IVR - Interactive Voice Response is a software application that accepts a combination of voice telephone input and touch-tone keypad selection and provides appropriate responses in the form of voice, fax, callback, e-mail and perhaps other media.

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IVR is usually part of a larger application that includes database access.
Enterprises are increasingly turning to IVR to reduce the cost of common sales, service, collections, inquiry and support calls to and from their company.

Common IVR applications include:

Competitions
Surveys and polls
Televoting
Chat Lines
Dating Services
Information lines
Promotional campaigns
Horses and Football Betting Lines
Joker and Lotto Results

Historically, IVR solutions have used pre-recorded voice prompts and menus to present information and options to callers, and touch-tone telephone keypad entry to gather responses. Modern IVR solutions also enable input and responses to be gathered via spoken words with voice recognition.