Common Causes For Cart Abandonment And How To Reduce It

Making purchases online is a game changer for many customers and companies. Having access to a huge variety of products and shops from the comfort of their couch makes shopping easy for customers, and not having to stock and run a brick-and-mortar is a big benefit for business owners. However, there is one big downside of online shopping: cart abandonment. The Baymard Institute found that an average of 70.19% of shoppers have abandoned their carts. While abandoned carts are simply going to happen, there are steps that you can take to gently encourage customers to resume their shopping journey.

What Is Cart Abandonment?

Cart abandonment is when a customer adds one or more items to their virtual shopping cart and then does not complete the purchase. It would be like if you went to the grocery store, added some items to your cart, and then got sidetracked and left the store without your items.

Why Do Customers Abandon Their Carts?

There are many reasons that customers abandon their carts. Adding in extra costs like taxes and shipping that come to a higher total than the customer is expecting is one of the biggest reasons for abandoned carts. Make sure that your pricing is fair, you are not over-charging on taxes and shipping, and that you are upfront on costs. Another way to help combat cart abandonment due to pricing is to offer free shipping if the customer spends a certain amount. If they are spending about the same amount on taxes and shipping as they are the product they are ordering, suddenly the good deal they found isn’t going to seem so great. Live Nation Entertainment, a brand dedicated to promoting and managing ticket sales for live events, sets a great example with its new “all-in” pricing strategy. Fans were complaining that the taxes and fees at checkout were raising their ticket prices exponentially, so Live Nation decided to display the total cost upfront.

Another common reason that customers will abandon their carts is because the checkout process is taking too long, or too complicated. While you should offer guests the option to create an account with you, you should also give them the option to check out as a guest. Some customers just want to check out as quickly as possible, and if they are not sure that they are going to return to shop with you again in the future, they might not want an account. Whether they choose to create an account or check out as a guest, make the process as smooth and speedy as possible.

A lack of payment options is another issue that leads to cart abandonment. While it is impossible to offer every payment option available, you can (and should) accept a variety of major credit cards, debit cards, and digital wallets if you are able to. If you sell internationally, make sure that you have options for your customers abroad as well!

Your website plays a big role in whether customers follow through with their purchases. Test you website at least quarterly to make sure that everything is running smoothly, your pages are updated, and everything loads quickly. If you have any security badges, display those as well so that your customers can see what steps you have taken to ensure that their information stays safe. A web credibility study by Sanford found that 75% of customers make judgments on a company’s credibility based on its website design, so keep your website updated and secure to reduce cart abandonment.

While cart abandonment is inevitable, taking steps to make sure that your customers have an easy and secure shopping experience will help you reduce that rate. Partnering with a reputable and trusted company like BMT Micro can help take some of the hassle out of dealing with online orders, and leave you time to focus on making your customers happy.