Cart abandonment is when visitors to your ecommerce site add items to their shopping cart but leave before completing their purchase. Any items added to the cart are considered “abandoned”. Cart abandonment rate is an important metric as a high abandonment rate can indicate poor user experience and reducing cart abandonment will lead to more sales and revenue. Baymard Institute utilised 41 different studies to determine the average cart abandonment rate is 69.57%.
Reasons For Cart Abandonment
- Shipping Costs, Delivery Times, and Returns Process
Extra shipping costs, long delivery times and unsatisfactory returns policies can lead consumers to re-evaluate their purchase and abandon their cart. Baymard Institute found that 50% of consumers abandoned their carts due to high extra costs (shipping, fees, etc), 18% due to slow delivery, and 10% due to unsatisfactory return policy.
- Mandatory Account Creation
Account creation is a barrier to purchase that is particularly relevant for first time shoppers that are not yet ready to sign up or consumers that prioritise data protection. It adds another step that slows down the checkout process. Baymard Institute found that 28% of consumers abandoned their cart due to mandatory account creation.
- Complicated and Long Checkout Process
Consumers want a quick and seamless checkout experience. A process with many steps and multiple forms creates friction that can deter a consumer from shopping on the site again. Baymard Institute found that 21% of consumers abandoned their cart due to a long or complicated checkout process.
Tactics to Reduce Cart Abandonment
- Transparent Shipping Costs, Delivery Options, and Returns Process
Ensure shipping costs and additional fees are clear before a shopper begins their checkout process. Provide a variety of delivery options for shoppers. Next day delivery can be charged at a higher price so that shoppers can get their items before key events. Consider offering free delivery when a shopper reaches a certain cart value. An easy and clear returns process can ensure customers will buy again.
- Guest Checkout
Don’t force account creation. Automatically enable consumers to have the option to checkout as a guest or login/register. After the order is complete you can also provide an option to save their details in order to create an account for their next purchase.
- Simplify the Checkout Page
○ Include progress indicators on the checkout page.
○ Reduce required fields to fill: Enable consumers to use the same billing address and shipping address.
○ Provide complementary product options.
- Remarketing Ads
Some consumers may not be ready to commit to a purchase. Facebook, Instagram, and Google Ads enable you to target consumers with relevant ads that remind them of products they viewed or placed in their cart which incentivises them to purchase. Remarketing is beneficial as it allows you to directly follow up with both new visitors who have shown interest in your site as well as those who have previously purchased from you.
- Cart Recovery Emails
Remind registered customers by email that they have not completed purchasing their cart items. Utilise images and links that take them directly to products they added to their cart. Providing a discount code can further incentivise them to purchase.
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Author: Megan Plunkett
BSc Marketing, Innovation and Technology top of class 1.1 graduate. Previously worked in marketing for Contentsquare (UX insights for ecommerce) and Thales (banking and payments). You can find me on LinkedIn.