All guides

GuideCash on delivery

Cash on delivery explained for online sellers

In Tunisia, a large share of online orders is paid in cash, to the courier, at the door. It reassures the customer, but it changes everything for the store: cash flow, risk, and the way you pay your influencers.

  • 5 min read
  • Updated
Contents
  1. How cash on delivery works
  2. Cash flow: the money comes after delivery
  3. The risks to know
  4. One month in numbers
  5. Cut refusals and returns
  6. Influencer marketing on cash on delivery
  7. Questions about cash on delivery
  8. Read next

How cash on delivery works

  1. The customer orders on your store without paying online, leaving a name, phone number and address.
  2. You confirm the order, usually by phone, to check the customer is real and still wants the product.
  3. You ship through a delivery company, which picks up the parcel.
  4. The customer pays the courier in cash on receipt. They may also refuse the parcel, or not answer.
  5. The delivery company pays you the cash it collected, later, as your contract says, usually minus its fees.

Cash on delivery (COD) reassures customers: they see the product before paying and need no card. In return, the store carries the risk all the way to the door. The vocabulary (statuses, hold, attribution) is in the glossary.

Cash flow: the money comes after delivery

With COD, you pay for stock, packaging and often ads before you collect anything. A typical calendar, as an example:

  • Day 1: the order comes in and you confirm it.
  • Day 2: the parcel goes to the courier.
  • Days 3 to 5: delivery and cash collection, or refusal.
  • Then: the delivery company pays you, on the schedule in your contract.

Real delays depend on your delivery company and the region: get them in writing before you sign. Also compare the remittance schedule, return fees and parcel tracking, as explained in the delivery companies guide.

The risks to know

  • Refusals at the door: the customer changed their mind, has no cash on them, or finds the product different from the photo.
  • Unreachable customers: wrong number, phone off, incomplete address.
  • Returns after delivery and size or colour exchanges.
  • Delivery fees on undelivered parcels: depending on the contract, a refused or returned parcel may still be billed.
  • Fake orders: tests, pranks, or orders placed to inflate numbers.
  • Collected cash sits with the courier until it is paid out: keep track of what you are owed.

One month in numbers

What matters with COD is not how many orders came in, but what was delivered and kept. An example:

Example: 100 orders of a 59 TND product, delivery at 7 TND per parcel shipped, delivered or not
This monthParcelsAmount
Orders received and shipped1005,900 TND if all were delivered
Refused or customer unreachable120 TND collected
Delivered, then returned50 TND collected
Delivered and kept834,897 TND collected
Delivery paid to the courier100−700 TND

Here, 17 parcels out of 100 brought nothing but cost 119 TND in delivery, before packaging and time. An order is only a sale once it is delivered and kept. Example figures.

Cut refusals and returns

  • Confirm every order before shipping: name, address, product, size, total price. See COD order confirmation.
  • Honest product pages: real photos, sizes, material, final price.
  • Delivery fees shown before the order, so there is no surprise at the door.
  • A delivery time you announce and keep: the longer a parcel takes, the more likely a refusal.
  • A complete address with a landmark, especially outside the big cities.

To go further: reducing your return rate.

Influencer marketing on cash on delivery

Creators bring orders, but with COD some of them will never be delivered. If you pay commission as soon as an order is placed, you also pay it on refusals and returns. With Inflow:

  • Each creator has their own links and codes: every order is credited to the creator who brought it.
  • Commission is earned on delivery (the default), waits out a hold (7 days by default) and is reversed on its own if the order is returned after delivery.
  • Suspicious patterns are flagged: repeat orders from the same phone, an order placed within a minute of the click, a creator with a high return rate. Nothing is cancelled without you.
  • Paying creators happens by bank transfer; on Growth and Scale, one file (Excel or CSV) prepares the bulk transfer.

To set the amounts: how much to pay an influencer and commission on delivery.

Questions about cash on delivery

What is cash on delivery?

The customer orders online without paying, then pays the courier in cash when the parcel arrives. The delivery company then pays the money to the store.

When does the store get the money?

After delivery, when the delivery company pays out what it collected. The schedule depends on your contract: get it in writing.

Who pays for delivery when a parcel is refused?

It depends on your contract with the delivery company. Many stores still pay for the trip, which is why confirming every order matters.

How do I avoid fake orders?

Confirm by phone before shipping, check the address and watch for repeat orders from the same number. Inflow flags these patterns on creator orders.

Do I owe an influencer commission on a refused order?

With Inflow, no: a refused or cancelled order earns the creator nothing, and a return after delivery reverses the commission.

Does cash on delivery work with influencer marketing?

Yes, if you pay on delivered orders. The creator earns when you collect, and sees each order’s status in their portal.

Does Inflow collect the order money?

No. Inflow never touches customers’ or creators’ money: it tracks orders and calculates commission. You pay your creators by bank transfer.

Pay creators on what is delivered

Connect your Converty store and check it for free. Starter is free.