According to the Baymard Institute, the average documented online cart abandonment rate is around a whooping 68.63%. In simpler terms, eCommerce businesses are losing more than half their possible sales.
The revenue loss of these businesses due to cart abandonment was estimated to be $18 billion in 2012 and is predicted to hit $31 billion by the end of 2016. Cart abandonment is actually one of the most common phenomenons online.
With the increasing number of businesses taking their products and services online, one of the most common reasons for consumers to ditch their purchases midway are the availability of too many options. Most of them aren’t able to decide which product they really want and often seek for better deals than what they are currently getting.
Some of the common reasons, as pointed out in a study by Statista, include:
- Unexpected costs in the cart total
- Not ready to purchase (only browsing)
- Looking/found a better deal
- Complicated navigation and checkout
- Security concerns
- Did not find the preferred shipping and payment methods
The reasons for cart abandonment vary from business to business, and customer to customer. But there are ways in which you can actually win back those possible sales.
For: Before cart abandonment
1. Optimize your website for mobile devices
More than 80% of your target audience uses their mobile devices to access your website. Hence, it is important to ensure that your website is responsive and all the processes are optimized for efficient usage on mobile.
2. Avoid hidden costs
One of the biggest reasons for a customer to ditch his purchase, is being presented with hidden costs during checkout. Hence, it is important that you mention all shipping and delivery charges clearly beforehand. For example, Forever21 uses a constant banner across all its web pages to let the customer know at what amount they would get free shipping.
3. Optimize the checkout process
It is important to understand that online shopping is supposed to be convenient for the consumers. Creating a complex or lengthy checkout process will only discourage them from making the purchase. Ask only what is required during checkout, make navigation easy and clear, and also offer them a guest checkout option.
4. Include social proof and security elements
Sometimes consumers only need to know that they are making the right purchase, from the right business. Including social proof like ratings, reviews and customer testimonials helps consumers make better purchase decisions. Adding security elements like third party seals and logos can help reassure them that they are making transactions on a safe channel.
5. Offer multiple payment and shipping methods
Like we mentioned before, people seek convenience when shopping online. Offering multiple payment modes and shipping methods is a sure shot way of ensuring that they would complete the purchase. Since it is impossible to offer all sorts of payment and shipping methods, it is important to understand what most of your audience is looking for.
6. Implement an exit intent campaign
Instead of waiting for the visitor to leave to start your cart recovery campaigns, re-target them one last time before they abandon your website. Use bounce prevention technology from companies like Exit Bee to predict their exit intent and target them with a custom overlay. This overlay could contain a message that creates a sense of urgency around the purchase or could simply offer them an incentive to complete the purchase then itself.
For: After cart abandonment
1. Implement push notifications
People who come to your eCommerce store are clearly interested in the products you are offering. Instead of just asking them to sign up for your newsletter, ask them if they want to be notified of similar deals or offers that they are browsing. Since this doesn’t require them to share their email address, your visitors are more likely to opt into it. Push notifications enabled by companies like Wigzo enables marketers to create personalized re-targeting campaigns to bring their customers back to complete the purchase.
These notifications could be used to remind the shopper of the products he has left behind, create a sense of urgency by letting him know they are going out of stock, uprising them of a new purchase or offering them an additional off to come back and complete the purchase.
2. Cart recovery email campaign
Email marketing is still the most effective marketing tactic in the digital industry. It gives you the platform to directly reach out to your customers. Using a cart recovery email campaign is known to boost conversion rates for eCommerce businesses.
These campaigns can be used to remind the shopper of the items he has left behind, recent sales of those items or sending an incentive that is tailored for him to complete his purchase. Sometimes sending across the product images and details reminds the shopper of what he was looking for, why and where he can buy it from.
For example, here’s one from Fab:
3. Social media re-targeting
Another platform that is effective in bringing back your customers to their purchase is social media. Retargeting ads display the items that the customer had shown interest in previously on your website and lead them directly to the product page.
Since most of us use social media on a regular basis and spend a considerable amount of time during the day on it, chances of conversion are a lot higher. Hence, analyse where your audience spends the most amount of time on, engage and run paid re-targeting campaigns on the same.
Over to you
There are going to be a lot more businesses bringing their products and services online. The one approach that each one of them is going to follow is to acquire customers by offering competitive deals.
But it is impossible to match up with them consistently. Hence, businesses and marketers need to find other ways, like those stated above to prevent or recover their abandoned carts.
What other methods have you made use of to win back your customers?