A Predictive Dialer is designed to predict or rather anticipate when the next representative or agent will be free and when the next hello will be detected.

It is an intelligent outbound call processing system using complex mathematical algorithms to predict when to dial next. The following sequence of events take place:

•  In call centers and other applications where predictive dialer is employed, information pertaining to telephone numbers of people and businesses to be called are stored in a network server. All agents are linked to the server.

•  The network is also linked to the predictive dialer, which can be either a hard dialer or a soft dialer.

•  With agents at work, the server and/or the dialer starts dialing the numbers. The calls are then managed by the dialer.

•  In case of silence at other end, the dialer will hang up. From the other calls, the dialer will screen out busy, unanswered, and answering machine calls. Only the live calls are put through to the agents.

•  The instant agent gets connected to a call, all information pertaining to the call gets displayed on the agent's screen.

•  It automatically and continuously adjusts its calling patterns depending on the following factors:

•  average number of rings before a customer picks up the phone

•  percentage of dialed phone calls that are answered

•  average length of talk time on each phone call-if the system detects that the calls are short, the predictive dialing program adjusts to dial more numbers

•  number of agents using the system-if fewer agents are available predictive dialing program adjusts to dial less frequently

•  desired abandonment rate-(a call is said to be abandoned if the person hangs up before the dialer switches the call to a free agent)this percentage of people will not have a live telemarketer available to talk to and will have to hang up

Based on the above factors, sophisticated mathematical equations dynamically calculate the pace at which to dial out, to keep all agents talking. The pace should be such that it minimizes the waiting period of the agents at the same time keep abandoned calls down to acceptable levels.

Predictive dialing works on the principle of dialing ahead . After assessing the number of agents it has, it will dial approximately double the telephone numbers. This prevents agents from sitting idle.

But too many calls are also difficult to handle if there aren't enough agents to engage them. As a result some of the excess calls get dropped. The person dialed gets disconnected almost instantaneously.

The predictive dialing program doesn't give the agent any choice as to which customer is to be dialed. It dials on its own and hands the called party to the agent. So the dialer owner makes more money per hour as the agent makes more productive calls per hour.

The principle of predictive dialing requires that lists be shared and not that a caller can call only his or her leads. The call can be transferred to any available agent. The agent does not need a personal approach with the customer and desires only to present a sales pitch.