Auctane expands into returns with acquisition of Return Rabbit 

Auctane, which has built certainly one of the parcel industry’s most formidable multicarrier portfolios, said Monday it has acquired the assets of Return Rabbit, a returns management provider. Terms weren’t disclosed.

Auctane owns brands corresponding to ShipStation, Stamps.com, ShippingEasy, ShipEngine, ShipWorks, Metapack and Endicia. The acquisition will complement Auctane’s portfolio of multicarrier shipping solutions by equipping e-commerce merchants with an intuitive and adaptable returns management offering, the corporate said.

Return Rabbit, launched in 2021 and backed by Supply Chain Ventures and Multiverse Investments, has carved out a returns management area of interest for Shopify sellers, amongst other groups, Auctane said.

Loran Gutt, Auctane’s vp of corporate development, said in an interview that certainly one of the massive gaps out there for merchants are siloed platform offerings. Typically, providers have one platform offering selling, a second offering shipping and a 3rd returns. Return Rabbit provides an integrated solution for retailers, he said.

Auctane also discovered that Return Rabbit had leadership expertise in revenue retention, which might allow merchants to maintain more of the sale from the unique transaction through the suggestion of suitable alternative items and store credits, in line with Gutt. “We were also very impressed with its analytics, which helps to mitigate the price of returns,” he said.

“In today’s ecommerce landscape, virtually every merchant has to grapple with how you can handle customer returns, and the stakes are high,” said Albert Ko, Auctane CEO, in an announcement.

In response to a recent survey, 44% of U.S. shoppers reported being less prone to shop with a retailer that has a difficult return experience.

Return Rabbit’s enterprise-grade analytics allow small and midsize merchants to higher understand the rationale their customers make returns and offer suggestions for exchanges that help preserve sales, Auctane said.

“Once we began Return Rabbit, the aim was not only to streamline the returns process for retailers but additionally to convert the whole process right into a positive experience for shoppers with a … deal with increasing revenue retention through increased exchanges and store credits. By joining Auctane, we are going to gain access to a broader set of world resources and capabilities to use our expertise and solutions to a worldwide client base,” said Gagandeep Singh Suri, founder and CEO of Return Rabbit, in an announcement.