Have you ever heard of that proverb? When you get lemons instead of apples? This exactly happens with the Flipkart and Amazon payments structure. Understanding those categories, their commission fees, shipment fees, and endless other feeses are that one difficult maths equation which even Ramanujan cant solve. Everyone knows that Amazon usually takes about 10 days and Flipkart 15 to release the seller payments.
But now come to reality, imagine you are a seller, you got an order, here, either you will package or deliver the product on your own or you send the product to Amazon’s warehouse for packaging and delivery. You have inspected the product carefully it was in the right condition, the right product everything perfect. Now the product was delivered to the customer on time and here you are waiting for your payment.
Here comes the twist, now think that your lovely customer has created a request for the return stating the reason that he/she got a different product or a defected product, ( yes he/she lied ). Later on, the pickup boy went to collect the return and due to any reason he didn’t perform a site check. The product is sent back to you and you find a totally different product returned by your lovely customer. Now you do not have an actual product and have to refund the amount back to the customer, and the product which was sent back to you is of no use.
No matter what the situation or the complaint, no matter if the product has been dispatched from your warehouse or from the amazon’s warehouse, only and only sellers need to bear the loss and refund the money back to the customer
How Cash on delivery (COD) is a challenge in Flipkart and Amazon payments structure?
Customer satisfaction is the most important priority for these two companies and in order to achieve that they pamper the customers as we can never even think of, but customers exploit this generosity by being dishonest, claiming false returns, damaging the products, etc.
COD is one main major reason for delayed Amazon payments and payment issues.
Obviously just think, when you dispatch the COD orders from the warehouse, there will be no direct money exchange that will occur.
- The customer gives the money to courier boy
- courier boy gives the money to the courier company
- courier company hand over the payment to amazon
- now amazon gives the money to you after deducting all the expenses.
- Just imagine the chaos of delayed payments.
What we can conclude from this?
No matter how difficult is to understand the amazon payments structure or Flipkart payments structure, we all need these companies for our business growth. Although you can claim for the genuine returns again it takes a hell lot of time in processing and claims.