PayPal is selling its Happy Returns business to UPS, the companies announced on Wednesday. Happy Returns has taken credit for pioneering the box-free, in-person return process – it works with 800 merchants to offer their customers a returns portal and make box-free returns at various locations.
UPS’s CEO Carol Tome pointed to her company’s established drop-off points along with its small-package network and 5,200 The UPS Store locations. “We know that returns have long frustrated shoppers and retailers looking for quick and easy solutions,” she said. “The UPS Store locations, box-free, label-free returns will soon be available at more than 12,000 convenient locations in the US.”
Happy Returns CEO and co-founder David Sobie will continue to lead the business for UPS after the deal closes. He said the deal allows Happy Returns to “harness the power of the UPS network to transform the returns industry.”
When PayPal acquired Happy Returns in 2021, it said the move signaled PayPal’s evolution from a pure payments platform to a digital commerce enablement engine.
The UPS acquisition of Happy Returns is expected to close in the fourth quarter of 2023, subject to customary conditions and regulatory approvals. Terms of the acquisition were not disclosed.
