How Does Cash on Delivery Work?

Activation

1. Enable Cash on Delivery under Integration Settings → Payment Methods.
2. If needed, define a cash-on-delivery service fee. This fee is added to the customer's basket automatically and shown clearly during checkout.
3. Choose the shipping carrier you will use for cash-on-delivery orders. You need a collection agreement with the carrier; the carrier collects the payment and transfers it to you afterward.

Order Workflow

1. The customer selects cash on delivery, and the order is created with the status Awaiting Payment.
2. You prepare and ship the order without waiting for payment approval because collection takes place at delivery.
3. The shipping carrier delivers the product and collects the order amount from the customer.
4. When the collected amount reaches you, update the payment status to Paid in the order details. This keeps your accounting records and reports accurate.

Managing the Risks

The known risk of cash on delivery is that the customer may refuse the order at the time of delivery. In this case, the product is returned to you and the shipping cost remains with your business. To reduce this risk:

• You can create a deterrent balance by applying a cash-on-delivery service fee.
• Send a confirmation through WhatsApp or SMS, such as Your order has been received. You will pay X at the door., so the amount due is clear in advance.
• For customers who repeatedly fail to accept deliveries, consider disabling cash on delivery on a customer-specific basis.

Note: Cash on delivery remains an effective way to reach customers who do not use cards. When its risks are managed carefully, it can contribute to sales.