What Happens If My Shipment Is Refused?

When a company ships something to an individual on a COD basis they are always vulnerable to the package refusal

. Basically, whenever something is shipped on a COD basis, the individual has the right to refuse to take possession of that shipment, and does therefore not have to pay for it. While this might not be a problem for a company like a medical courier, business couriers, and especially companies that ship to private customers, can face this problem far more often.

It is natural to worry about this right of refusal that customers have if you have decided that shipping COD is something that might be useful to your company. This is because when someone refuses to take delivery of your COD shipments, it means that you will see no profit from that delivery. That doesn't mean that you won't have expenses though, because you will actually have several.

When a delivery is refused, you're going to have to pay for the shipping both to and from the client's location. The courier company is going to have to return the shipment to you if the client doesn't take it, but courier companies don't transport anything for free. This is one of the main reasons that many companies have gone away from shipping anything COD.

Don't dismiss COD shipping just because of this risk though, because there can at times be more to gain than there is to lose. An important part of increasing sales is increasing trust in your company. When you ship COD, you tell your customer that you trust them, and trust given is often trust returned.

COD shipments don't get returned as often as some shippers might fear. It is more likely that a shipment is going to be returned if something has been done wrong on the part of the shipping company rather than the customer simply changing their mind at the last moment. The majority of COD returns happen when the selling company has either not accurately represented the product they are selling, or when a package shows up and is damaged in some fashion.

There is nothing to gain by a customer ordering a product and then deciding at the last moment that they don't want it. Usually, a customer that orders something is going to be willing to pay for it when it arrives. Provide products as you have promised, and you should experience minimal refusals.

by: Paul McDuffy

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