Do I have to manually mark transaction as "Shipped" in PayPal?

Hi all,
New to Gravity Forms, so this question may have been asked (though nothing turned up in search). I have a PayPal Checkout form set up. The payment part works, but when notifications failed to come through, I discovered that I had to go into the PayPal account and mark each transaction as “Shipped” - even though no shipping is involved.

What did I do wrong?