Cash on Delivery on Shopify in Pakistan: setup that survives refusals

Updated July 5, 2026 · ACOD (E-TRADE PARTNER)

COD dominates Pakistani e-commerce — most stores run 80%+ of orders on it — so the goal isn't avoiding COD but making it survivable: restrict COD to Pakistan (and to cities your courier serves), charge a fee in PKR that covers cash-handling costs, cap order values, and block repeat refusers with customer tags. All four rules run natively in Shopify checkout via ACOD.

The Pakistani COD reality

Cards are rare, wallets (JazzCash, easypaisa) are growing but far from universal, and trust in online prepayment is low — so COD is the default for most Pakistani stores, with couriers like TCS, Leopards, M&P, Trax, and PostEx handling cash collection. The pain points are the same everywhere: per-parcel COD charges, slow cash remittance, and refusal rates that can destroy a thin-margin store. You can't drop COD; you can control exactly where and when it's offered.

Restrict COD to Pakistan only

If you also sell internationally, the first rule is one line: show COD only for Pakistan (country allowlist). International orders — where COD collection is impossible for your courier — go prepaid automatically. Within Pakistan, city conditions handle courier coverage: if your courier's COD service is reliable only in major cities, list them in a city allowlist.

The COD fee in PKR

A visible COD fee (commonly Rs. 100–250) does two jobs: covers the courier's cash-handling charge and gives wallet-capable customers a reason to prepay. Set it up as a dedicated COD shipping rate linked to the payment method — Rs. 250 was literally one of the most common requests in our support archive, and it's a 5-minute setup. Combine with free-standard-shipping-above-a-threshold and the rate conditions keep the fee applying above the threshold.

Caps and refuser blocking

• Order-value cap: a Rs. 10,000+ COD parcel refused at the door is a serious loss; cap COD (Rs. 5,000–10,000 typical) and let high-ticket orders prepay — how to pick the number.
• Repeat refusers: tag customers who refuse parcels (manually or via Shopify Flow) and hide COD for the tag. They can still buy — prepaid.
• Advance-payment culture: some Pakistani stores collect a partial advance to confirm COD orders. ACOD doesn't do partial payments (honest list); the fee + cap + tag combination is our lane, and a partial-payment app can stack on top.

Frequently asked questions