Customer Stories
As ecommerce expanded, Tiendas Cuadra faced challenges scaling customer service across channels and delivering timely responses beyond business hours.
Tiendas Cuadra deployed a Microsoft Copilot Studio virtual assistant integrated with Dynamics 365 to automate inquiries and connect conversations to operational systems.
The assistant improved order visibility, reduced agent workload, resolved routine inquiries, and delivered instant responses to customers at any time.
Tiendas Cuadra is a premium retail brand known for high-quality leather boots and accessories that combine craftsmanship, luxury design, and a strong in-store experience.
As digital sales increased, the company needed a more effective way to serve customers who expected fast responses to product and order information. At a group level, Tiendas Cuadra standardized on Microsoft Dynamics 365 Customer Service and Dynamics 365 Finance and it created a virtual assistant built on Microsoft Copilot Studio and Power Platform, integrated with Dynamics 365. The solution improved order visibility and product discovery, reduced the workload for a small customer service team, and enhanced the overall customer experience.
“At a group level, our strategy is to be 100% Microsoft. We wanted something that would integrate cleanly with our CRM and ERP. Microsoft Copilot Studio fit that vision perfectly.”
Diego Olvera, Director of Information Technology, Tiendas Cuadra
For decades, Tiendas Cuadra has built its reputation on craftsmanship, heritage, and premium leather goods. Known across Mexico for its boots, belts, and accessories, the brand blends tradition with modern retail, operating both physical stores and a fast-growing ecommerce business.
As digital commerce accelerated, customers no longer wanted to wait for business hours to ask about product availability, track orders, or confirm delivery times. They expected instant answers, whether browsing late at night, shopping during major retail events, or following up on a purchase made minutes earlier.
For Tiendas Cuadra, meeting those expectations became a critical business challenge. The company already operated an omnichannel customer service model, with agents handling inquiries through phone, website chat, email, social media, and WhatsApp. While this approach worked during normal volumes, it struggled to scale. Outside business hours, customers often had to wait. During peak shopping periods, such as the holiday season, even simple requests like “track my order” could overwhelm the customer service team.
“We needed to be available 24/7,” says Diego Olvera, Director of Information Technology at Tiendas Cuadra. “Customers want to know where their order is, if a product is in stock, or where they can buy it—at any moment. Before, all of that depended on people answering phones, emails, or chat messages.”
Leadership knew the existing model wouldn’t scale as digital sales continued to grow. The company needed a way to automate routine inquiries while still providing accurate, personalized responses and extending customer service beyond business hours.
Although Tiendas Cuadra was already using a third-party chatbot with its ecommerce platform, the tool offered only basic functionality and didn’t integrate with the company’s existing Microsoft Dynamics 365 Customer Service and Dynamics 365 Finance environment. “At a group level, our strategy is to be 100% Microsoft,” says Olvera. “We wanted something that would integrate cleanly with our CRM and ERP. Microsoft Copilot Studio fit that vision perfectly.”
With deep integration into Dynamics 365, Dataverse, Power Automate, and Azure, Copilot Studio enabled Tiendas Cuadra to connect customer conversations directly to operational systems.
A turning point came when Copilot Studio introduced native WhatsApp integration while Tiendas Cuadra was evaluating the technology. What would have required custom development became a built-in capability, reducing cost and complexity while accelerating time to value.
With support from Microsoft partner Algoritmo IT, Tiendas Cuadra standardized on Copilot Studio as the foundation for its AI-powered customer service strategy. Using Copilot Studio, Algoritmo IT and Tiendas Cuadra built a virtual assistant embedded directly into the company’s website. Powered by generative AI and connected to trusted knowledge sources—including the website, product catalogs, store directories, and Dataverse—the assistant was designed to answer the most common customer questions instantly.
Today, the virtual assistant handles order status inquiries, tracks shipments, provides product and catalog information, shares current promotions, and routes more complex issues to human agents when needed. When escalation is required, Copilot Studio creates cases in Dynamics 365 Customer Service, ensuring continuity and personalized follow-up.
Power Automate orchestrates workflows that retrieve order data, validate customer details, and format responses. AI Builder summarizes conversations and generates concise case descriptions, giving agents full context without requiring them to review long chat histories. The result is a tightly integrated, agentic AI solution that combines automation with human expertise.
“The customer doesn’t know they’re interacting with Dynamics 365,” says Manuel Peña Navarro, Dynamics specialist at Algoritmo IT. “But behind the scenes, every conversation can become a case, routed and tracked properly. That’s where the real value is.”
Since going live, the AI assistant has delivered immediate, measurable results. In a single month, it handled more than 400 customer interactions that would otherwise have required human intervention. Order and shipping inquiries made up the largest share, followed by questions about promotions, product catalogs, and availability by size or location.
Quality has been equally important. According to Tiendas Cuadra, the assistant resolves 100% of the customer questions it receives, with response quality consistently above 88% and continuing to improve as the system learns.
For the customer service team, the impact has been transformative. “Our customer service team has only four people supporting a whole universe of customers. Workload has gone down significantly with the Copilot Studio virtual assistant,” says Carlos Damian, Technology Manager, Tiendas Cuadra. “The repetitive ‘track my order’ questions are handled automatically, so our agents can focus on more personalized support.”
The benefits were especially clear during the holiday season. While configuration issues delayed deployment for Mexico’s largest shopping event, El Buen Fin, the assistant proved invaluable during December’s Christmas rush. It helped absorb spikes in demand, prevented agent burnout, and ensured customers continued to receive timely responses.
“Our customer service team has only four people supporting a whole universe of customers. Workload has gone down significantly with the Copilot Studio virtual assistant.”
Carlos Damian, Technology Manager, Tiendas Cuadra
For customers, the experience is simple: instant, accurate answers at any time of day, without waiting on hold or searching through pages of information. For employees, the AI assistant acts as a digital teammate, reducing manual work and providing better context when human follow-up is needed.
“We believe the chatbot we built on Copilot Studio enables much more efficient communication,” says Olvera. “Customers don’t get frustrated, they get answers faster, and that moves us away from internal administrative work.”
Customer satisfaction has risen alongside efficiency. Analytics from Copilot Studio show steady improvements in satisfaction scores and answer quality as the assistant is refined. “We’ve gone from mediocre response quality early on to consistently high scores,” Peña Navarro notes. “That builds trust—with customers and with the business.”
“We believe the chatbot we built on Copilot Studio enables much more efficient communication. Customers don’t get frustrated, they get answers faster, and that moves us away from internal administrative work.”
Diego Olvera, Director of Information Technology, Tiendas Cuadra
The solution has also helped build confidence in AI across the organization. By starting small, proving value, and scaling gradually, Tiendas Cuadra has turned initial caution into enthusiasm for what’s possible next.
The organization is already planning the next phases of its agentic AI journey. One major initiative is image recognition, which would allow customers to upload photos of shoes and receive product matches, styling suggestions, and care instructions based on leather type.
Another priority is expanding the assistant to WhatsApp, bringing the same AI-powered experience to one of the company’s most popular customer communication channels. Longer term, the vision includes enabling customers to complete purchases directly within the conversational interface.
“We’re going in phases,” Olvera explains. “First information, then recommendations, then eventually closing the sale through the same channel. We are excited to expand our use of AI in the future.”
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