Data Privacy, EU Privacy Laws, GDPR, Privacy

Data Privacy Considerations for E-Commerce Businesses: Why CPRA Compliance Matters

June 13, 2025

The growth of online retail has transformed the way businesses engage with customers—but it has also introduced complex data privacy challenges. E-commerce companies today collect a wealth of personal and transactional data, from email addresses and delivery details to browsing habits and payment information.

But with great data comes great responsibility.

If you run an e-commerce platform targeting U.S. consumers—especially those in California—complying with the California Privacy Rights Act (CPRA) isn’t just a legal requirement; it’s a strategic necessity. At Curated Privacy LLC, we help digital businesses navigate these obligations with clarity, confidence, and a privacy-first approach.

What is the California Privacy Rights Act (CPRA)?

The California Privacy Rights Act (CPRA), which came into full effect on January 1, 2023, is an expansion of the earlier California Consumer Privacy Act (CCPA). It gives California residents more control over how their personal data is collected, used, shared, and sold—and applies to many businesses that operate e-commerce websites or apps accessible to California consumers.

Does the CPRA Apply to My E-Commerce Business?

If your business collects personal data from California residents and meets any one of the following criteria, the CPRA applies to you:

Annual gross revenue over $25 million,
Buys, sells, or shares personal data of 100,000 or more consumers or households annually, or
Derives 50% or more of revenue from selling or sharing personal data.

Even small and mid-sized businesses can fall under the CPRA if they rely heavily on targeted advertising, third-party trackers, or customer analytics.

Top CPRA Privacy Obligations for E-Commerce Companies

Here are the most critical areas where e-commerce businesses must comply under the CPRA:

1. Consumer Data Transparency

Businesses must clearly disclose:

What categories of data are being collected (e.g., contact info, IP addresses, purchase history)
Why the data is being collected
How long the data will be retained

E-commerce tip: Include this in an easily accessible privacy policy and link it in checkout pages or account creation screens.

2. New Consumer Rights

Under the CPRA, consumers can:

Opt-out of data sharing for cross-context behavioral advertising
Request deletion of their personal data
Access or correct inaccurate personal information
Limit the use of sensitive personal information (e.g., geolocation, financial details)

E-commerce tip: You need a “Do Not Sell or Share My Personal Information” link on your homepage if you use ad trackers or retargeting tools.

3. Vendor Contract Requirements

If your e-commerce store uses third-party services like:

Email marketing platforms
Payment processors
Customer relationship management (CRM) tools

…then you must ensure data processing agreements are in place with clear privacy obligations, including:

No unauthorized use or resale of the data
Defined data retention and deletion protocols
Subcontractor restrictions

E-commerce tip: Many vendors have the CPRA-ready contracts—but you’re responsible for ensuring those contracts exist and are enforceable.

4. Data Security and Breach Notifications

The CPRA also reinforces your responsibility to implement reasonable security measures to protect consumer data. A data breach involving California residents’ personal info may require:

Prompt notification to affected individuals
Possible reporting to the California Attorney General

E-commerce tip: If you collect credit card details, combine the CPRA compliance with Payment Card Industry Data Security Standard (PCI DSS) best practices.

Why CPRA Compliance Is Good for Business

Failing to comply with the CPRA can cost your business—literally. The California Privacy Protection Agency (CPPA) can impose fines of:

$2,500 per violation, or
$7,500 per intentional or children’s data violation

But beyond penalties, privacy is becoming a business differentiator. Companies that invest in protecting consumer data gain:

Increased customer trust
Better brand reputation
Improved conversion rates due to privacy-conscious buyers
Stronger resilience against cyber threats and legal risks

How Curated Privacy LLC Helps E-Commerce Businesses Stay Compliant

At Curated Privacy LLC, we specialize in helping U.S. online retailers meet data privacy requirements with practical, scalable solutions:

Privacy Policy Reviews and Rewrites – Ensure your customer-facing disclosures meet the CPRA standards
Consent and Opt-Out Mechanism Setup – Implement clear, functional tools for consumer control
Third-Party Vendor Assessments – Evaluate contracts, risks, and legal responsibilities
Data Flow Mapping for E-Commerce Platforms – Visualize where data moves and where risks exist
Privacy Training for Marketing and Operations Teams – Equip staff with compliance knowledge

Whether you run your store on Shopify, WooCommerce, Magento, or a custom platform—we’ll help you align your data practices with the CPRA so you can operate confidently and ethically.

Conclusion: Privacy Is the New Digital Trust Signal

As e-commerce continues to boom, privacy compliance isn’t a checkbox—it’s a cornerstone of customer experience. The CPRA gives your customers more rights, but it also gives your business a chance to lead with integrity and transparency.

Now is the time to ask: Is your e-commerce business privacy-ready?