The possibility of leveraging the data provided by smart meters to understand the load characteristics is studied in this paper. The loads are modeled as voltage-dependent elements to increase the accuracy of volt-VAR optimization (VVO) techniques for distribution systems. VVO techniques are part of the distribution management system and may be used for purposes such as loss reduction, voltage profile improvement, and conservation voltage reduction. A deterministic framework is proposed that formulates the VVO problem as a mixed-integer quadratically constrained programming problem, which is solved efficiently using advanced branch-and-cut techniques. The proposed framework is capable of optimally controlling capacitor banks, voltage regulators, and under-load tap changers (ULTCs) for day-ahead operation planning. The results indicate that loss reductions of up to 40% and a total demand reduction of up to 4.8% are achievable under some loading conditions in a radial test system. The effect of the load voltage dependence is also demonstrated through analytical simulations.