PayPal launches Return Shopping for Shopify Merchants
franckreporter


PayPal Holdings (NASDAQ:PYPL) launched Return Shopping, providing a new revenue stream for Shopify (NYSE:SHOP) merchants by driving shoppers to merchants' e-commerce storefronts within the return process, the payment tech company said Wednesday.
The new optional feature is intended to help merchants retain revenue without the accounting challenges associated with exchanging items of different prices, PayPal (PYPL) said.

Unlike exchanges, the Return Shopping keeps transactions separate: the return and the new sale. By creating a new order, all relevant sales and tax details will be represented within Shopify (SHOP) where all downstream systems can take them in as standard orders.
"We've created a way to re-engage customers at a critical point in shopper journey, in an innovative way that keeps financial reporting simple," said Happy Returns Director of Product Management Sanaz Hajizdeh.
Overall, payments sector stocks are having a rough session, as Target (TGT) issued disappointing guidance for the holiday quarter. PayPal (PYPL) stock fell 3.3% in midday trading, Shopify (SHOP) slid 3.9%.
Earlier this month, PayPal (PYPL) provided Q4 revenue guidance that trailed the consensus estimate.

PYPL stock's weakness, though, provides a buying opportunity, said SA contributor Daniel SchÃ¶nberger.