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Why Pakistani more happy with COD (Cash on Delivery) than using credit card online?

shoppingbagOnline shopping is a blessing in today’s world when everyone is busy doing their work with almost zero productivity, well the discussion can lead us to the other way. We will chalk out few notions of why most of the Pakistani is more satisfied with COD (cash on delivery) than the paying in advance through credit cards. Cash on delivery is when the customer pay cash after the parcel is being delivered to the referred address. While, the payment through credit card is paid before the delivery of the package or at the time of placing the order. Both methods have its consequences; let’s find out why people are more satisfied with the COD.

COD is considered to be beneficial for both buyer and seller. It increases the cadence of the seller when the buyer makes their trust on the method. COD also, on the other hand, bring the trust factor because most of the customers show reluctance on paying the payment of the product without checking or getting the quality of product and service of the seller. This builds up trust generate more revenue for the company in the context of the most satisfied customer.

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On the other hand, the general concept is that paying before delivery is not wise. Most of the people in Pakistan are hesitant to adopt the innovation at its early stage unless they see a real life example before them. Therefore, they prefer to use the cash on delivery method to always have their Ace card in the hand before playing.

Cash on delivery method improves the quality of the products and the provision of services to the company. When customer relatively checks the quality of the product and then pays to make the seller at bay. In this way, the seller tries to improve the quality in order to release the transaction cost and cost for recalls. Quality improvement coupled with the cash on delivery provides composite benefits for all stakeholders.

Most of the people shopping in Pakistan even of big cities e.g. Karachi, Lahore, Islamabad etc are hesitated to use new methods of technology and reliance at first. They find it difficult to understand the complicated transaction behind the paying from the credit cards. It is also because they are holding cash most of the time and seldom use E-cards.

Moreover, in the group of the online shopper, men, and especially women does not trust the portals when the see the package in person. They are not willing to pay for the virtual things that they don’t own. Legally, the product is not yours unless you pay for it and hence, legal responsibility lie on the seller, and they are obliged to deliver the product on time, with improved quality and without error. People of Pakistan always play safe and prefer the cash on delivery method more than the credit cards for the online shopping.

With all the benefits, cash on delivery has transformed the dynamics of online shopping industry and provides an opportunity for the online stores to penetrate deep in the market. It has also empowered the online customers and brings the online industry a success that, without the help of COD, it won’t be possible.

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