- You have three kinds of COD partner: couriers that collect cash, aggregators that pool several couriers into one payout, and cross-border lines that collect locally and pay you abroad.
- In Saudi Arabia, courier COD fees via OTO run from about SAR 3 (Shipa) to SAR 14 (Naqel). Some platform deals add 1–2% of the order value.
- Payout speed is part of the price. Aggregators and platform deals pay twice a week to twice a month; direct courier contracts typically take 7–14 business days.
- Compare couriers on cost per delivered order. A cheaper courier that brings more parcels back usually costs you more.
- Get the payout day, the reconciliation file and the return fee in writing before you ship a single order.
Cash on delivery still wins first-time buyers in the Gulf. But it only works if your courier gets the parcel to the door and your cash back to you fast.
That's the job of a COD logistics partner. It delivers, collects cash or card at the door, and pays you on a set cycle.
The good news? Gulf shoppers are switching to cards fast, so COD is now a smaller share of orders. Get the logistics right and it becomes a tidy conversion tool, not a cash-flow headache.
Below you'll find 10 independently researched COD couriers and aggregators, what they charge, how fast they pay, and how to choose. It's part of our directory of GCC service providers.
When do you need a COD logistics partner?
You need one the day you switch on cash on delivery at checkout. Someone has to hand over the parcel, take the payment and send the money back to you.
Not every courier does all three well. Some deliver fast but pay slowly. Others pay quickly but struggle outside the big cities.
You'll want a dedicated COD partner when:
- You sell on your own store. Shopify, Salla, Zid or WooCommerce stores collect COD through their courier. Marketplaces such as Amazon and noon collect it for you.
- COD is a real share of orders. New Saudi brands report COD on 40–60% of their first orders. In the card-first UAE, plan on 15–30%.
- You ship to many cities. One courier rarely leads everywhere, from Riyadh and Jeddah to Abha or Al Ain.
- Cash flow is tight. Every day a courier holds your money is a day you can't spend it on stock or ads.
New to COD? Start with our guide to cash on delivery in the GCC, which covers who still pays cash and what it really costs.
Which type of COD partner fits your store?
Gulf stores pick from four types of COD partner. Most growing stores end up combining two of them.
| Best for | Examples | How you get paid | |
|---|---|---|---|
| COD couriers | Stores with steady volume in a few main cities | Aramex, Naqel, J&T, AyMakan, Jeebly, Quiqup | Direct from the courier, on its cycle |
| Shipping aggregators | Stores using two or more couriers | OTO, Torod | One combined payout from all couriers |
| Cross-border COD lines | Sellers shipping from China or abroad | iMile, J&T, Aramex, Shipa | Collected locally, paid to you abroad |
| 3PL with COD | Sellers holding stock in the Gulf without their own courier contracts | Quiqup fulfilment and other 3PLs | The 3PL pays out on its own cycle |
Here's a simple rule of thumb:
- Under about 50 orders a day? Use your platform's built-in couriers or an aggregator.
- Selling into several cities? Add an aggregator so you can route each city to its best courier.
- No Gulf company yet? Use a cross-border COD line or a 3PL that holds the courier contract.
What does COD delivery cost?
Every COD order carries a shipping rate plus a COD fee. The fee covers cash handling, and it's where couriers differ most.
| Pricing model | How it works | Example |
|---|---|---|
| Flat COD fee | A fixed amount per parcel on top of shipping | SAR 3–14 per parcel in Saudi Arabia via OTO |
| Flat fee plus a percentage | A fixed fee plus a share of the order value | Aramex on Salla: SAR 8 + 1%; SMSA on Salla: SAR 8 + 2% |
| Aggregator plan | Monthly subscription plus discounted courier rates | OTO: free under 50 orders, paid plans from SAR 59 a month |
| Pay per shipment | No subscription; you pay each courier rate through the platform | Torod |
| Contract rate | A negotiated rate card, common in the UAE | Jeebly, Quiqup, Naqel |
On top of that, watch three extra lines: the return-to-origin fee, VAT on the fees, and any fee for paying out faster.
