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What are COD returns costing you?
Enter your orders, COD share and return rate with your own freight rates. See what RTO costs a month and a year, and what cutting it would save.
Use your own rates from your courier invoice. The defaults are only a starting point.
- Parcels returned a month
- 360
- Cost of each return (freight both ways and packing)
- ₹155
- Spread over every order you ship
- ₹19 an order
RTO costs you
₹55,800 a month
₹6,69,600 a year
Cutting RTO by 5 points would save about ₹1,67,400 a year.
Returns cost money twice when they're billed wrong: return freight on a parcel that was delivered, or COD fees on prepaid orders. Veritally checks every parcel.
Questions sellers ask
What is RTO?
Return to origin: a parcel that couldn't be delivered, usually a COD order the customer refused or wasn't home for, is sent back to you. You pay freight both ways and get nothing for the sale.
How do I work out my RTO cost?
Multiply the number of returned parcels by the forward freight, the return freight and the packing for each. This calculator does that from your own numbers.
How can I reduce RTO?
Common steps: confirm COD orders by WhatsApp or a call before shipping, offer a small discount for prepaid, avoid shipping to repeat refusers, and keep delivery times short.
Can couriers charge RTO wrongly?
Yes. Return freight is sometimes billed on parcels that were actually delivered, and COD fees on prepaid parcels. Veritally checks every parcel in your courier invoice for both.