Cash on delivery (COD)
Cash on delivery is a payment method where the customer pays in cash when the order arrives, usually to the courier, who then passes the money on to the store.
Cash on delivery lets people buy without a card and without trusting a store before they have the goods. It is the most common way to pay online in many markets.
The trade-off
The store pays for delivery up front and waits for the courier to pass the cash on. Some parcels are refused at the door, which costs delivery both ways. Confirming orders before shipping and showing the full price before checkout keep refusals down.
In Soooks
Cash on delivery is built into checkout with no platform fee. You mark an order paid when the cash reaches you.
Related
Glossary
Order fulfillment
Fulfillment is everything between an order being placed and the customer receiving it: picking, packing, handing it to delivery and confirming it arrived.
Glossary
Refund
A refund returns some or all of what a customer paid for an order, usually after a return, a cancellation or a problem with the order.
Glossary
Payment gateway
A payment gateway is the service that takes card and wallet payments for an online store, checks them with the bank and sends the money to the store’s account.
Guide
Selling online with cash on delivery
How cash on delivery works for an online store, what it really costs, and how to cut refused orders and keep track of the cash.
Feature
Cash on delivery
Offer cash on delivery at checkout with no platform fee: customers pay the courier when the order arrives, and you mark it paid when the cash reaches you.