Cart abandonment: Rekindling the spirit with the ones that got away
We’re finally upon the most wonderful time of the year – the magical feelings are contagious as many of us begin getting into the holiday spirit. Part of getting into the spirit is planning and shopping for Christmas gifts, which makes this time the most profitable time of the year for retail. However, every light casts a shadow…in this case, the shadow is that during the holidays, retailers see a very high rate of abandoned shopping carts.
In 2016, Baymard Institue found several common reasons for cart abandonment in the US; some of the top culprits are high extra costs like for shipping, forced account creation, and long/complicated checkout processes (see chart to the left). Thankfully, getting insight into these types of statistics gives retailers a chance to adjust their shopping experience. For example, shipping can increase the total cost of an order significantly, often causing frustration and trust issues towards the webstore. Offering free shipping is a great way to keep shopping cart totals within a range that won’t shock the buyers and turn them away. Similarly, tackling the issue of account creation can be solved easily as well by allowing users to check out as guests instead of requiring them to fill out lengthy forms to become a member first. websites are still able to collect emails and addresses here due to the nature of an online order, but the customer doesn’t feel like they are being forced to share their information. As with the preceding two examples, other reasons for cart abandonment mentioned by Baymard Institute’s research can be addressed with logical and simple steps taken by the retailer.
Adjusting your website and addressing all the common reasons for cart abandonment still doesn’t guarantee a zero percent chance of people adding items to cart and leaving last minute. All hope doesn’t have to be lost, especially if you’ve managed to collect their email address at some point during their buying journey. Developing a post-abandonment strategy that triggers personalized emails to ‘the one that got away’ is an effective way to re-engage shoppers. The emails can display the cart’s contents, offer related recommendations, or even offer monetary incentives, such as free shipping, to complete the checkout process. Whatever your take on the email’s contents, it is noteworthy that sending these emails within three hours of when the cart was abandoned reap the highest rates of open and click-throughs (an average of 40% open rate and 20% click-through rate, according to Business Insider). This post-abandonment strategy allows retailers to build a relationship with shoppers and entice them enough to return to the site to complete the checkout process thereby reducing cart abandonment by 10-30% and increasing conversion rates by 18% (Smart Insights).
But wouldn’t it be better still, if something could be offered on your site that repels cart abandonment, to begin with? Providing customers with an option to personalize the products you offer is said to help achieve just that. The more involved a consumer is in the creation of the product, the more connected they are to it. What does this mean for retailers? In a nutshell, the more they are feel linked to the products they create, the more likely they will complete the journey through the to the checkout process. In fact, companies who offer product customization have experienced an increase in conversion rates by up to 200% (World of Waw). Added to this, when customers can create a product the way they want, order returns are much more unlikely. As a business, you can take some extra steps to make returns closer to never – providing detailed product information including specs, color, finish, etc. can really help manage customer expectations. Providing previews, especially ones in-context, are also associated with high conversions and diminished rates of complaints/returns particularly when it comes to large purchases like wall art and canvases.
All in all, it is quite simple to take steps towards correcting any cart abandonment issues your site may be facing, especially when reports can show us what the most common reasons are. Of course, you may not be able to tackle all issues at the same time – it might be worth investigating to pinpoint why your business most often experiences abandonment, and start from there. When it comes to considering offering product personalization to tackle conversion issues, Mediaclip is the solution of choice for many industry-leading organizations. Our highly flexible product personalization software, coupled with our global network of printers and manufacturers, make it possible for organizations to create and sell an endless variety of products such as photobooks, gifts, greeting cards, labels and packaging, home décor, etc., without the need to manage inventory, production or shipping (unless these are part of your core business activities). To find out more about our solution, contact our team today!