It can be frustrating for business owners and marketers, especially after investing significant time, effort, and resources into attracting potential customers, and guiding them through the sales funnel, but the majority leave right before checkout.<\/p>\n
![\"How](\"https:\/\/www.webapex.com.au\/blog\/wp-content\/uploads\/2023\/07\/how-to-reduce-cart-abandonment.jpg\")
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While even the most successful eCommerce websites experience cart abandonment, there are actionable steps you can take to reduce it.<\/p>\n
In this blog, we\u2019ll explore proven strategies to lower abandoned cart rates and help you understand the reasons behind why shoppers leave before completing their purchase.<\/p>\n
What is an abandoned cart?<\/strong><\/p>\n An abandoned cart occurs when a shopper adds products to their online shopping cart but exits the site before completing the purchase.<\/p>\n To calculate your cart abandonment rate, you simply compare the number of carts that were created to the number of completed purchases. Specifically, you subtract the number of completed transactions from the total number of carts, then divide the result by the total number of carts. This gives you a percentage that shows how many customers left their cart before making a purchase.<\/p>\n \u201c70.19% \u2013 average documented online shopping cart abandonment rate<\/strong>\u201d per\u00a0Baymard Institute<\/u><\/a>.<\/p>\n For example, if 100 people add items to their cart, but only 30 complete their purchase, your cart abandonment rate would be 70%.<\/em><\/p>\n How abandoned carts impact the business?<\/strong><\/p>\n Abandoned carts aren\u2019t just missed opportunities – they\u2019re a huge financial loss.<\/p>\n In fact, according to Dynamic Yield, retailers lose approximately\u00a0$18 billion in sales<\/a>\u00a0annually to abandoned carts. That\u2019s a massive figure, but the good thing is there are strategies to recover a significant portion of these sales. Every improvement to your checkout process, whether big or small, can potentially reclaim millions.<\/p>\n Also,\u00a0research from Statista<\/a>\u00a0showed that out of the total shoppers who have abandoned their carts,\u00a0only a third have returned to complete their purchase while the rest chose their competitor<\/strong>. This means you are not only losing your sales; you are making a sale for your competitors as well.<\/p>\n Table of contents:<\/strong><\/p>\n Every marketer must understand that people simply don\u2019t abandon their carts. There are many reasons why a shopper abandons their cart and most of the time, it is usually related to the checkout process, costs, trust and reliability.<\/p>\n A\u00a0study by the Baymard Institutes<\/a>\u00a0has found the following reasons to be the main cause of cart abandonment:<\/p>\n Let\u2019s look more into some of these problems before going deep into the solution!<\/p>\n Shipping cost is a major factor when it comes to cart abandonment. Shoppers might add products to their cart when they see your price, but once they see those high shipping costs, they may feel like it\u2019s not worth the effort and leave their carts.<\/p>\n Research from the Baymard Institute has shown that over\u00a050% of online shoppers abandon their carts<\/strong>\u00a0when they see a sudden increase in the total cost at checkout due to added shipping fees.<\/p>\n It doesn\u2019t seem fair for the customers when they feel cheated when they have committed to a product based on the price alone. So you must be fully transparent about how much the product costs by displaying the shipping costs upfront or offering an incentive of free shipping when customers purchase for a minimum quantity.<\/p>\n A lengthy or confusing checkout process often leads to frustration. Each additional step – from creating an account to filling out numerous form fields – adds friction that can make customers reconsider their purchase.<\/p>\n Try simplifying your checkout process by adding guest checkout options and reducing your required fields to make it more convenient for the user.<\/p>\n Today\u2019s customers expect flexibility in how they pay. If your store only accepts traditional credit cards, you may lose out on customers who prefer alternative payment methods such as PayPal, Google Pay, or even buy-now-pay-later services.<\/p>\n For example, if your site only accepts debit\/credit cards, some users might not feel satisfied since they prefer Apple or Google Pay, or just want to purchase in multiple installments.