All about PayPal Order Status - Order Processed vs Shipped!

After started using Paypal for business to accept payments from customers, you may have been introduced to the Paypal ordering & invoicing system.

Order tracking & status are some of the confusing things while managing transactions.

So, we're here to explore more about PayPal ordering and understanding what that means.

This article focuses on what is Paypal's order status and the difference between the two most used and complex Order statuses.

If you're looking for a Solution to a Payment status is ON HOLD, then refer to this article.

    What is a PayPal Order status?

    Basically, the PayPal Order status is a product shipment status that is needed to make aware the buyer of their product.

    This product status includes Tracking information like Order status, Carrier service name, Tracking number of products assigned by carrier service, etc.

    Types of Order status in Paypal

    You can add different Order statuses as per your requirements. Refer to the below list of statues:

    Hold :

    Hold means work is on hold. The reason can be anything like payment, unavailability of resources needed to fulfill the order, etc.

    In Progress :

    You've received the request and payment from the Customer. Now you've started working on the product or service delivery. In this phase, use In progress which means work in progress!

    Shipped :

    Once a product is ready to deliver to a customer, as a seller we need to ship it to the carrier company. In that phase, we'll use the Shipped as an Order status.

    Order processed :

    Order processed means the Order is Delivered to the Customer(Either physically or virtually).

    Canceled :

    Once you update your order status as Shipped or Order processed, you'll see the Canceled option in dropdown. It simply means either you or your customer wants to cancel the order.

    Returned :

    For any reason, your customer doesn't want or like a product. If he/she wants to transfer it back, we can use the Returned status.

    PayPal Order Status - Order Processed vs Shipped!

    In PayPal's order status option, Order status Processed vs Shipped both are available to add as the order status. Both possess different meanings.

    What is the Basic difference between them?

    Shipped means the respective team has completed their work and has dispatched/shipped the goods or services to the Carrier service which will take care of delivery to the customer.

    On the other hand, An Order processed means a Customer's order is delivered by either 3rd party carrier service or directly by the seller.

    You can change the order status from an add tracking info section from the invoice of the product. Refer guide on updating PayPal order status.

    When to use Order Processed and Shipped order status?

    You can use any of the Order statuses from above for any kind of delivery. You can either use Order Processed or Shipped for physical product delivery.

    1) In the first scenario, you'll need to track the status with the Courier facility and update that status manually on every phase of delivery.

    For example, Once you're ready to hand over the goods to the Courier & you've received the tracking number from them, put the Order status as Shipped and update the tracking number & carrier name.

    Then, once you receive an update about the delivery from a carrier, change the Order status to Order processed.

    So the basic Workflow for physical goods looks like - Shipped > Order processed

    Another way is that you'll update the order status as an Order processed.

    Now, share the Tracking number with your customer. So, he can track the shipment by himself.

    2) For any virtual services and product delivery like software, always use Order processed.

    As you know we can't actually deliver any intangible items through Shipping companies, unless you're selling software distributions through a CD or Packaged Activation code.

    So, the Order processed is the best option for such Businesses.


    Is the Order processed the same as Completed on PayPal?

    Completed is the Payment status and the Order processed is the Order status. We can't compare both terms.

    Is the Shipped Order status similar to the Delivered on PayPal?

    A Shipped is not the correct order status that you've to select to mark it as delivered.

    If you're delivering physical goods, always follow this approach - Shipped first then update it to Order processed.

    Your chances of getting funds early will become very high.

    What is the Pending Order status on PayPal?

    There is no such order status in the Paypal ordering and tracking system. You can use Hold as a replacement for 

    Pending is a Payment status in Paypal transactions and invoices.

    If you've seen it anywhere on invoices, or on the transaction page, that simply means your order is acknowledged by the Seller, but the seller hasn't claimed the customer's money.

    Why I'm not able to add the Tracking number for the Order processed status unlike Shipped?

    Order processed means you've delivered the Order to a customer, then how will you update the tracking info for the product which is already been delivered?

    Shipped means you've processed the product for delivery, but it's still not delivered to the customer.

    So, you can add the tracking number when you've updated the order status as Shipped.