An NDR is the moment to save the order: confirm the address, a better time or the payment, by WhatsApp or call, before the courier makes the next attempt. Most couriers give up after a set number of attempts and return the parcel, turning the NDR into an RTO.

NDR rate by courier and pincode is one of the earliest signs of a delivery problem, well before returns show up in the numbers.

Formula

NDR rate = Shipments with a failed attempt ÷ Shipments
Work it out: RTO cost

What cash-on-delivery returns cost you each month, per RTO and per COD order, and the prepaid incentive that pays for itself.

Related terms

Where this comes up

How to reduce RTO on cash-on-delivery ordersA practical playbook for Indian D2C brands: measure RTO properly, find where it comes from, and cut it with confirmation, courier routing, pincode rules and prepaid incentives.

Part of the growth marketing glossary by Shiva Sharma.