We’ve put together this IVR software guide to help you explore the power of call routing and speech recognition and compare the best IVR service providers on the market. The top IVR vendors featured in this guide are ranked and rated based on the research conducted by our experts.
Interactive Voice Response, or IVR for short, traces its origin back to 1930. In the past, IVR solutions were incredibly frustrating and weren’t designed around customer experience. Luckily, times have changed, and so has the role of IVR technology.
Choosing the best IVR system can be a difficult task, but its impact on customer experience and operational efficiency is difficult to ignore. With the right IVR software, you can shorten wait times, fine-tune call routing, and provide customer support. But how can you sift through the multitude of possibilities to select the best IVR service provider that actually meets your company’s needs? The solution is in finding software that provides specific capabilities, like powerful analytics, multiple integration options, and excellent customer support.
So, without any further ado, let’s explore what IVR software is, how it works, and the major benefits of using one and take a closer look at the detailed comparison of the top IVR companies.
What Is IVR Software?
The IVR system is believed to be one of the most valuable tools for enterprises, mid-sized companies, and small businesses operating in customer-facing industries that rely heavily on calls.
The modern IVR technology is well-known for reducing the burden on employees, decreasing expenses, and mitigating long wait times. So what is IVR software, and why is it important?
In a nutshell, IVR is a menu system that you can interact with via keypad selections or voice responses. IVRs are commonly used for customer support and call centers. If you have ever called a business and navigated a short menu that asked you for information to direct your call correctly, you have had a firsthand experience with call center IVR solutions.
Hosted IVRs allow callers to access information through pre-recorded messages (without the neeed to speak to an agent), multiple menu options via touch-tone keypad selection, or IVR speech recognition to route their calls to specific departments or call center agents.
How IVR Software Works
Interactive voice response software allows callers to interact with automated voice messages before they are connected to a human operator. This technology works hand in hand with DTMF tones, i.e., telephone touch tones. Some IVR services can recognize caller voices and have built-in artificial intelligence that allows them to provide appropriate answers to a given response.
IVR speech recognition is also compatible with DTMF tones and makes it possible for callers to communicate using their native language when responding to a prompt. On top of that, phone trees integrated with a cloud-based IVR solution enable call centers to attend to more calls.
Artificial intelligence for call has started making its way to contact centers, eliminating the need for callers to juggle long menus. With AI in the picture, it has become possible for IVR vendors to direct callers to the section of the calling center that they need information from and even directly to live agents.
IVR setups can be modified and customized depending on the brand’s needs. Here is an example of a simple single-level setup where the system presents three options to callers.
Businesses looking to manage many callers can no longer rely entirely on receptionists or call centers.
Implementing the appropriate marketing automation solutions is the only way to personalize conversations, capture all the essential call data, elevate customer experience, and fine-tune sales funnels. Therefore, they look for comprehensive solutions that include interactive voice response software.
Phonexa offers IVR software as part of Call Logic — its call tracking, distribution, and intelligence platform — making every caller happier and more likely to convert.
Why Choose Phonexa’s IVR Cloud-Based IVR Solution
Here’s what Phonexa’s interactive voice response tool offers brands and affiliate marketers:
| Improved customer service | Businesses can rest assured that every caller will be connected to the IVR immediately, offering only helpful information while improving the overall call experience. |
| Enhanced call capacity | Phonexa’s IVR system can shorten the length of every conversation, making it possible to handle more calls and convert more prospective clients. |
| Effective January 25, 2025, businesses must obtain consent from consumers before contacting them via automated telephone dialing system (ATDS). With Phonexa’s Consent Branches, affiliate marketers and service providers can get consent from consumers to comply with the new FCC and TCPA requirements. | |
| Established brand image | Businesses equipped with Phonexa’s IVR constructor can gain access to a variety of IVR voice professionals ready to customize and represent their brand voice. |
| Brands can use a hosted IVR software to identify the issues in the call flow through surveys and captured information. With Phonexa’s IVR tool, brands can optimize call flows and, as a result, reshape customer experience, elevate the performance of support services, and monitor customer satisfaction rates. | |
| Optimized sales funnel | Phonexa enables businesses to look at the customer journey, identify leaks, and optimize IVRs to fine-tune their sales funnels. |
Book a demo to learn how Phonexa can help you elevate customer experience with IVR, or build your plan right away to streamline your campaigns and leverage automated workflows.
IVR Software Comparative Overview
We bring you this comparison chart to help you analyze what each IVR software provider offers and compare features, so you can choose the best ivr software for your business needs.
