If online shopping were anything like the real world, it would be unusual to find 85 percent of shopping carts in a store to be abandoned with items inside, so why is this so prevalent in e-commerce? We could blame it on society’s growing deficit of attention or their need for immediate gratification, but we believe this problem goes deeper.
25 percent of people abandon carts due to unexpected shipping costs which is interesting when you consider that shipping costs are certainly lower than the additional price a brick and mortar store would have to charge to maintain their margins.
Another 22 percent of abandoned carts are due to account creation requirements and 9 percent due to an arduous checkout process. These seem counter-intuitive when the very nature of e-commerce is to increase the convenience of making a purchase. These are speaking volumes about the silver spoon customers are seeking. So how can you provide customers with the silver spoon experience?
When considering user experience of an e-commerce checkout process we must aim for simplicity and speed. Bundle your shipping expenses (and even taxes) into the final price of the product from the start. If the customer sees the price and a footnote that all fees, shipping expenses, and taxes are included they will feel less like your company is trying to squeeze them for every penny and more comfortable when the time comes to submit credit card information.
When the usual barriers have been removed from the checkout process and potential customers still abandon their cart for one reason or another, a pop-up notification with a coupon offer can be a great strategy to win them back.
Taken one step further, implement a survey feedback system asking each user to provide a reason for their intent to exit and when answered, immediately relieve them of that problem. If they select shipping costs as their reason for leaving, incentivize them with free shipping. (Sidenote: We should mention this strategy should not be used on every exit intent to prevent exploitation of this process.)
Retargeting customers that may have gone on to conduct further product research can be a great way to win-back those potential users. In fact, 26 percent of retargeted customers have been found to complete their purchase.
For more insight about how you can recover abandoned carts for mobile e-commerce and recapturing otherwise lost revenue, turn to the infographic below from the intelligent mobile marketing platform, CleverTap:
Infographic by CleverTap