The 6 Types of IVR Routing and When to Use Each

Interactive Voice Response (IVR) routing is a way to guide callers to the most appropriate agent, department or service center to answer their questions, resolve their queries, and meet their specific needs.

The final result? Greater customer satisfaction and optimized call management for your company.

IVR is a strategic tool that benefits callers by reducing their wait times and improving service accuracy. With a well-optimized routing system, they can easily find the apartment they are looking for without being transferred from one agent to another.

The key is to design call flows that take advantage of the different types of IVR routing. Each serves a unique function and has specific scenarios for which it is best suited. Most companies use more than one type.

These are the six types of IVR routing I will cover:

1. Caller ID routing.
2. Data-directed routing.
3. Location-based routing.
4. Routing menu options.
5. Time-based routing.
6. Skills-based routing.

Most modern business phone services and call center software include built-in tools for setting up basic IVR routing. Administrators can easily configure the IVR for a single office or a simple telephone network without the help of a specialist. Complex IVR routing may require specialized support, as well as third-party upgrades and integrations.

1. Caller ID Routing

Caller ID routing uses the caller's phone number to determine the best course for the call. This method is best if you need to create a personalized experience for frequent callers or prioritize important clients.

If that's the case, you can configure your company's IVR system to recognize the phone numbers of existing clients or VIP clients. When these customers call, the system will direct them directly to a dedicated account manager or priority support team.

This ensures that high-value customers receive immediate and personalized attention, which should keep them happy.

Beyond that, you can also use caller ID routing to identify and redirect frequent callers to specific departments they regularly interact with. This will streamline the caller journey by reducing the need to repeatedly navigate the IVR menu and will also help your business manage call queues more effectively.

In short, caller ID routing is a good way to offer a personalized experience to high-value customers or optimize service for existing ones, which should boost customer loyalty.

2. Data Directed Routing

Data-driven routing uses your customer's previous interactions to improve call flows and create a more personalized experience for callers. By accessing customer data such as purchase history, account information, or previous service requests, this type of IVR routing intelligently directs the call to the most appropriate agent or department.

Callers, identified by account history as overdue, can be routed to collections, for example, or routed based on real-time information, such as account status or service level agreements. From there, customers can obtain information or make a payment using the IVR.

Avoiding general inquiry channels saves the caller time. It also ensures that they speak to an agent who is already familiar with their specific requirements.

Callers will appreciate data-driven routing because it personalizes the service and reduces the need for them to repeatedly provide the same information over and over again. Like the other types of routing on this list, if you use it correctly, you'll see higher satisfaction rates and ultimately, greater customer loyalty.

3. Location-based routing

In location-based routing, the IVR system uses the caller's geographic location to direct their call to the nearest or most appropriate service center or representative.

This method is most useful if your company has multiple regional offices or service areas, as it ensures that callers get localized support tailored to their specific region.

Let's say you have a retail chain with stores across the country. You can use location-based routing to ensure that callers are connected to the store closest to them geographically.

This approach also allows region-specific information, such as local promotions or inventories, to be accurately conveyed. Similarly, if you have a region-specific service business, such as a utility company, callers can automatically connect to local offices for more relevant assistance.

Overall, location-based routing gives callers a more personalized experience while helping your business manage call volumes more efficiently across different locations.

4. Menu Options Path

This is one of the most familiar types of IVR routing. As the name implies, callers have a variety of menu options to choose from. Based on your selections, your call is routed to the most appropriate agent or department.

The great thing about this method is that it is very versatile and can be customized to fit a wide range of service needs. For example, a utility company could use menu routing options to classify calls into billing, outage reporting, or general inquiries.

By pressing the corresponding number on your keypad, callers can quickly navigate to the appropriate department without having to speak to an intermediary. This not only speeds up the call handling process, but also ensures that callers are connected to the agents best equipped to resolve their specific issues.

Menu options can also be great for improving efficiency. It can be designed to reduce high call queue times during peak hours by distributing calls based on query type. During a promotional period, for example, a retail company may have a dedicated menu option just for promotional inquiries, which helps if you expect an increase in these types of calls.

5. Skills-based routing

Skills-based routing is one of several important features of call center software. It's all about connecting callers with the most qualified agent possible. This is especially helpful if a customer has a more technical issue or needs additional guidance that requires assistance from one of your more experienced agents.

This type of IVR routing analyzes the caller's input or profile and then routes the call to an agent or department with the necessary expertise.

This method is particularly effective for technology or software companies, or any company whose calls tend to require specialized knowledge or handling.

Your technology company could use skills-based routing to direct technical support queries directly to your IT specialists or route billing-related calls directly to the finance department.

Since this routing method quickly connects callers with someone with the expertise to help them, it can help resolve their issues more efficiently, meaning higher levels of customer satisfaction for your call center.

Skills-based routing can also be programmed with a language component or preference. For example, a caller with a preference for Spanish could be routed to a Spanish-speaking agent, making service more accessible and personalized.

6. Time-based routing

Time-based routing is exactly what it sounds like. This IVR system routes calls based on the current time of day.

Does your business need to take calls outside of business hours or when different shifts are in operation? Time-based routing is particularly effective for these use cases. Allows you to set up predefined rules that automatically forward calls to the correct destination based on the time they are received.

This is pretty easy for offices with standard business hours. For virtual contact centers, companies operating in multiple time zones, and other organizations with distributed workforces, this routing method becomes absolutely vital. If your business receives a customer service call after hours in one time zone, it could be redirected to an office in a different location where agents are still working.

Likewise, during weekends or holidays, calls can be forwarded to mobile numbers or voicemail. In this way, customer queries are not left unattended.

Time-based routing is a great way to improve the customer experience by reducing wait times and ensuring concerns are addressed promptly, no matter what time customers call.