On average, around 70% of online shoppers abandon their carts before completing a purchase. This can result in a significant loss of revenue for eCommerce businesses. Additionally, a study by SaleCycle found that the average order value of an abandoned cart is $109.
So, for every 100 shoppers who place an item in your cart, 70 of them will abandon with an average cart value of $109. Which means that for every 100 shoppers you bring to your website who add an item to their cart, there will be over $7,600 left in abandoned carts. Converting even 10% of those would boost sales immediately.
So, let's talk about some ways to avoid cart abandonment.
Avoid Unexpected Costs at Checkout
One of the main reasons for cart abandonment is unexpected costs at checkout. Many shoppers are surprised by additional costs such as shipping and handling, taxes, or even unexpected currency conversion rates. A study by Barilliance found that 25% of shoppers abandoned their carts due to high shipping costs.
Make sure to be transparent about all costs associated with a purchase and include them in the initial price of the product. The more times fees are added unexpectedly, the more likely the shopper will abandon.
Simplify Your Checkout Process as Much as Possible
Another common reason for cart abandonment is the length and complexity of the checkout process. Many shoppers will abandon their carts if the process is too long or difficult to navigate. The aforementioned Barilliance study found that 28% of shoppers abandoned their carts due to a complicated checkout process.
Keep the checkout process as simple and streamlined as possible and only ask for the essential information needed to complete the purchase. Additionally, offering guest checkout or the option to save shipping information for future purchases can make the process more convenient for shoppers.
Use Email to Ask Shoppers to Complete Their Purchases
Implement an abandoned cart email campaign. This is an automated email that is sent to shoppers who have abandoned their carts, reminding them of the items they left behind and offering a special incentive to encourage them to complete their purchase.
SaleCycle found that abandoned cart email campaigns had an average open rate of 42% and a conversion rate of 29%. The incentive could be a discount code, free shipping, or a limited-time offer.
Offer a Variety of Payment Options
Some shoppers may abandon their carts if they don't see their preferred payment method available. 21% of shoppers abandoned their carts because their preferred payment method was not available. By offering a variety of options such as credit card, PayPal, ApplePay, etc. businesses can make it more convenient for shoppers to complete their purchase.
Talk to a Finch Cart Abandonment Expert
Provide Excellent Customer Service
Shoppers may have questions or concerns about a product or the checkout process, and if they can't get their questions answered quickly and easily, they may abandon their carts and never return. By providing clear, easy-to-find contact information and responding quickly to customer inquiries, businesses can help shoppers feel more confident and secure in their purchase.
Not only will customer service improvements help convert abandoned carts, it's also crucial to improving Customer Lifetime Value (CLV) - a key business health metric for eCommerce.
Cart abandonment is a significant problem for eCommerce businesses, but with the right strategies in place, it's possible to reduce abandonment rates and boost sales. By being transparent about costs, streamlining the checkout process, implementing abandoned cart email campaigns, offering a variety of payment options, and providing good customer service, businesses can increase the likelihood of customers completing their purchase. According to a study by Barilliance, implementing just one of these solutions can lead to a decrease in cart abandonment rates by as much as 45%.