Cash on delivery still drives a large share of Nepali online orders, but high return rates hurt margins. The fix: confirm orders, set clear expectations, and nudge buyers toward prepayment with small incentives.
Why COD dominates — and its cost
COD lowers the trust barrier for first-time buyers, which is why it's everywhere in Nepal. The downside is failed deliveries and returns that you pay for.
Best practices
Confirm every COD order by call/SMS, verify the address and phone, offer a small discount for prepaid (eSewa/Khalti), and flag repeat returners. Clear product photos and accurate descriptions cut "not as expected" returns.
Tooling
Run COD and digital wallets together on one platform like Saauzi so you can track which channels return least. More on payments: eSewa vs Khalti vs FonePay.
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