Understanding and Preventing Cart Abandonment
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Imagine one of your customer's, Sarah is browsing the internet. She spots a banner of her favorite clothing brand: NEW SUMMER STOCK! She's thrilled. She's been planning some buys for a short beach trip. The timing is great!
When she clicks through, she sees even better news! Flash Sale. Flat 50% OFF! These are unbeatable rates. Hats, shades, flip-flops, clothes. Her cart fills quickly.?
But then the website is slow and awkward to use. She's irritated, and this reduces her interest in the shopping experience. But the products are good, so she adds a lot of them to her cart!
And then… she needs to make some tough choices. Which is the most flattering design? Black looks great. But does the blue look better? Is the cheaper green you saw elsewhere the best bet?
She finally navigates across the slow, clunky website and gets to the checkout. But - oh no! - the check-out process is too complex!
She's finally had enough. Whether it’s because of frustration with the website, product comparison across stores or decision paralysis, she's done! She abandons her cart and navigates away from the website. The beach wear will wait for another day - and probably another online store.
Cart abandonment is a major issue for eCommerce brands of all industries and sizes. A few common reasons:
We’ve put together a guide on how you, as the owner or manager of an online store, can address these issues and reduce cart abandonment.
Decision paralysis due to FOMO and the Paradox of Choice
In online retail, FOMO impacts customer behavior in two ways. For one thing, customers are often scared of missing out on great deals. So they add multiple items to their carts. At the same time, it also makes them think that they may get a better deal at another store. This makes them hesitate and ultimately abandon their carts.
There are so many stores, both online and real world, each stocking so many similar products. The sheer range of options available is overwhelming. Too many choices can lead to indecision. Such decision paralysis can cause shoppers to abandon their carts.
You can consider several strategies to solve these problems. Here’s a few suggestions, and how other brands have used them.
Limited-Time Offers
Present time-limited discounts, promotions or value added benefits. This encourages fast purchase. For example, Castlery.com shares a set of attractive timebound offers alongside each product. Castlery customers are encouraged to buy thanks to these promotions.
Product Comparison
Help buyers break through decision paralysis with comparison tools. If you’re selling a wide range of similar products, a tool of this kind can help customers immensely. For instance, consider Best Buy’s “Compare Products” feature. It allows customers to compare multiple products side by side. This helps them make informed decisions, faster.
Hidden Costs and Lack of Transparency
Let’s return for a moment to that beach wear online store. Imagine that Sarah finalizes her cart and gets ready to check out. Suddenly, the amount to be paid doubles! She realizes that a tiny footnote on the product pages says “*Shipping and Fees Extra”.
Unexpected costs like shipping, taxes, and other hidden fees can shock customers. It can prevent them from making their purchase. If these costs appear only at the final stage of checkout, it can feel like a bait and switch scam. This erodes trust and prompts cart abandonment.
Here’s a few techniques that can help improve transparency and build trust.
Upfront Pricing
Show shoppers the total cost to be paid, right from the first stage of the shopping journey. By displaying all potential costs clearly, your customers are fully informed. Zappos clearly displays shipping and tax costs and expected delivery times on each product page. This ensures that customers know what to expect, well before checkout.
Returns and Money-Back Guarantees
First-time buyers may be concerned. Increase trust and ease decision making with returns, trials and money-back guarantees. Such guarantees build customer trust in the value of their purchases. Helix Sleep Mattresses, an online mattress business, offers a 100 Night Sleep Trial. Such a liberal trial offer makes it easier for customers to take the leap and buy the mattress.
Friction in the Checkout Process
A complex, multi-step checkout process can significantly hinder purchase completion. Here’s some things to avoid:
The longer the checkout process, the more it can frustrate customers. That can lead them to abandon their carts. Simplify the checkout process to reduce friction.
For example, consider Amazon’s One-Click Checkout, or “Buy Now” feature. This makes it easy for customers to complete their purchases.
