eCommerce Privacy Policy: How To Create One for Your Online Store?

eCommerce Privacy Policy: How To Create One for Your Online Store?

If you own an eCommerce store or are thinking of coming up with one, there are probably thousands of things that you are trying to put together. However, the most important aspect is to establish customer credibility and legal compliance by setting up an eCommerce privacy policy.

An eCommerce privacy policy explains what users can expect from the store when they choose to interact with it or buy something from your store.

For example, you need to let your visitors know whether you are collecting their information and, if yes, how you are using it. The absence of such policies might not generate a high level of trust among customers, and they might end up choosing your competitors over you.

An eCommerce privacy policy is similar to a contract establishing trust and accountability with website users. In this article, we’ll learn what is the importance of privacy policy on websites and how you can create one for your website easily.

As you continue reading, we’ll introduce you to a valuable tool that simplifies the process, making it effortless for you to generate a comprehensive privacy policy for your online platform. Keep reading till the end to discover this time-saving solution for your privacy policy needs!

Here’s what you need to know about creating one.

What is eCommerce Privacy Policy?

A privacy policy is one such legal document that defines different ways through which the website collects, processes, stores, shares, and protects the data of its users. Also, it even discloses the purpose behind this activity and the rights that users have in this regard.

In one way or the other. All websites are interacting with users and collecting their data. Typically, eCommerce websites collect personal data, like email addresses, names, IP addresses, session activity, payment details, and much more.

Keeping this in mind, an eCommerce privacy policy & terms and conditions are extremely important as they safeguard the owner of the website and the customers alike while ensuring that the website is adhering to legal responsibilities.

Major Privacy Laws Affecting Ecommerce Stores

When it comes to designing a privacy policy for an eCommerce website, the rules and regulations differ as per the country’s laws. For those based in the US, there is no specific data protection or privacy law for eCommerce websites or stores. However, there are few Important laws that can significantly impact your online eCommerce store:

California Online Privacy Protection Act (CCPA)

California Online Privacy Protection Act of 2003 necessitates that the operators of commercial websites should display a privacy policy on the sites. Under this legal agreement, one must add a privacy policy on the website.

The law further states that if you follow the practices mentioned below, then your websites should have a privacy policy.

  • The kind of data collected by the website
  • How the data is disclosed or shared
  • Process for customers to review and edit the information that the website has
  • The effective date of the policy and any changes made since then

EU Data Protection Directive

Having a privacy policy is crucial to complying with state laws. Privacy laws are more comprehensive in the UK and Europe.

Therefore, if your customers are from the UK or Europe, it is imperative to ensure that you adhere to the privacy laws.

EU Data Protection Directive of 1995 outlines the guidelines to which native laws, such as those in the UK, apply.

Business owners must cover the following points as per both legislations:

  • Notification to customers whenever their data is being collected
  • Personal data should only be obtained for certain and lawful reasons.
  • Collecting data should be up-to-date and accurate.
  • Personal data shouldn’t be stored for longer than the necessary time period.
  • Cautious security measures to protect the data
  • No transfer of personal data to a country or territory outside the European Economic Area unless the appropriate level of protection is maintained

Personal Information Protection and Electronic Documents Act

The Canadian privacy policy laws are similar to US law, including the Personal Information Protection and Electronic Documents Act 2000. This act requires business owners to:

  • Get consent whenever data is collected, used, or disclosed.
  • Supply products or services to the customers even if the consent is denied.
  • Gather information through lawful and fair means.
  • Display understandable, readily available, and clear information policies.

Why Do You Need an eCommerce Privacy Policy?

At this point, it’s pretty clear that a privacy policy is fundamental. So, if your eCommerce website is intended to collect visitors’ data. It’s mandatory for you to display a privacy policy.

Having said that, here are some reasons that will tell you more about the importance of privacy policy for eCommerce websites.

1. Global Laws

It is crucial for every website to comply with numerous federal and state privacy laws, even if you have just added a contact form. These laws cover a variety of aspects related to privacy protection, and it is important to ensure that your website is following them.

2. Saves Money

You shouldn’t be squandering your business profits by getting stuck with a hefty fee or fines just because you failed to follow the laws.

In 2012, the California Attorney General’s Office specially applied CalOPPA for tablets and smartphones mobile applications, for collecting personal information. Authorities found several app providers violating the laws and gave them 30 days to either comply with the rules or submit a fine of up to $2500 for every download of their app.

3. Establishes Credibility & Trust

With an increase in corporate data breaches and identity thefts, online users are more cautious and interested in safeguarding their personal information. Hence, savvy customers demand that you protect their data.

With this, you establish trust and credibility among users, and they commit more to you without any regrets.

4. Third Parties Require It:

If you’ve integrated third-party companies into your eCommerce stores, such as Google and Amazon, you must display a privacy policy so as to use, distribute, advertise, and more through their websites. Out there, you will find several treaties, international laws, and pacts that govern data transfers and privacy policies between different countries.

As a consequence of not adhering to this law, you risk the chances of getting sued. Over a period of time SnapChat, Google, Delta Airlines, and many other huge companies had to bear the brunt of not displaying clear privacy policies.

What Should an eCommerce Privacy Policy Include?

Well, as you know, an eCommerce privacy policy consists of the major laws affecting it and the need for it. So now you must know what must be included in your eCommerce privacy policy.

