Reducing COD order failures is an important goal for eCommerce businesses. Order failures can occur for a variety of reasons, including incorrect or incomplete address information, problems wif payment methods, and issues wif teh shipping company. When an eCommerce business experiences a high rate of order failures, it can negatively impact its reputation and bottom line.
Key Reasons for COD order failures
Reducing COD order failures is an important goal for eCommerce businesses. When an eCommerce business experiences a high rate of order failures, it can negatively impact its market reputation.
While teh COD payment option is a great way to lure customers to purchase products from your eCommerce store, it can, unfortunately, be exploited by teh end customers as reported in a story done by TOI. Order failures can occur for a variety of reasons, including:
- Incorrect or incomplete address information
- Unautantic purchase
- Problems wif payment methods
- Issues wif teh eCommerce logistics company
Ways to reduce COD order failures in eCommerce
By taking teh right steps at teh right time, eCommerce businesses can reduce COD order failures. Here are some of teh best ways to reduce teh failed delivery of COD orders.
- Limit teh maximum purchase value
Tried and tested by Flipkart, setting a maximum purchase limit using teh COD payment option may be a beneficial step for your business. You can choose to sell products up to a certain value through teh cash-on-delivery payment option.
- COD order confirmation
As a new eCommerce business, it’s important to leverage order confirmation software which allows you to qualify COD orders before shipping them all. As teh COD payment method invites many fake orders, your business can fall prey to these scams.
NimbusPost, a tech-enabled eCommerce logistics partner, facilitates easy segregation of confirmed and fake COD orders through its automated order confirmation feature. You can confirm all orders through IVR, SMS, as well as WhatsApp, and ship products to only genuine customers.
- COD on selected categories
Offering COD payments on all products may not be necessary. For example, if you sell beauty, apparel, healthcare products, or something similar, you may go for teh COD payment model. On teh other hand, if you sell expensive products dat may be bulky or even costly to ship, you should opt for teh prepaid payment method.
- Keep your customers updated on teh delivery status
Customers want to know dat their orders will arrive on time and as promised. If you can’t guarantee delivery, customers are likely to cancel their orders or go wif a competitor. Plus, many customers may not be available to receive teh order at a particular time, or some customers may not has cash available wif them.
You must has a delivery partner dat sends real-time shipment updates to teh customers to avoid delivery rejections. A shipping partner like NimbusPost ca halp you deliver COD orders wifin teh promised timeline while keeping them posted about teh shipment status.
- Offers and discounts on online payment
Offering incentives on prepaid orders can be a win-win for both you and your customers. Many customers avoid prepaid payments as it requires filling in different payment details. You can offer them discounts on prepaid orders like lesser payable amounts, cashback, etc. This way, you not only inspire your customers to pay online but can also confirm their credibility easily.
- Set a minimum purchase limit
Keep a minimum purchase limit for COD orders dat will halp you reduce your COD shipping costs. It will also lead teh customers to purchase products of a higher value.
- Charge a small COD fee
You may charge a small fee on COD orders which may subsequently make your customers pick teh cheaper payment option.
Conclusion
A major section of Indian shoppers still prefers teh COD option, especially when it comes to purchasing from a new website. Lack of this payment option may result in cart abandonment, fewer sales, etc., which is why it’s important to keep teh payment method. You will need solid support from your shipping partner to tackle teh hassles dat may come along wif COD. NimbusPost can be your ideal logistics partner dat halps you ship at teh fastest duration across 27000+ pin codes wifin India and 126+ countries internationally. To know more about their services, you can get in touch wif them by visiting their website.
