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Friday, June 7, 2013

Flipkart slowly realizing that Cash on Delivery model may not work well in India

When for the first time I heard that E-commerce portals like Flipkart and the like's, were offering Cash on Delivery option, the first thing that came to my mind was that it will just not work. Most of us in India know how people just for fun, call up food joints and order food on behalf of people. The delivery guy lands up at your place and you'r like, I never ordered any food, take it back. The same thing is now happening to Flipkart. Some people in UP have had fun with them, by making false orders and then refusing to accept them when they were delivered.



Flipkart has gone to great extents to set up its excellent and famed  back-end infrastructure and superb delivery chain. Flipkart goods arrive at your place pretty fast, sometimes, even on the very day of the order. But all of this means nothing if the buyer is playing a prank and he never intends to pay up for the goods.

Introducing Cash on Delivery is a very bold step and Flipkart has carried it for quite some time now. Flipkart does not call up the customer to confirm the order(may be it does for high value, but for whatever orders I've made, they never have), if they do so, they can be assured that they are talking to the right person, and they can tell him that he is now obliged to pay up once the order is done and dusted.

May be Flipkart should stop COD for new customers. First time customers should be made to pay before delivery since they are the one's most likely to be playing the prank.

Flipkart has put on hold COD for people in Uttar Pradesh as of now, but I dont think this is a localized problem. People with the same mindset of having fun may prop up from any where in the country. Flipkart does have some serious thinking to do. Best of luck to them !!!

PS - I recently came to know about Flipkarts new 'Delivery of Cash' service. Sounds pretty awesome, the idea of a person coming to you door step so that you can swipe your card and he can pay you. The idea of an  ATM machine at your door step when you need it. Awesome !!

Source : Times of India

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