Short answer
A prepaid order is paid before dispatch. Prepaid usually has a lower RTO rate than COD because the customer has already committed money.
Worked example
Many Indian D2C brands see prepaid RTO in the mid-single digits and COD RTO several times higher. Measure yours in MarQet BI rather than using a category average.
This term sits in the D2C operations hub. Use the related pages below for the full playbook.
Frequently asked questions
What does Prepaid mean for a D2C brand?
A prepaid order is paid before dispatch. Prepaid usually has a lower RTO rate than COD because the customer has already committed money.
Where should I track Prepaid?
Start in the D2C operations guide and the linked calculators or product pages. MarQet BI is built around this operating problem.