IVR Systems Combined with Location-Based Services Creates Revenue Opportunities

Interactive Voice Response (IVR) – even if a consumer isn’t familiar with the term, they have likely interacted with an IVR system. Companies and consumers alike rely on such systems to drive self-service channels. Companies benefit from low-cost customer support and consumers benefit from the quick resolution enjoyed with self-service. 

Another trend that has captured the focus of consumers and business users everywhere is the combination of IVR systems and location-based services. This recent white paper focused on the emerging market opportunities and the direction IVR systems will take as a result of the strong demand growth. 

The combination of location-based services and IVR systems creates a wealth of revenue generating opportunities for any organization seeking to leverage such a platform. Incorporating such solutions into the network has been proven to help companies to lower costs and provide a richer and more valuable experience for end users. 

And, with GPS capability on virtually every phone manufactured since 2005, ABI Research (News - Alert) predicts that location-based services will generate roughly $2.6 billion this year in revenue and grow to $14 billion in 2014. 

Location-based services provide or enhance a service with the use of location information, which is typically latitude and longitude coordinates, of the caller. Platforms can include Web applications that are enhanced with mapping capabilities, demographic studies, location-based marketing ventures, locating a business or finding a point near the caller. 

Services based on location are easily combined with IVR systems as location information is often available over the network obtained by cellular tower triangulation, Global Positioning System (GPS), or a combination of the two, known as enhanced GPS. Location coordinates are used to access information and create an enhanced experience for the user. 

To truly leverage the power of these combined platforms when triangulation and GPS are in play, it is important to understand the technology. The location of a cell phone is determined by its distance from one or more cell towers. In best-case-scenarios, the signal of the cell phone can be picked up by three or more cell towers to enable triangulation. This calculation allows for a location to be determined based on three distinct points, improving accuracy.

So why does the caller’s location matter when it comes to IVR systems? The pairing of the two technologies can be used in a variety of applications, including location-based apps, integrated mapping for call center attendants or emergency dispatchers, and discounts to callers based on “Home Zones.”

While this just brushes the surface of what can be created by combining location-based services with IVR systems, the opportunities are worth exploring to see how you can generate significant revenue by jumping on board this trend.

Susan J. Campbell is a contributing editor for TMCnet and has also written for eastbiz.com. To read more of Susan’s articles, please visit her columnist page.

Edited by Juliana Kenny