Guide to Shopify Network Intelligence: Updated Terms of Use and Best Practices for Cross‑Border and Overseas Local E‑Commerce

Shopify Network Intelligence is a mechanism that enables Shopify to securely utilize merchant and customer data to provide "Enhanced Services" aimed at growing merchants' businesses through more appropriate marketing and targeting services.

This implementation will add new requirements to terms of use and privacy policies that merchants will need to address.

Learn more Requirements if Shopify Network Intelligence is enabled

Specifically, by enabling Shopify Network Intelligence, Shopify will be able to combine and analyze customer data with data from other merchants and use it for advanced features such as Shopify Audiences. This is expected to improve marketing efficiency and customer experience, but at the same time, it will require notice to customers about data usage and inclusion in privacy policies.

For the settings

Shopify Network Intelligence can be turned on or off in Settings => Customer Privacy.

Shopify's Terms of Service will be updated on July 25, 2025.

Shopify's Terms of Service will be updated in conjunction with the introduction of Shopify Network Intelligence.

Shopify Terms of Service effective July 25th


FAQs regarding the update can be found here.

Shopify Terms of Service Update effective July 25, 2025 Frequently Asked Questions

The main contents of this revision are as follows:

What changes are being made? One key change clarifies how we will use customer data to improve your store's performance, find new customers, tailor their experience, and get the most from every marketing dollar.

• Purpose of data use: 
  
  The data collected is used to improve store performance, acquire new customers, personalize customer experiences, and maximize marketing effectiveness.
  
  

• Main affected features and applications: 
  
  Key features and apps available when Shopify Network Intelligence is enabled include:

  • Shopify Audiences

  • Shop Channel

  • Shopify Email

  • Shopify Collabs

  • Shopify Search and Discovery
    
    And more.
    The list of apps affected by Shopify Network Intelligence may grow in the future.
    
    
    

• Merchant response:
  
  

  • Privacy Policy Updates:
    
    Merchants must update their ecommerce site privacy policies to inform their customers about Shopify Network Intelligence's use of their data.
    
    

  • Requirements for obtaining consent: 
    
    In particular, in regions such as the United States and the EU, you may need to obtain consent from customers regarding data usage (in order to comply with GDPR and CCPA).
    
    

• Enable/Disable Selection: 
  
  Merchants can enable or disable Shopify Network Intelligence, but if they disable it, some apps and features that require data utilization, such as those listed above, will become unavailable.

• As of July 4, 2025, the following apps are affected:
  • Shopify Audiences
  • Shop Channel
  • Shopify Email
  • Shopify Collabs
  • Shopify Search and Discovery
    
    
    

These changes are designed to help Shopify improve the services it provides and help businesses become more data-driven.

Reference: Shopify official website

• Shopify Terms of Service Updates (effective July 25, 2025) - Frequently Asked Questions

• Shopify Privacy Policy

With the introduction of Shopify Network Intelligence, the main things you will need to update your e-commerce site’s privacy policy are as follows:

1. Addition of Shopify Network Intelligence:
   
   

   • Shopify Network Intelligence will be introduced.

   • Through this feature, Shopify will collect and analyze your data (including anonymized data).

   • The data collected is used to improve Shopify's services, develop new features, provide a personalized experience, and help merchants grow their businesses (e.g., by providing effective marketing strategies and features like Shopify Audiences).

   • Shopify may combine your data with that of other merchants for analysis.

   • Merchants have the option to enable Shopify Network Intelligence, and some features will be unavailable if they do not enable it.
     
     
     

2. Clarification of data usage purpose:
   
   

   • You need to be more specific about how your customers' personal information and associated data is used through Shopify.

   • In particular, if Shopify Network Intelligence is used for targeted advertising or personalized marketing, such as through "Shopify Audiences," this must be clearly communicated.
     
