eCommerce AI Customer Service Platform — UK D2C Brand

RAG Customer Service AI: Retrieval-Augmented Generation (RAG) architecture: product knowledge base (400+ product pages, FAQ, sizing guides), order data (via Shopify API — order status, tracking, return eligibility), and returns policy documents. Vector store: pgvector extension on PostgreSQL. LLM: Claude claude-sonnet-4-20250514 via Anthropic API. Context injection: customer's order history retrieved from Shopify and injected into context. Response: AI generates personalised response with specific order details. Escalation and Human Handoff: AI confidence threshold: responses with confidence < 0.7 escalated to human agent queue. Escalation triggers: complaint language (keywords: "terrible", "disgusted", "Trading Standards"), order value > £500, return after 30 days (Consumer Rights Act repair/replacement rights — human judgement required), and any mention of personal injury. Human handoff: full conversation context passed to agent — no repeated customer explanation required. UK GDPR AI Customer Service Architecture: ICO AI guidance: decisions affecting customers must be explainable and challengeable. AI responses: labelled as AI-generated, with option to request human review. Right to human review: GDPR Article 22 applies if AI makes a decision with significant effect — refusal of return claim escalated to human if customer requests. Data minimisation: order data fetched per session, not stored in AI conversation logs beyond 30 days. Consumer Rights Act 2015 Escalation Rules: AI hard rules for Consumer Rights Act compliance: automatic escalation to human for any request involving: statutory return rights (within 14 days, no reason required), repair/replacement rights (within 6 months — fault must be proven), refund requests for digital content (immediate statutory right), and product safety concerns (OPSS escalation required). AI cannot refuse a statutory right — it can only acknowledge and escalate.