September 15, 2023

Cash On Delivery And Its' Benefit

What is Cash On Delivery (COD) and the benefits of Cash On Delivery (COD)

In 2019, commerce has taken a radical evolution. Due to thenationwide quarantine measures to counter COVID-19, we have observed a boom inonline shopping. Retailers have also experienced the convenience of onlineshopping whereby they are able to browse a vast array of products from thecomfort of their homes and having them delivered right to their doorstep. As aresult, businesses have adapted to the new normal by launching their e-commercestore. Amidst the various payment method available, Cash on Delivery hasemerged as one of the most preferred options for both businesses and consumers.This article will explore the benefits of Cash on Delivery for both businessesand consumer.

Cash on delivery otherwise known as COD is a payment methodwhere the customer makes payment in cash upon the delivery of product. When acustomer opts of COD, the seller will first ship the product, and the customerwill pay the exact amount in cash to the delivery personnel upon receiving theproduct.

One of the main reasons for customers opting for cash ondelivery is that it offers a form of security and trust to the customers whenmaking purchases online. In the age where cyber fraud and data breaches are becominga common occurrence, many customers are hesitant in sharing their informationonline especially sensitive information such as financial information. WithCOD, customers will not have to provide their credit card information or otherpayment related information, as a result this can reduce the risk of cyberfraud.

Another reason for COD, is that it provides a solution toconsumers who has no access to digital payment method such as credit cards,debit cards, or mobile e-wallets. COD makes it possible to access a broadersection of consumers to participate in e-commerce. COD is particularly usefulfor markets in developing countries where digital payment infrastructure isstill developing.

Cash on delivery also provides customer with confidence topurchase online, especially when they are new to online shopping or purchasingfrom a new site which there are uncertainty to its reliability. Knowing thatyou can pay for the product only after physically receiving the product allowscustomer to overcome hesitation that they might have when purchasing online.

Cash on delivery also helps businesses reduce cartabandonment, as customer feels more confident in completing the purchase, asthey know that they will only have to pay upon receiving the product.

In conclusion Cash on delivery is a valuable payment methodfor both online businesses and e-commerce and for consumers. It has manybenefits such improving consumer confidence and also improving e-commerceonline business reach. While the adoption of digital payment method continues togrow, cash on delivery remains an important payment method offering convenienceand confidence to consumers and businesses .

Continue reading