<\/em><\/p>\n The above data from Bayward Institutes also show that\u00a0almost 10% of users abandon their carts<\/strong>\u00a0due to a lack of payment options. So if you simply provide more flexible payment options, it can boost your conversions by a much larger percentage.<\/p>\n Sometimes, customers might get a feeling that your product might not satisfy their expectations. Before the checkout process, they tend to confirm their choices by reading first-hand reviews, videos, and more.<\/p>\n When customers feel that the value of the purchase doesn\u2019t align with the price or effort required, they often decide to leave the cart behind. Additionally, customers may expect more flexible return policies, faster delivery options, or even better customer support.<\/p>\n If these elements don\u2019t meet their standards, they are likely\u00a0to abandon the purchase<\/strong>\u00a0and seek out more convenient options elsewhere.<\/p>\n Users may also\u00a0abandon their carts<\/strong>\u00a0due to technical issues with the website. Slow loading times, crashes, or technical glitches can frustrate users, causing them to abandon their shopping carts and seek out competitors with smoother performance.<\/p>\n If a website crashes or errors occur during the checkout process, customers lose confidence in the security and reliability of the site. Many users fear that submitting their payment details on a site with poor performance could result in duplicate charges or failed transactions.<\/p>\n Performance issues don\u2019t just stop at page load times. A site that doesn\u2019t scale well under high traffic, especially during peak shopping times, can quickly lead to abandoned carts. All these issues show a problem with your digital infrastructure, so you may need to consult with your website host and designer to solve this.<\/p>\n A well-organized eCommerce website<\/a>\u00a0is like a well-planned store layout – it should guide customers effortlessly from product browsing to checkout. If your website is hard to navigate, you’re likely losing sales to frustrated users. The trick is making sure everything works smoothly, is easy to find, and doesn\u2019t leave customers scratching their heads.<\/p>\n A good website structure boosts usability<\/strong><\/p>\n Your website should have a good structure with everything in its place for better usability for your customers. Think of your website as a roadmap to your customers. You don\u2019t need to complicate things – a simple navigation menu that has well-defined labels is just enough.<\/p>\n You can use\u00a0a hierarchical structure<\/strong>, where categories flow logically into subcategories, to make it easier for your customers to explore your products.<\/p>\n For example, If you run a Pet products shop, you should have a home page, an about page, category pages, and so forth. When your customer clicks on your category page, it should have subcategories listed for easy use.<\/em><\/p>\n The website Breadcrumb may appear like this:<\/em><\/p>\n Home page >> Dog Products >> Dog Foods >> Dog Food Products<\/p>\n This not only helps with streamlining your customer\u2019s focus but also helps in targeting more keywords and intent, which can help in SEO as well. For more information, check out our blog on\u00a0how to optimise your eCommerce category for SEO.<\/a><\/p>\n According to Google,\u00a053% of mobile users will abandon a site<\/a>\u00a0if it takes more than three seconds to load.<\/p>\n Fast loading times are critical, especially for impatient online shoppers. To boost your site\u2019s speed, compress large images, minimise heavy code, and use tools like a Content Delivery Network (CDN), which helps load your site faster no matter where the user is located.<\/p>\n A speedy site doesn\u2019t just keep customers happy – it also helps with your SEO ranking, making it easier for potential buyers to find you.<\/p>\n Check out our blog on\u00a0how to improve website speed<\/a>\u00a0for more information.<\/p>\n Let\u2019s face it: no one likes paperwork. And if your checkout process feels like filling out a tax form, you\u2019re going to see a lot of abandoned carts. The simpler and quicker it is to pay, the fewer reasons your customers have to leave before completing their purchase.<\/p>\n One of the main reasons people abandon their carts is because they don\u2019t want to create an account to purchase a few items. In fact,\u00a0about 24% of customers<\/strong>\u00a0abandon their carts because they don\u2019t want to make an account.<\/p>\n Registering for an account is a waste of time for most people since it involves filling in a lot of details and verification. After this long process, most customers feel bored or not interested in completing their purchase, leading to cart abandonment.