Free tool · Leads & sales
COD Return to Origin (RTO) Cost Calculator
For D2C and online sellers: see what cash-on-delivery orders that come back undelivered cost you in shipping and losses, and what each point of RTO saved is worth.
What COD returns cost you
₹51,150 a month
About 330 orders a month come back, at ₹155 each. That is ₹6,13,800 a year, before counting the time your team spends on them.
Each point less RTO saves about ₹2,325 a month. Five points is ₹11,625.
- Returned orders a month
- 330
- Cost of one return
- ₹155
- Cost a year
- ₹6,13,800
- Cost a month
- ₹51,150
The product is not counted: a returned order goes back to your stock. We have no reliable published figure for how much a confirmation call cuts RTO, so try it on a month of orders and compare.
Run these before a COD order ships
- Within an hour of the order A call or WhatsApp to confirm the order, the amount and that someone will be home to pay.
- Address check Confirm the pin code, a landmark and a second phone number for the courier.
- Offer prepaid A UPI link to pay now, if you offer one. Never pressure; cash on delivery stays an option.
- No answer after two tries Hold the order a day instead of shipping it blind, and message once more.
- Out for delivery A message with the courier and the expected time, so the buyer keeps the cash ready.
Good to know
How this tool works
Add your COD orders a month, the share that return to origin, the courier charge each way and other losses per return. See the RTO orders, the cost of each, the cost a month and a year, what one point less RTO saves, and five checks to run before a COD order ships.
- Everything happens in your browser. What you type is not sent to Brand Bakery or stored by us.
- Free to use, with no account and no email gate. Check the output before you publish or print it.
- Agents and scripts can call it too:
POST /api/tools/cod_rto_cost. See the API docs.
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The service behind it
Questions owners ask
Straight answers
What does an RTO cost include?
The courier charge to send the order, the charge to bring it back, and anything else you lose on a return: packing, damage, a product you cannot resell. The product itself is not counted, because it comes back to your stock.
Where do I find my RTO rate?
In your shipping dashboard or courier reports: COD orders shipped last month, and how many came back undelivered. Look at COD alone; prepaid orders return far less often.
Does a confirmation call really help?
It catches the orders that were never going to be accepted: a wrong address, a buyer who changed their mind, a test order. We have no reliable published figure for how much it cuts RTO, so the calculator shows what each point is worth and lets your own results decide.
Can these calls be automated?
Yes. An AI sales employee can call each new COD order within minutes, confirm the order and address in Hindi or English, offer a UPI link if you use one, and flag the ones to hold. ₹50,000 to set up, then ₹22,500 a month with 2,000 minutes included.
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