Cart abandonment is when a potential consumer adds a product to their bag but then decides not to go through with the purchase. "The average cart abandonment rate is 69.99%, according to Baymard Institute. This is an average of 48 shopping cart abandonment studies, which range from 56% to 81%.
The middle point of just under a 70% cart abandonment rate means that only three out of ten customers who fill their shopping carts actually make it to checkout to complete their purchase." (HotJar)
There are simple tactics that any brand can implement in order to decrease cart abandonment. It is difficult to get a new buyer into your store and to select a product so you don't want to lose them when you're so close to making a sale. Cart abandonment is a huge problem for eCommerce brands, and even though it'll never go away, you can lower the number of carts that are abandoned at checkout.
10 ways to decrease cart abandonment:
From the initial click to the site, throughout the checkout, and finally to the purchase. If you implement these tips and tricks, you'll be able to improve the customer experience. With a high level of customer experience, you're able to lower customer abandonment. So create the best purchase process.
Simplify the Checkout Experience
Once a customer arrives at the checkout, they want a simple and easy-to-follow experience. According to the Baymard Institute, "17% of US online shoppers have abandoned an order in the past quarter solely due to a 'too long/complicated checkout process.'" That is almost 1/5 of your potential customers! But this is an easy fix and can transform your checkout look and feel. Shipping is often a huge source of confusion.
You might often see shipping with less than 3 or more than 5 options. One is overly simple and doesn't provide the customer with enough options or choices. The other is too complicated and will overwhelm them.
Carts sometimes look like this:
What's wrong with this? First off, there are too many options for shipping. 5 can seem overwhelming and excessive. Second, there is no need to add carrier information to the options. Consumers don't care which carrier is used as long as it gets to them on time. Third, the order of the shipping is scrambled. The most common way to order shipping is with the slowest at the top and the fastest at the bottom. And the quicker the shipping time, the more expensive it gets. There is no need to offer multiple options for 1 day shipping. The customer doesn't need to see any of that information and gives them an opportunity to leave the site because of confusion.
Shipping Options and Transparency
Too many Shopify stores assume that just offering a single shipping lane simplifies the process and makes it easy for the customer. But, it can actually do a lot of harm in the customers checkout experience. A good checkout should include 3-4 possible shipping lanes with clear and easy to understand uses. They should go from standard shipping which would be the slowest and the cheapest, to expedited shipping which is the fastest and most expensive.
Buyers need options bc not everyones timelines are the same. Say valentines day is coming up and I don't have a lot of time to spare. Purchasing the standard shipping isn't an option because it would take too long. But, even though the expedited option is more expensive I am willing to pay because of my time constraint.
If there aren't options for expedited shipping then users can abandon their carts because the product won't arrive on time.
Another part of this is displaying accurate arrival dates. If the consumer has no idea when the package is going to arrive then they are more likely to be confused and abandon the cart. Especially if they need the product by a certain date.
This cart is a perfect example of how the shipping section of checkout should be organized. It's clear, concise and transparent with their customers.
When displaying accurate delivery dates you give the context behind expedited shipping options. Without this context no customers would ever spend the extra money to get it to them at an undetermined date.
Be transparent with those purchasing from your brand and you will be rewarded. Their customer experience will improve and the cart abandonment rates will decline.
Low Shipping Costs
According to Zippia "49% of shoppers abandon their carts due to high shipping or tax costs." Shipping prices are a major point of inflection for buyers. With understandable rates you're able to keep the customer around and see them through the final stages of checkout. But, when there are unexpectedly high shipping prices you drive away any potential buyers.
The world of rates and carriers can be complicated. That's where BUKU comes in. We have curated amazing relationships with a large variety of carriers to be able to offer you extremely competitive rates. By working with us you no longer need to deal with the constant changes and difficulties that come with maintaining a good rate and standing with carriers. BUKU is able to handle all of this so that you can go back to what you love, growing your business.
Not only does BUKU offer incredible rates for eCommerce brands, but we also have a software solution available to any Shopify store called IntelliRate. IntelliRate allows your customer to dynamically rate shop.
This means that you and your customer get the best rates every checkout. It is able to use the zip code location of the customer to filter through all of your available rates and display the cheapest one every time!
This lowers the overall shipping cost as well as saves you money! This amazing feature is a win win for both you and the customer leaving everyone happy.
Want to learn more: Click here to speak with a shipping expert
Free shipping options/threshold
Another great way to push customers through the checkout process and avoid cart abandonment is by offering free shipping. "79% of people are more likely to shop online when they’re offered free shipping." (Zippia) This strategy is great to increase cart conversion but free shipping can cost you a lot if that is all you're offering.
A good way to offer free shipping and incur a constant shipping loss is with a product or price threshold. An example of this could be an eCommerce brand displaying a banner stating that "Any order over $79 gets free shipping."
This not only incentives the consumer to finish their purchase, but also to buy additional products so that they reach that threshold. Again, this is a win win for the customer and for your brand. But, don't forget that there should still be expedited option for shipping. When offering free shipping it is customary to make the standard lane free and provide additional expedited options for a regular rate cost.
