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A full cart, a hopeful heart, and then poof! 💨
There it is again – another cart left behind, like footprints in the sand, making you wonder,
Where did they go?
Why didn't they buy it?
How can I get them back? 😕🛍️
If you are an ecommerce owner, you can definitely feel the heartache of shopping cart abandonment. 💔
As per research, 69.99% of shopping carts are abandoned - this means for every 10 customers who add items to their shopping cart, 7 of them leave without making the purchase.
Ecommerce stores lose around $18 billion in sales revenue each year due to cart abandonment.
Well, a study shows that 56.8% of US online shoppers have abandoned their cart in the last three months because of this reason - “I was not ready to buy/was just browsing through.” (keep reading to explore more reasons)
Let’s cut to the chase - what if you could actually turn those,
Ghost carts into completed checkouts?
Lost potential customers into loyal customers?
100 monthly purchases into 10,000 monthly purchases?
You’re at the right place! This blog post covers 7 ways to reduce cart abandonment. So, let’s explore the incredible strategies that can improve your conversion rates by making customers hit the “complete purchase” button.
Time to turn those abandoned carts into successful sales. But first, let’s understand what cart abandonment is and the root cause - the reason for cart abandonment.
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What is cart abandonment?
Let’s say you’re an e-commerce store owner, observing a shopper discovering your e-commerce store and filling the cart with your incredible products.
Suddenly, out of the blue, the person exits without purchasing. Ah, that nightmare! 😨
And, here you are left wondering - what can be the reason? 🤔
Well, cart abandonment is when a customer leaves the ecommerce store without making a purchase - and it can be a critical issue for any online business. It represents not only a missed opportunity to increase revenue but also a blow to customer satisfaction.
And this is why it is super important to examine the reasons behind shopping cart abandonment and take the necessary steps to address them.
Check out more about conversational commerce and 5 must-have conversational commerce tools for your business.
How to calculate the shopping cart abandonment rate?
Calculating your shopping cart abandonment rate is essential to understanding your eCommerce store's performance and identifying areas for improvement.
To determine this crucial metric, you need to follow a simple formula:
Divide the total number of completed purchases by the number of initiated sales. Subtract the result from 1 and then multiply it by 100 to calculate the total percentage of shopping cart abandonment rate.
Let’s say you are an ecommerce store that had 10,000 sales this month. However, the number of sales initiated was 50,000. By subtracting the result from 1, you can see 80% of the cart abandonment rate.
By monitoring this rate regularly, you can gauge the effectiveness of your strategies to reduce cart abandonment and make data-driven decisions to optimize your customers' shopping experience, ultimately boosting conversions and revenue.
Ghost Carts: Decoding 6 Secrets of Shopping Cart Abandonment
Before diving into how to reduce cart abandonment, let’s first understand the reasons for cart abandonment:
1. Confusing website interface and checkout process
“Wait, how do I check out?” - If the voices in your customers’ heads go like this while checking out, it can be problematic. A complicated website layout or too many checkout steps can frustrate shoppers, making them second-guess their purchases.
The solution? Keep the checkout flow simple, smooth, and frictionless to avoid losing potential customers. This means that you will need to optimize the checkout process depending on the e-commerce platform you're using.
2. Mandatory account creation
Another biggest turn-off (especially for first-time buyers) can be mandatory account creation. Of course, shopaholics might not mind, but one-time shoppers could abandon their cart if they feel creating an account is too much hassle.
Pro tip: Try to keep the process short and focus on improving customer experience.
3. Unexpected shipping costs and delivery time
Unanticipated fees, such as shipping costs, taxes, and other charges, at checkout can make customers go like, "Hold up, why is shipping so expensive?" In addition to that, longer than expected delivery times can make shoppers abandon their carts in search of a faster option.
Here’s a tip: Be upfront about these fees and make sure your delivery estimates are accurate to avoid any unwelcome surprises at checkout.
4. Ambiguous return and refund policy
"What if I need to return it?" - An unclear return and refund policy can make customers hesitant to hit the "buy" button. Online shoppers need reassurance that they can obtain a refund or return an item in case of a defect or if it doesn't meet their expectations.
So, a clear, customer-friendly return policy can inspire trust and encourage purchases. Also, add a feature to call customer support directly through website for resolution of such issues.
5. Lack of desirable payment options and security concerns
"Can I pay with *insert favorite payment method*?" - Something every customer thinks of!
