COD Verification for Shopify – Verify Cash on Delivery Orders

Why do you need COD verification for Shopify? Well, COD is the lifeblood of every e-commerce company in India. We as customers, have found that being able to place an order online without having to pay for it before it is shipped, has reduced our uncertainty about transactions. This is why it is supported by all major e-commerce platforms including Shopify.

E-commerce and online shopping have exploded in popularity in the last decade. This is particularly true for India and other emerging markets. One of the reasons for the rapid growth of these areas is the widespread use of the internet and smartphones.

India is also a very young nation, with more than 65 percent of the population under the age of 35 and about half of the population under the age of 25. This ensures that a significant proportion of the population is in their peak earning years. Ecommerce has exploded as a result of both of these factors.

cod verification shopify

What is Cash On Delivery (COD)

Cash on delivery is a payment system in which an online shopper elects to pay for a product at the time of fulfillment rather than in advance. It’s also known as cash on delivery or collect on delivery. As a result, if a product is not shipped or paid for, it is returned to the brand/merchant.

Why is Cash on Delivery Important?

According to Nielsen’s Global Connected Commerce Survey, almost 83 percent of Indian customers choose cash on delivery as a payment method for online transactions. Consumers in big cities prefer cash on delivery over some type of advance payment, while consumers in smaller towns prefer cash on delivery to any sort of advance payment.

Just 30% of all online transactions are made using payment methods such as net banking, debit and credit cards, and online wallets.

What are the reasons for this?

  • Fear of online fraud.
  • Online payment is something you should be familiar with.
  • Lack of safe payment gateways makes transactions difficult.
  • Online transactions are not possible due to a lack of a proper internet connection.
  • Anxiety following a purchase.
  • No reliance on credit cards.

Simply put, cash on delivery (COD) provides online shoppers with the security and assurance they need. Before paying for something, a customer gets to hold it physically.

What about Business Challenges Associated with COD?

Though COD is beneficial to consumers, it is a major challenge for any e-commerce business. The main issues are operational losses due to high return rates, distribution staff handling massive number of COD orders of which there are a large number of fake orders.

As a result, every e-commerce company’s top priority has been reducing COD failure.

The Solution – COD Order Verification for Shopify

COBBot: COD Verification via automated SMSes is a solution to this problem that we have developed.

With CODBot for Shopify, you can use a simple SMS Verification to ensure the validity of your COD orders before shipping them out.
By checking COD customers’ contact numbers, CODBot assists Shopify store owners in reducing returns (RTOs) of cash on delivery (COD) orders.

Customers who want Cash on Delivery will be asked to confirm their order with an OTP, also known as an Order Verification Code, sent to their mobile numbers once the app is activated on their Shopify store. This confirms the customers’ contact information and their desire to make a COD purchase.

Why Verify COD Orders?

The e-commerce industry benefits greatly from cash on delivery (COD). However, cancellations and fake orders are some of the leading causes of operational failure. As a result, e-commerce companies must prioritize reducing COD failures. You may use CODBot for Shopify to double-check the legitimacy of your COD orders before shipping them out.

Who Should use COD Order Verification?

This approach can be used by any E-commerce company that accepts cash on delivery to distinguish legitimate COD orders from fake or bogus orders.

How to CODBot – COD Order Verification for Shopify Works?

The customer is guided to an order confirmation screen after selecting COD as a payment method. To confirm their order, they must enter the OTP sent to their mobile via SMS on the order confirmation screen.

Cash on delivery verification

The customer is taken to their order status page (also known as the thank you page) where they can see their order status and description as soon as the order is verified through OTP authentication.

cod order confirmation for India

The “Orders” tab on your Shopify Admin Dashboard allows you to monitor the status of COD orders as a store owner. A “CODBot Verified” tag will appear on orders that have been authenticated. You’ll see a “CODBot pending” tag on bogus/unverified orders, and you can opt to cancel them to avoid RTO.

cod verification

How is CODBot better than IVR/Automated Calls?

  • Are you annoyed by IVR or automatic calls? Your clients are, as well. Furthermore, apps like Truecaller either block or show a “spam” alert for these calls. This not only tarnishes the brand’s reputation but also results in a low number of order confirmations.
  • After they’ve put an order with your shop, most customers don’t want to answer unsolicited calls. SMS verification not only builds credibility but also lets consumers see the importance of your brand.
  • IVR calls usually use a pre-recorded tone/dialect with a thick accent that could be difficult for your customers to understand, causing them to abandon their cart.

You can Install CODBot here.