You're ready to open a Shopify store in Pakistan, but you keep hearing that many local shoppers prefer Cash on Delivery (COD). Before you sign up for a paid plan or buy a theme, you need to know whether COD can actually work for your store, what extra fees or risks are involved, and how to test the whole flow safely.
Direct answer: Can you offer COD on Shopify in Pakistan?
Yes, you can offer COD in Pakistan, but Shopify does not provide it natively. You must use a third‑party COD app or integrate a local courier that supports COD. Before you commit any money, verify three things:
- Whether a COD app is available in the Shopify App Store for Pakistan.
- If the app or courier integrates with the payment methods you plan to use.
- The fees, settlement times, and fraud‑risk controls that come with COD.
Once those items are confirmed, you can proceed with a free trial or sandbox test before purchasing a plan.
1. Confirm COD support for your country
Shopify Payments does not handle COD, so the first step is to check the Shopify Help Center article on Cash on Delivery. The article lists the countries where Shopify offers a built‑in COD option – Pakistan is not on that list. That means you will need a third‑party solution.
Next, search the Shopify App Store for “Cash on Delivery” and filter by “Available in Pakistan”. Look for apps that explicitly mention Pakistani merchants, local couriers (e.g., TCS, Leopards Courier, or Pakistan Post), and clear pricing tables. Common apps include:
- CODify – supports multiple Pakistani couriers, charges a flat monthly fee plus a per‑order commission.
- PayLater – offers COD as a payment method with risk‑assessment tools.
- Local Delivery Apps – some courier‑specific apps embed COD as part of their shipping service.
Before you install any app, read the latest user reviews and check the developer’s support page for a statement like “Supported in Pakistan as of 2024”. If the app’s page does not mention Pakistan, contact the developer via the app’s support link to confirm.
2. Choose a COD provider and understand the cost structure
When you have a shortlist of apps, compare them on three dimensions:
- Fees: Most COD apps charge a monthly subscription (often $10‑$30 USD) plus a per‑order fee (e.g., $0.50‑$1.00). Some couriers embed COD fees into their shipping rates, which can be higher for remote areas.
- Settlement timeline: COD payments are collected by the courier and then transferred to your bank account. Typical settlement periods in Pakistan range from 7 to 14 days. Verify this with the courier’s finance team.
- Risk controls: COD carries a higher charge‑back risk. Look for apps that let you set order limits, require phone verification, or automatically flag high‑value orders for manual review.
Make a quick spreadsheet to compare the total monthly cost for an expected order volume. For example, if you anticipate 100 COD orders per month at $0.75 per order plus a $15 subscription, the monthly cost would be $90.
Also, check whether your chosen courier requires a separate contract or registration. Most major Pakistani couriers ask for a business account and may request a copy of your trade license or NTN (National Tax Number).
Referral disclosure: Nextpath Solutions may receive a referral fee if you create a Shopify account through these links.
3. Test the COD workflow before you go live
Shopify offers a free 14‑day trial that lets you install apps and place test orders without a paid plan. Use this window to run a full end‑to‑end test:
- Install the COD app of your choice.
- Configure a shipping rate that includes COD (e.g., “Standard Shipping – COD – $5”).
- Enable the COD payment method in the app’s settings.
- Place a test order using the “Bogus Gateway” (a built‑in Shopify test payment method) to simulate a COD checkout.
- Check the order status page for the “COD pending” flag and verify that the courier receives the order details via email or API.
- Contact the courier’s support line to confirm they have the order in their system.
If any step fails, note the error message and reach out to the app developer or courier before you upgrade to a paid plan.
Realistic hypothetical example
Imagine you are launching a modest clothing brand called Karachi Threads. Your assumptions:
- Initial budget: $2,000 USD.
- Target COD orders for the first month: 80.
- Chosen app: CODify (monthly fee $12, per‑order fee $0.80).
Cost calculation:
- App subscription: $12.
- Per‑order fees: 80 × $0.80 = $64.
- Total COD cost for month 1: $76.
Other recurring costs (Shopify Basic plan $29, domain $14, basic email $5) bring the total to roughly $124 for month 1, leaving $1,876 for inventory, marketing, and a safety buffer.
You run a test order using the Bogus Gateway, see the COD flag appear, and receive a confirmation email from CODify that the order is queued for collection by TCS. The test succeeds, so you feel confident to launch.
Common mistakes and how to fix them
- Assuming Shopify Payments covers COD. It does not. Always verify app availability first.
- Skipping the courier’s registration. Without a registered business account, the courier may reject COD orders, causing order cancellations.
- Setting COD for high‑value items without limits. Large orders are more likely to be refused on delivery. Use the app’s order‑value caps to mitigate risk.
- Not testing the full flow. A missing webhook or mis‑configured shipping rate can cause the checkout to break on the live site.
Practical pre‑launch checklist
- Read the Shopify Help Center article on COD to confirm native support is unavailable for Pakistan.
- Search the Shopify App Store for COD apps that list Pakistan as a supported country.
- Contact the app developer to confirm current availability and ask about any hidden fees.
- Register with a local courier that offers COD; obtain a business account and note settlement periods.
- Calculate expected monthly COD costs (subscription + per‑order fee) and add them to your startup budget.
- Start a free Shopify trial, install the chosen COD app, and configure shipping & payment settings.
- Place a test order using the Bogus Gateway; verify order status, courier notification, and any email confirmations.
- If the test fails, troubleshoot the app settings or contact support before upgrading.
- Document the COD policy you will display to customers (e.g., “Cash on Delivery available for orders up to $200, delivery within 3‑5 days”).
- Plan a small pilot run (first 50‑100 orders) to monitor refusal rates and cash‑flow impact.
FAQs
Do I need a Shopify Payments account to offer COD?
No. COD is a separate payment method that works alongside any other gateway you have enabled. You can even run COD without any online payment gateway if you only accept cash.
Can I offer COD on the Shopify free trial?
Yes, as long as you install a COD app during the trial. The trial lets you test the entire checkout flow, but you cannot process real cash orders until you have a live store and a courier contract.
What happens if a customer refuses to pay on delivery?
The courier will return the package to you (often for a fee). Most COD apps let you set an automatic “order cancelled” status after a predefined number of delivery attempts.
Are there any legal requirements for COD in Pakistan?
There are no specific national regulations for COD, but you must comply with standard consumer‑rights laws and provide clear return and refund policies. Check the Federal Board of Revenue site for any tax implications of cash sales.
Conclusion – What to do next
Offering Cash on Delivery can boost conversion among Pakistani shoppers, but it requires careful verification before you commit to a paid Shopify plan. Follow the checklist above, run a sandbox order, and make sure you understand the fee structure and settlement timeline. If any step feels uncertain—especially the courier contract or app integration—consider consulting a Shopify‑experienced freelancer or a local e‑commerce advisor before moving forward.
Once you have confirmed COD works for your specific setup, you can safely upgrade to a paid plan, add your product catalog, and launch with confidence that the payment method aligns with your customers’ expectations.