A predictive dialer is a software and hardware system that significantly improves contact and talk times for outbound calling campaigns. It monitors call data and detects invalid responses like busy signals or voicemail, directing calls to agents only when there is a high chance they can answer. This prevents wasted agent time. Predictive dialers also provide reporting on call outcomes and list performance to optimize campaigns. When choosing an outsourced call center, evaluating their predictive dialing technology is important as it impacts efficiency and costs.