What is RTO (return to origin)?
Also known as: Return to origin
RTO means a shipped parcel could not be delivered and was returned to the seller — commonly because the customer refused it, was unreachable, or the address was wrong.
RTO is one of the most damaging costs in Indian ecommerce because you pay shipping in both directions and receive nothing. Rates are consistently higher on COD orders than on prepaid ones.
The most effective reductions are simple: confirm COD orders by call or message before dispatch, validate the pincode and phone number at checkout, and send tracking proactively so the customer expects the delivery.