Every step cut out of the checkout moves your shopper that much closer to purchase. It reduces the chances of cart abandonment. Here’s a few ways to streamline your checkout process:
Guest Checkout
Why do your customers need to create an account on your website? From their point of view, it may not be of much value. Allow customers the option to purchase without an account. For example, Apple also offers a guest checkout option. This lets customers check out with fewer steps. It gives them less time to overthink their choices!
Autofill Forms
Shopify’s Shop Pay feature auto fills relevant customer data upon checkout across all Shopify stores. When technology is used to prefill such data, it speeds up the buying process. This simple move by the store eases the customer’s buying journey.
Read more about Shop Pay here.
Progress Indicators
Sometimes, a multi-step checkout is inevitable. In such cases, it helps to show customers where they are in the process. This makes them feel more in control and reduces anxiety. Amazon improved user experience in this way. They added simple numerals to each step of the checkout.
Worries over Data Security and Privacy
Another reason customers may abandon their carts is if they don’t perceive the website as secure. Consumers today are fully aware of the risks of data theft and misuse. They may step away from the online store if they have concerns.
Ensure that all data processed by your website is encrypted. Maintain your SSL certificates and secure your databases. Trust is key in online transactions.
Doubts about security - justified or not - can lead to cart abandonment. Here are a few strategies to build trust in your store.
Trust Signals
First and most importantly, display trust signals prominently on the website. These include (but aren’t restricted to):
You can also build trust in the brand as a whole, with:
At checkout on Etsy.com , the SSL Certificate and data privacy policy are displayed prominently. They also build trust by featuring their Purchase Protection program. This offers a full refund in case of issues.
Secure Payment Gateways
When you use secure payment gateways, your customers feel comfortable sharing their data. Shopify is one major eCommerce platform that works with a number of well-known payment gateways. They highlight six top gateway providers, including PayPal and Stripe. Most eCommerce platforms like Adobe Commerce, BigCommerce, Shopware, Salesforce Commerce provide access to many payment gateways. The more choices you offer, the more confident they feel.
Impersonal Communication and The Power of Retargeting
Don’t make your customers feel like just another number. Personalization on the website leads to better customer engagement and less cart abandonment.
Netflix offers personalized recommendations based on customers’ browsing history and on- and off-site behavior. This increases user engagement and satisfaction.
When customers abandon their carts, personal interaction can encourage them to return. Here’s a few ways to engage with them.
On-site Retargeting
If your customers abandon their cart and return to the online store, make it easy for them to keep going. Amazon does this through “Keep shopping for” and “Pick up where you left off” sections on the home page.
You can send push notifications via the mobile or web app to users about their abandoned carts. When they return, you can display a custom pop-up to remind them of their incomplete shopping.
You can also use exit-intent pop-ups. These pop-ups offer a discount or remind users of their cart when they are about to leave your site.
Live chat assistance can help customers make their choices and check out their carts.
One-to-One Retargeting
Retargeting communication reminds customers of the products they are interested in. This urges them to return and complete their purchase. Businesses can send email and text reminders about the items left in the carts. Other brands, including Firstcry.com , do the same.
This personal contact reminds customers about their incomplete purchase. A discount or promotion may also be offered to encourage completion.
Retargeting Ads
You can present PPM display ads that retarget the users who have abandoned carts on your online store. These ads can dynamically pull and present the actual products that are in their carts. You can even set up a countdown timer to build urgency.
By using Google Display Network, you can show retargeting ads to users as they browse other websites. You can also target users with search ads when they search for similar products or brands on Google.
So what’s your next step?
FOMO - decision paralysis - hidden cost shock - friction aversion - lack of trust - and more, can impact conversion rates. Implement the right strategies, on and off the website, to address these issues. This helps you significantly reduce cart abandonment.
Partner with Ziffity Solutions for comprehensive eCommerce managed services and eCommerce marketing services tailored to your needs. Together, let's turn abandoned carts into completed purchases and happy customers!
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