ULTRO NOTES Published

First-Party Data: What It Is and How Online Stores Use It

How it differs from zero-, second- and third-party data, where it already lives in your store, four ways to use it in ads and measurement, and what to check on consent before you upload customer lists.

In shortFirst-party data is data a business collects directly from its own customers. For an online store, most of it, including orders, customer profiles and email signups, already sits in the ecommerce platform's admin. There are four main uses: improving ad conversion tracking, excluding or identifying existing customers, seeding new customer acquisition, and personalizing email and SMS. Most stores can do all four with built-in features before buying a customer data platform.

“Use your first-party data” comes up constantly, from ad platform reps and in software sales decks. But most explanations are written for large B2B companies with membership sites, and an ecommerce manager is left asking what that actually means for their store.

For an online store, first-party data isn’t something you need to start collecting. It piles up in your platform’s admin every time an order comes in. The real questions are where it lives, what you can use it for, and what to check before you use it.

Below, we sort out the terms, then cover where the data lives in an online store, how to use it in ads and tracking, and how to think about consent. Product details are as of October 2026. Anything touching law here is a general overview; check your own situation with a lawyer.

What is first-party data?

First-party data is data a business collects directly from its own customers. Data is usually named by who collected it:

TypeWho collected itEcommerce examples
Zero-party dataYou. Customers told you on purposeSurvey answers, skin type or style preferences, birthdays
First-party dataYou. Collected through purchases and behaviorOrder history, email addresses, on-site browsing
Second-party dataAnother company, shared with you directlyA partner’s member data, buyer details a marketplace passes to you
Third-party dataA third party, collected across many sitesInterest and demographic segments sold for ad targeting

Zero-party data is a term coined by Forrester Research. What sets it apart is that it’s what the person said, not something inferred from behavior. It’s a kind of first-party data.

In practice, you don’t need to separate all four precisely. If it’s in your own admin, as information about your own customers, it’s first-party data.

First-party vs third-party data

The difference that matters is control. With first-party data, you know where it came from, how accurate it is, and what you told customers when you collected it. Third-party data is assembled by someone else from activity across many sites, and you rarely know how it was collected or whether the people in it agreed to this use.

Why first-party data matters now

The usual answer is “because third-party cookies are going away.” That explanation is out of date.

Chrome kept third-party cookies

Google had planned to remove third-party cookies from Chrome, but it paused the plan in July 2024 and announced in April 2025 that it would keep the current approach. In October of that year, it announced it would retire most of the technologies it had been building as replacements. Articles written on the assumption that Chrome will drop third-party cookies no longer match reality. The full timeline is in third-party cookies.

Data is still going missing

  • Safari’s limits: Safari has blocked third-party cookies completely for years. Cookies that tracking scripts set with JavaScript expire after at most 7 days, or 24 hours when the visitor arrives from a domain classified as a tracker with a URL that has a query string or fragment, such as an ad click ID.
  • Consent banners: more sites ask for consent to use cookies, and the behavior of people who decline isn’t tracked. When a store actually needs a banner is covered in cookie consent.
  • Ad blockers: browser features and extensions can stop tracking tags from running at all.

iPhone users browse with Safari by default, so these limits alone have a real effect. For products where people take days between seeing an ad and buying, more purchases go uncredited to the ad that drove them.

Automated advertising runs on your data

The other reason is that ad buying has moved to automated bidding. Google and Meta now let the platform’s AI decide who sees your ads, and what it learns from is the purchase data you send back.

When purchase data is missing, those decisions get worse. When the platform can’t tell new customers from existing ones, ad spend goes to people who already buy from you. Getting your own data to the platforms correctly now affects ad results directly.

Where first-party data lives in an online store

Here’s where it sits, using Shopify as the example.

DataWhere in ShopifyWhen it’s collected
Name, email, phone number, addressCustomer profilesOrders, account signups
Order history (products, amounts, order count, dates)Orders, customer profilesOrders
Email and SMS marketing consentSubscription status on customer profilesCheckout, signup forms
Tags and notesCustomer profilesEntered by staff or automations
Survey answers and preferencesMetafields, appsPost-purchase surveys, quizzes
On-site behavior (views, add to cart)Shopify analytics, GA4, ad pixelsSite visits

You can pull these out with customer segments, combining filters such as number of orders, amount spent, last order date, email subscription status and RFM group. A segment can be exported as a CSV or used as the audience for a marketing email.

