RTO stands for Return to Origin. It occurs when a shipped order cannot be delivered to the customer and is returned to the warehouse. This is especially common in Cash on Delivery (COD) orders in India.

How do you calculate RTO cost?

Total RTO Cost = Forward Shipping Cost + Reverse Shipping Cost + Packaging Cost + Product Refurbishing/Damage Cost + Inventory Holding Cost.

What is a typical RTO rate for Indian D2C?

Average RTO rates in India range from 15% to 35% for COD orders. High RTO rates can significantly eat into profit margins if not actively managed.

How can I reduce RTO losses?

Strategies include confirming COD orders via WhatsApp/Call, using RTO prediction tools, incentivizing prepaid orders, and improving address quality using automated tools.

RTO Cost Calculator | Free RTO Cost Calculator Tool

RTO: The Silent Profit Killer

RTO costs Indian D2C brands 3-8% of revenue. It's not just shipping costs - it includes handling, damage, customer service, and lost revenue. This tool helps you quantify and systematically reduce RTO.

Enter Your RTO & Order Data

Industry Category

Monthly Orders

Average Order Value

₹

Overall RTO Rate

COD RTO Rate

Prepaid RTO Rate

COD Percentage

Forward Shipping Cost

₹

Return Shipping Cost

₹

Handling Cost

₹

Repackaging Cost

₹

Damage Rate

Damage Cost per Unit

₹

Quality Issue Rate

CS Time per RTO

min

CS Hourly Cost

₹

CS Escalation Rate

Customer Unavailable %

Refused Delivery %

Wrong Address %

Fake Order %

Other RTO Reasons %

Tier 1 RTO Rate

Tier 1 Order %

Tier 2 RTO Rate

Tier 2 Order %

Tier 3 RTO Rate

Tier 3 Order %

High RTO State Rate

High RTO State Order %

1st Attempt Delivery %

2nd Attempt Delivery %

3rd Attempt Delivery %

Step 1 of 7

Industry Category

Monthly Orders

Average Order Value

₹

Overall RTO Rate

COD RTO Rate