Domestic Cash On Delivery Service Introduction

Domestic Cash On Delivery (“COD”) is a value-added service operated by China Postal Express & Logistics, and designed to provide catalogue retailing companies, e-commerce enterprise, TV shopping companies, trading companies, financial institutions with comprehensive services, including express delivery of shipments, collecting goods payment and other funds and account settlement on behalf of the company.

COD service helps to minimize the risks for the buyers and sellers and enables the buyers to order local, out-of-town, domestic and international products at ease without going outdoors.

Companies signing COD contracts with China Postal Express & Logistics or provincial subsidiaries upon approval are called “Contracted Company”. Contracted companies sell products and collect payments nationwide via domestic COD service. The delivery carriers will collect payment for COD shipments according to the amount marked on the waybills and settle with contracted companies accordingly.

Contracted companies accept full responsibility for products sold, and promise to exchange unqualified products unconditionally. China Postal Express & Logistics bears responsibility for delivering shipments and collecting payments, and fulfills all liabilities for express shipments.

Objectives

To promote the rapid development of e-commerce, mail order and other business activities by providing a comprehensive platform, including transport, delivery, money collection and settlement services. To provide a safe and reliable service to facilitate products sales and circulation, enrich and improve living standards, and foster social and economic development.

Operation Model

CPEL signs cooperation agreements with mail order companies, e-commerce service operators or other trading companies, receives products from the contracted companies, delivers them to the receivers, collects payments, and settles with contracted companies on a regular basis.

Service Coverage

COD is available in 1875 counties and cities, including all the cities above prefecture-level in 31 provinces (autonomous regions and municipalities directly under the Central Government), and all contracted companies will enjoy the services in newly covered cities automatically.

Admittance Requirements
  1. Registered legally in Industry and Commerce Bureau, with at least RMB 500,000 as registered capital (provide Business License copy, Tax Registration Certificate copy)
  2. Operate, sell and send qualified products in accordance with the law
  3. Possess warehouseson a certain scale, and employ relatively fixed mail order advertising media
  4. Advertisements include clear quality assurance and after-sale promise.
  5. Have established sound quality assurance and after-sale service systems for mail order products
  6. Agree to sign the standard version “COD Consignation Agreement” and complementary agreements with China Postal Express & Logistics.
  7. Companies engaged in medical supplies and medicine, clinical appliance and other franchise products, should provide certificates or proof documents authorized by relevant industry or higher authorities to operate medical or franchised products.
Relevant Expenses

Cash Deposit: Contracted companies should deposit a sum of money as guaranty fund, and may enjoy preferential price when shipments sent reach a certain scale.

Postage: Postages for COD may be discounted in accordance with shipments volume and scale. Return for undeliverable shipments will be charged.

COD Special Service Charge: For successfully delivered and payment collected shipments, the senders will be charged 2% of the payment as COD settlement handling fee and RMB 10 as COD special service fee.

Settlement

Settlement Cycle: Weekly

Cooperation Companies

We provide COD service to over 5000 companies, including Acorn International, Mecox Lane, UGO, HSBC, Standard Chartered, IGOCCTV, and Jiajiamall.

Please call customer service hotline 11183 for more information.