So, without any further ado, here’s a breakdown of the top 10 hosted ivr software providers:
IVR Software Providers — Detailed Comparison
 |  | |
 | Rating: 5 | Avg Rating: 4.5 |
 | Rating: 4.9 | Avg Rating: 4.8 |
| ✅ | ✅ | |
| The speech recognition technology, part of Phonexa’s IVR software, allows comsumers make voice inquiries and receive assistance from the company representatives. Unlike touch-tone menus, this technology uses the caller’s native language to address specific issues, answer questions, and deliver an unmatched customer experience. | 9 out of 9 other hosted IVR systems offer this feature. | |
| Score | 5 out of 5 | 4 out of 5 |
|
| ✅ | ✅ |
| The voice recording feature provides access to pre-recorded voice messages that greet callers while giving them information about your business. Voice recordings can be done internally or by a professional voice recording company. | 9 out of 9 other IVR providers offer this feature. | |
| Score | 3 out of 3 | 2 out of 3 |
|
| ✅ | ✅ |
| Phonexa’s call analytics provides real-time analysis and capturing of specific call information. The IVR software and call analytics work hand-in-hand to provide businesses with data-analyzing resources and streamline the process of creating and optimizing call campaigns. | 9 out of 9 other IVR providers offer this basic feature. | |
| Score | 5 out of 5 | 3 out of 5 |
|
| ✅ | 🧩 |
| Phonexa’s IVR software allows clients to view and personalize the list of IVR Flows. Phonexa’s clients can create new flows, configure settings, and manage them throught the IVR Constructor. | 6 out of 9 other IVR vendors offer this feature. | |
| Score | 5 out of 5 | 3 out of 5 |
|
| ✅ | 🧩 |
| iClear’s Caller Identity service enables you to perform real-time validation of an customer’s first and last name, address, and other information by a provided phone number. The service uses a third-party database for that. | 6 out of 9 other IVR vendors offer this feature. | |
| Score | 4 out of 5 | 2 out of 5 |
|
| ✅ | ✅ |
| Phonexa’s Cloud PBX words hand-in-hand with the IVR software to whitelist phone numbers reserved in the system for outbound dialing and to monitor and maintain a decent reputation for these phone numbers and make sure these numbers are not marked as spam. | 9 out of 9 other IVR companies offer this feature. | |
| Score | 5 out of 5 | 4 out of 5 |
|
| ⛔ | ✅ |
| Call center scheduling allows to automate the availability of agents by enabling them to set specific dates and times. | 3 out of 9 other IVR vendors offer this feature. | |
| Score | 0 out of 3 | 2 out of 3 |
|
| ✅ | ✅ |
| The call queuing feature allows to keep customers engaged by using such options as holding music, estimated wait times, specific announcements, etc. | 9 out of 9 other IVR vendors offer this feature. | |
| Score | 4 out of 5 | 4 out of 5 |
|
| ✅ | ✅ |
| Phonexa offers 24/7 customer support determine to resolve technical issues and access to a dedicated customer success representative. Phonexa offers the following support options:
| 9 out of 9 other IVR vendors offer access to dedicated help centers, live chat, etc. | |
| Score | 5 out of 5 | 5 out of 5 |
|
| ⛔ | 🧩 |
| Phonexa doesn’t offer time-based routing. | 7 out of 9 other IVR software providers offer this feature. | |
| Score | 0 out of 3 | 2 out of 3 |
|
| ✅ | 🧩 |
| Phonexa’s IVR system allows creating and customizing IVR prompts, greetings, menus, and messages. | 5 out of 9 other software providers offer this feature. | |
| Score | 3 out of 3 | 2 out of 3 |
| Usability | ✅ | ✅ |
| Score | 4 out of 5 | 4 out of 5 |
|
| ✅ | ✅ |
| Call routing builder allows to create intuitive multi-level IVRs to successfully route callers to the departments and individual agents best suited to address their questions, reducing the call handling times. | 9 out of 9 other IVR vendors offer this feature. | |
| Score | 4 out of 5 | 3 out of 5 |
|
| ✅ | 🧩 |
| Phonexa enables clients to record and transcribe phone interactions. This feature helps clients evaluate agent performance, highlight areas for improvement, and gain access to valuable call data. | 6 out of 9 other IVR software providers offer this feature. | |
| Score | 3 out of 3 | 2 out of 3 |
|
| ✅ | 🧩 |
| Phonexa offers clients access to its IVR software as part of a single operating solution for partner and performance marketing across iOS, Android, and macOS. | 8 out of 9 other IVR vendors offer this feature. | |
| Score | 3 out of 3 | 2 out of 3 |
|
| From 40 to ∞ | 30+ |
| Phonexa offers a flexible “Ping URL” integration, supporting headers, authorization, and a twig engine enabling users to build literally any integration they require. The integration list includes but is not limited to the following integration options:
| 9 out of 9 other IVR companies offer multiple integration options. | |
| Score | 5 out of 5 | 4 out of 5 |
|
| ✅ | ✅ |
| Phonexa combines specific AI technologies to provide a single operating solution for partner and performance marketing that ties revenue to channels, networks, campaigns, and publishers. | 9 out of 9 other IVR software providers offer this feature. | |
| Score | 5 out of 5 | 4 out of 5 |
|
| ✅ | ✅ |
| Phonexa offers users a Voicemail Summary report. This report provides an overview of voicemail activities within the Cloud PBX that works hand-in-hand with the IVR system. It allows to track key metrics such as the number of voicemails received, their duration, and status, | 4 out of 9 other IVR service providers offer this feature. | |
| Score | 5 out of 5 | 3 out of 5 |
| Additional features |  |  |
| Customization and a variety of features |  |  |
| Value for price |  |  |
| Overall Score (out of 93) | 83 | 67.5 |
Eight solutions, one ecosystem, total visibility. Book a demo and get a personalized consultation right away!
