COD profit calculator
Cash on delivery looks profitable until you count the parcels that come back. Enter your own numbers to see what you really make per order, and the refusal rate where you start losing money.
Monthly profit
Rs 159,000
on 300 orders shipped, with 20% refused
- Profit per order shipped
- Rs 530
- Profit per delivered order
- Rs 663
- Lost to refusals each month
- Rs 45,000
- Break-even refusal rate
- 53%
Cutting refusals from 20% to 10% adds Rs 48,000 a month.
Confirming orders on WhatsApp before dispatch stops fake orders and catches many change-of-mind cancellations before you pay the courier. See how it works.
The starting numbers are an example. Nothing you enter leaves your browser.
How the calculator works
Every order you ship costs the courier charge, packaging and its share of your ad spend, whether or not the customer accepts it. Only delivered orders bring in money: the selling price, less the courier's COD collection fee and the cost of the product.
A refused order adds the return charge. If the product comes back damaged or can't be sold again, you lose its cost too. Untick “Returned products can be sold again” to include that.
Profit per order shipped spreads all of this over every parcel you send. Break-even refusal rate is the share of refused orders at which that profit reaches zero. Above it, every extra COD order loses money.
Questions, answered
How do I calculate profit on COD orders?
Start from the orders you ship, not the ones you deliver. Every shipped parcel costs delivery, packaging and its share of ad spend. Only delivered parcels bring in the price, less the courier's COD fee and the product cost. Refused parcels add the return charge, and the product too if it can't be resold. Profit per order is what's left after all of that, averaged over every order shipped.
What is a normal COD return rate in Pakistan?
It varies a lot by category, price, city and how orders are confirmed, so use your own courier reports. The calculator shows the break-even refusal rate: the point where your store stops making money on COD.
How can I reduce COD refusals?
Confirm orders before dispatch, for example with a WhatsApp message with Confirm and Cancel buttons, so fake and change-of-mind orders never reach the courier. Clear product photos, honest descriptions and accurate delivery times help too, as does offering prepaid options such as JazzCash and Easypaisa.
Should I include ad cost per order?
Yes. You pay for ads on every order placed, including the ones that come back, so leaving ad cost out makes COD look far more profitable than it is.
Does this calculator store my numbers?
No. Everything is calculated in your browser and nothing you enter is sent anywhere.
Ship confirmed orders only.
Eekaam confirms every COD order on WhatsApp before it reaches the courier. Try it free for 14 days.