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Top 12 Cash on Delivery (COD) Courier Services in India
Introduction
India's eCommerce industry is booming. One of the key factors driving this boom is the convenience of online shopping and the need for reliable delivery options. Despite digital payment advancements, cash on delivery (COD) remains a popular choice. Reports suggest that in Tier 2 and Tier 3 cities, 90% of consumers opt for deliveries with COD payments. This preference reflects customers’ desire to inspect items before paying, reducing perceived risk. In fact, over 50% of online shoppers in India still opt for cash on delivery to ensure a hassle-free transaction.
In a country as diverse as India, COD has become integral to a successful logistics strategy. It currently caters to customers from urban centers to rural towns. So, having COD facilities allows businesses to reach a broader audience, including those who may be skeptical of digital payments. Offering COD can significantly improve conversion rates for eCommerce businesses, but it also requires robust logistics and reliable shipping services to ensure timely collections and secure cash handling.
This guide highlights the top 12 cash on delivery courier services in India. Whether you are a small online store or a major retailer, understanding the strengths of each logistics service can help you find the best fit for your COD delivery needs. It will also help you ensure a smoother experience for both you and your customers.
What is a Cash on Delivery Courier Service?
Cash on delivery services enable customers to pay for their purchases upon delivery rather than in advance. Here is a brief breakdown:
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Payment at Delivery: COD allows customers to inspect their orders before payment. It adds security and trust for the consumer.
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Order Flexibility: With COD, businesses can offer customers a choice of payment method. That helps them accommodate those uncomfortable with online payments.
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Return and Rejection Handling: COD gives customers the option of easy cancellation. Courier service providers often provide mechanisms to manage returns and refusals effectively. It minimizes the impact on sellers.
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Risk Management: Cash On Delivery services often include fraud prevention and proof-of-delivery features. It enhances both the customer's and seller's security.
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Integrated Logistics Solutions: Many Cash On Delivery couriers offer integration with full-service logistics companies. These cover all processes from inventory handling to last-mile delivery, with options to handle payments via cash or digital methods like UPI upon delivery.
Top 12 Cash on Delivery (COD) Courier Services in India
As online shopping becomes the norm across India, cash on delivery (COD) remains a popular payment choice, especially in Tier 2 and Tier 3 cities. In fact, despite numerous advancements in payment gateways, COD remains an offering like entrepreneurs must keep available to satisfy customers.
To make such an offering and couple it with low shipping rates, express delivery, and the ability to track shipments, you would need the support of a specialized eCommerce logistics company. Below is a rundown of the top COD courier providers in India that offer various services to meet the needs of eCommerce companies, large and small.
1. FedEx
FedEx brings international expertise to India, and is one of the most well known courier services companies in the world. It caters to the dynamic needs of the eCommerce and retail sectors.
Their Collect on Delivery (COD) service is efficient and flexible, supporting both cash and digital payment methods. Known for its transparent pricing and robust tracking, FedEx ensures that both businesses and customers experience smooth transactions.
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Pros: Reliable delivery times and extensive tracking.
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Cons: Limited Cash On Delivery options for rural areas.
2. Ekart
Ekart, originally Flipkart’s in-house logistics arm, has now grown to serve multiple clients across India. With fast delivery options and deep penetration in both urban and rural regions, Ekart is well-equipped for high-volume COD operations. Their Cash On Delivery facilities remains a favorite among eCommerce players due to their seamless integration and strong infrastructure. It’s also known for its affordable prices.
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Pros: Swift COD remitment and strong technology integration.
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Cons: Limited international shipping options.
3. Delhivery
Founded in 2011, Delhivery has transformed into one of India’s top logistics solutions providers. Known for its extensive reach across over 13,000 pin codes, Delhivery offers secure COD options that cater to a wide range of industries, including FMCG, eCommerce, and healthcare.
Their tech-driven approach ensures accurate tracking and timely COD Reconciliation. This oft-preferred shipping partner is also known for providing speedy COD delivery services and 1-2 day free COD settlement.
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Pros: Advanced tracking and reliable repayment cycle.
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Cons: Slightly slower processing during peak times.
4. Gati
Gati is one of the oldest delivery companies in India. The company covers over 21,000 pin codes and offers specialized COD solutions for eCommerce sellers.
Their Gati Connect service supports efficient cash handling and remittance, tailored to the needs of online businesses with high COD demand. Known for excellent reach and reliability, Gati is ideal for large-volume shipments.
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Pros: Extensive pin code coverage and a strong rural presence.
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Cons: Slower delivery service in remote areas.
5. DTDC
With over three decades of experience, DTDC offers reliable COD shipping backed by a vast network across India. With over 16,000 customer access points, it’s considered a leading shipping company for high volumes of orders.
DTDC’s COD options include digital payments, making it adaptable to customer needs. Their advanced tracking features and flexible payment solutions make them a preferred partner for eCommerce brands.
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Pros: Wide reach, digital COD payment options.
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Cons: Slightly longer delivery times in some areas.
