One of the biggest issues for any online retailer is shopping cart abandonment. This is where a customer has selected a product or service in the digital cart, and they exit the website without completing the purchase for one reason or another. In fact, according to WeAreTop10, over 68 percent of all shopping carts are eventually abandoned. This results in $18 billion of lost sales annually.
There are several reasons why shopping cart abandonment happens. From a customer having second thoughts on purchasing to finding the product for less on a different website, every time a customer abandons their shopping cart, it represents lost revenue. That is exactly why it is so critical to slash shopping cart abandonment.
8 Ways to Improve Shopping Cart Abandonment
Here are eight ways any online e-commerce site can go about improving the site’s shopping cart abandonment issues.
- Demonstrate Security
One of the biggest reasons why would-be customers back out of making an online purchase is because they don’t feel their financial information is safe. It is critical to let customers know their payment information is safe, which is why a website needs to showcase its security features (such as Norton Secured, MasterCard SecureCode, VeriSign Secured, GeoTrust, McAfee Secure, and so on).
According to Shopify (2017), 61 percent of online customers said they have avoided making a purchase but did not see the logos of financial security trust. Additionally, nearly 76 percent of customers said they did not purchase because they didn’t recognize the trust logos.
- Offer More Payment Options
Customers want to utilize their desired method of payment. This means a website needs to offer more payment options. Payment options can range from different kinds of credit cards (such as Visa and American Express) to accept PayPal, Apple Pay, Google Wallet, and others.
The more payment options a website offers, the smaller the chance a customer might back out of paying a purchase because their desired form of payment is not accepted. Even if American Express charges a higher processing fee, making one additional sale by accepting Amex makes accepting the credit card worth it.
- Remind Customers with Reminder Advertising
Customers will back out of making purchases from time to time. Unfortunately, there’s just no way to prevent it 100 percent. However, it is possible to bring some of these customers back into the fold. Once a customer visits the website, a cookie should be placed on their computer. This will make it possible to advertise directly to customers based on what they had selected and left in their shopping cart.
Reminder advertisements can appear over several marketing methods, from Google AdWords to Facebook and email marketing. Sometimes a simple reminder is all someone needs to remember and go back to finish their purchase.
- Cut Down Loading Time
The longer a website takes to load, the higher the chance of shopping cart abandonment. According to VWO, shopping cart abandonment increases seven percent for every additional second a customer needs to wait. Shopping cart abandonment will decline by optimizing a website and cutting download time.
- Allow Guest Check-Out
When customers know whether to return to a website for future purchases, they will likely not want to sign up for a new account. Due to this, an e-commerce website needs to provide guest checkout options. In fact, according to Invesp, 14 percent of customers refuse to purchase if they are not allowed to check out as a guest.
- Clear Shipping Costs
One of the top reasons customers back out of making a purchase is a high, often unexpected shipping cost. According to Invesp, 44 percent of customers say they back out of a purchase because of an unexpectedly high shipping cost.
Shipping cost needs to be easily identified, customers should be given varying options, and free shipping should be provided whenever possible.
- Money Back Guarantee
Customers want to know what they are buying will last. While including customer reviews can help, providing a money-back guarantee is important. This way, customers know if what they buy breaks or is damaged, they can return it.
- Call To Action
It’s simple, yet many websites fail to include a CTA within the checkout page. Instructing shoppers on what to do next can boost the movement of customers from the product page to checkout.
Likewise, the shopping cart needs to be easily identified on the website. The logo needs to be clear and simple to select. Problems with finding or selecting the shopping cart will increase shopping cart abandonment.
Shopping cart abandonment is a serious problem for all e-commerce companies. Whether selling landscaping services or mobile phones, most shoppers will back out of a purchase for one reason or another. However, by taking advantage of these eight tips, it is possible to limit shopping cart abandonment and improve sales conversions.