Amazon India has launched a pilot project to test India Post's cash on delivery model, reports The Economic Times citing two people familiar with the development. Amazon India declined to comment on this project to Medianama. The report says Amazon has already been using India Post as one of its delivery partners earlier, but it now plans to test India Post's cash on delivery service to collect payment from its customers. Citing a senior India Post official, the report also mentions that India Post is planning to introduce additional capabilities like reverse logistics for its delivery service. A Flipkart spokesperson also told the publication that they are currently in talks with India Post to evaluate the possibilities of using the latter's cash-on-delivery service for its customers. Why is this important? If the pilot turns out to be successful, this partnership could turn out to be quite critical for both Amazon India and India Post. India Post probably has the widest delivery service in India, covering 25,000 pin codes and offers the capabilities to deliver in locations where professional courier services might not often choose to, since these might not be viable. This will possibly strengthen Amazon India's reach for its cash-on-delivery service and could provide them with an edge over other e-commerce players. On the flip side, India Post which is struggling to stay relevant in the country will get increased revenues on a existing route, provided they are able to reduce the delivery time of its shipments and address the issues of efficiency and reliability…
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