Customers love options, especially when it comes to payment methods. Offering a variety of secure choices, from digital wallets to buy now, pay later plans, makes the shopping experience even more enjoyable.
6. Site speed and performance issues
Do your visitors think, "Why is this website so slow?" If yes, then it can cause shoppers to lose confidence in your store. Moreover, a sluggish site with performance issues can send shoppers running for the hills (or to your competitor's site).
Pro tip: Keep your website speedy, updated, and compatible with various browsers and devices to maintain your customers' trust and keep them coming back for more. A reliable web host will ensure your site is running at peak performance.
While it's impossible to eliminate shopping cart abandonment completely, addressing these reasons for cart abandonment and implementing effective retargeting strategies can help re-engage customers, ultimately boosting your business's bottom line.
Why is shopping cart abandonment a problem for retailers?
- Lost revenue: Shopping cart abandonment directly impacts a retailer's bottom line, as potential sales vanish when customers leave without completing their purchases. This lost revenue could have contributed to the growth and sustainability of the business, making it a critical issue for retailers to address.
- Wasted marketing efforts: Retailers invest time, money, and resources into marketing strategies aimed at attracting customers and driving them to make purchases. Cart abandonment undermines these efforts, as the customers who abandon their carts represent a wasted opportunity to convert marketing investments into actual sales.
- Diminished customer satisfaction: Cart abandonment can also be an indicator of underlying issues with the shopping experience, such as a complicated checkout process, high shipping costs, or lack of payment options. These issues can lead to diminished customer satisfaction, causing shoppers to seek out alternative retailers and potentially damaging the retailer's reputation and brand image.
7 winning strategies to reduce cart abandonment and skyrocket your ecommerce sales
Get ready to supercharge your eCommerce sales with these 7 winning strategies designed to tackle cart abandonment head-on! Let’s jump on to how to reduce cart abandonment and skyrocket your sales:
1. Use a custom AI chatbot
Tired of watching potential customers slip away at checkout? Try integrating an AI chatbot that can address all their queries in real time and streamline the process.
The ecommerce chatbots can help shoppers find the perfect product, troubleshoot any issues during their visit, and ensure a smooth, enjoyable browsing experience. Moreover, what sets it apart is its ability to identify potential cart abandonment and swoop in to save the day.
In addition to that, it can proactively engage with customers, offer personalized incentives, suggests alternative products, or provide guidance during checkout. No matter whether you are running a running a WooCommerce, Shopify, or BigCommerce store , having a live chat portal with an AI chatbot can ensure timely intervention and reduce cart abandonment by cultivating trust and loyalty with your buyers.
Want to add live chat to your Shopify store? Here is a comprehensive guide!
And guess what? With the introduction of ChatGPT, AI chatbots have become more advanced. And to create a custom AI chatbots, you need an incredible AI chatbot builder. This is where Botsonic comes into the picture.
Botsonic is a top-notch no-code AI chatbot builder that can help you build a custom AI ChatGPT chatbot, help you fight against cart abandonment, and transform the overall shopping experience of your customers.
The advanced AI chatbot builder can help you develop a hyper-intelligent, user-friendly, and tailor-made AI chatbot that can address the customers’ questions and concerns in real-time and in a conversational manner.
“I firmly believe that AI chatbots represent a paradigm shift in the realm of customer support. Their rapid response times and ability to handle multiple customers simultaneously can significantly improve the customer's purchase journey while easing the pressure on support teams.” says Ram, Product Manager @Writesonic
Check out some super cool features of Botsonic:
- Train ChatGPT with your data: Supply Botsonic with documents (PDF, PPT, PPTX, DOC, DOCX) or your website URLs to make it a knowledgeable and helpful assistant for your visitors. Feed in all the information regarding your product/services, pricing plans, and more to make it better. Check out more about how to train ChatGPT on your own data.
- Reflect your brand identity: You can easily customize your AI chatbot by adding your
- company name, choosing brand colors, creating an engaging tagline, setting a welcoming message, uploading your logo and chatbot image, selecting a stylish icon, providing contact information, and offering suggested queries.
- No-Code, Easy Integration: Quickly set up Botsonic with no coding skills required. Utilize an embeddable code (available during the free trial) or the API Key option (exclusive to pro plans) for seamless integration.
Have a look at the top 5 shopping bots for ecommerce that can help you enhance your customer's shopping experience and boost revenue. Also, check how to create a shopping bot in 3 simple steps.
