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

·Updates to Shopify's Terms of Service

·Frequently Asked Questions

·Shopify Terms of Service Update effective July 25, 2025 Frequently Asked Questions We know that building a business is hard, and the learning curve comes with the territory. Part of our job is to use what we've learned from millions of Shopify merchants to make running your business easier. We're building tools to do just that. Apps like Shopify Audiences, Shop channel, Shopify Email, Shopify Collabs, and Shopify Search and Discovery will use these insights to find new customers, tailor their experience, and get the most from every marketing dollar. Effective July 25th, 2025, we're making some updates to our Terms of Service and Data Processing Addendum.

·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. Your customer data will not be shared with any other merchant. Instead, when Shopify Network Intelligence is enabled, Shopify will securely use your customer data together with customer data from other merchants to generate insights that power advanced features, known as Enhanced Services, to make running your business easier. The following apps require Shopify Network Intelligence to be enabled: Shopify Audiences Shop channel Shopify Email Shopify Collabs Shopify Search and Discovery

·In the future, Shopify may expand the list of apps and features that require Shopify Network Intelligence to be enabled. Other changes to the Terms of Service include:

• ·Clearer obligations for both Shopify and merchants in line with new laws like the INFORM Act, the Digital Services Act, and the Retail Payments Activities Act.
• ·Updated services descriptions and terms to reflect our evolving features, including Shop services, Shipping, third party partner services, tax tools, Gift Cards, Checkout Extensions, and more.
• ·Additional information about Shopify's use of merchant materials.
• ·Increased transparency about our practices regarding intellectual property infringement reports and failed payments.
• ·Information about Shopify's PCI DSS compliance.

·How will my customer data be used by Shopify Network Intelligence?

·Your customer data is not shared with any other merchant. Instead, Shopify Network Intelligence securely uses your customer data alongside data from other merchants and from Shopify to generate insights that improve apps and features like Shopify Audiences, Shop channel, Shopify Email, Shopify Collabs, and Shopify Search and Discovery.

·What benefits will I get as a merchant with this change?

PartPart of our job is to use what we've learned from millions of Shopify merchants to make running your business easier and we're building tools to do just that. Apps like Shopify Audiences, Shop channel, Shopify Email, Shopify Collabs, and Shopify Search and Discovery will use these enhanced insights to find new customers, tailor their experience, and get the most from every marketing dollar.

·Do I have any choice over how my customer data is used by Shopify Network Intelligence?

·Yes. You can change your preferences anytime in Settings > Customer Privacy.

• ·When Shopify Network Intelligence is enabled, your customer data will be used for the purposes described above, allowing you to use apps and features that benefit from the enhanced insights. You should ensure you meet privacy requirements wherever you do business-check out our tools to help with that.
• ·When Shopify Network Intelligence is disabled, your customer data will not be used for the purposes described above and you'll lose access to apps and features that require it.

·Will these changes affect my ability to comply with applicable privacy laws including CCPA and GDPR?

·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.

·What customer privacy tools does Shopify offer?

·You should ensure you meet privacy requirements wherever you do business. Shopify also offers automated compliance features you can use:

• ·Automated privacy policy: A privacy policy is a legal document that details how a business collects, uses, stores, and protects the personal information of its customers or website visitors. Shopify provides an automated policy generator inside the admin (in Settings > Customer Privacy) that will help keep your policy in sync with your store's settings and meet the requirements in our Terms of Service updates when Shopify Network Intelligence is enabled. You also have the option to draft your privacy policy manually.
• ·Cookie banner: A cookie banner is a notification that displays on a website to inform visitors about the use of cookies and asks for their consent for some data collection and uses. Shopify offers a built-in tool that you can customize and turn on in additional markets as needed (like the US) to notify buyers and receive their consent to collect their data.
• ·Data sharing opt-out page: A data sharing opt-out page is a tool for your online store that allows visitors or customers to opt out of the sale or sharing of their personal data with Shopify or other third parties or the use of their personal data for targeted advertising, as those terms are defined in US privacy laws, providing them with control over how their data is used for certain types of advertising.

·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.

·What actions do I need to take as a merchant?

·Visit Help Center for more information on the requirements based on these updates. You also must make sure you comply with privacy requirements where you do business-check out our tools to help with that or visit the Shopify Help Center to learn more.

·Will there be any changes to fees or service costs?

·No.

·When will the updated terms of service take effect?

·July 25th, 2025

·What happens if I do not agree to the updated terms?

·By continuing to use Shopify services as of July 25th, 2025 you are agreeing to the updated terms. In addition, you can change your Shopify Network Intelligence settings anytime in Settings > Customer Privacy. Refer to "Do I have any choice over how my customer data is used by Shopify Network Intelligence?" above.

·Will other Shopify merchants get access to my confidential business or customer information?

·No.

·What steps does Shopify take to protect customer data?

·Trust is a foundational part of commerce. Our platform acts as a place to bridge and build trust between our customers and their own. We have built a globally scaled commerce platform with security at its center as a default. We do this with hundreds of dedicated individuals, who are building, maintaining and innovating our security controls in service of the commerce that runs through our platform. Shopify prioritizes the protection of personal information to maintain customer trust. The platform is designed to provide transparency and control over personal data, ensuring compliance with global privacy and data protection laws. Compliance with privacy and data protection laws is crucial when selling products through Shopify. We are committed to safeguarding your store and customer data with industry-leading security practices. Shopify undergoes SOC 1 and SOC 2 compliance audits every 6 months, which involve rigorous, independent evaluations to ensure our security controls effectively protect your data. We encrypt sensitive information, limit access, and regularly audit our security.