How an IVR System Works
IVR (Interactive Voice Response) is an automated telephone system that allows callers to interact with a business using voice prompts and keypad inputs. When a caller dials a designated number, the PSTN (Public Switched Telephone Network) routes the call to the IVR server, which plays recorded prompts and captures the caller’s selection. Based on the selected option, the system determines the appropriate service or action.
The IVR server can connect with a database server to retrieve customer or account information and uses a voice processor to manage the audio interaction. If the caller enters an invalid option, the system plays a wrong prompt and requests another input. This enables businesses to automate common enquiries, payment-related requests, account information, and customer-support interactions while providing callers with a structured self-service experience.