Business is booming for IVR systems — and this market segment is poised for even more growth.
Fueled by the increasing adoption of cloud-based customer experience tools, the interactive voice response (IVR) system market is projected to reach $8.30 billion by 2030, with a steady growth rate of 6.31% from 2024 to 2030.
Businesses of all sizes can utilize the benefits of IVR systems. Small to medium-sized companies can take advantage of IVR’s versatility and adaptability. For enterprises, these tools run 24/7, allowing customers to reach a business at any hour without incurring team overtime costs.
In this guide, we’ll discuss different cloud IVR solutions, how they compare with one another, key features to consider when choosing an IVR solution, and how to select the right one for your business.
What is IVR?
Interactive voice response (IVR) is an automated telephony system companies use to manage customer calls. It provides callers with a list of options to choose from using voice or by selecting a number on their phone’s dial pad. When a customer calls a business and hears a pre-recorded voice guiding them through options like "Press 1 for account information”—that's IVR in action.
IVR menus lead customers through a series of prompts with one of two options as the end result:
- Self-service resolution: If the query is straightforward, customers can solve their problems with pre-recorded self-service alternatives. For instance, if a customer wants to know their bank account balance, they can enter their account number followed by an OTP or PIN, and confirm their balance.
- Connect to an agent: If the query is complex or requires human assistance, the IVR system will automatically send the customer to the right agent. Similarly, if a transaction is disputed and the customer needs help, an advanced IVR system can identify the need for specialized assistance and direct the call to the right trained agent.
In both cases, IVR menus offer a range of benefits for customers and businesses alike.
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What are the benefits of using IVR software?
Here are the top benefits to consider as you explore your options.
1. Improve customer service with effective call handling
The best IVR systems are designed to enable customers to resolve their queries as often as possible. An IVR solution can easily direct customers to automated inbound customer service or a knowledge base, resulting in shorter waiting times and more satisfied customers.
2. Save operational costs by automating routine questions
By automating routine calls, you free up your team’s time for more complex issues. Investing in IVR services pays dividends. At Plivo, we’ve seen companies substantially save operational costs by implementing IVR systems. It’s even possible to keep your workforce small and mighty by implementing an IVR system that intelligently routes callers based on specific criteria.
3. Enhance call routing and management capabilities
IVR systems quickly connect your customers to the right department or agent, cutting down on hold times and getting them to the right person faster. Imagine a customer calling with a technical issue. Instead of being bounced around, they go straight to the tech team. It's efficient, less frustrating for the customer, and helps to solve problems faster.
4. Get insight into customer behavior and queries
IVR systems can collect data on what your customers are calling about, helping you spot patterns and trends that can guide your product or service’s future roadmaps. If many callers ask about the same issue, it shows that you need to focus on and fix that issue fast.
5. Provide round-the-clock self-service support
Having customer service representatives on duty around the clock is not the best idea (nor the most affordable one). IVR systems are accessible around the clock and effectively handle customer calls across numerous time zones, which helps businesses solve resource management difficulties.
Key features to look for in an IVR solution
There are a few important factors to consider while selecting an IVR system for your business.
- Customizable call flows: A customizable call flow is a powerful tool for designing personalized IVR experiences for your callers. Create specific workflows and communication channels based on customer needs and preferences.
- Call routing and forwarding: The best IVR systems are well-equipped to handle intelligent call routing and forwarding. That means you can set up the IVR to route calls based on CRM data or other predefined values.
- Speech recognition and DTMF tones: IVR systems are designed to be convenient for both you and your customers. A dependable IVR system should have robust speech recognition and support for DTMF tones (the tones you hear when pressing phone keys). This way, customers can choose their menu option by speaking or pressing buttons, making the whole process intuitive and accessible for everyone.
- Extensive integration: An IVR tool should seamlessly integrate with all popular business systems, including payment processing, workforce management tools, customer relationship management systems, and more. This ensures that your IVR has all the necessary intel to perform operations.
