United Parcel Service (UPS) will be the exclusive provider of no-box, no-label returns for sellers on TikTok Shop in the U.S. The deal is part of parcel carriers’ broader push to capture more of the profitable reverse logistics market, as returns can be a significant cost for online merchants.
Through its Happy Returns subsidiary, UPS will let shoppers drop off unboxed items at nearly 10,000 locations, including The UPS Store, Ulta Beauty and Staples. The service is designed to simplify returns for customers, reduce costs for sellers and bring more foot traffic to participating retailers.
The partnership positions UPS to compete with rivals including FedEx and Amazon.