🛒 RetailTechOn Time📋 Fixed Price

RetailTech AI Personalisation Engine — UK Fashion Retailer

UK6 min readUpdated June 2025
Region
UK
Contract
Fixed Price
Tech Stack
7 Technologies
IP
100% transferred

Project Overview

A UK fashion retailer with 2.8 million registered customers and £180M annual online revenue wanted to build an...

Technology Stack

Python/FastAPIAWS SageMakerNext.jsPostgreSQLSnowflake (data warehouse)Segment (CDP)AWS eu-west-2

Compliance & Standards

UK GDPRPECR (ICO cookie guidance)ICO Responsible AI guidanceCyber Essentials
Step 01

The Challenge

A UK fashion retailer with 2.8 million registered customers and £180M annual online revenue wanted to build an AI personalisation engine — replacing their legacy recommendation system (rule-based, last updated 2019) with a real-time ML model. UK GDPR consent-based personalisation (ICO Guidance on Cookies and Similar Technologies), PECR for personalisation tracking, and a Responsible AI framework (transparency and non-discrimination) were the requirements. Budget: £110,000.

Step 02

Our Approach

Personalisation ML Architecture

Collaborative filtering model (Matrix Factorisation using implicit feedback — browse, add-to-bag, purchase, return) deployed on AWS SageMaker.

Feature engineering

  • user recency/frequency/monetary (RFM), category affinity scores, brand affinity, price sensitivity, seasonal behaviour patterns.
  • Real-time inference: SageMaker real-time endpoint (p95 &lt
  • 80ms) serving Next.js product recommendation components.
  • UK GDPR Consent-

ICO cookie guidance

  • personalisation based on browsing history requires PECR consent (not legitimate interest).
  • Consent-tier architecture: Tier 1 (no consent) → session-based recommendations (no persistent profile), Tier 2 (analytics consent) → cross-session recommendations using anonymised ID, Tier 3 (personalisation consent) → full ML personalisation with named account profile.

Consent withdrawal

profile deletion within 24 hours.

Responsible AI Framework

Non-discrimination audit: personalisation model tested for proxy discrimination (price sensitivity score correlated with postcode-inferred deprivation index — removed as feature).

Transparency

  • "Why am I seeing this?" explanation on every recommendation (driven by: your recent views, similar customers, trending in your size).
  • Right to object to automated decision-making: opt-out of ML personalisation returns to editorial curation.

A/B Testing and Revenue Attribution

Multi-armed bandit (not pure A/B) for faster convergence: Thompson Sampling allocation between model variants.

Revenue attribution

ML recommendations tagged with recommendation_id — tracked through add-to-bag and purchase events via server-side analytics (not client-side — PECR compliant without additional consent).

Statistical significance

Bayesian approach (probability of being best, not p-value).

Step 03

The Results

Model live at 14 weeks, £102,000 — under budget.

Revenue per session (personalised vs non-personalised): +23%.

Email click-through rate with personalised product picks: +41%.

Return rate: −8% (better size/style matching).

PECR compliance: ICO cookie audit zero findings.

Responsible AI audit: zero discriminatory proxy features.

Consent rate for personalisation: 67% (industry benchmark: 55%).

Client Testimonial
23% revenue per session uplift on a £180M business is material. The PECR-compliant consent architecture getting 67% opt-in (vs 55% industry benchmark) proves that transparency builds trust. The Responsible AI audit removed the postcode proxy — which was the right decision commercially and ethically." — Chief Digital Officer, UK Fashion Retailer (name withheld)
ClickMasters Case Study Team
Reviewed by James Whitmore, CTO

Project Details

Sector
RetailTech
Country
UK
Status
On Time
Contract
Fixed Price
Tech Stack
7 Technologies
Reading Time
6 min
IP Ownership
100% transferred
Last Updated
June 2025
Written By
ClickMasters Case Study Team
Reviewed By
James Whitmore, CTO

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