India’s e-commerce payment landscape is unlike any other market. UPI accounts for over 50% of digital transactions. Cash on Delivery remains expected for first-time buyers. Credit card penetration is lower than in Western markets. Running a Shopify store in India means configuring payment methods to match these realities — not defaulting to a card-first Western setup.
The Indian Shopify Payment Challenge
- UPI (PhonePe, GPay, Paytm) must be prominent — it is the default payment method for most Indian consumers
- COD is expected but carries 15–30% return and refusal rates
- Credit cards are used but not the primary method
- International payment providers (Klarna, Afterpay) are irrelevant and should not appear
Controlling COD for Indian Stores with Paymod
Paymod is the practical tool for COD management on Indian Shopify stores. The strategy: keep COD available for low-risk orders, restrict it for high-risk. See COD fraud prevention and reducing COD return rates for the detailed approach.
Rule 1: Hide COD above ₹5,000
High-value COD orders have disproportionately high refusal rates. Above ₹5,000, require prepayment by UPI or card.
Rule 2: Hide COD for first-time customers
New accounts have no verified intent. First purchase must be prepaid. After one successful order, COD becomes available.
Rule 3: Hide COD for high-risk product categories
Electronics, fashion, and luxury goods have higher return rates in India. Tag them and hide COD at checkout for those categories. See disable COD for specific products.
Hiding Irrelevant International Methods
If your Indian store shows Klarna or Afterpay (not available in India), hide them via Paymod country conditions. Condition: show BNPL only when shipping country is [supported countries]. See hiding BNPL on Shopify.
Frequently Asked Questions
Does Paymod work with Razorpay or PayU (common Indian gateways)?
Paymod controls manual payment methods and methods surfaced through Shopify Payments. If UPI is offered via Razorpay or PayU as a payment provider, their configuration controls how UPI appears — Paymod manages the conditional visibility of whichever methods appear in your Shopify checkout.
Is COD through Shopify natively supported?
Yes. COD is a manual payment method in Shopify (Settings > Payments). Enable it there, then use Paymod to add conditional rules on top.
Install Paymod to manage COD and payment method rules for your Indian Shopify store — intelligent restrictions without removing COD entirely.
