Shopping Cart Abandonment: Preventing Lost Sales
According to various studies, nearly 70% of consumers will abandon their carts before completing purchases. What drives this behavior in consumers and how can retailers and brands combat it?
Common Causes for Abandonment
The popularity, accessibility, and convenience of online shopping have created higher consumer expectations than ever, leading to lost sales.
High Shipping Costs: Shipping costs are perceived as an extra expense to consumers, deterring them from making purchases. Their $50 item suddenly costs $60 with shipping, causing them to reconsider the purchase. With most large retailers offering free or low-cost shipping, this is no longer seen as a perk for the consumer, but an expectation.
Complicated Checkout Process: Efficiency and convenience are top concerns for consumers, meaning that a checkout process taking more than a few clicks can be enough to prevent a sale. Entering redundant information or requiring shoppers to create an account are among the top culprits of complicated interfaces.
Price Comparisons: Modern shoppers use their online carts as a way to compare prices and if they are able to find a better-priced product, they will leave without buying.
Preventing Shopping Cart Abandonment
Analyze Customer Behavior: Understanding why customers abandon their carts is key. By analyzing their behavior, you can identify the exact moments in the buying journey when shoppers drop off. Use this data to identify gaps in your user experience.
Offer Shipping: As mentioned, free or low-cost shipping is expected by modern consumers. Finding a way to lower shipping costs, working shipping costs into the price of the product, or offering free shipping above a certain dollar spend are all great places to start.
Personalize the Experience: Use customer data to craft a seamless user journey with tailored communications and promotions based on their shopping history and preferences. This can include personalized item recommendations, “left behind” product reminder emails, and personalized promotions.
Optimize the Checkout Process: Making the checkout process as efficient as possible is one of the best ways to combat abandonment. Allowing guest checkout and showing a status bar of their progress through the checkout process are great strategies. Even the simplest changes like bypassing entering duplicate information by allowing “same as above” options and enabling autofill can make a difference.
Ultimately, the battle against shopping cart abandonment boils down to fine-tuning the customer experience. Your website should be a place where customers feel comfortable and confident throughout their shopping journey. If you need better visibility into customer data, are looking to lower your shipping rates, or optimize your checkout process – contact us today!
Watch our discussion on shopping cart abandonment here.