- Analytics and reporting: Strong analytics and reporting features in your IVR system help you track call patterns and understand what your customers ask about. With this information, you can make data-driven decisions to improve your service and address any recurring issues.
The best 7 cloud IVR solutions at a glance
We’ve rounded up the best IVR services to help you choose the right platform for your needs. Read the table below for an overview of our top picks.
The 7 best cloud IVR solutions in 2024
Here’s a rundown of the best IVR systems in the market.
1. Plivo
G2 rating: 4.5 out of 5
Plivo’s standout IVR solution is packed with fully customizable features designed to deliver all the benefits listed in this guide. It offers features like callbacks to hold customers’ place in line and reply on their voice channel, stick routing to route repeat callers to the same agent to improve experience, and feedback to collect important CSAT scores after each call automatically. Plivo’s IVR is highly popular among businesses of all sizes because of its affordability and reliability.
Key features
- Ease of use: Provides easy-to-use APIs and XML, making it easy to create custom IVR flows tailored to meet your business needs.
- Fully customizable: Create multi-level IVR menus tailored to your business. Design custom greetings, prompts, and messages using either pre-recorded audio or text-to-speech.
- Intelligent call routing: Advanced call routing options ensure that calls are directed to the most appropriate agent or department based on predefined criteria such as caller input, agent skills, or business hours.
- Outbound IVR support: In addition to using IVR for inbound calls, you can set up custom menus for outbound use cases such as voting and surveys.
- Global reach: Get stable connections in more than 220 countries and territories.
- Developer-friendly: Access comprehensive documentation and a helpdesk for developers.
- Reporting and analytics tools: Get insights into call patterns, customer interactions, and system performance.
- Scalability: Easily adjusts to the needs of your business; suits growing companies perfectly.
Is Plivo right for your business?
If you are looking for a cost-effective but scalable communication solution with a user-friendly interface and robust API capability, then Plivo may be the perfect IVR system for you. It is particularly helpful for businesses that are dependable on voice and/or SMS services globally.
Plivo pricing
Generally, Plivo's pricing is considered competitive compared to other players in the market. Please refer to the official website for more details about our pricing.
2. Twilio
G2 rating: 4.2 out of 5
Twilio is known for its flexibility and rich developer tools, thus becoming a favorite business option for firms that require customized communication solutions. The company’s strong global presence and reliable infrastructure ensure high service availability.
Key features
- Customizable call flow: Build and modify call flows using the drag-and-drop interface in Twilio Studio.
- Call routing: Automatically route callers to the appropriate department or escalate to live agents with context collected by the IVR.
- Extensive API library: Supports diverse communication tasks.
- Global reach: Get stable connections in more than 180 countries.
- Developer-friendly: Access comprehensive documentation and a helpdesk for developers.
- Scalable: It can grow as your company grows.
Is Twilio right for your business?
Twilio is well-suited for businesses that want customizable and scalable communication systems. For instance, it would be ideal for companies with strong development teams to utilize its many API options.
Twilio pricing
3. Talkdesk
G2 ratings: 4.4 out of 5
Talkdesk is popular because of its friendly user interface and reliable customer support.
Key features
- Multi-level IVR: Set up multiple customizable menus, levels, and prompts.
- Customizable call routing: Multiple routing options are available.
- AI-powered tools: Use functions like predictive dialing and speech analytics.
- Seamless integrations: Integrates well with popular CRM software like Salesforce.
Is Talkdesk right for your business?
If you need a reliable, easy-to-use call center solution with advanced AI features and seamless CRM integration, Talkdesk could be a good match for your business.
Talkdesk pricing
4. CallHippo
G2 rating: 4.4 out of 5
CallHippo is loved for its cheap cost and ease of use. This IVR is a great option for small to medium businesses that need a straightforward, functional solution.
Key features
- Multi-level IVR menus: Create multi-level IVR menus to route calls intelligently based on predefined criteria.
- Customizable IVR menu: Customize call flow based on your needs.
