Pay on Delivery
Pay on Delivery is a phenomenon that we are very familiar with when it comes to Online Shopping in Nigeria. It is a Payment method in Nigeria many of the online shopping websites have adopted. The term can also be referred to as Cash on Delivery (COD). Whichever phrase we choose to use, they both mean the same thing.
Meaning of the term “Pay on Delivery” (POD) – This mean that you will bring the good(s), product(s) or item(s) that I am buying from you or your company before I make payment to you. My payment may be in the form of cash or card.
I use to like the “Pay on Delivery” method of payment in the past when almost all the Online Shopping websites in Nigeria tells you “pay cask on delivery”. I always believed that it gives me leverage over them. Thinking that if I do not like the product(s) or item(s), I can return it right there and then. But I later learn that my protection on the product or item is actually VERY limited.
What does that mean to Online Shopping in Nigeria?
It means that when you buy from many of the Online Shopping in Nigeria websites and pay with cash, you may not be eligible for any refund if there is a default with the product. In other word, you are not protected on any of the product purchased. With this mode of payment, you are actually putting your hard earned money at risk. Below, I will tell you why you may be putting your hard earned money at risk.
Disadvantages of Pay on Delivery
One of the greatest disadvantages of making payment with Cash on Delivery method to Customers is that you are not protected if the product or item is not actually what the seller advertised. In the world of E-business in Nigeria, Online Shopping, eCommerce in Nigeria and in particular the rate in which Online businesses are springing up in the country – many will loss their money by paying with cash on delivery.
Another disadvantage to this model is lack of control over what you ordered. Many of the Online Shopping Websites in Nigeria do not keep to there delivery date promise. Some may not even deliver you item when you need it.
Further more, many consumers miss out on the cash back rewards incentives that most sellers gives there customers. These incentives are a form of thank you for making payment with a payment card. Although not all Online Shopping websites give out incentives.
Alternative to Cash on Delivery
The best alternative to “Cash on Deliver” or “Pay on Deliver” as it may be called is a Prepaid Card. A Prepaid card is actually a favourable replacement in the eCommerce world.
What is a Prepaid Card?
A Prepaid Card is a payment card that allow you to make payment for good and services without you exposing your bank account. They are good to pay for Online Shopping, make bill payments and everyday purchases.
A Prepaid card is totally different from your bank debit card in the sense that it is NOT linked to your bank account.
In the world of financial uncertainties, a payment card that will protect both sellers an consumers is more appropriate.
In summary, consumers should take advantage of using our payment card to shop online. Using your Prepaid Visa card or MasterCard has much more advantage to purchase goods and services than the use of cash. Likewise, Online Shopping websites in Nigeria should should give incentives to customers in other to encourage the use of payment cards for Online Shopping.
We recommend the use of a Visa Prepaid Debit Card for all your Online Shopping in Nigeria to stay protected.