Implementing AI-driven IVR solutions can have a significant impact on call center performance and cost reduction. For example, a call center managing 10 million inbound calls experienced a decrease in call volume and a net savings of €3.2 million after introducing AI-driven IVR. This not only reduces the burden on call center agents but also results in more efficient operations and better allocation of resources.

Rapid Deployment and High ROI Potential:
By transforming your IVR into an ROI machine, you’ll empower your customers with better service and tap into the incredible potential of AI and natural language understanding. And with the latest technologies available, your IVR can become a Conversational IVR in less than 90 days. This quick deployment means businesses can start reaping the benefits of improved customer satisfaction and reduced costs sooner, leading to a higher return on investment.

In conclusion, businesses need to transform the legact IVR to a conversational IVR to deliver unparalleled customer service. By embracing conversational IVR technology, companies can improve customer satisfaction, reduce call center costs, and drive business growth. In today’s rapidly evolving business landscape, providing a seamless and efficient customer experience is more important than ever. By harnessing cutting-edge solutions, businesses can create a seamless, effortless, and highly personalized experience that will keep customers coming back for more.


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