The segment editor in Shopify Customers > Segments. Typing after WHERE shows filters such as abandoned_checkout_date, amount_spent, companies and created_by_app_id, each with a short description. The customer list is hidden
① Filters you can use in a segment (Screen as of October 2026. Click the image to enlarge.)

Data outside your store

There’s data outside your ecommerce platform, too.

WhereWhat’s thereCan you use it elsewhere?
Email and SMS tools (such as Klaviyo)Opens, clicks, signup sourceYes, it syncs with Shopify
Marketplaces such as AmazonBuyer detailsLimited by marketplace policy for your own marketing
In-store POSMembers’ purchase historyDepends on the system

Marketplaces set the rules for how you can use buyer information. Your own site is where you have the most data you’re free to use, so the more of your sales go through marketplaces, the more valuable the data from your own store becomes.

What you can use data for depends on what you told customers when you collected it. If you later want to use it for advertising and that goes beyond what you originally said, you may need to ask for consent again. On Shopify, consent is collected in these places:

  • The email and SMS marketing checkboxes at checkout
  • When customers manage their email subscription from their customer account
  • Newsletter signup forms (theme sections, Shopify Forms and so on)

You can choose in settings whether the checkboxes are preselected and whether to require double opt-in, which sends a confirmation email first.

How to use first-party data

There are four main uses for an online store.

The data that builds up in your own store and four ways to use it. A Shopify store collects names, email addresses, phone numbers and addresses, order history, email and SMS marketing consent, tags and notes, survey answers and preferences, and on-site behavior. Use 1 is strengthening measurement: hash the email and phone number from the purchase and send them to ad platforms. Use 2 is excluding or identifying existing customers: upload a list of customers who have purchased and exclude them from acquisition campaigns. Use 3 is seeding new customer acquisition: give platforms a list of customers with the most orders or highest spend as a signal to find similar people. Use 4 is personalizing messages: change email and SMS content by segment based on order history and survey answers. What you can use data for depends on what you told customers when you collected it.
The data in your own store, and four ways to use it (As of October 2026. Created by ULTRO Inc. Click the image to enlarge.)

As a table:

UseWhat you doData used
Improve conversion trackingHash customer details from the purchase and send them to ad platformsEmail and phone number at purchase
Exclude or identify existing customersUpload customer lists and exclude them from acquisition campaignsList of customers who have purchased
Seed new customer acquisitionGive platforms your best customers as a signal to find similar peopleCustomers with the most orders or highest spend
Personalize messagesChange email and SMS content by segmentOrder history, survey answers

Improve conversion tracking

This recovers purchases that cookies couldn’t connect to an ad. You hash (convert into a string that can’t be turned back) customer details such as the email address from the purchase and send them to the ad platform, which matches them to the ad click.

PlatformFeatureSetup on Shopify
Google AdsEnhanced conversionsTurn it on in the Google & YouTube app settings
Meta adsConversions APIIn the Facebook & Instagram app, go to Settings > Data sharing settings and choose Enhanced or Maximum, which add the Conversions API to the pixel

Both are set up with Shopify’s standard apps, with no development. Of the four uses, start here. For the details, see enhanced conversions, Meta’s Conversions API and 3 ways to use Meta’s Conversions API on Shopify.

Both send data to ad platforms. Neither fills in purchases missing from GA4. How to send those from a server is covered in GA4 Not Tracking All Shopify Purchases?

We built that into a Shopify app, GapFill. It’s our own product, so read with that in mind. It recovers missing GA4 purchase events server-side, works alongside your existing tags, and the missing purchases report is free.

Our Shopify appGapFill: Recover missing GA4 purchase events server-sideWorks alongside your existing tags. Free missing purchases report.See GapFill →

Exclude or identify existing customers

It’s common for acquisition campaigns to be shown to people who already buy from you. Give the platforms your customer list, and you can exclude existing customers or bid more for new ones.

In Google Ads, you upload customer lists with Customer Match. If you connect Shopify to Google Ads through Data Manager (which uses the Google & YouTube app), you can import Shopify customer segments as Customer Match lists, up to 25 at a time. Lists are also used to tell new customers from existing ones in the new customer acquisition goal.