Here's how the providers in our directory compare on COD fees and payout speed:
| Type | COD fee (Saudi, via OTO) | Payout | Countries | |
|---|---|---|---|---|
| OTO | Aggregator | Depends on courier | Twice a month on the Free plan | SA, AE |
| Torod | Aggregator | Depends on courier | One COD wallet, periodic payouts | SA |
| Aramex | Courier | About SAR 6 | Twice a week on Salla | GCC-wide |
| Shipa | Courier | About SAR 3 | Contract | SA, AE, KW |
| iMile | Cross-border courier | About SAR 4 | Contract | GCC-wide |
| AyMakan | Courier | About SAR 6 | Contract, with settlement reports | SA |
| J&T Express | Courier | About SAR 8 | Contract | SA, AE |
| Naqel Express | Courier | About SAR 14 | Set per merchant agreement | GCC-wide |
| Jeebly | UAE courier | UAE quote | Within 7 calendar days | AE |
| Quiqup | Courier and 3PL | UAE quote | Weekly | AE, SA |
The fee spread looks big, but it's rarely what decides your profit. The parcels that come back cost far more than a few riyals of COD fee.
How fast will you get your COD cash?
Payout timing depends on who holds your courier contract. Platform deals and aggregators usually pay faster than a courier you signed with directly.
A courier you sign with directly is usually slower, at 7–14 business days.
Why does it matter? Say you collect SAR 100,000 a month in COD. On a two-week cycle, about SAR 47,000 sits with the courier just before each payout.
Twice-weekly payouts cut that to about SAR 12,000. That's cash back in stock and ads.
So ask for three things in writing:
- A fixed payout day, with the cut-off for which deliveries it covers.
- An itemised reconciliation file listing every waybill, fee and deduction.
- How fees are settled, either netted from the payout or invoiced separately.
Running Saudi orders through an aggregator? Our comparison of Saudi shipping aggregators like OTO and Torod covers plans, couriers and payout options in detail.
What happens when a COD parcel comes back?
RTO (return to origin) means the parcel left your warehouse but wasn't delivered and paid for. The shopper refused it, couldn't be reached, or the driver couldn't find the address.
You pay outbound shipping, then a return fee, and you lose the sale. That's why your courier's RTO handling matters as much as its price.
A good COD partner helps in four ways:
- It tries again. A second attempt within 24 hours, and a call or WhatsApp to the shopper first.
- It tells you fast. A daily report of failed deliveries (NDR) so your team can rescue orders.
- It brings stock back quickly. Returned parcels back on your shelf within a few days, not weeks.
- It shows the reason. A clear refusal code for every returned parcel, so you can spot patterns by city.
In Saudi Arabia, a valid National Address on every parcel has been mandatory since January 2026, which removes many address failures.
For the playbook on bringing returns down, see how to cut COD return-to-origin. The cost of each refused parcel and your refund policy are covered in COD refusals and returns.
Worked example: the cheap courier vs the reliable one
Say you send 100 COD orders through each of two couriers. Shipping is SAR 20 a parcel with both.
A refused parcel costs another SAR 18 to bring back, for return shipping and handling. Each order also carries about SAR 40 of ad spend, so every refusal burns SAR 78 in total.
- Courier A charges a SAR 3 COD fee, but 25 parcels come back.
- Courier B charges a SAR 8 COD fee, and 15 parcels come back.
| Line | Courier A | Courier B |
|---|---|---|
| Outbound shipping (100 × SAR 20) | SAR 2,000 | SAR 2,000 |
| COD fees (delivered parcels) | 75 × SAR 3 = SAR 225 | 85 × SAR 8 = SAR 680 |
| Returns | 25 × SAR 18 = SAR 450 | 15 × SAR 18 = SAR 270 |
| Logistics cost | SAR 2,675 | SAR 2,950 |
| Ad spend (100 × SAR 40) | SAR 4,000 | SAR 4,000 |
| Delivered orders | 75 | 85 |
| Logistics cost per delivered order | SAR 35.67 | SAR 34.71 |
| All-in cost per delivered order | SAR 89.00 | SAR 81.76 |
Courier B costs less per delivered order on logistics alone, even with a COD fee more than twice as high. Add the ad spend and it wins by over SAR 7 an order.
It also gives you 10 extra paid sales.
That's why first-attempt success beats the headline fee. Plug in your own numbers:
COD cost calculator
What cash on delivery really costs you, and what moving buyers to prepaid or BNPL is worth.
Shelf price incl. 15% VAT. VAT is removed before margins.
UAE merchants report 20-35% COD RTO; prepaid target 3-5%.
Confirm COD orders on WhatsApp before dispatch
Reported to cut COD RTO by 10-15 points (Quiqup, 2026).
