Nuance Communications (NASDAQ:NUAN) today announced that it has signed an agreement to acquire Varolii, the leading provider of cloud-based outbound customer engagement solutions. The Varolii platform is used by many of the world's largest companies to manage outbound customer service communications via automated phone, email and text messages, reaching an estimated one out of every five American adults each year. The combination of Varolii and Nuance will create a comprehensive cloud-based solution that brings together the best of inbound and outbound customer service, resulting in a complete, scalable, secure and cost-effective platform.
Nuance’s customer service solutions support many of today’s largest brands, including AT&T, Barclay’s Wealth & Investment Management, FedEx, Geico, Telstra, T-Mobile, USAA and others. Nuance’s solutions are available across voice, mobile and Web channels, allowing consumers to engage how, when and where they want, conveniently and effectively. Today, Nuance’s customer service solutions process more than 12 billion customer interactions each year across more than 6,500 organizations including 75% of the Fortune 100.
The combination of Nuance’s world-class customer service solutions and Varolii’s Customer Engagement Cloud will accelerate Nuance’s strategy to transform the customer service experience through conversations that are engaging, personalized and proactive. Varolii will bring a full outbound communication portfolio to the Nuance OnDemand Customer Service Cloud, which provides inbound hosted IVR (interactive voice response) and Nina virtual assistant solutions for mobile and Web applications. Varolii also will extend Nuance’s market leadership in cloud-based customer service through the addition of over 400 deployments with enterprise organizations, many of which have implemented complementary solutions from Nuance, including Alaska Airlines, Southern California Edison, SunTrust, and Time Warner Cable.
This acquisition will strengthen and broaden Nuance’s participation in the growing customer service solutions market. According to Forrester Research, 57% of U.S. consumers had unsatisfactory service interactions in the past 12 months and 80% of customer service decision-makers say that improving their customer experience is one of their top two customer service goals. Forrester buyer surveys indicate that 25% of enterprises are considering proactive outbound as a key contact center investment in the next year and that proactive outbound will enjoy excellent growth rates as more and more enterprises adopt it. (i)