Customer Match has eligibility requirements:

RequirementWhat you can do
Good history of policy compliance and good payment historyUpload lists, exclude them, and use the Observation setting (report on them without narrowing who sees ads)
The above, plus 90 days of Google Ads history and more than USD $50,000 total lifetime spendUse the Targeting setting and manual bid adjustments

So even a new account can use lists for exclusions. Customer Match memberships expire after 540 days, so lists need regular updates. Syncing through an integration works better than repeatedly uploading CSVs by hand.

In Meta ads, you create a Custom Audience from your customer list and exclude it from delivery.

Seed new customer acquisition

Give a platform a list of your best customers, and it looks for people with similar patterns. Meta’s Lookalike Audiences are the best-known example, and the source audience needs at least 100 people from a country.

With today’s automated delivery, though, the list you provide is treated as a hint (“find people like these”), not as an instruction (“show ads only to these people”). The platform uses the hint and expands delivery beyond it.

What separates good results from bad is list quality. A list narrowed to people who’ve bought two or more times, or whose total spend is in your top tier, sends a clearer signal than all purchasers.

Personalize messages

This one isn’t about ads. You send customers who’ve agreed to hear from you messages that fit where they are:

  • A second-purchase offer some number of days after their first order
  • A new product announcement to high-value customers who haven’t bought in a while
  • Different product recommendations based on preferences they gave in a survey

Email and SMS go out from your own tools, so there’s no matching against an ad platform’s users.

Uploading customer lists to ad platforms is where privacy rules matter most.

Does your privacy policy cover it?

Customers should be able to tell from your privacy policy that their information may be used for ad delivery and measurement, and shared with ad platforms for that purpose. In the EU and UK, the GDPR’s purpose limitation principle says data collected for one purpose shouldn’t be used for an incompatible one. Start by reading your own policy.

What the ad platforms require

Customer Match and Custom Audiences work by the platform matching your list against its own users. The platforms put conditions on that:

  • Google’s Customer Match policy: your privacy policy should state that you share customer data with third parties that perform services for you, and you must obtain consent where the law or Google’s policies, such as the EU user consent policy, require it.
  • EEA users: since March 2024, Customer Match lists used in the EEA need both ad_user_data and ad_personalization consent set to granted.

US state privacy laws

Under California’s CCPA, “sharing” means sharing personal information for cross-context behavioral advertising, and covered businesses must let consumers opt out of selling and sharing. Whether uploading a customer list for ad matching counts as selling or sharing under the CCPA and other state laws is a question for your lawyer. Either way, if a customer has opted out, keep them off the lists you upload. On Shopify, opt-outs made through the data sharing opt-out page sync to Shopify Audiences; for other lists, you have to exclude those customers yourself.

In practice

Check three things:

  1. Does your privacy policy say you use customer data for ad delivery and measurement and share it with ad platforms?
  2. Do you collect consent for that from customers (at account signup or purchase) where it’s required?
  3. Do you meet the conditions in each ad platform’s policy?

If you’re unsure, build a segment of customers who’ve given consent and upload only that list. You can filter by email subscription status in Shopify segments. Keep in mind that agreeing to receive marketing email isn’t the same thing as agreeing to have your data used for advertising; what consent covers depends on how your policy is written.

The ad platforms also require disclosure and consent for conversion tracking (enhanced conversions and the Conversions API). If you’re unsure how they apply to you, ask a lawyer.

Do you need a CDP?

Articles about first-party data often end by recommending a customer data platform (CDP), a system that gathers all customer data in one place. That’s often because they’re written by companies that sell CDPs or data infrastructure.

If you sell mainly through your own site, with annual revenue in the low millions of dollars, you can usually cover all four uses above without one.