KSA via OTO: SAR 3 (Shipa) to 14 (Naqel); Aramex 6.
Your cost to win an order. A refused parcel burns it. (Estimate)
Margin assumptions
% of shelf price. Gateway + platform fees; BNPL contracts vary (est. 2-8%).
Monthly cost of COD
SAR 11,000
- COD fees: SAR 3,200
- 100 failed COD parcels: SAR 7,800
COD fees plus everything a refused COD parcel burns: both shipping legs, handling and the ad spend.
Cost per delivered order
Shipping, payment fees and failed-parcel costs, spread over the orders that arrive.
Contribution margin per month
What the COD mix costs you: SAR 10,072 / month
Move buyers to prepaid / BNPL
Extra contribution
+SAR 3,022/ month
+SAR 36,259 per year
COD share falls from 50% to 35.0%. Assumes the same orders, now prepaid at prepaid RTO and fees.
Estimates based on published courier fees and RTO benchmarks as of October 2026 (OTO, Quiqup) and our SAR 230 worked example. Ad and return costs are estimates; confirm rates with your courier and payment provider.
How do you choose a COD logistics partner in 6 steps?
Start with where your orders go and how fast you need the cash. The right courier is the one that delivers in your cities and pays on time.
- 1
Map your orders by city
Split last month's COD orders by city or emirate. Stores with lots of orders outside the main cities need strong national coverage.
- 2
Shortlist two couriers and one aggregator
Pick couriers with good coverage in your top cities, plus an aggregator if you'll use more than one courier.
- 3
Compare cost per delivered order
Add shipping, COD fee and the cost of returns, then divide by delivered parcels. Ask each courier for its first-attempt delivery rate.
- 4
Check payout terms
Get the payout day, reconciliation file and fee deductions in writing. Weekly or better is the standard to aim for.
- 5
Test the integration
Connect the courier to your store. Make sure COD amounts, labels and tracking updates sync without manual work.
- 6
Run a 30-day split test
Send similar orders through each courier. Track delivery success, RTO rate and payout days, then move volume to the winner.
What should you ask before you sign?
Send these questions to every courier on your shortlist. Clear written answers tell you a lot about how payouts will go later.
COD logistics providers in the Middle East
The companies below were independently researched. They aren't ranked, and the order isn't a recommendation.
On each card, the "Best for" line is our summary of where the company fits. The bullet points are what the company says about itself, or what platforms and press have reported.
COD couriers and aggregators in Saudi Arabia
Saudi stores have the widest choice, and aggregators are well established. Most stores pair one or two couriers with OTO, Torod or their platform's built-in shipping.
OTO (tryoto)
Best for: Saudi stores wanting to compare COD couriers and consolidate remittance
- 460+ carriers through one API, 45+ sales channels (company site)
- Free plan transfers COD twice a month; discounted rates with no minimums
Torod
Best for: Merchants juggling several COD couriers who want one settlement
- 240+ carriers, 5,000+ organizations, 10M+ annual shipments (company claims)
- Pools all couriers' COD into one corporate wallet with periodic payouts
Aramex COD
Best for: GCC-wide COD from one carrier
- COD fee SAR 6 via OTO; SAR 8 + 1% of order value via Salla integration (2025)
Quiqup
Best for: UAE brands fighting high COD refusal rates
- Says pre-dispatch confirmation cuts COD RTO by 10-15 percentage points (2026 blog)
- Reports 20-35% RTO for many unmanaged UAE COD merchants
AyMakan
Best for: Saudi SMEs wanting transparent COD settlement reports
- COD with tracking and settlement reporting (company site); COD fee ~SAR 6 via OTO (2025)
Shipa
Best for: Lowest-cost Saudi COD
- Lowest listed COD courier fee on OTO: ~SAR 3 (2025)
iMile
Best for: Chinese sellers offering COD into GCC
- ~SAR 4 via OTO (2025); widely used by Chinese cross-border sellers
- Founded 2017 in Dubai; US$40m Series A (Nov 2021) to connect Chinese sellers with emerging markets
J&T Express
Best for: Chinese-language support for Saudi COD
- ~SAR 8 COD courier fee via OTO (2025)
Naqel Express
Best for: High-volume Saudi sellers negotiating contract rates
- ~SAR 14 COD courier fee via OTO - highest listed (2025); 20m shipments/yr
Want a Saudi-only shortlist with local rules and cities? See COD logistics in Saudi Arabia.