Why Implement Phonexa’s IVR Software
Businesses often need a sophisticated IVR system that can handle both keypads and voice to keep everything flowing smoothly.
Some marketers have dealt with the inefficient IVRs of the past; these old technologies failed to understand the caller’s commands and led to a frustrating caller experience. Today’s advancements in IVR technology have made these systems much better for consumers and businesses.
Although implementing IVR software is the surefire way to increase the efficiency of your call centers, some customers still believe IVR may negatively impact their experience with the company.
Let’s examine in more detail the pros and cons of using an interactive voice response.
Benefits of IVR
Here are several significant upsides to implementing an interactive voice response system:
| Resolution time | IVR speeds up problem resolution. Your consumers call in, explain their needs to the system, and instantly receive the required information. You can configure your IVR system to divide calls into several groups or categories and assign different agents to each category if you’re dealing with an unusually high call volume. IVR shortens hold times and accelerates the speed at which the issues are resolved. |
| Efficiency | Often, people face the fact that when they call the company, they are transferred from operator to operator. That takes valuable time for both the caller and the company. An effective IVR system will quickly direct the client to the right specialist. |
| Self-service | The customer does not waste time waiting: there is no need to wait for a live operator to resolve the issue. Sometimes a person just wants to know the working hours or payment methods, and there is no need to transfer such a customer to a live person as the automated system may solve the questions. |
| 24/7 working hours | A crucial component of providing excellent customer service is 24/7 assistance. However, only some companies have the staffing capacity to offer round-the-clock support. With the set up of unique FAQs, the IVR can help customers resolve the issue even after hours. That’s also a plus for businesses: fewer calls and reduced waiting times during business hours. |
| Customer experience metrics | Most IVR systems ask the caller to answer a quality of service (QoS) question at the end of a call. And this further helps to improve the service. |
| Team productivity | High call volumes often put call center employees under mental strain, leading to increased wait times for misrouted users, which may negatively impact customer care services. The chance of making a mistake when leading a consumer to their destination is significantly decreased by the automated routing provided by the IVR system. |
Common Mistakes When Setting Up the IVR
IVR systems can be excellent tools for accurately routing customer calls to suitable operators. However, when working with these systems, it is easy to make mistakes and drive customers away.
- Monotony: Endless menus are leading to submenus and so infuriating customers. That often leads to customers wanting to switch to a live operator as soon as possible, ignoring the self-service system. To avoid this, try to keep the menu concise.
- Updates: When your business needs change, the IVR must change too. A common mistake is that the company expands and changes, but the IVR menu remains the same. As a result, the menu becomes outdated: it does not offer suitable options or, in the worst case, provides options that are no longer available.
- No customer experience metrics: Add polls at the end of the call so customers can rate the quality of service and provide feedback. That will allow your business to improve the quality of service.
- Complete automation: Some companies are trying to replace operators entirely with artificial intelligence. Without rigorous testing, such a complex IVR system is likely to fail. It’s best to create a simple design that can handle some queries and gradually increase the complexity.
- Long wait times: The more customers are satisfied with the self-service system, the better. That will result in fewer customers needing operator assistance and reduce the average wait time.
- Overwhelming menu: Brands must avoid creating unnecessary extra options in the menu. Remove the duplicate paths if multiple options or branches lead to the exact location.
- Locking clients inside IVR without a callback option: There is no need to make an IVR a locked cage with no way out. You still won’t service all calls, so you should always allow customers to contact a live operator or order a callback.
- Redirecting customers to the website: It’s never a good idea to send customers back to where they came from. However, if that is necessary to redirect them, the marketing messages should be well thought out and correctly placed.
