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Reason behind we autoclint.com do not offer Cash on Delivery (COD)

Reason behind we do not offer Cash on Delivery (COD)

We apologize, but we do not offer the most popular payment option you love and are looking for, that is, cash on delivery option. Since we deal with customized products, we cannot include the option of COD within our payment methods. There are multiple reasons why we discontinued this form of accepting payments and here's why:

  1. Three times more price paid by prepaid customers
  2. COD cancellation/returns leads to waste of resources
  3. Contactless Delivery
  4. Extra cost bore by the customers
  5. Products might get damaged
  • Three times more price paid by pre-paid customers

Suppose there are 100 orders that are being delivered. In a common e-commerce scenario, 50% of the orders are rejected or returned when the delivery agency approaches the customers. This means that the parcel is sent back to us and hence, we have to bore the extra price of the shipping that was incurred. In order to compensate for the loss or the extra cost, we then have to increase the price of our products by that margin, which can be up to three times more, has to be paid by the pre-paid customers. Hence, the loss that has been incurred by the customers who opt for COD are to be incurred by the customers who pre-pay for the products. 

  • COD Cancellation/Returns leads to waste of resources:

In case of return/cancelation of any COD preferred parcels, the courier company delivers the parcel back to us and this leads to a extra effort put in by the courier company as well as the vendors who took in the orders and packaged the product for the customers. This leads to a waste of precious resources like packaging material and papers used for billing and labels apart from other formalities, and an utter waste of time and effort which can be prevented if COD is eliminated.

  • Contactless Delivery

When the customers have already pre-paid for the orders, it leads to minimal to no contact of the customer with the delivery agent since they, then simply have to hand over the product to the customer and the deed is done. This is in compliance with the new safety rules issued by the Prime Minister, during the tough times of the pandemic caused to Covid-19. This ensures safety of both the parties involved. 

  • Extra Cost bore by the Customers: 

Even with Cash on Delivery there is no way you can ensure that the specific product you ordered is in the parcel that the courier boy is holding. Also in case of return/cancellation, the courier company delivers the parcel back to the vendors as the shipping charges are now doubled for taking the parcel back. SO if COD is provided, it ends up in unnecessary increase in the price of the product, whose burden is ultimately bore by the customers, especially by those who pre-pay for their orders. 

  • Products might get damaged

 

Once the courier companies have the extra burden of shipping the cancelled product back to the vendors, there is a huge risk that of the products inside the package getting damaged due to wear and tear or due to the extra distance that it has to cover. Since we deal with some very delicate products, the risks for us are higher and thus, in order to manage this, the COD method has to be eliminated.