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COD Return-rate Impact Calculator

With cash on delivery, a returned order still costs you shipping and sometimes the product. See how your return rate changes your real profit, and the return rate where you stop making money.

Your orders

Whole number, 1 or more.

SAR
SAR
%

Share of shipped orders that come back or are refused. Use your own history.

%

0 means every returned item is lost. 100 means every one goes back to stock.

Costs (leave blank if none)

SAR
SAR

For example the return shipping fee.

%

In this tool, charged only on delivered orders. If your courier charges it on the amount collected including VAT, multiply your rate by 1.15.

SAR

In this tool, charged only on delivered orders. If your courier adds VAT on top of this fee, multiply it by 1.15.

SAR
SAR

Result

Enter the price, cost and return rate to see the impact.

Good to know

Shipping, packaging and ads are paid on every order, delivered or not. In this tool the COD fee is paid only when the order is delivered; if your courier also charges it on refused orders, add that to the extra return cost. A returned item you can sell again costs you only the extra return cost. Amounts are averages, so real results vary from month to month.

About this calculator

See how a return rate changes your real profit with cash on delivery, and where you break even.

Example: 100 orders with 20% returned

Price 100, cost 40, shipping 10, return fee 10, COD fee 2% + 3, packaging 2, ads 8, half of the returns resold. Total profit is 1,800 SAR instead of 3,500 with no returns, and you break even at 41.18% returns.

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Frequently asked questions

Why do returns hurt more with cash on delivery?

You pay the shipping to the customer, and if the customer refuses or sends the order back you pay again for the return, and you may not sell the item again.

What return rate should I enter?

Use your own history: orders returned or refused divided by orders shipped, over a few months. A short period can mislead.

What does “returned items you can sell again” mean?

It is the share of returned items that come back in good condition and go back to stock. Items that are damaged or opened may be a total loss.

Which costs are paid on a returned order?

Shipping, packaging and ads are paid on every order. A returned order also costs the return fee and, for items you cannot sell again, the product cost. In this tool the COD fee is charged only when the order is delivered. If your courier also charges it on refused orders, add that cost to the extra return cost.

What is the break-even return rate?

It is the return rate at which your total profit is zero. Above it you lose money, so it shows how much margin you have against returns.

How can I lower returns?

Many sellers confirm orders by phone or message before shipping, show clear photos and sizes, and describe the product honestly. Check which of these work for your own orders.