E-commerce Mid-size Home Goods Retailer
E‑commerce Support: AI Chatbot Handles 60% of Inquiries
A mid-size retailer reduced support ticket volume by 60% with an AI chatbot trained on product catalog and return policies.
The Problem
A home goods retailer with 50,000+ SKUs was fielding 800+ support tickets per week. Most questions were repetitive: order status, return eligibility, product specs, and shipping timelines. The support team was stretched thin, and response times stretched to 24–48 hours during peak seasons.
The Solution
We implemented an AI-powered support chatbot that:
- Indexes the product catalog and policy documents into a vector store for semantic search
- Answers questions in context using RAG—retrieving relevant product pages, FAQs, and return policies before generating a response
- Escalates to humans when confidence is low or the user explicitly requests an agent
- Integrates with the order system via API to provide real-time order status and initiate returns
The chatbot is embedded on the site and in the help center. It uses a single LLM with strict guardrails to avoid hallucinating product details or policy terms.
The Outcome
- 60% of inquiries resolved without human intervention
- Average response time dropped from 18 hours to under 2 minutes for bot-handled queries
- Support team capacity freed for complex issues and high-value customers
- Customer satisfaction improved as common questions got instant, accurate answers
Considering an AI support assistant? Let’s talk.
Have a similar challenge?
Talk to us →