COD couriers in the UAE
UAE COD fees are quoted per merchant, so ask two or three couriers for a rate card. Payout speed is a strong point here, with weekly cycles common.
OTO (tryoto)
Best for: Saudi stores wanting to compare COD couriers and consolidate remittance
- 460+ carriers through one API, 45+ sales channels (company site)
- Free plan transfers COD twice a month; discounted rates with no minimums
Aramex COD
Best for: GCC-wide COD from one carrier
- COD fee SAR 6 via OTO; SAR 8 + 1% of order value via Salla integration (2025)
Jeebly
Best for: UAE SMEs where cash-flow speed matters
- Guaranteed 7-calendar-day COD remittance; Mon-Sun collections paid next Tuesday (2025)
- Photo proof of delivery, counterfeit checks, tamper-proof cash pouches (company blog)
Quiqup
Best for: UAE brands fighting high COD refusal rates
- Says pre-dispatch confirmation cuts COD RTO by 10-15 percentage points (2026 blog)
- Reports 20-35% RTO for many unmanaged UAE COD merchants
Shipa
Best for: Lowest-cost Saudi COD
- Lowest listed COD courier fee on OTO: ~SAR 3 (2025)
iMile
Best for: Chinese sellers offering COD into GCC
- ~SAR 4 via OTO (2025); widely used by Chinese cross-border sellers
- Founded 2017 in Dubai; US$40m Series A (Nov 2021) to connect Chinese sellers with emerging markets
J&T Express
Best for: Chinese-language support for Saudi COD
- ~SAR 8 COD courier fee via OTO (2025)
Naqel Express
Best for: High-volume Saudi sellers negotiating contract rates
- ~SAR 14 COD courier fee via OTO - highest listed (2025); 20m shipments/yr
For delivery rates and same-day options, compare UAE courier companies for ecommerce, or see our UAE COD logistics list.
Kuwait, Qatar, Bahrain and Oman
For the smaller Gulf markets, regional networks do most of the work. Aramex, iMile and Naqel Express cover all four countries, and Shipa also serves Kuwait.
Start with whichever of these already delivers your Saudi or UAE orders. One courier account across the GCC keeps reconciliation simple.
Notes for cross-border and Chinese sellers
- You need somewhere for the cash to land. Domestic couriers remit to a local bank account, so use a GCC entity, a 3PL or a cross-border COD line.
- iMile and J&T are built for this route. Both serve Chinese sellers, and J&T offers Chinese-language support in Saudi Arabia.
- Expect slower cash and costlier returns. A parcel that goes back abroad costs far more than a local return.
- Local stock fixes most of it. Many sellers keep stock with a 3PL in Saudi Arabia or the UAE and use its courier contracts.
Notes for Salla, Zid and Shopify stores
- Salla and Zid have built-in couriers. SMSA and Aramex pay Salla stores twice a week. On Zid Ship, each courier sets its own payout cycle.
- Shopify stores connect through an app or aggregator. OTO and Torod both connect to Shopify and WooCommerce.
- Add confirmation at checkout. A COD app with OTP or WhatsApp checks cuts fake orders before they reach the courier. Compare options in Shopify COD and OTP apps.
Get COD logistics quotes
Share your order volume and cities once. We'll match you with COD couriers and aggregators that fit your store.
In this section
Frequently asked questions
On OTO's 2025 Riyadh–Jeddah comparison, Shipa had the lowest COD fee at about SAR 3 a parcel, followed by iMile at about SAR 4. Naqel was the highest at about SAR 14. Shipping is charged on top, so compare the full rate for your parcel size and cities.
Sources & further reading
- Cheapest domestic shipping companies in Saudi Arabia (COD fee comparison) — OTO
- OTO pricing — OTO
- Integrating with Aramex standard shipping — Salla Help Centre
- How Jeebly ensures secure COD delivery in the UAE — Jeebly
- How to reduce RTO rate in UAE ecommerce — Quiqup
- Torod shipping platform — Torod
- Saudi e-payments share of retail payments, 2025 — Saudi Central Bank (SAMA)
This guide is for general information only and is not legal, tax or financial advice. Rules and fees change — always confirm with the official source or a licensed advisor.
Maya is MiddleEastEcom's lead guide and editor. She researches GCC marketplaces, payments and regulations and turns them into practical playbooks for sellers.
Meet Maya
