Cloudshope Technologies Private Limited

How Do Predictive Dialers Work?

The term “predictive dialer” is often used as a synonym for “auto dialer.” In fact, predictive dialers represent a major evolutionary leap forward from auto dialers.

Most people would assume that if an auto dialer just places another call when an agent hangs up, the agent is spending enough time on the phone.

But if you work in an outbound call center, you know that many dialed calls never get answered. Those that do frequently go to voicemail, or the recipient of the call gets annoyed and hangs up.

In the late 1980s, Douglas Samuelson invented the predictive dialer to solve this problem.

Predictive dialers assume that many calls will go unanswered. They forecast when an agent will wrap up a call based on historical call length data, and begin dialing before the agent actually wraps up the call she or he is currently handling.

This is only half of the story, however. Predictive dialers also deliberately overdial.

Instead of simply dialing one call for each available agent, waiting for the call to end and dialing again, they dial more calls than agents could possibly handle if all of those calls actually got answered (which of course never happens).

Predictive dialers then screen out busy signals, answering machines and hangups to ensure that only live calls get distributed to an agent once she or he wraps up the current call.

The “predictive” part of predictive dialing involves feeding data about call center performance (such as the rate of abandoned calls, average call length etc.) into statistical algorithms, which forecast approximately when an agent will wrap up a call. The diagram below gives a simplified overview of a predictive dialer’s operations:

The good thing about these algorithms? You don’t need to understand them. Predictive dialer systems offer simple, rule-based interfaces that hide all the statistical mechanics of the system from users.

 

While predictive dialers are found in some integrated suites of call center applications, many vendors still offer them as standalone applications. Early dialers were hardware-based solutions, but cloud vendors now offer hosted predictive dialers as well.

What Are the Major Uses of Predictive Dialers?

Predictive dialers aren’t right for all call centers. They’re the most aggressive kind of outbound dialer out there. For some call centers, reaching contacts with a predictive dialer will be like hunting rabbits with a bazooka. However, they’re ideal for the following purposes:

1. Collections: Predictive dialing was born in the collections industry, and while many contact centers are moving to multi-channel operations, there’s little chance a debtor will respond to a Facebook message or text message. If you’re in collections, look for industry-specific features, such as vertical dialing.
2. Billing: Predictive dialers can be used to notify your customers that they have unpaid invoices.
3. Telemarketing: While the DNC Registry places limits on how dialers can be used for telemarketing, they can also be used for this purpose given the high rate of hangups, busy signals etc. when contacts aren’t expecting calls.

Additional Information:

• Item Code: 20012321
• Production Capacity: Unlimited
• Delivery Time: Instant
• Packaging Details: What are the Features of Predictive Dialers? The following features can be found in most predictive dialers: Upload lists Upload lists of contacts for campaigns, generally in .CSV format. Manage numbers Manage numbers in the lists you upload. For example, ensure that even if a number appears twice in a list, it only gets dialed once. You can also avoid calling cell phones or numbers in specific area codes. Do Not Call (DNC) Compliance Track callers¿¿¿ requests to be placed on the DNC list in real time. Upload your organization¿¿¿s DNC list to the National Registry and exclude those numbers from your campaigns. Vertical dialing Upload and dial multiple numbers for each contact (particularly important for collection agencies that need to improve their list penetration rates - i.e., the rate of successful communication attempts out of total communication attempts in an outbound campaign). Custom caller ID/local presence dialing Control the name and number that appears on outbound caller ID. You can also dial out from a number in the same area code as the contact. Call scheduling rules Limit the times of day the dialer begins and ends making calls. Dialing rate Control how many times the dialer rings each contact. Many dialers can adjust the dialing rate according to lead priority for outbound sales calls. Answering machine detection Screens calls answered by machines from agents. Dialers can also avoid voicemail, busy signals, FAX machines etc. Agent scripts Customize predefined, branching scripts that help agents to handle calls consistently throughout your contact center. Pacing algorithms Adjust pacing to meet defined rules. In particular, users can define an acceptable call abandonment rate. If the dialer exceeds this rate, it adjusts pacing by dialing fewer calls until the abandonment rate drops. CRM integration Dialers can integrate with your CRM system to track your agents¿¿¿ activities.

What are the Limits of Predictive Dialers?

The delay that we mentioned before is a big hurdle. Have you ever answered a telemarketing call, only to wait for a noticeable length of time before someone responds to your “Hello?” Perhaps you’ve already started speaking when the agent then interrupts you with a script.

This delay is caused by the fact that predictive dialers only connect live calls, so they “listen” for a human voice before sending the call to an agent. Obviously, this can annoy your customers, so you need to make sure that you’re not calling your most valuable leads with a predictive dialer.

Other types of auto dialers don’t have this functionality, and connect calls without any delay. If courtesy to your leads or customers is more in line with your business goals, consider a standard progressive or preview dialer.

