Predictive Dialers vs. Hosted Dialers!


Hardware Predictive Dialers

Definition: The predictive dialer uses a variety of algorithms to predict both the availability of agents and called party answers, adjusting the calling process to the number of agents it predicts will be available when the calls it places are expected to be answered.
English: A predictive dialer is a computerized hardware system that automatically dials batches of telephone numbers on multiple lines for connection to agents assigned to call stations. Predictive dialers are widely used in call centers and are very effective when ran correctly.

My favorite type of Predictive dialing is the hardware based systems that have NO VOICE RECOGNITION. This is a program that causes a slight delay due to the software trying to figure out which calls are reaching live people. It is designed to eliminate disconnects and answering machines. However from my experience you loose about 35% of you’re “pitch able connects” due to the customer saying hello twice. In my office we use a 6 man dialer that calls out on 8 phone lines. My reps pitch 100% of every person that answers the phone because they hear the call ring into the home owner. Each six man dialer should be able to generate about 30-40 mortgage leads per day.

Hosted predictive dialers

Hosted predictive dialers (aka: Web-based predictive dialer, or VoIP Predictive Dialers) use the hosted servers in their model to provide organizations and individuals with a predictive dialer capability without having to buy expensive hardware or phone systems.

-No required investments in computer or telephone hardware
-No required investments in software or licenses
-Administration and support are handled by the service provider
-Links into the system are remote, enabling agents and supervisors to connect from any location
-Software updates and upgrades included.

-Service is dependent on an internet connection; when the internet goes down, so does the service
-Providers using VOIP as their primary delivery method experience limited reliability and performance. There are services with analog phone capabilities but they usually limit you to a certain computer. The services that offer a full VOIP are usually a fix cost and unlimited dialing capabilities.

Auto Dialers

Definition: An auto dialer is an electronic device that can automatically dial telephone numbers to communicate between any two points in the telephone, mobile phone and pager networks. Once the call has been established (through the telephone exchange) the auto dialer will announce verbal messages or transmit digital data (like SMS messages) to the called party.

English: the key technology for auto dialers is the ability to detect the difference between a live human pickup and answering machine or disconnect. These are a little outdated with the newer predictive dialers and hosted services being so much better. I don’t know of any auto dialers that can come close to the basic predictive solutions out there.


With over 8 years of dialer experience in different sized call centers I have come to one major conclusion in dialing as we know it. Predictive dialing is the absolute best way to go. I use the 6 agents x 8 lines per dialer method because my reps get to pitch every single person. This model is great for the small to midsized operations. The nice thing with my hardware systems is that you can stack multiple dialers on one computer so growth is pretty inexpensive in comparison with some autodialing systems that require a computer at each station.

The Auto dialers are almost a thing of the past. The only settings they are good for is big call centers that have 100s of agents and really need to use the Voice Recognition. Due to big payroll costs. These centers have to be only talking to live people even if they loose 35% of the pitches due to the delay. These are not good fro small to mid size operations.

The one down side to the predictive dialers is that they are an investment. They can be costly and for most small business it’s hard to come up with the capitol for a system like this. What I suggest for shops like this is to start out using a cheaper hosted service until you make enough to invest in the in house system. Hosted dialing can be very good but it’s still just a stepping stone to the hardware systems.


57 Responses to “Predictive Dialers vs. Hosted Dialers!”

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