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Jul 3, 2019

How to improve your Cash on Delivery

Online shopping is continually booming in the UAE. Recent studies by Google & Bain & Company, the UAE e-commerce market is predicted to reach $9 billion by 2022 at a growth rate of 31% annually. Electronics is the largest e-commerce category that grows 23% annually followed by fashion e-commerce at 20% growth annually.

Almost 56% of consumers in UAE, KSA & Egypt starts their journey using search engines to search for products. Moreover, 55% of shoppers on the said countries prefer to use their smartphones to shop online.

The majority of the shoppers prefer to pay on delivery with either cash or card as per study. As per an A.T. Kerney study, buyers made 60-70% of their e-commerce payments through cash on delivery due to lack of trust in online payment systems & internet frauds.

From online sellers, startups or big e-commerce companies, cash on delivery payment is being offered. But like all other things, COD has its pros and cons.

Advantages of Cash on Delivery for Merchants

• Get a wider consumer-base
CoD being the most preferred mode of payment in e-tailing, you can cater a wider audience if you offer this.

Hassle-free Transaction
Your customers can skip the part of entering details on payment getaway and possible errors there

Your credibility may be increased because your customer only has to pay when the item is delivered.

Not all people have cards and bank accounts
This is another big advantage of CoD. This is very useful in rural areas where a lot of people do not use or have cards. It is simple and convenient.

Disadvantages of Cash on Delivery

The customer can change his mind at any time
Since he hasn’t pay yet, he can instantly reject it or say that he is no longer interested with the order.

Fraudulent Activities
There has been precedence of fraudulent activities in case of cash on delivery. As there is no authenticity of the available customer information, the chances of frauds become more.

One of the challenges with cash on delivery is that it makes the seller vulnerable to losses when the customer returns the product without paying for it. You spend all the money to deliver the product, but then it was returned. This adds to your revenue loss.

To reduce the disadvantages and risks, merchants should adopt some preventive measures. For instance, nowadays, some charge extra delivery cost in case of CoD option. You can also advise them to pay online. Or get necessary and correct information and contact details from the customers. These are simple steps but will definitely help minimize loss.

How WING can help you with Cash on Delivery?

Here at WING, we value and support every business. We offer COD no matter how small or big you are.

We follow a regular payout cycle. We based it on delivered orders per week. Our payout cycle is from Friday to Thursday and the payout will be on the following Wednesday.

Please find the sample table below:

How can I get my money?

We send your money to your account via bank transfer. It is required to email your bank details to us and our accounts team can process your payout.

You don’t have to send it every time. All you have to do is send it once, and it will be linked to your account. It will automatically be credited on the succeeding payout.

We do not charge extra for CoD, there will only be AED 3 deduction per payout for bank transfer charge.

If you have a business, leave your contact details now on Business Page and one of our business development team will get in touch with you shortly.

You can also contact us at 04 4043999 or email us at or for any concerns or inquiries.

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Wing DMCC Suite 2406, Floor 24, BB2 Tower, Mazaya Business Avenue, JLT, Dubai, UAE