Lactic acid is an alpha hydroxy acid, and it does two separate jobs on skin. First, it is a humectant — it holds water in the surface layer, and it occurs naturally in skin as part of what is called natural moisturizing factor, the mix of small molecules that keeps the outer layer flexible. Second, at higher concentrations it breaks the bonds between dead surface cells so they shed instead of building up as scale. That combination is unusual: most exfoliants dry the skin while they exfoliate it.
The ammonium part is what makes it usable over large areas. Plain 12% lactic acid is acidic enough to sting sharply. Partly neutralising it with ammonium hydroxide raises the pH to around 4.4 to 5.5, which takes most of the sting out while keeping most of the effect. It is the same active doing the same thing with the edge taken off — which is why ammonium lactate can go on both legs daily and undiluted lactic acid cannot.
Nearly everything here is local irritation, and nearly all of it is managed by adjusting how often you use it.
Do not start it on skin that is broken, cracked, weeping or actively inflamed. Settle that first — the sting is severe and it does nothing useful on skin that is not intact.
Do not use it on infants and young children without a doctor's direction.
Do not use 12% on the face. It is a body product, and there are gentler options for facial skin.
Do not use it on anyone who cannot avoid sun on the treated area and will not use sunscreen. That is not a soft recommendation — the photosensitivity is real, it lasts about a week past the last application, and on brown and Black skin the consequence is dark patches that take months to fade.
Avoid it if you have reacted to lactic acid or another alpha hydroxy acid product before.
Pregnancy and breastfeeding: topical lactic acid is generally considered acceptable and very little is absorbed. There is no restriction on it.
Otherwise there is no group who has to avoid it.
Day one. Skin feels softer and less tight straight away. That is the humectant half working, and it happens at any strength.
Two weeks. Roughness starts to reduce. Keratosis pilaris bumps feel smoother to the hand before they look different in the mirror.
Four to six weeks. The honest point to judge it, and where the trials measured. Expect noticeably smoother, less scaly legs and arms, and a real reduction in the roughness of keratosis pilaris.
Eight weeks. About as good as it gets. If nothing has changed, the answer is a different ingredient rather than more of this one.
What it will not do. It does not clear keratosis pilaris. The bumps get smaller and much smoother, and most people still have some. It also does very little for the redness around each bump, which is often what people actually dislike. Anyone selling you a cure for keratosis pilaris is overselling — there is not one.
When you stop. Roughness returns over four to eight weeks. This is maintenance, not repair. Most people who do well on it drop to a few times a week rather than stopping.