Here’s how Botsonic can help you to reduce cart abandonment:
- Proactive customer assistance: Botsonic can help you build an AI chatbot that can identify when a customer might be close to abandoning their cart and proactively engage with them, addressing concerns, answering questions, and providing guidance to help them complete their purchase. See more about how you can use ChatGPT for customer service.
- Reminders and incentives: Sending personalized reminders to customers about items left in their cart and even offering tailored promotions or discounts can encourage them to complete their transactions - and Botsonic’s AI chatbot can help you do that.
- Streamline the checkout process: Botsonic’s AI chatbot can help customers navigate through the checkout process by answering any queries about payment options, shipping, or return policies, providing a smooth and hassle-free experience.
- Address payment security concerns: Botsonic's AI chatbot can reassure customers about payment security and provide information on the various secure payment methods offered by your e-commerce store, helping to alleviate any concerns they may have.
- Provide real-time support: The customized AI chatbot by Botsonic can offer instant customer support by answering frequently asked questions, troubleshooting technical issues, or guiding shoppers to find the products they're looking for, creating a positive and engaging shopping experience that reduces the likelihood of cart abandonment.
Explore more about the problems that AI chatbots can solve for your business today.
By harnessing the power of Botsonic - an AI chatbot builder, you can create the ultimate shopping companion for your customers, turning those abandoned carts into successful sales and boosting your store's bottom line.
Learn more about how NLP chatbots can help you improve the customer experience. Also, explore 4 different types of chatbot.
So, why not give Botsonic a try and watch your e-commerce store thrive?
Learn more about how AI chatbots can help you reduce the abandoned cart rate and increase online sales.
2. Be transparent about costs
Do you know 63% of online shoppers abandon their carts because of too many extra costs? 💸
After all, no one likes hidden costs! And this is solely why the companies need to be upfront about the actual price.
Display shipping costs, taxes, and any other additional charges upfront to avoid unpleasant surprises at checkout.
Pro tip: Provide free shipping so that customers are sure that they won’t be surprised while checking out, or you can run ‘free shipping promos,’ like ‘get free shipping on orders above $500.’
Also, you can try adding a price calculator to avoid shoppers feeling like they are an ATM machine.
Example: Check out Zara’s shipping method, time, and cost page section to get an idea regarding how you can work on the shipping cost.
Being transparent about this can help you reduce cart abandonment. 📈
3. Offer guest checkouts
How about a ‘no strings attached’ thing? Well, there are customers who want a quick and easy shopping experience - and of course, no long-term commitments!
So, by simply allowing a guest checkout option, you allow potential buyers to complete the purchase without creating an account.
By removing barriers, you create a smoother path that convinces the shoppers to hit the "complete purchase" button! ✅
Here’s a prime example: eBay offers a guest checkout option for a convenient and accessible shopping experience for all types of customers.
Remember, the smoother the journey, the more likely they are to hit that "buy" button! 🎉💳
4. Give multiple payment options
Everyone has a go-to-payment method that makes people feel secure and at ease, right? From credit cards to PayPal, Apple Pay, Google Wallet, and even buy now, pay later plans, there's a choice for everyone.
Around 10% of shoppers abandon their carts because there isn’t their preferred payment solution.
As an ecommerce store owner, you need to offer a diverse range of payment options if you want to keep your customers engaged. To do so, consider using an extensible commerce platform that supports integration with various payment gateways and methods.
Check out an example:
Amazon, for instance, offers a range of payment methods, ensuring that shoppers from different regions and with different preferences can easily find a suitable option. The ecommerce platform also offers a ‘Subscribe & Save’ feature, enabling customers to automate the process of reordering goods they buy regularly. Using a recurring payment provider such as Chargebee, it’s possible to offer something similar at the checkout.
By accommodating various payment methods, you open the door for more customers to complete their transactions with ease and confidence! 💰🚪
5. Craft a compelling CTA for the checkout stage
A well-placed, engaging Call to Action (CTA) at the checkout stage can be the final push customers need to commit to their purchase.
Avoid using CTAs like “Proceed” and “Buy now” instead, try incorporating some catchy ones like "Grab Your Items Now," "Checkout securely," or "Keep going you are just 2 steps away!" This helps to create a sense of excitement and motivates shoppers to finalize their transactions.
Moreover, ensure that your CTA button stands out with bold colors and eye-catching design, commanding attention on the checkout page.
Take inspiration from companies like Hamleys, which uses impactful CTAs like "Checkout securely" in a vibrant, can't-miss button, encouraging customers to confidently complete their purchase.