About this tool
Compare COD and prepaid order scenarios using the entered fees, return assumptions and incentive amounts. Keep the cost assumptions consistent so the estimated margin difference reflects the payment-mode decision you are reviewing.
Calculations and file processing run in this browser tab. The tool does not send working inputs or files to our hosting server.
मुख्य इनपुट और नियंत्रण हिंदी में देखने के लिए ऊपर “🇮🇳 हिंदी में देखें” चुनें। गणना और फ़ाइल प्रोसेसिंग इसी ब्राउज़र टैब में होती है; टूल आपके इनपुट हमारी होस्टिंग पर नहीं भेजता।
Features
- Work with Order Selling Price (₹); Product Cost (COGS + Packing) (₹); Forward + RTO Shipping Cost per Return (₹).
- Review Expected Profit (COD Order); Expected Profit (Prepaid Order); Net Gain by Converting to Prepaid in the result breakdown.
Benefits
- Compare an incentive against its estimated margin cost.
- Make different return assumptions visible.
Who should use this tool?
- Sellers considering prepaid incentives.
- Operations teams comparing payment modes.
How to use
- Complete the labelled fields for your scenario, including Order Selling Price (₹); Product Cost (COGS + Packing) (₹); Forward + RTO Shipping Cost per Return (₹). Use the units shown beside each field.
- Try the example labelled “₹1,200 D2C Order (28% COD RTO vs 4% Prepaid RTO + ₹50 Off)” if you want to check the workflow first.
- Select Calculate / Run Tool and review Prepaid vs COD Expected Profit per Dispatched Order and Expected Profit (COD Order); Expected Profit (Prepaid Order).
- Check the assumptions and limitations below. Adjust a value to compare scenarios, then copy or download the result you need.
Try these worked examples
| Scenario | Example inputs | Example result |
|---|---|---|
| ₹1,200 D2C Order (28% COD RTO vs 4% Prepaid RTO + ₹50 Off) | Order Selling Price (₹): 1200Product Cost (COGS + Packing) (₹): 450Forward + RTO Shipping Cost per Return (₹): 110Courier COD Collection Fee per Order (₹): 40COD RTO Return Rate (%): 28Prepaid RTO Return Rate (%): 4Prepaid UPI Discount Offered to Customer (₹): 50 | Prepaid: ₹582.16 vs COD: ₹432.88 (+₹149.28 gain/order) |
| ₹799 Apparel Order (35% COD RTO vs 5% Prepaid RTO + ₹40 Off) | Order Selling Price (₹): 799Product Cost (COGS + Packing) (₹): 300Forward + RTO Shipping Cost per Return (₹): 90Courier COD Collection Fee per Order (₹): 35COD RTO Return Rate (%): 35Prepaid RTO Return Rate (%): 5Prepaid UPI Discount Offered to Customer (₹): 40 | Prepaid: ₹365.83 vs COD: ₹235 (+₹130.83 gain/order) |
Reference and processing
Indian D2C Payment Gateway & COD Courier Unit Economics · Listed applicability: 2025-2026
Calculations and file processing run in this browser tab. The tool does not send working inputs or files to our hosting server.
FAQs
Does offering prepaid payment eliminate returns?
The calculator uses the separate rates you enter. It does not assume or guarantee that a payment mode prevents customer returns or delivery failures.
Which inputs do I need for COD vs Prepaid Order Margin & Discount Incentives Calculator?
Use Order Selling Price (₹); Product Cost (COGS + Packing) (₹); Forward + RTO Shipping Cost per Return (₹); Courier COD Collection Fee per Order (₹), then complete the remaining fields for your scenario. The built-in examples show how those fields fit together.
What should I check before using this result?
Uses merchant-entered RTO rates for COD vs Prepaid. Check the assumptions and output against your intended task before relying on the result.
What happens to the information I enter?
Calculations and file processing run in this browser tab. The tool does not send working inputs or files to our hosting server. Tool favourites save only tool IDs in this browser. Sharing sends the tool link, not your working values or files.