6. XpressBees
XpressBees is a fast-growing logistics provider that specializes in same-day and next-day deliveries. Focusing on efficiency and technology, XpressBees offers COD services that cater to the unique needs of eCommerce startups and D2C brands.
It’s a popular delivery partner as it provides self-collect options supported by payment links so COD orders can be converted to prepaid orders with the right support. Its reverse logistics system is also one of the best in the industry, helping manage returns seamlessly.
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Pros: Fast delivery options and efficient reverse logistics.
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Cons: Limited international coverage.
7. WareIQ
WareIQ is a technology-driven logistics provider offering fast COD shipping, primarily for D2C and eCommerce brands. With a focus on automation and data analytics, WareIQ helps businesses optimize their logistics.
Their COD offering is popular for its quick transfer of funds and accurate tracking, making it a valuable partner for online sellers. It also offers delivery verification via WhatsApp for COD shipments.
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Pros: Quick COD remittance, automated tracking.
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Cons: Limited coverage in rural areas.
8. Blue Dart
A pioneer in logistics, Blue Dart offers COD with an extensive reach across India and even international destinations. Known for handling high-value goods, Blue Dart offers secure COD options that include digital payment flexibility.
Blue Dart’s courier service Dart Apex offers not only COD, but also DOD (Demand Draft on Delivery) and FOD (Freight on Delivery). Their robust infrastructure and well-developed API integration ensure smooth logistics operations.
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Pros: Secure COD handling and broad reach.
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Cons: Premium pricing for high-value shipments.
9. ShadowFax
ShadowFax caters to the last-mile delivery needs of businesses across sectors like food, eCommerce, and FMCG. Their COD service is efficient and reliable, with fast reimbursement cycles. Same-day delivery is also available.
The company’s vast network and tech-driven approach make it ideal for businesses requiring flexible, rapid delivery solutions. They are viewed as an end-to-end supply chain solution, offering effective Return services as well.
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Pros: Fast remittance, suitable for food and grocery deliveries.
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Cons: Higher rates for same-day deliveries.
10. DHL
DHL, a global logistics leader, offers secure COD logistics services throughout India, covering over 26,000 pin codes. Their extensive experience in international logistics adds a layer of expertise and efficiency.
DHL’s COD solutions cater to industries requiring both speed and reliability, including industrial and high-value goods sectors. It also offers a version of COD shipping that is equivalent to standard delivery services, under the name DHL PaczKing. Insurance through this service is offer free of charge.
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Pros: Global expertise, high-security COD handling.
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Cons: Expensive for small and medium-sized enterprises.
11. Ecom Express
Ecom Express specializes in end-to-end logistics with a robust COD offering tailored for eCommerce. They cover over 20,000 pin codes and are known for their high-tech solutions and customer-centric services.
Ecom Express supports 2-day Cash On Delivery turnaround, making it ideal for businesses needing quick access to cash flows. Depending on the products and specific shipping requirements, there may be additional fees for COD. However, a big benefit of Ecom Express is the accuracy of their records.
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Pros: High COD volume capacity, fast COD TAT.
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Cons: Limited international services.
12. India Post
India Post, with its massive network, offers COD options that cover even the most remote areas in India. Their service is reliable for rural logistics, with COD limits suitable for low-value, high-volume transactions.
India Post’s network makes it a valuable choice for businesses looking to expand their reach across rural India. Cash On Delivery services are now available for business parcels in addition to express deliveries and speed post.
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Pros: Extensive rural reach and affordable rates.
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Cons: Slower delivery times compared to private couriers.
How ClickPost Can Help with Logistics Automation
For eCommerce businesses seeking to streamline their supply chain operations, ClickPost offers an advanced logistics automation platform. By integrating multiple carriers into one unified dashboard, ClickPost simplifies order processing, tracking, and COD management, ensuring seamless logistics across diverse delivery networks.
When it comes to COD, ecommerce companies can find themselves in a tricky spot waiting on carriers to repay the collected amounts.
Key Features of ClickPost:
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Unified Carrier Integration: Manage multiple courier services through a single platform.
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Automated Tracking & Notifications: Real-time updates for improved customer experience.
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NDR Management: Proactively manage non-delivery reports to optimize delivery success rates.
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Efficient COD Reconciliation: Fast and transparent COD processing on a granular level.
ClickPost provides automated solutions to help businesses enhance their delivery experience and focus on growth. The best cash on delivery experience for any company is one that allows you to enjoy maximum benefits with minimum struggle. So ClickPost’s COD reconciliation module helps you track all your COD payments across all carriers automatically, remitted or not.
How to Choose the Best Cash on Delivery Courier Services in India?
Selecting a reliable Cash on Delivery (COD) courier service can be crucial for online businesses in India, where many customers still prefer paying during delivery. An ideal COD service should ensure prompt deliveries, secure cash handling, and streamlined processes that enhance the customer experience. Here are key factors to consider when choosing the best COD courier service for your business.