<\/p>\n It\u2019s best to offer a guest checkout option that allows users to skip the sign-up process and quickly make their purchases. You can always encourage them to create an account later by highlighting the perks – like tracking their order or faster checkout next time – but don\u2019t force it upfront.<\/p>\n The more information you ask for, the higher the chances your customers will abandon your cart. So stick to the essentials – shipping details, payment info, and maybe an email address to confirm the order.<\/p>\n Autofill features and simple form validation also help speed up the process. Keep it short, sweet, and to the point, avoiding asking for the same info twice.<\/p>\n According to Statista, even though over half of online shopping now happens on mobile devices, around\u00a085% of mobile shoppers abandon their carts<\/a>\u00a0due to a poor shopping experience. The last thing you want is for your mobile visitors to struggle with tiny buttons or confusing layouts.<\/p>\n Mobile shoppers want ease and speed, so make sure your site works just as well on a phone as it does on a desktop.<\/p>\n Customers love it when you are transparent about the costs and discounts much earlier than the checkout process. They don\u2019t appreciate it when you surprise them with high additional fees like shipping costs or taxes at the later stages This\u00a0leads to abandoned carts<\/strong>\u00a0when their price expectations are not satisfied.<\/p>\n Make sure you show all costs upfront on your landing page or on the product page to let the customers know what they can expect when they add the product to their cart. This way you are being transparent about what you offer and the customer is also fully aware of how much should they pay.<\/p>\n Generally speaking, high shipping costs are one of the main reasons for cart abandonment. And when they are shown at the end of the checkout process, it\u2019s no surprise there are many carts left behind.<\/p>\n Customers don\u2019t want to go through the entire checkout process only to find out the shipping cost at the last minute. Hiding this information leads to frustration and, ultimately, abandoned carts. Instead, provide shipping estimates as early as possible -either on product pages or right when items are added to the cart.<\/p>\n Avoid asking for too many details, such as full shipping information, before displaying the cost.<\/p>\n One effective way to keep customers engaged is by offering free shipping for orders above a certain amount.<\/p>\n Displaying the free shipping threshold prominently, such as\u00a0\u201cSpend $50 more for free shipping,\u201d<\/strong>\u00a0motivates customers to add more items to their cart. This not only reduces the likelihood of them leaving the cart behind but also increases your average order value.<\/p>\n Showing the threshold early in the shopping process gives them a goal to reach and adds a small incentive to complete the purchase.<\/p>\n With many payment options available now, different customers have different payment preferences. Nowadays, it is important to have\u00a0multiple payment options available<\/strong>\u00a0on your eCommerce website. If a customer doesn\u2019t find the payment option they are looking for, it limits their choices and drives them away from competitors who offer more flexibility. In fact,\u00a0around 9% of customers<\/strong>\u00a0reported that they abandoned their carts due to a lack of payment options.<\/p>\n In eCommerce, price is a huge factor that drives your customer\u2019s attention. You should\u00a0aim for competitive pricing<\/strong> by regularly checking with your competitors and your value proposition to offer the best price to the customers. This way customers feel more confident in completing a purchase and reduce cart abandonment.<\/p>\n Even in the final moments of the checkout process, customers may feel like double-checking the prices with your competitors. It takes a few seconds to open a new tab and check your competitor’s prices, and if the customer feels like your competitor offers more value for a lower price, then this leads to cart abandonment.<\/p>\n Offering time-sensitive discounts, promotional offers, or loyalty programs can also keep your prices attractive and customers to come back.<\/p>\n Security is one of the biggest concerns for online shoppers, especially when it comes to\u00a0entering personal and payment information<\/strong>. Trust badges – such as SSL certificates, payment verification icons (like Visa, and MasterCard), and security seals – give customers confidence that their data is safe.