Why COD Remains the Key to Scaling E-commerce in Georgia ?

Digital payments are evolving, and cards or digital wallets have become part of our daily lives. However, the reality remains the same: a significant portion of online sales in Georgia is still settled via cash. Data from Onway confirms this trend - approximately 50% of our customers still choose Cash on Delivery (COD). This means one thing: if an online store doesn’t offer COD, it risks losing nearly half of the market.

Trust - The Strongest Currency

The consumer's logic is simple: "I'll see it first, then I'll pay." This is particularly relevant in markets like Georgia, where a segment of customers remains skeptical of pre-payments. COD provides them with a sense of control; they only incur the cost once the product is physically in their hands.

This isn't just an emotional factor. Many users avoid using bank cards online, distrust unfamiliar stores, or simply prefer the straightforward path: Order, Receive, Pay.

How Does COD Actually Impact Business?

From Onway's experience, one thing is clear-adding COD directly boosts sales. Some of our partner companies have seen significant revenue growth, and in some cases, sales doubled after fully integrating COD into their services.

"Onway" offers a fully integrated COD (Cash on Delivery) service to online stores. Under this process, the courier collects payment from the recipient upon delivery, and the funds are securely and promptly transferred to the partner company's account.Businesses can track the status of all orders in real-time, monitor delivered and returned parcels, and receive detailed reporting. This eliminates the need for the company to manage additional operational processes "Onway" handles both parcel delivery and the secure, transparent processing of payments. Consequently, instead of being an extra burden, COD becomes a simple and efficient sales channel for the business.

Why does this happen?

Higher Conversion Rates: Customers no longer hesitate at the checkout page. When they see their preferred payment method, they make decisions faster.

Fewer Abandoned Carts: Many orders are lost simply because cash payment isn't an option at the final stage.

Expanded Audience: COD opens doors to customers who:

• Are less tech-savvy.

• Represent the older generation.

• Simply prefer to avoid online transactions.

While there are categories where customers prefer card payments-such as digital products, flight tickets, hotel bookings, and subscriptions-the majority of physical goods (clothing, electronics, household items, cosmetics) are still predominantly sold via COD in Georgia. The customer wants to see, check, and verify.

Turning Challenges into Growth

Naturally, COD comes with its own set of challenges, most notably delivery refusals and returns. This is where the logistics partner plays a crucial role. Onway fully manages this process with fast and organized returns, timely fund transfers, transparent reporting, and proactive communication even in force majeure situations.A well-structured COD system isn't chaos; it’s a tool for controlled growth.

In the Georgian market, COD still works in fact, it works exceptionally well. If an online store aims to increase sales, reach a wider audience, and strengthen customer trust, COD is an essential instrument.

When this tool is powered by Onway, it stops being a risk and becomes a real source of revenue growth.

COD services at Onway are available to legal entities registered on the portal. [More information]