1. Coverage and Reach
A reliable COD service provider should have extensive coverage across India, reaching both urban and rural areas. With many consumers in Tier 2 and Tier 3 cities opting for COD, your courier partner must cover a wide geographical range. It ensures that your business can expand its reach and cater to a more extensive customer base without delivery limitations.
Look for service providers with widespread networks that offer consistent delivery services even in remote areas. Companies like Blue Dart and Delhivery have established networks that cover thousands of pin codes across the country, making them reliable options for broad COD coverage.
2. COD Remittance Cycle
The remittance cycle is the time taken by the courier service to transfer collected COD payments back to the seller’s account. Faster cycles for remitting the amount mean quicker cash flow. It allows businesses to reinvest in inventory and operations without delay.
Opt for courier providers that offer prompt and reliable remittance schedules, typically within 2–7 days. Some services provide flexible COD cycles that can adapt to business needs, ensuring you have access to funds sooner. It can be particularly valuable for small businesses that rely on steady cash flow to sustain growth.
3. Return and RTO (Return to Origin) Handling
Efficient return handling is essential in COD fulfilment, as customer refusals and failed deliveries are more common. A good courier service should have a streamlined process for handling returns and RTO, minimizing operational disruptions for your business.
Check if the courier offers robust return management services that simplify the logistics of returned goods. Effective RTO handling reduces costs associated with failed deliveries and also ensures better inventory management by swiftly returning undelivered goods to the warehouse.
4. Cash Handling and Security
Cash handling is one of the most critical aspects of COD services, as it involves physical money transfers. The courier partner should have secure protocols for collecting and delivering cash. It will ensure that payments are safely managed from the customer to your business.
Look for providers with established cash handling security measures, including GPS tracking and tamper-proof packaging. Services like FedEx and DHL are known for their stringent cash handling practices, which add an extra layer of trust and reliability to the COD process.
5. Technology Integration
Modern logistics requires seamless integration with eCommerce platforms and tools to streamline operations. A well-integrated system allows businesses to track orders, manage NDR (Non-Delivery Report), and monitor COD transactions in real time.
Choose a courier service that offers easy integration with your eCommerce platform. This compatibility enables smoother workflows and reduces manual intervention, making it easier to track orders, returns, and cash settlements through a centralized system.
6. Customer Service
A responsive customer service team is crucial for handling inquiries, resolving issues, and ensuring smooth transactions. For COD orders, customers may have questions regarding payment options, return policies, and delivery schedules.
Opt for courier services with dedicated customer support teams who can promptly address both business and customer concerns. Reliable customer support can lead to higher customer satisfaction, reduced RTO rates, and a more efficient COD process overall.
7. Delivery Speed and Performance
Fast delivery times can significantly impact customer satisfaction and retention, especially with respect to COD, where the customer awaits delivery to complete the transaction. Reliable courier partners with fast delivery options, such as same-day or next-day delivery, can be beneficial for customer loyalty.
Evaluate the speed and consistency of delivery for each courier service. Providers like ShadowFax and Ekart are known for their rapid delivery capabilities, which are valuable for businesses aiming to meet high customer expectations.
8. Cost and Fees
COD courier services can vary in cost depending on factors such as distance, volume, and service type. It is essential to consider both delivery costs and any additional fees associated with COD, returns, and handling charges.
Choose a service that balances cost-effectiveness with quality, enabling sustainable margins. Services like DTDC and India Post offer competitive rates, which makes them suitable for businesses looking to optimize their logistics costs.
9. Reputation and Reviews
The reputation of a courier partner in the industry can indicate the reliability and quality of their services. A well-regarded courier service often has consistent performance in terms of delivery times, customer support, and COD handling.
Consider checking reviews from other eCommerce businesses to understand a courier’s strengths and weaknesses. Companies like Delhivery and XpressBees have established reputations. Many eCommerce businesses praise their extensive reach and efficient COD handling.
10. Fraud Prevention and Verification
Fraudulent transactions and customer refusals are concerns for COD orders, making verification tools valuable. Some courier services offer COD verification processes to ensure order authenticity and customer commitment.
Look for courier services that offer verification features to reduce RTO rates and prevent losses. Verification tools add a layer of security to COD transactions, ensuring that orders are confirmed before dispatch, which helps minimize unnecessary returns.
Conclusion
Selecting the best courier service for COD orders can significantly improve customer experience, cash flow, and operational efficiency. By focusing on coverage, remittance, security, and customer support, businesses can optimize their delivery processes. It also helps them maintain trust with customers who prefer paying on delivery. A well-chosen courier partner enhances the end-to-end logistics experience and also supports business growth by addressing the unique challenges of the Indian COD market.
FAQ's
1. What is the difference between COD and prepaid payment?
2. How does COD work for e-commerce businesses in India?
3. Are there any limits on the amount of cash that can be collected via COD?
4. How do courier companies handle cash collected from COD orders?
5. What is COD reconciliation?
6. What are common cash on delivery problems?