EU AI Act requires transparency when users interact with AI systems. Specific exceptions exist (law enforcement, etc.), but customer-facing CRM almost always requires disclosure. US state laws expanding similar requirements.

Wording

Plain language. ‘You’re chatting with an AI assistant. Ask to speak with a human anytime.’ Not ‘Our digital service experience is here to help’ (euphemistic). Clarity beats cleverness.

Handoff Signals

User says ‘agent’ or ‘human’ or ‘representative’ — escalate immediately. Don’t require the user to say the exact magic word. Sentiment signals (frustration, repeat phrasing) also trigger escalation.

Trust Cycle

Clear disclosure builds trust. Users who know they’re talking to AI and have clear escape path report higher satisfaction than those unsure. Hiding AI status erodes trust when discovered.

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