3 Ways to Reduce Cart Abandonment and increase eCommerce Sales
Cart abandonment is highly common on eCommerce websites and is the phenomenon of a visitor, after having picked out items and placed them in their cart, deciding to not complete the checkout process. That means, somewhere along the way, the checkout process lost the customer.
Common reasons for cart abandonment include high shipping costs, slow shipping times, and higher than expected taxes. There may also be issues with the checkout process itself, sometimes being too lengthy and/or too complicated. For eCommerce sites that can understand where they’re going wrong with cart abandonment, they are more likely to be able to resolve the issue.
The first step to reducing cart abandonment is in removing the boundaries that are preventing visitors from completing their purchase. At times, this might mean offering first-time customers a ‘free shipping’ coupon, an exclusive discount or something else.
It is estimated that up to 78 percent of customers may abandon their cart, with approximately 44 percent of those being directly connected to shipping – that’s something to think about. Though shipping costs do need to be paid, if your eCommerce conversion rate is less than 3 percent, covering these costs for first-time customers or for limited-time periods may be a reliable strategy.
The next step is creating a sense of urgency. The longer the customer has to think about making a purchase, the more likely they are to forego it altogether. Though reducing prices and offering discounts might seem like a great way to win customers, it might not always work out well for the bottom line.
There is some research suggesting shoppers respond more favorably to ‘FOMO’ or ‘fear of missing out’. By creating a sense of urgency such as through the use of a 24-hour limited time discount, it might be enough to push them towards making a purchasing decision in your favor. For non-committal shoppers, it’s recommended.
Thirdly, always be clear throughout the checkout process. Products should be displayed in a simple to process format with accurate descriptions, photos from several angles, and customer reviews showcased somewhere on the page. The process of checking out should be secure and easy to do. If online shoppers do not perceive a checkout process to be secure or safe, they are highly likely to abandon everything and go elsewhere for the product they are searching for.
If your eCommerce business is struggling with cart abandonment, you’re not alone. It’s estimated that retailers lose upwards of $18 billion annually as a result of cart abandonment. By working with an eCommerce specialist, you should able to successfully utilize these techniques to see success.
Cart abandonment should be a serious concern for eCommerce companies as they seek to grow their revenues. If your digital marketing is generating leads but you’re losing them in the checkout process, you know there’s a problem. Thankfully, there’s almost always a fix.
Always ensure the customer feels like they are being cared for, that they are not just a number, and that they won’t regret their purchase. At times, this might mean offering better pricing and more favorable terms to keep them on your page and/or with your eCommerce brand. Needless to say, cart abandonment is always going to be present in eCommerce however one can successfully limit its impact by employing the right strategies. If you need the help of a professional eCommerce specialist please contact us
