We offer COD sounds good to say to buyers for every online stores. Buyers also feel secure to pay after receiving (and checking) the product. Buyers not only feel secure here but also become vulnarable by not responding to delivery calls as they haven't paid for it. Also,
- The buyer not being at home
- Phone number not being reachable
- Incorrect address
- Buyer not being ready with cash
Following are a few solutions we would suggest for online stores to adopt:
Do not allow first time buyers to place COD orders. Restrict COD option to those buyers who place at-least one Pre-paid order in the past. This way you can demotivate fraudulent buyers to a certain extent.
If you want to allow first time buyers to place COD order - Have them pay only the shipping fee amount in advance. In case they reject the package - reimburse the seller with the shipping fee. If they accept the package, reduce that much amount from the order amount payable.
Block customer accounts if they place and reject COD orders frequently.
Make details of customers who are fraudulent and issue on public seller forums. This can help sellers take precautions.
While we admit that none of the above are 100% solutions to the problems faced by sellers due to fraudulent buyers, any of the above moves will definitely favor the seller community. Also, there are great chances that other selling platforms will also follow suit which will help the industry itself.