What Is Shopping Cart Abandonment and How Do I Avoid It?
Shopping cart abandonment occurs when a buyer adds things to their cart but then departs the e-commerce store without purchasing them. A higher percentage of shopping cart abandonment usually means there are problems with the checkout process. If e-commerce store managers want to recover possibly lost revenue and enhance conversions, they must track this number.
How to Calculate the Abandonment Rate of a Shopping Cart
This is the formula you’ll want to use to compute the shopping cart abandonment rate.
The total number of completed transactions divided by the total number of transactions began equals the cart abandonment rate. This will provide you with your shopping cart abandonment rate over a certain time period. For example, you can take all of the transactions from the previous month or quarter and split them by the number of begun transactions, which are things that individuals added to their shopping carts but did not purchase.
Techniques for Reducing Shopping Cart Abandonment
1. Shipping charges that were not anticipated
Unexpected prices generally come as a shock once a customer enters their shipping information only to discover they’ve paid additional fees they weren’t expecting. Customers may reconsider their purchase once they notice the fees, and they may abandon their cart if their expectations aren’t met.
2. Be open and honest about all expenses
Customers are less likely to be caught off guard by an unexpected price increase if you disclose all prices upfront, including any shipping expenses, applicable taxes, and any other fees they should expect.
3. Concerns about payment security
The majority of clients are naturally wary of making online payments. They will not complete their purchase if they do not feel safe supplying personal information or if they are concerned that their payment information will not be handled securely.
We all know that online clients have short attention spans, and if your checkout process is even slightly complicated, they will abandon it in the blink of an eye. To ensure that no bug costs you a sale, you must constantly monitor your analytics and analyze your checkout procedure. Customers will save time with a comprehensive checkout procedure, which will lead to higher conversions.
5. Do some price comparisons
Customers have many options when shopping online thanks to the internet and the rise of mobile commerce, and they can compare those options rapidly. It’s not uncommon for bargain-hunting buyers to put products in their carts only to purchase from a competitor who offers a better value.
6. There are no discounts or promotional codes to utilize
Shoppers are frequently bombarded with offers and promotions from a variety of retailers. Deal hunters may expect your store to offer similar deals, and if you don’t, they may choose to shop at a competitor.
7. Establish a comprehensive refund and return policy
Return policies are crucial in e-commerce because customers don’t have the option of trying on things or seeing them in person. Customers will feel more secure when they purchase things from your store if you have a good return policy. To inform shoppers and maybe convince them to buy, include a clear link to the return policy early in the checkout process.
8. Insufficient payment options
Those who prefer to shop online always have their favorite payment method (s). If your online store does not accept their preferred payment method, they will go. Provide all common but popular payment gateways, such as PayPal, Western Union, Skrill, Stripe, and even 2Checkout or Amex, to address this worry.
9. Display product thumbnails throughout the checkout process
Including thumbnails of products in the checkout process can help buyers feel more confident about their current purchase. Customers can see and feel the item they’re buying when they make a purchase in person, which they can’t do with an online transaction. Product thumbnails are particularly helpful for keeping these items in mind during the checkout process.
10. Include trust signals during the checkout process
Another reason why people leave shopping carts is a lack of confidence. Conversions will decrease if clients do not feel safe checking out on your website. Although more consumers are comfortable entering credit card information online these days, adding trust signals to your checkout flow (as well as other places on your site) can help alleviate any doubts your clients may have.
Our recommendation is for you to consider Social Proof Pop-ups to reduce your cart abandonment.