The State of COD E-Commerce in MENA
The Middle East and North Africa (MENA) e-commerce market continues its rapid expansion in 2025, with cash on delivery remaining the preferred payment method in most countries. Morocco, Egypt, Saudi Arabia, and the UAE lead the region in COD e-commerce volume, driven by growing smartphone penetration, social media marketing, and improved logistics infrastructure.
Market Size and Growth
The MENA e-commerce market is projected to exceed $50 billion in 2025, with COD transactions accounting for approximately 40-65% depending on the country. Morocco specifically has seen a surge in COD e-commerce, fueled by Facebook and Instagram advertising, where sellers create landing pages and drive traffic to collect cash on delivery orders. This model has created thousands of micro-entrepreneurs across the region.
Key Trends Shaping the Market
Several trends are defining COD e-commerce in 2025. Social commerce continues to dominate with sellers leveraging TikTok, Instagram, and Facebook to drive orders. Delivery infrastructure is improving as companies like Ameex, Ozon Express, and others expand their coverage. Technology adoption is accelerating with sellers moving from manual Excel tracking to dedicated platforms like CODRocket. Multi-channel selling is becoming standard as successful sellers diversify across marketplaces, their own stores, and social media platforms.
Challenges and Opportunities
Despite growth, COD e-commerce faces persistent challenges including high return rates averaging 30-40%, cash flow management difficulties since payment is delayed until delivery, trust issues between sellers and delivery partners, and limited access to business financing. However, these challenges also represent opportunities for platforms that can solve them through better order confirmation, faster delivery, transparent tracking, and data-driven insights.
The Future of COD in the Region
While digital payments are growing, COD will remain dominant in MENA for the foreseeable future. The most successful sellers will be those who embrace technology to optimize their COD operations, reduce returns, and scale efficiently. Platforms like CODRocket are at the forefront of this transformation, helping sellers turn COD from a challenge into a competitive advantage.