What you want to doHow to do it without a CDP
Segment customers by conditionsShopify customer segments
Improve conversion trackingGoogle & YouTube app, Facebook & Instagram app
Sync customer lists to ad platformsGoogle Ads Data Manager, Meta integration
Send email by segmentShopify Messaging, Klaviyo
Tag customers who meet conditionsShopify Flow

You can wait to consider a CDP until you’re in a situation like these:

  • Customer data is split across physical stores, an app or several online stores, and you need to treat the same customer as one person
  • You want to analyze marketplace or phone orders together with your own store’s data
  • You need to send data on custom conditions that standard integrations can’t pass to ad platforms

The common failure is making data integration the goal. Data that piled up without a purpose is thin and messy, so after it’s merged, nobody uses it, it scatters again, and someone proposes merging it again. Before buying a CDP, write down which of the four uses above is missing which data. That makes it much easier to judge whether you need one.

Where to start

We’d go in this order:

  1. Check your privacy policy and how you collect consent: can customers tell their data is used for advertising?
  2. Improve conversion tracking: enhanced conversions in Google Ads and the Conversions API for Meta ads
  3. Exclude existing customers: sync a list of past purchasers to the platforms and exclude it from acquisition campaigns
  4. Build a list of your best customers: narrow by order count or spend and give it to the platforms
  5. Add a way to ask about preferences: post-purchase surveys and the like, to learn what behavior can’t tell you

Steps 2 and 3 alone change where your ad budget goes. If you’re also setting up Google Ads purchase tracking from scratch, see Google Ads conversion tracking.

Sources

FAQ

What is first-party data?

Data a business collects directly from its own customers. For an online store, that means order details, customer information such as names and email addresses, email and SMS signups, and on-site behavior such as which products someone viewed. The term distinguishes it from data bought from other companies or provided by ad platforms.

What's the difference between first-party and zero-party data?

Zero-party data is what customers tell you on purpose: survey answers, skin type or style preferences, birthdays. The term was coined by Forrester Research, and it's reasonable to treat it as a subset of first-party data. The difference is that it's what the person said, not something inferred from their behavior.

What's the difference between first-party and third-party data?

Who collected it. First-party data comes from your own customers through your own store. Third-party data is collected by someone else across many sites, such as interest and demographic segments sold for ad targeting. You know where first-party data came from and what you told people when you collected it; with third-party data, you usually don't.

Are third-party cookies still going away?

Not in Chrome. Google paused its deprecation plan in July 2024 and said in April 2025 that it would keep the current approach. Safari has blocked third-party cookies for years, though, and caps cookies set by tracking scripts at 7 days, so cookie-based tracking still loses data.

Do I need consent to upload customer emails to Google or Meta?

It depends on where your customers are and what your privacy policy says. Google's Customer Match policy requires your privacy policy to disclose that you share customer data with third parties that perform services for you, and consent where the law or Google's EU user consent policy requires it. For EEA users, Customer Match lists need both ad_user_data and ad_personalization consent set to granted. In US states with privacy laws, check with a lawyer whether ad matching counts as selling or sharing, and honor opt-outs.

Do I need a customer data platform (CDP) to use first-party data?

No. A store that sells mainly through its own site can cover most uses with Shopify customer segments and the built-in integrations with ad platforms. A CDP becomes worth considering when customer data is split across physical stores, apps or several sites and you need to treat the same customer as one person.

Key takeaways
  • First-party data is data you collect directly from your customers. An online store already has most of it in its platform's admin.
  • Chrome dropped its third-party cookie phase-out, but Safari's limits still cut into cookie-based tracking.
  • Four uses: improve conversion tracking, exclude or identify existing customers, seed new customer acquisition, and personalize email and SMS.
  • Google Ads Customer Match: exclusions work for most accounts, but targeting needs 90 days of history and more than $50,000 lifetime spend.
  • Before uploading customer lists, check your privacy policy, how you collect consent, and the ad platform's policy.
  • A CDP isn't required. Consider one when your customer data is split across several places.

Written byRyushi Nagata

CEO, ULTRO Inc. (Tokyo)

Shopify Partner. Ryushi handles Shopify store builds, maintenance, advertising and CRM end to end, and has managed more than ¥4 billion in ad spend over his career. He holds Google Ads certifications (Search, Display, Video, Shopping, Apps, Performance Max, Measurement) and the Google Analytics certification.

How many purchases is GA4 missing in your store?

GapFill matches your Shopify orders against GA4 purchases, shows what GA4 missed, and recovers those purchase events server-side. It works alongside your existing tags, and the missing purchases report is free.

See GapFill →