<\/p>\n Displaying these badges prominently during checkout reassures customers that your site is secure,\u00a0reducing the risk of cart abandonment<\/strong>\u00a0due to trust issues. Shoppers need to feel that their credit card details are protected, and these visual cues reinforce that safety.<\/p>\n Abandoned cart emails are a powerful tool for recovering lost sales. These emails remind customers that they left items in their cart and encourage them to complete their purchase. Sending a follow-up email within\u00a0a few hours of abandonment<\/strong>\u00a0can significantly boost recovery rates. You can also personalise the email by mentioning the specific items left behind and, if possible, offer incentives to bring them back to checkout.<\/p>\n You should send personalised emails to reduce cart abandonment. They work wonders by directly connecting with the customer and reminding them of the items left behind.<\/p>\n It\u2019s best to address them by their name, mention the items they\u2019ve left behind, and provide a direct link to their cart. This way, you can remind your customers where they\u2019ve left off and simplify the process for the customer to back to your website.<\/p>\n Here\u2019s a guide on an\u00a0email automation checklist for eCommerce<\/a>\u00a0using Klaviyo and Mailchimp.<\/p>\n Adding a small incentive – such as a discount or free shipping – can make the difference between an abandoned cart and a completed purchase.\u00a0Offering 10% off or free shipping<\/strong>\u00a0in the follow-up email often tips the scales in your favour.<\/p>\n Customers appreciate feeling like they\u2019re getting a special deal for returning to their cart.<\/p>\n You can also create urgency by giving out last-value offers. A limited-time offer like\u00a0\u201c$10 OFF + Free Shipping \u2013 Valid for 24 Hours Only\u201d<\/em>\u00a0encourages customers to act quickly.<\/p>\n This can be mainly used to capture the\u00a0FOMO (fear of missing out)<\/strong>\u00a0and encourage customers to complete their purchase to get the deal.<\/p>\n You can also use retargeting ads via\u00a0Facebook or Google<\/a>\u00a0to bring back potential customers who have abandoned their carts. You can display targeted ads that remind users of the products they left behind, even as they browse other websites or social media.<\/p>\n Retargeting ads are like gentle reminders for your customers, reminding them of what they\u2019ve left behind in their cart. Since most customers forget about their carts, sending an ad with a direct link to their cart can help to return and complete their checkout process.<\/p>\n For example, if a customer has left some items behind in your cart and left the website to scroll through Google Facebook or other platforms, you can set retargeting ads to remind them of their abandoned cart with some incentive or discount to encourage customers to come back and buy your product.\u00a0<\/em><\/p>\n For more information on retargeting and increasing eCommerce sales, check out our blog on\u00a0tips to increase eCommerce sales.<\/a><\/p>\n When you are creating retargeting ads, make sure you highlight the product benefits carefully. Sometimes, customers are too distracted or might not be convinced enough to get back to your website and complete the purchase.<\/p>\n\n
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Understand why customers abandon carts<\/h2>\n
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High shipping costs<\/h3>\n
Complicated checkout process<\/h3>\n
Lack of payment options<\/h3>\n
Did not meet expectations<\/h3>\n
Website performance issues<\/h3>\n
Fix the website structure & usability<\/h2>\n
Improve website speed<\/h2>\n
Simplify the checkout process<\/h2>\n
Use guest checkout options<\/h3>\n
Minimise form fields<\/h3>\n
Optimise mobile experience<\/h2>\n
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Display cost early<\/h2>\n
Show shipping cost upfront<\/h3>\n
Show free shipping thresholds<\/h3>\n
Offer diverse payment options<\/h2>\n
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Keep your prices competitive<\/h2>\n
![\"ecommerce](\"https:\/\/www.webapex.com.au\/blog\/wp-content\/uploads\/2023\/07\/ecommerce-abandon-cart-price-factor.png\")
<\/p>\nSafe & secure checkout with trust badges<\/h2>\n
Send automated abandoned cart emails<\/h2>\n
You left item(s) in the cart – personalised email<\/h3>\n
Offer a discount or free shipping<\/h3>\n
Last value offer<\/h3>\n
Use Facebook and Google re-targeting ads<\/h2>\n
Highlight product benefits to win back customers<\/h3>\n