Voice Recognition in IVR Software
Voice recognition is a pretty new IVR feature. This IVR technology enables callers to respond to particular prompts by speaking, and this process is more accessible than navigating through a menu.
When implemented correctly, voice recognition can help callers identify the zones where their questions will be adequately addressed. The result? Fewer disappointments.
Using the native language to answer callers’ queries offers an incredible customer experience compared to touch tones.
Advantages of IVR System with Voice Recognition
- Speech-to-text: Any identified voice can be translated into text and stored. Then, a variety of new uses for this text storage are possible. A caller can use natural speech to communicate with the system, which can then be recorded as text in a variable and used to search databases and other data structures.
- Text-to-speech: By operating this technology, a computer can use text to create a voice that sounds like a human. It can be used to produce prompts that callers will hear on the spot rather than pre-record them, which is valuable in addition to being part of a translation method. Besides, it significantly increases the flexibility, simplicity, and ease of implementation of contact center modification.
Disadvantages of Voice Recognition in IVR
The level of the interactive voice recognition software, the caller’s phone line connection, and the caller’s diction affect how accurately the system can identify the speaker.
An interactive voice recognition system has its work cut out if your target market is anticipated to have a diverse range of accents. Recognition can frequently go wrong if your consumers call from mobile phones with iffy connectivity.
If the system consistently fails to comprehend your callers, you can discover that many more calls than before the usage of this technology will be forwarded to a human agent to be served.
Combining Artificial Intelligence with IVR Speech Recognition
Artificial intelligence is the latest addition to Interactive Voice Response. This IVR technology takes native language comprehension to the call center to streamline and improve the customer experience.
Check out this article and learn more about effective customer communication and creating IVR scripts that convert.
AI integrates with speech recognition technology through advanced processing and account status or call history. AI and IVR can accurately establish the intention of a caller and provide the appropriate response.
AI can also be used to direct callers to an intended destination in the absence of a phone menu. That saves the callers’ time and is more effective for call centers. The technology reduces the workload on live agents and spares callers from possible frustrations.
Ultimately, it’s essential to know that not all IVRs are created equal.
Personalize Your IVR with Phonexa
Why would a company want to create a custom greeting with its IVR? What’s the point if you just want to direct the call as quickly as possible?
You may want to do this for branding and identity purposes. There are also great branding benefits from consumers calling a company and hearing a custom message. This extra touch can offer a lot of value, giving your callers a personalized experience so they don’t feel like they are taking orders from a machine.
Here are several benefits of using personalized IVRs as part of an all-in-one marketing automation solution:
- Improved call distribution: IVRs can help you prioritize calls. They enable brands to navigate the process and offer their consumers customized IVRs that allow speaking with a live agent or opting for the self-service option. With a customized IVR, a company can specifically categorize calls and distribute customers between the automated IVR sections and live customer service over the phone. From the company’s perspective, you can ensure that your best agents get the right calls, guaranteeing that the most skilled agents receive priority.
- Call prioritization: Companies can prioritize their daily incoming calls using customized IVRs. Every inbound call offers companies an opportunity to convert and improve the value of leads. Customized IVR can identify specific customers and prioritize their service requests. In other words, brands can create customer tiers, such as repeat buyers or club members, consumers with prior brand experience, or even customers with strategic value.
- Satisfied customers: The most significant advantage of IVRs is improved customer service. Once they have made a purchase, satisfied customers frequently return to a company when they have a comparable need in the future. Customers will have a better calling experience when businesses use customized IVRs that effectively segment and prioritize incoming calls based on specific criteria. Callers receive the assistance they require when they do, without delay, saving them time and leaving them satisfied.
- Collecting crucial information: IVRs collect information about your customers. They also redirect calls to the most appropriate agent or department. If your IVR doesn’t send that gathered information to the agent handling the call, and the caller is expected to repeat it back to them, that could be incredibly frustrating. Ultimately, the goal is to make the caller’s experience as pleasant as possible.
Start Leveraging the IVR Software Functionality
The most valuable element of any phone system is its IVR functionality. With dynamic and comprehensive IVR technology, larger companies no longer need to manually route their calls.
Learn how Phonexa’s IVR software can help you create customizable journeys, boost call capacity, and elevate the customer experience by booking a demo.
| Call tracking and distribution | |
| Lead tracking, distribution, and analytics | |
| Cloud phone system | |
| Click tracking and analytics | |
| Bulk email & SMS marketing | |
| User behavior recording & analytics | |
| Suppression list management | |
| Automated accounting |
Build your plan now, or book a free demo to learn more about Phonexa.
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