The efficiency gains you can achieve with a predictive dialer are also influenced by the size of your call center. If you only have two agents, it doesn’t pay off to invest in a fancy system to forecast when they’re going to wrap up their calls.

You need to have at least 8 to 10 agents to see the benefits of a predictive dialer.

Finally, predictive dialers can vastly increase your chances of annoying the masses. Make sure you’re complying with the Telephone Consumer Protection Act if you’re operating in the U.S., and check local laws and regulations if you’re not. Many countries place severe restrictions on the use of dialers, particularly predictive dialers.

“I enjoy making hundreds of phone calls to strangers every day,” said no one ever. So, why not make it as painless as possible with predictive dialing tools? We spent hours reviewing features, benefits, and provider websites and found that the best for most users is CloudShope. leverages your CRM and existing contact base to make outbound calling effortless while improving the rate and efficacy of your reps.

When It Makes Sense to Invest in the Best Predictive Dialer Software

If you need to reach a wider audience, close more sales, and don’t want to be left hanging waiting for a lead to pick up your phone.

You need a predictive dialer.

Most sales teams toy with the idea of investing in one.

But when does it make sense to invest in a predictive dialer? 

 

One reason is when you want reps to meet monthly quotas.

Every sales process comprises several steps, including prospecting, outbound calls, and closing the deal.

Sales teams are always under tremendous pressure to deliver.

But despite prioritizing productivity, it isn’t always possible.

After all, there’s a lot on their plate—handling paperwork, documentation, seeking approval on proposals… the list goes on.

The extensive chore list makes it difficult for sales reps to focus on maximizing “real sales.”

Having a predictive dialer in place will help you connect with targeted customers faster.

And as there’s no other way to meet your sales quotas other than talking to more people, you can meet your targets more quickly, too.

So, if you want your sales reps to speak to a larger number of leads and give them quality time to convert them into paying customers, a predictive dialer would make a good bet.

Another reason is when your product is under $200.

If your product or service is expensive, predictive dialers will not be a good option for you. High-ticket products and services usually require a longer lead time and building more of a relationship to close the sale.

 

But if your company is selling low to mid-range priced items, predictive dialer software will be ideal. When your business relies on cold .calling to make sales

Additional Information:

• Item Code: 30021456
• Production Capacity: Unlimited
• Delivery Time: Instant
• Packaging Details: If your product or service is expensive, predictive dialers will not be a good option for you. High-ticket products and services usually require a longer lead time and building more of a relationship to close the sale. But if your company is selling low to mid-range priced items, predictive dialer software will be ideal. When your business relies on cold calling to make sales and doesn¿¿¿t require a lot of technical know-how or support, predictive dialers will help your team get more qualified leads faster. Last, is when you want to be up to date with regulatory challenges. You¿¿¿d be surprised at the number of government regulations different countries have when it comes to phone calls¿¿¿if you weren¿¿¿t aware of them already. For instance, Canada has a Do Not Disturb policy according to which predictive dialers cannot call numbers registered in this directory. Most UK and US-based companies have a two-second rule where a call is considered abandoned if they don¿¿¿t respond in two seconds, after which the dialer must play a recorded message. These regulations increase your call abandon rate, which, in turn, impacts your incurred expense, and not in a good way. If you want to overcome and comply with these regulations and rules, a predictive dialer will be the right choice for you.

About the App: 
The App is used for automating business communications, be it inbound or outbound calls. It helps in effectively and efficiently managing manpower. We understand that every lead or every communication with customer is very important for customer conversion and thus we help and track every such communication. This app provides a way to track your lead end to end using a sophisticated web based automatic CRM panel for both inbound and outbound calls. 

 Features:

• App based automatic auto dialer: Schedule calls to your database using your preferred calling policy and agent group.
• Pre call pop-up for agents: To inform agents about call before the number is dialed.
• Call directly from agents mobile number thus call pick up ratio is very high.
• Track incoming & outgoing calls and upload the report with recording to the web panel.
• Track only the company SIM card if used in dual SIM phone.
• Upload calling data using excel file or filter the data from the web CRM and schedule the call.
• VoIP (Voice over Internet Protocol) support.
• Integration of various cloud telephony services like Missed Call Number, IVR, Toll Free Number, Bulk SMS, Bulk Voice Call etc

Additional Information:

• Item Code: 644006
• Production Capacity: Unlimited
• Delivery Time: Immediate
• Packaging Details: App Based auto dialer for agent tracking

About the App: 
The App is used for automating business communications, be it inbound or outbound calls. It helps in effectively and efficiently managing manpower. We understand that every lead or every communication with customer is very important for customer conversion and thus we help and track every such communication. This app provides a way to track your lead end to end using a sophisticated web based automatic CRM panel for both inbound and outbound calls. 