- Call routing: Automate call distribution using smart call routing based on various parameters.
- Analytics tools: Get detailed insights into call data, performance metrics, and agent productivity.
- Integrations: Integrates well with popular third-party tools like Zapier, Pipedrive, and HubSpot.
Is CallHippo right for your business?
If you are a small or medium-sized business looking for an inexpensive, easy-to-install IVR solution, CallHippo may be your best bet.
CallHippo pricing
5. Dialpad
G2 rating: 4.2 out of 5
Dialpad is on this list for its advanced VoIP features and seamless integration with Google Workspace and Microsoft Office 365. It's ideal for businesses looking for a modern, cloud-based communication solution.
Key features
- Easy setup and customization: Create and customize call flows easily using their online dashboard.
- Call routing and forwarding: Set up call forwarding to multiple numbers.
- Analytics tools: Get real-time tracking of important metrics.
- Integrations: Integrates with popular tools like Salesforce, Zendesk, Google Workspace, HubSpot, and Microsoft Teams.
Is Dialpad right for your business?
Dialpad is perfect for businesses that need advanced VoIP features and strong integrations with other business tools. It’s beneficial for remote teams.
Dialpad pricing
6. Genesys Cloud CX
G2 rating: 4.3 out of 5
Genesys Cloud CX is an AI-powered contact center platform that enhances customer and employee experiences. It features easy-to-use tools like drag-and-drop flow building, omnichannel bot support, and advanced speech recognition, making it ideal for businesses needing a scalable and versatile IVR solution.
Key features
- Drag-and-drop flow builder: Create multilevel IVR interaction flows and menus using a simple drag-and-drop interface.
- Omnichannel bot support: Design and manage self-service flows in one app, making them available on voice, web, SMS, or messaging channels with full context.
- Speech enablement: Automatic speech recognition for menus or integration with native and third-party natural language understanding (NLU) for improved accuracy.
- Customer identification and personalized routing: Identify customers and verify their identity during self-service.
- Open APIs: Use public APIs to better manage and configure call flows, audio prompts, and other data.
- Visual and adaptive IVR: Provide intuitive touchscreen navigation for customers and build self-service applications that adapt to real-time customer journeys across channels.
Is Genesys Cloud CX right for your business?
Genesys Cloud CX is ideal for businesses seeking a comprehensive, scalable, and AI-powered IVR solution. The platform’s extensive integration capabilities and omnichannel support make it a versatile choice for companies across various industries, from healthcare to retail.
Genesys Cloud CX pricing
7. Nextiva
G2 rating: 4.5 out of 5
Nextiva is a unified, AI-powered customer experience platform. As part of its contact center solution, it offers both a basic IVR and an advanced IVR. What makes Nextiva stand out from other IVR services is its AI-powered tools, which enable customers to speak in their natural language, state their requests, and get help instead of relying on a long list of IVR menus.
Key features
- Conversational AI: Offers open-ended prompts, automates routing intelligently, queues callback, and more.
- Speech recognition and text-to-speech: Integrates with advanced speech technologies to offer voice commands and text-to-speech capabilities
- Customizable call flows: A web-based portal offers pre-built templates and drag-and-drop functionality for easily creating and managing call flows.
- Virtual agents: Automate routine interactions using AI-powered virtual agents, freeing up human agents for more complex tasks.
- Integrations: Seamlessly connects with CRM systems, databases, and other tools.
- Analytics tools: Provides comprehensive analytics on call interactions.
Is Nextiva right for your business?
Nextiva is an excellent choice for businesses seeking a robust, scalable IVR solution. Its advanced call routing, integration capabilities, and AI-powered features suit companies of all sizes.
Nextiva pricing
Get started with Plivo today
The right IVR solution is different for every business. Start by understanding your business’s needs and goals, listing specific must-have and nice-to-have features like customization, global presence, and customer support.
Think Plivo might be the right IVR solution for your needs? Get started with Plivo.