The information you include in your ecommerce store’s Privacy Policy should be comprehensive yet written clearly so that the site visitors can easily understand your policies and their rights.

Here are a few things that you must include in an eCommerce privacy policy:

  • The policy must clearly state the information your eCommerce website collects from users directly and indirectly from users.
  • The exact usage of the collected information must be stated in the policy.
  • It must mention the information that might be collected in the future.
  • The policy should specify how customer data will be stored and secured.
  • You must include the rights and controls available to the user to access, correct, and delete their information.
  • The user must be informed about the purpose of their use of cookies.
  • It must disclose any third-party services or plugins integrated into your eCommerce platform.

Best eCommerce Privacy Policy Generator

WP Legal Pages Plugin - eCommerce privacy policy

In today’s world, creating legal pages for your website can be costly and time-consuming. But we’ve found a plugin that creates legal pages within seconds, saving you time and money.

If you are not aware of the legal terminologies and templates, there is a way to easily create an eCommerce privacy policy using a WordPress eCommerce privacy policy generator plugin- called WP Legal Pages. This easy-to-use plugin helps you take your pick from over 25+ customizable legal templates that you can use on your website.

Right from the eCommerce disclaimer template, return and refund policies, and standard eCommerce privacy policies, this plugin offers you a plethora of options to choose from. The best part is that many of the benefits of this plugin are available with the free version.

This section will discuss how to install the WP Legal Pages plugin.

To install the plugin, go to your WordPress dashboard, hover over the Plugins tab, and click on Add New.

Adding the WP legal pages plugin

Type WPLegalPages in the search bar.

Searching WP legal pages

Click the Install Now button.

Installing the plugin

Once you have installed it, activate it by clicking the Activate button.

Activating the plugin

After activating the plugin, you can access it directly from the dashboard.

Plugin in the dashboard

This section will tell you how to create an eCommerce Privacy Policy for your eCommerce store.

Click on WP Legal Pages and click Accept to create your legal pages.

accepting the term and conditions

To create a Privacy Policy, click Create Legal Page.

Creating legal Pages

You can see these Four Templates in the free version while creating the legal pages. To create a Privacy Policy page, click on the Standard Privacy Policy option. 

Creating privacy Policy

Fill in the Basic Details to create the legal page and click Next.

Basic details for privacy policy

Now, choose the appropriate section you want to display on your Legal Policy and click Next

Selecting business details

Now your Privacy Policy Template is ready. 

Privacy policy template is ready

Next, click on the Create and Edit option.

editing privacy policy

After you have made the necessary changes, click on Publish

Publishing the article

Using this free Privacy Policy Generator, you can comply with the legal requirements and also build the trust of your website visitors.

Types of ecommerce privacy policy

Following are the major legal documents that every eCommerce website needs to have for their protection and better user experience:

1. Privacy Policy

A privacy policy is a legal agreement between two parties. It discloses the ways in which one party can access the other party’s data. It is a document that carries a set of terms and conditions that you will follow while using the personal data of your users. 

In the context of a website, it discloses how the operators of the website will collect, store, and utilize the personal data of its visitors. Nowadays, privacy policy is mandatory for any website. What policy to be followed depends on the area of operation.

For example, if a website deals with the people of California, it has to comply with CCPA. Similarly, if you deal with EU citizens, you have to follow GDPR. So, having a standard eCommerce privacy policy is very important for compliance across geographies.

2. Terms & Conditions

Terms and conditions, as the name suggests, are a set of rules that you will follow for different purposes. They dictate what is allowed on your website and what is not. You need to define everything clearly in detail. Clarity is of utmost importance, and there should not be any room for confusion or uncertainty.

Generally, the terms and conditions of a website contain rules about posting content, commenting, participating in a discussion or forum, etc. In the case of an eCommerce site, it acts as a legal contract between you and your users.

Using a terms and conditions generator plugin is a good idea if you are not familiar with legal policies and terminologies.

3. Return and Refund Policy

A return policy mostly defines the terms and conditions for returning a product, specifying, for example, the number of days or the condition under which an item can be returned. A refund policy dictates the terms and conditions of any refunds that the seller offers to the buyers after they return any product. 

It talks in detail about the terms and conditions of return and refund. Generally, a refund policy contains the following information –

  • How many days does a customer have to return a product?
  • How will he get the refund, whether credit or replacement?
  • Whether  you offer refunds for digital products or any in-app purchase
  • Who will pay for the shipping to return the product?

Here is an article elaborating on WooCommerce returns and refund policies

Conclusion:

As clear as it can get, the value of an eCommerce privacy policy cannot be denied or ignored at any cost. So, even before you think that your eCommerce portal is ready to go live and make transactions, ensure that the privacy policy is in its place and has clear and understandable information.

Having a privacy policy on your website not only complies with legal requirements but also lowers risk, builds trust, and boosts search engine optimization.

Our recommendation is to use WP Legal Pages to simplify your website and adhere to legal standards, as this will make creating the policy for your website less complicated.

Take quick action to protect both your website’s users and your own privacy by drafting a thoughtful privacy policy.

I hope you enjoyed reading this article. Don’t forget to check our other engaging articles.

Are you excited to create legal pages for your website and gain the trust of your visitors? Grab WP Legal Pages.

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