 Features:

• App based automatic auto dialer: Schedule calls to your database using your preferred calling policy and agent group.
• Pre call pop-up for agents: To inform agents about call before the number is dialed.
• Call directly from agents mobile number thus call pick up ratio is very high.
• Track incoming & outgoing calls and upload the report with recording to the web panel.
• Track only the company SIM card if used in dual SIM phone.
• Upload calling data using excel file or filter the data from the web CRM and schedule the call.
• VoIP (Voice over Internet Protocol) support.
• Integration of various cloud telephony services like Missed Call Number, IVR, Toll Free Number, Bulk SMS, Bulk Voice Call etc

Additional Information:

• Item Code: 550099
• Production Capacity: Unlimited
• Delivery Time: Immedicate
• Packaging Details: App Based auto dialer system

A predictive dialer dials a list of telephone numbers and connects answered dials to people making calls, often referred to as agents. Predictive dialers use statistical algorithms to minimize the time that agents spend waiting between conversations, while minimizing the occurrence of someone answering when no agent is available.^[1]

When dialing numbers one at a time, there are two sources of delay. First, only some fraction of dials are answered; for example, if 1 out of 3 dials are answered, a predictive dialer might dial 3 lines every time an agent becomes available. Second, even dials that are answered take some time before being picked up. If it typically takes 10 seconds for someone to pick up, and conversations typically last 90 seconds, a predictive dialer might start dialing at 80 seconds.^[1] A predictive dialer does so by discarding all tones and only passing "Hellos" from the lead to the agent.^{[citation needed]}

Dialing one number at a time, only when an agent is available, typically keeps agents utilized for 40 minutes per hour (33% idle time). Predictive dialing can increase utilization to 57 minutes per hour (5% idle time).^[1]

Predictive dialers may be standalone hardware devices, cloud-based, or they may be integrated in software with call center or contact center platforms. A cloud-based predictive dialer provides the functionalities of a traditional predictive dialer without requiring installation on the local device and reduces the dependency on the hardware.^{[citation needed]} The dialer can often also perform less aggressive dialing modes such as, power, progressive, or preview dialing.

Call Progress Analysis (CPA), also called Call Progress Detection (CPD), is a generic term for signal processing algorithms that operate on audio during call setup. The goal of CPA is to determine the nature of the callee or the outcome of call setup to an external network (traditional or IP). Specifically, when a call or session is being established, the caller or initiator is interested in knowing if someone answered, if the line is busy, etc. When the caller is an automated application, such as an automated dialer or message broadcasting system, CPA algorithms are used to perform the classification automatically.

Modern CPA methods in combination with automated outbound dialing applications, ensure fast and accurate automated call classification, which automatically translate in better efficiency of agents and higher quality customer interactions.

Traditional Call Progress Analysis implementations rely on simple rule-based algorithms which provide sub-optimal accuracy of speed of processing, leading to significant inefficiencies in operations and issues in meeting compliance from new government regulations.

Using statistical models based on Neural Networks to represent the potential outcomes of an outbound call attempt, companies can meet and exceed these regulations. This approach identifies much better the call patterns that represent call progress events and provides CPA results with far superior accuracy, speed and flexibility compared to traditional approaches.

 

This article ^[2] analyses a live scenario of a Predictive dialing call centre and what the factors to take into account to achieve maximum productivity.

Additional Information:

• Item Code: 405611
• Production Capacity: Unlimited
• Delivery Time: Instant
• Packaging Details: In the UK, Ofcom requires that predictive dialers abandon fewer than 3% of answered calls on a daily basis. Ofcom also requires that if an agent is not available within 2 seconds the call is considered "abandoned" and an automated message is played. The automated message must identify the company making the call, the purpose of the call, a free phone or basic rate phone number to call back on and must not contain any form of marketing. A phone call to the return number must not be treated by the company as an opportunity to market, but to be removed from the calling list. In the UK "abandoned" calls must not be called back within 72 hours unless there is a dedicated agent available. GDPR (General Data Protection Regulation) also requires that the purpose of any call be related to the reason for collecting data in the first place.[citation needed] In the United States, if someone answers but no agent is available within 2 seconds of the person's greeting, Federal Communications Commission (FCC) regulations consider the call "abandoned" and require the dialer to play a recorded message. The FCC requires that predictive dialers abandon less than 3% of answered calls.[3] In 1991 the Telephone Consumer Protection Act prohibited the use of an ¿¿¿automatic telephone dialing system¿¿¿ to contact ¿¿¿any telephone number assigned to a mobile telephone service¿¿¿ without ¿¿¿express prior consent¿¿¿ from the party being called. Dialing ¿¿¿accidents¿¿¿ are not an effective legal defense and penalties run from $500 to $1,500 per violating call.[citation needed] In Canada, the maximum abandon rate is 5%, and calls cannot be made to numbers registered with the National Do Not Call Registry, emergency or health care providers.[4] However, not-for-profit organizations such as survey companies are exempt from the National Do Not Call Registry. In India, an idea was mooted in 2003 to create a National Do Not Call Registry, and finally got implemented in 2014.