COD or Cash on Delivery is a common term for any person familiar with the eCommerce marketplace. With the passing of time, ample payment options are sidelining the COD mode of payment. However, a percentage of customers still prefer COD for their online purchases. Top carriers like UPS do provide Collect on Delivery for shipments within Canada & the U.S.
In this article, we will provide all the information you need to know about UPS COD or Cash on Delivery. Diving a little deeper we will explore the benefits of COD and how easily you can use it with your Shopify and WooCommerce store.
Collect on Delivery or Cash on Delivery
Though it is a common term, its importance is often undermined, so no harm in revisiting the meaning and importance once again, right?
Cash on delivery (COD) is a transaction in which the customer pays for an item in cash rather than on credit at the time of delivery. The payment requirements of the purchase agreement dictate the terms and permitted ways of payment. Cash on delivery is sometimes known as collect on delivery since the seller may accept cash, cheque, or online payments at the time of delivery.
Benefits of Collect on Delivery or Cash on Delivery
For many businesses, COD facilitates the immediate purchase of goods and services. Besides, it is not unnatural when we see customers feel more secure seeing the Cash on Delivery option. Let’s see some of the underlying benefits of providing Cash on Delivery:
- COD, or Collect on Delivery, attracts a larger customer base since one of the main benefits of COD is that buyers may pay for products only after the courier service has delivered them. As a result, COD is still a widespread payment method.
- Offering a COD payment option increases client trust because buyers do not have to pay for their products in advance, therefore there is no chance of money loss. This boosts the customer’s faith in your brand. It also increases consumer trust in a new company that has not yet created significant brand awareness.
- COD provides a benefit over credit in some circumstances since the merchant obtains full payment at delivery. It also avoids some of the dangers associated with customer identity theft, blocked payments, or electronic card disputes.
UPS COD or Cash On Delivery
UPS makes an attempt to collect the amount specified on the C.O.D. tag or package label and then mail the money to you. If UPS is unable to collect the money after three tries, the shipment will be returned to the sender.
Terms of Service
These terms of service apply to C.O.D.:
- UPS will accept C.O.D.s for amounts up to $50,000CAD per shipment.
- UPS will accept a business or personal check, or another negotiable form of payment.
- At the shipper’s request, UPS will accept a certified check or money order only.
- The shipper assumes all risks related to the collection of the payment, including non-payment, insufficient funds, and forgery.
When a COD order is received by UPS, you must go into the carrier account, mark it as a “COD” order, enter the money to be collected from the buyer, and then manually print labels. This manual method requires a long time and effort if there are a lot of COD orders.
UPS COD In Shopify
With the Multi Carrier Shipping Label app, you can automate the UPS Cash on Delivery order handling process in your Shopify store. Once the customers place COD orders, it automatically gets imported into the app and you will be able to generate UPS COD labels for the orders in bulk.
The app also automatically informs the UPS carrier that the order is COD along with the amount to be collected from the customer.
Here is a sample of the UPS COD label:
UPS COD for WooCommerce
With the WooCommerce Shipping Services, you can automate the UPS Cash on Delivery in your WooCommerce store. Once the customers place COD orders, it automatically gets imported into the app and you will be able to generate UPS COD labels for the orders in bulk.
The app also automatically informs the UPS carrier that the order is COD along with the amount to be collected from the customer.
Here is a sample of the UPS COD label:
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