5 Cash on Delivery Mistakes That Are Costing Your Shopify Store Sales (And How to Fix Them)

5 Cash on Delivery Mistakes That Are Costing Your Shopify Store Sales (And How to Fix Them)

Cash on Delivery (COD) is a popular payment method in many countries where online payments are limited or less trusted. While it helps increase order volume, it also introduces specific risks and operational challenges that compound as your store grows.

This article covers the 5 most common mistakes merchants make when offering COD on Shopify, and practical steps to correct each one.

Table of Contents

  1. Not verifying COD orders before fulfillment
  2. Not offering upsells or quantity discounts
  3. Using a multi-step or default checkout for COD
  4. Managing orders manually without automation
  5. No post-order communication with customers
  6. Summary
  7. Related Reading
  8. FAQs

1. Not Verifying COD Orders Before Fulfillment

Why it's a problem

COD orders are often placed without much intent. Some are fake, incomplete, or from customers who don't plan to pay. Shipping these orders leads to unnecessary delivery costs and returned packages that erode margins with every cycle.

How to fix it

Use SMS OTP (One-Time Password) verification before confirming COD orders. When a customer submits the form, they receive a code by SMS. The order is only accepted if they enter the correct code.

This confirms the buyer's intent and filters out fake or low-quality orders before any fulfillment cost is incurred.

Tool you can use: Releasit COD Form & Upsells offers built-in OTP verification for Shopify stores. Setup takes less than 10 minutes.

2. Not Offering Upsells or Quantity Discounts

Why it's a problem

Most COD stores focus only on the primary product. Many customers would buy more or spend more if given relevant options at checkout. Without any upsell or bulk discount, you are leaving order value on the table with every transaction.

How to fix it

Add optional product upsells (accessories, add-ons) and quantity-based discounts (for example, "Buy 2, save 10%") directly inside the order form.

These work particularly well with impulse buyers and can increase total revenue per order significantly, especially in COD markets where buyers don't pay upfront and are more receptive to add-ons at the point of commitment.

Tool you can use: Releasit COD Form & Upsells lets you display upsell offers and quantity discounts directly in the form, without adding complexity to the checkout.

3. Using a Multi-Step or Default Checkout for COD

Why it's a problem

Standard Shopify checkout is optimized for prepaid online orders. It is not designed for COD buyers, particularly on mobile. Extra steps, account creation requirements, and unnecessary fields all increase drop-off rates before the order is placed.

How to fix it

Use a single-step COD form that collects only the essential information: name, phone number, address, and product selection. Remove distractions and unnecessary steps that slow down the process.

Result: Customers complete orders faster, with fewer errors and fewer abandoned checkouts, particularly on mobile where most COD orders originate.

4. Managing Orders Manually Without Google Sheets or Automation

Why it's a problem

If you are copying order details into spreadsheets or sending messages to your fulfillment team manually, errors are inevitable at scale. Orders may go unshipped, or information may be missing or inaccurate by the time it reaches the delivery team.

How to fix it

Use a Google Sheets integration to automatically send each new order to a live spreadsheet. This keeps all order information in one place, accessible by delivery teams, virtual assistants, or other tools in your workflow.

What to include: Name, phone number, product, quantity, total, order status, and UTM source data if available.

Tool you can use: Releasit COD Form & Upsells includes a native Google Sheets integration that connects in minutes.

5. No Post-Order Communication With the Customer

Why it's a problem

Many COD orders fail because the buyer forgets about the order or does not recognize the courier at delivery. Without a confirmation message or pre-delivery reminder, the chance of a failed handoff increases significantly.

How to fix it

Set up automated SMS or WhatsApp notifications after the order is placed. At minimum, confirm the order and notify the customer when it is being shipped. A reminder sent 24 hours before delivery further reduces missed handoffs.

Result: Buyers are more likely to expect the delivery, answer calls from the courier, and complete the payment on arrival.

Summary

Summary of 5 COD mistakes and how to fix them

Running Cash on Delivery on Shopify?

Install Releasit COD Form & Upsells to add OTP verification, upsells, Google Sheets sync, and automated order confirmation to your COD checkout.

Install Releasit COD Form & Upsells

Video Guides

For step-by-step walkthroughs of the tools and features covered in this article:

FAQs

1. What is the most common COD mistake Shopify merchants make?
Shipping orders without verifying the customer's phone number or intent. OTP verification is the single most effective step to reduce fake orders and RTO rates before any shipping cost is incurred.

2. Do upsells work with COD buyers?
Yes. COD buyers tend to be impulse-driven, and presenting relevant upsells or quantity discounts during form submission often increases average order value without reducing completion rates.

3. Why is a single-step checkout important for COD?
Most COD orders are placed on mobile. Every additional step or field increases the likelihood the buyer abandons the form before completing the order.

4. How can I automate COD order management?
Integrating your COD form with Google Sheets pushes each new order to a live spreadsheet automatically, removing manual data entry and reducing errors in your fulfillment workflow.