     
     

3. Updated statement regarding third party provision:
   
   

   • If Shopify may share data with third parties (e.g. advertising partners, data analytics providers), this must be clearly stated, along with the type of data shared and the purpose for which it is shared. Shopify Network Intelligence is primarily for Shopify's internal use, but if the resulting services (e.g. Shopify Audiences) integrate with third-party services, this will be clearly stated.
     
     
     

4. Enhanced statement of your rights:
   
   

   • Clearly describe what rights customers have regarding their personal information (e.g. rights of access, rectification, deletion, etc.).

   • We will also clearly state that customers have the option to opt-out of Shopify Network Intelligence's use of their data and provide instructions on how to do so.
     
     

5. Addition of statement regarding obtaining consent:
   
   

   • Depending on data protection laws and regulations (GDPR, CCPA, APPI [Japan Personal Information Protection Act]), we may need to obtain your explicit consent to collect and use certain data. If so, we will state in the privacy policy how we obtain your consent (e.g. cookie banner, checkbox, etc.).

   • Shopify has designed this update to enable you to comply with basic laws such as GDPR and CCPA, and has implemented a privacy policy display function, but we recommend that you consult with an expert lawyer regarding the laws of each country.
     Shopify has designed these updates to help you comply with applicable privacy laws, but you should ensure you meet privacy requirements wherever you do business—check out our tools to help with that or visit the Shopify Help Center to learn more. Shopify is not able to provide you with legal advice about your business. If you have specific questions about which laws apply to you and your business, we suggest you consult with a lawyer who is familiar with laws where you do business.
     
     
     

6. Contact details:
   
   

   • You will need to clearly indicate the contact information (email address, inquiry form, etc.) for customers to make inquiries about their data or the contents of the privacy policy. By providing a contact point and being able to identify and address problems early, you may be able to prevent problems from escalating.
     
     
     
     

Key points:

• Check the legal requirements for each country: Although Shopify allows merchants to set privacy policies, it is complicated to determine whether each merchant's e-commerce site complies with the requirements of each country's data protection laws (GDPR, CCPA, Japan's Personal Information Protection Act, etc.), so it is recommended that merchants consult with a lawyer or other expert in each country to confirm this.
  
  
  
  

• Examples of support by area
  
  
  

• North America (USA/Canada)
  
  Cookie banner installation + Shopify Privacy Portal Link to + Display of data sharing opt-out page (As of July 2025, this applies to 15 states in the US, including California and Colorado)
  
  
  

• EEA/UK/Switzerland
  
  GDPR compliance + Cookie banner + Privacy policy pageShopify Privacy Portal Link to + Data sharing opt out page
  (To comply with the GDPR requirements for data subject rights)
  
  
  

• Japanese Store
  
  The admin page for Japanese stores
  Settings => Your Privacy => Turn on Use Automated Policies
  
  This will automatically update the privacy policy.
  
  
  The main rights guaranteed to data subjects under the GDPR are:
  
  

  • Right of access Article 15)

  • Right to rectification Article 16)

  • Right to erasure (right to be forgotten) Article 17)

  • Right to restriction of processing Article 18)

  • Right to data portability Article 20)

  • Right to object Article 21)

  • Right not to be subject to automated decision-making (including profiling) Article 22)

  • Right to withdraw consent at any time Article 7)

  • Right to lodge a complaint with a supervisory authority Article 77)
    Every data subject has the right to complain to a supervisory authority in the Member State of his/her residence, place of work or the Member State where the infringement is alleged, if the processing of his/her personal data is considered to infringe the GDPR.
    
    
    reference:GDPR

• Using Shopify-provided tools and third-party apps: Shopify provides templates and guidance for updating your privacy policy, and you can set it up in their app too.
  example Automatic Privacy Settings
  
  Settings > Customer Privacy
  
  If you turn the setting ON from here, the necessary displays will be automatically made available in the target area.
  
  Example Data sharing opt out page displayed in 15 eligible US states
  
  The response methods vary depending on the region and the laws, so it will be necessary to understand them before making use of them.