Shopify Data Explained: What Exactly Do You Own?

Shopify is a Canadian multinational eCommerce company. In 2020, it grew by 71% as more businesses joined the platform, generating

$522.1 million in merchant profits. As an eCommerce platform, its excellent value proposition has helped many businesses thrive in the online arena. However, many prospective merchants harbor legitimate concerns around data protection and ownership on this giant eCommerce platform. Let’s take a look at how Shopify data works.

Who Owns My Shopify Data?

At Shopify, you have full ownership over your shop and domain name, whether it’s purchased through Shopify or a third-party company. As a merchant, you are responsible for deciding how the personal information of your customers will be used, and it is your responsibility to make them understand how Shopify (on your behalf) processes personal information.

If you are collecting “sensitive” personal information from customers, you should get their consent. This eCommerce’s guiding principle is that Shopify data belongs to the merchants, and when/if they do use it, it is to the merchants’ benefit.

Can I Trust Shopify with My Data?

Shopify for eCommerce follows strict data policies. They do not share personal information with third parties unless you have given them permission to or if it’s legally required. In the case of the latter, Shopify is legally required to tell merchants in advance unless it’s legally forbidden.

Legally, Shopify is a “data processor” and “service provider.” Customer data captured by the platform will not be sold to third parties, nor will it be used to market or advertise to your customers unless you are using one of their applications or services directly.

There are times when Shopify does share information with others. This is predominantly when purchases are made, as Shopify relies on several service providers to help make these purchases, which requires sharing of personal information. Nothing can be bought online without sharing some details like payment and shipping information, for example.

Other times, the platform may use personal information to prevent or investigate suspected fraud, contract violations, or threats to physical safety. While Shopify does use data collected via Cookies to conduct marketing and advertising, it is primarily to do with how you access and use the platform so that they can improve user experience. Shopify does not share information from your connected personal email account or from purchases made through Shopify stores.

What Happens to My Shopify Data if I leave?

Shopify retains store information for two years before they delete personal information, even if you migrate your store to another platform. They don’t delete data immediately in case you want to deactivate your account or if there is a legal complaint or audit related to your eCommerce store.

You can request the platform to delete personal information after 90 days of terminating your account unless the platform is legally required to retain specific information. It’s important to note that once Shopify anonymizes personal information, they continue to utilize non-identifiable data to improve their services.

Conclusion

Shopify for eCommerce has integrated General Data Protection Regulation-compliant features, allowing transparency and control over your data. As an eCommerce platform, it strives to process and use data securely and safely as required to fulfill contractual and compliance obligations.

At Catapult Revenue, we highly recommend Shopify to clients who wish to open an eCommerce store. As an eCommerce agency specializing in Shopify, we have experts to help your eCommerce store generate revenue. Call us today at (312) 925-0447, or click here to find out more about Shopify for eCommerce.