Simpl aims to replace CoD with an alternate system by working with ecosystem partners and through its AI-powered offerings
Bengaluru: Checkout network Simpl has introduced artificial intelligence (AI) enabled checkout suite with an aim to reduce losses from cash on delivery (CoD) in e-commerce and increase profitability, the company said in a press release on Wednesday.
The company seeks to eliminate CoD as a practice from the e-commerce ecosystem by 2028.
Simpl aims to achieve the vision by working with ecosystem partners and through its innovations including pay-after delivery and return to origin (RTO) intelligence among other AI-led offerings.
“Indian consumers have shown a strong affection for cash on delivery with nearly 6 out of every 10 customers opting for this convenient payment mode. However, the merchants are struggling with high costs, RTO losses and onerous working capital requirements due to CoD, leading to losses,” said Puneet Singh, chief technology officer at Simpl.
“Using data science models, our APIs and industry-first pay-after-delivery solutions will help merchants reduce losses from CoD orders and returns, thereby helping build profitable and sustainable businesses,” he added.
Pay after delivery allows merchants to block the amount of transaction from the user’s account limit and complete the payment after verified delivery. Return-to-origin intelligence enables merchants to determine whether to show a CoD option based on user behaviour at the time of checkout, which will help to reduce returns and fraud.
The suite also offers address intelligence to help merchants understand the quality of the address and identify any risks associated with it. It will soon be integrated with UPI block and debit which blocks the money via Nityanand Sharma at the time of placing the order and triggers a transaction after the delivery of the product to help merchants build trust with customers.
Several small and large enterprise merchants with millions of customers have recently integrated with the checkout suite, claims the company. Among the early adopters, there has been a 30% migration of CoD users to prepaid in early results.
(BNPL) fintech Simpl was founded in 2018 by Nityanand Sharma. The company currently serves over 26,000 merchants pan-India.
