Cash on Delivery (COD) is convenient for customers—but it can become a liability for merchants. From fake orders to high RTO rates, COD can seriously impact profitability.
Here are 7 effective ways to take control:
7 Effective Ways to Cut COD Losses
1. Block COD for High-Risk Pincodes
Avoid areas with high return-to-origin rates or unreliable delivery coverage.
💡Pro Tip: Regularly review courier data to update your blocklist.
2. Disable COD When Discounts Are Applied
Protect your profit margins during sales or heavy promotions.
3. Restrict COD Based on Order Value
Set a custom COD range to exclude low-margin or high-risk orders.
4. Disable COD for Specific Products or Collection
Easily restrict COD for fragile, clearance, or custom items.
5. Block COD Based on Customer Tags
Tag risky customers and automatically disable COD just for them.
6. Disable COD for First-Time Customers
Allow COD only for returning customers to reduce fake orders.
7. Restrict COD Based on Discount Amount
If a discount exceeds a threshold, disable COD for that order.
Method: Use the Nex Advanced Cash on Delivery App
The Nex Advanced Cash on Delivery Rule app helps you build smart COD logic—whether it’s restricting risky areas, applying fees, or tailoring conditions to reduce RTO risks.
Step 1: Install the App
Go to the Shopify App Store and search for Nex Advanced Cash on Delivery App.
Click on Install Button.

Step 2: Access the App in Your Admin
In your Shopify dashboard, go to Apps → Nex Advanced Cash on Delivery App.

Step 3: Create a New Rule
Click on Limit Cash on Delivery Configure, then choose Cash on Delivery as the payment method.

You’ll now have access to conditions like:
- Cart value
- Country
- State
- Pincode
- Product tag or collection
You can also set:
- Fixed COD fee
- Minimum order requirement
- Allowed/blocked pincodes
Step 4: Ready to Go
Click on Save, then place a test order with different cart values, pincodes, or products to verify that your rules are working as intended.
Conclusion
COD doesn’t have to drain your business. With smart rules powered by the Nex Advanced Cash on Delivery App and Shopify automation, you can dramatically reduce risk, streamline logistics, and protect your bottom line.
👉 Install the Nex Advanced COD App to start optimising your payment strategy today.
7 Proven Ways Advanced Rules Help Cut Down COD Losses