How does the "Run report based on activity" option work?

Data Export has an option called "Run report based on activity?" and it has two options: "Yes" and "No"

If you select "No", then the report will run on order date.

For example, if you run the report from Jan 1 2018 till Jan 15 2018, the report will pull all the orders which were placed from Jan 1 till Jan 15.

However, if you select "Yes", then the report will run on the order updated date.

What is order updated date?

The date and time when the order was modified. Modification like refund processed on the order or change in fulfillment change or order number changed etc.

For example, lets say the order is placed on Jan 1 2018 (Order date).

And for this order the fulfillment status is changed from unfulfilled to fulfilled on Jan 10 2018.

Now, the order is modified from unfulfilled to fulfilled. Since the modification happened on Jan 10 2018, the order updated date is Jan 10 2018.

Now, when you select "Yes" for "Run report based on activity?", the report will run on the order updated date.

Let say, the report is running from Jan 1 2018 till Jan 15 2018. The report will pull all orders which were modified between Jan 1 till Jan 15 2018.