Abandoned Cart Emails
In the checkout process you have the ability to retain a customers email even if they abandon the cart. A great way to save what looks like to be a lost cause is with an abandoned cart email. Send out a message letting them know what is in their cart and what deals you have going on at the moment. It is a perfect time to talk about free shipping as well!
"In fact, a recent report from Klaviyo reveals that businesses using cart recovery emails earn back 3%–14% of lost sales, with an average revenue per recipient of $5.81.
This number alone doesn't sound striking. But multiply that by thousands of abandoned carts over a year and it's clear abandoned cart emails can earn you more revenue.
These emails remind shoppers of what they left behind and encourage them to return and complete their purchase. You can customize abandoned cart emails with coupon codes, product images, call to action (CTA) buttons, and more to get people back to the checkout page." (Shopify)
Promotions
Offering promotions gives consumers the extra push to finalize their purchase! Customers who spot a deal will be more inclined to make a purchase and not stop once the product has been selected.
Another great pairing with promotions is with limited time offers. Customers who know that the deal they found isn't going to last are more inclined to make that purchase. A great way to demonstrate the limited offer is with a timer. This gives the customer a sense or urgency that the deal won't be available for long!
Customer Reviews
"89% of consumers make an effort to read reviews before buying products online."(LuisaZhou) If those reviews are mostly negative then the chances they make the customers abandon their cart increases. But all is not lost! There are certain things you can do to increase positive reviews and help change the negative ones. And once there are positive reviews surrounding your business it can "increase customer spending by 31%."(LuisaZhou)
What can you do to increase positive reviews? Ask for them! It is very rare that even after a positive experience that a customer leaves a positive review. It is much more likely that after a negative experience that a negative review is submitted. This is because customers expect to have a great experience with every brand they work with.
After giving a customer an exemplary experience reach out to them for a positive review or to leave 5 stars. By reaching out it gives them the opportunity to easily leave a positive review for your brand. This simplifies the process for the customer and makes it easy for them to talk about their experience. Always ask!
According to Spiegel Research Center, displaying online reviews increases conversion by 270%! So start racking up those positive reviews today!
Another way to curb negative reviews is by responding to them. And no, not in a malicious way. In a way in which you're eager to learn from their experience and help them out. If a package never arrived assure them that you'll send one out that day and offer them a discount! Work through the problem with them showing others that you are willing to communicate and cooperate. This will possibly get them to delete their review or at least show others that your brand communicates with its consumers if a problem arrises.
Live Chat Support
Running into problems along the checkout process can cause customers to abandon their 
carts. There could be confusion about shipping, promotions, payment etc. If you're not able to help them out and they remain confused then their only option is to abandon their cart.
That's why live chat support can be extremely useful. They are instantly able to talk with someone at your brand and get the answers they need. It is less effort than calling someone and has become commonplace on larger eCommerce sites.
The live chat button can be accessed throughout the shopping experience. So not only can you decrease cart abandonment. You can help make the sale in the first place by answering all of their questions.
Clear Returns Policy
Establishing a clear returns policy is vital for customers to trust your brand. While going through the checkout process a customer sees a returns policy it gives them peace of mind and can lead to a lower amount of cart abandonment. Knowing that if anything goes wrong you can just send the product back makes the decision to purchase less daunting.
Brands need to be transparent and gain the consumers trust in order to decrease cart abandonment. Clearly stating and displaying a returns policy for the customer to see does just that.
Tax and Duty Transparency
When arriving at the shipping section of the checkout it is important for those shipping internationally to display all taxes and duties. Those purchasing from your brand don't want to be surprised with fees later down the line and they don't want their package getting stuck in customs. That is why correctly calculating, displaying and collecting taxes and duties in checkout is so important.
Most international buyers will expect to pay tax and duty when purchasing from a brand based in the US. If the costs aren't clear to them it is possible that they abandon their cart. Making sure all fees and prices are clear to the consumer gives them trust and with more trust comes less cart abandonment. As a brand it is vital that you are transparent throughout the checkout experience so that the customer knows just what they're purchasing and having to spend to get the product.
Final Thoughts
Cart abandonment will always be a problem for eCommerce businesses. But, there are things you can implement to decrease the percentage of consumers that end up abandoning their cart. Less cart abandonment means more sales and more growth for your brand. All of our 10 suggestions can help your brand create a more loyal, trusting and transparent checkout experience. And thus, avoiding cart abandonment as much as possible.
BUKU is a great place to get started and to get questions answered. We are shipping experts and have developed shipping software solutions for this specific problem! Our software helps you create expedited lanes, calculate and collect tax and duties, amongst other things. And our expertise helps you set good free shipping thresholds, save on rates, and much more! BUKU is the one stop shop for any eCommerce brand looking to decrease cart abandonment and create an exemplary customer experience! Click here to speak to an expert today!
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