Shopify’s Unique Data Science Hierarchy Of Needs

Summary

Shopify presents a five-level Data Science Hierarchy of Needs that organizes data work by the value it delivers, rather than by technical sophistication. Its tool-agnostic philosophy favors simple solutions first, then more complex analysis when necessary, with impact and better decisions as the goal. The model begins with collecting and modeling clean, conformed data using dimensional modeling, then moves through description, prediction and inference, prescription, and influence. Shopify applied this structure to a COVID-19 impact analysis, using statistical analysis to examine regional effects and inform measures including an extended free trial, expanded funding, shipping options, and local commerce features. The account says the analysis used neither artificial intelligence nor machine learning, yet supported decisions for merchants and Shopify during the pandemic.

Context

Shopify argues that conventional Data Science Hierarchies of Needs can emphasize particular tools and encourage advanced solutions over simpler ones. During the COVID-19 pandemic, Shopify needed timely insight into how merchants were coping and how the company could support them.

Approach / What changed

Shopify organizes data science into five value-oriented levels: Collect and Model, Describe, Predict and Infer, Prescribe, and Influence. The approach emphasizes a clean, conformed foundation built with dimensional modeling, then uses descriptive analysis, statistical inference, machine learning where appropriate, experimentation, and any other suitable tools to inform action.

Takeaways

• Shopify follows dimensional modeling to keep warehouse data structured consistently, making clean and conformed data accessible for analysis.
• The COVID-19 impact analysis used statistical analysis to predict how regional conditions might affect merchants, including comparisons between Italy and a possible U.S. lockdown.
• The analysis did not use artificial intelligence or machine learning, but informed an extended free trial, expanded Shopify Capital availability, new shipping options, and local-commerce features.

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