Snapdeal, the value commerce platform, has partnered with Cashfree Payments, the payment and API banking solution company, a report said, to provide instant processing of refunds against cash on delivery (CoD) orders.
Usually, processing refunds for CoD orders was a multistep, time-consuming process.
Cashfree’s Cashgram program will let its fellow Indian firm Snapdeal process refunds with just the customer’s mobile number or email. Credits, meanwhile, will automatically flow to a bank account linked to the Unified Payments Interface (UPI), or a wallet.
The report noted that buyers from smaller cities like to pay in cash for online purchases, with the ease and speed of getting refunds for orders being a big consideration. Snapdeal will now be able to offer a quick refund process.
Sarvartha Kanchan, Snapdeal’s vice president of supply chain management and customer experience, said the idea was to provide a better range of options.
“For our users, who prefer the convenience of cash on delivery, we wanted to provide an equally efficient yet secure refund process,” he said. “Through our integration with Cashfree Payments, we offer our buyers the convenience to directly add the required details to their Cashgram and receive their refunds when and how they want, including on weekends and also outside banking hours.”
PYMNTS wrote that Snapdeal last year said it planned to issue new shares worth around $165 million, and the company filed with the Securities and Exchange Board of India.
The IPO prospectus showed, PYMNTS said, how the macro forces are driving a shift toward platform-enabled eCommerce.
In its filing, Snapdeal cited the growth of the eCommerce market, which is growing at a compound annual growth rate (CAGR) of around 39% for the next few years and could hit $39.4 billion in value by 2026. That’s an increase from $7.4 billion at present.