“65.23% of online customers fail to checkout, abandoning their cart altogether before a purchase can be made.”
Consider that the average value of an online order is, according to Invesp, £72.85, with the average B2B order even more valuable. Shopping Cart Abandonment is a very real issue - a considerable problem facing online sellers today.
What is Shopping Cart Abandonment?
Shopping Cart Abandonment is the process whereby a shopper fills their virtual basket with items and proceeds along (varying degrees of) the buyer journey before abandoning the sale altogether, before the purchase can be completed. It is quite simply the online equivalent of filling your grocery basket and heading towards the checkout, then leaving the basket on the floor and leaving the store without making the purchase. It is the bane of the online sales industry.
What Are The Causes?
Though we must not completely dismiss the unlikely idea of sales prospects merely changing their minds partially through the buyer journey, the primary reasons for these abandonments lie elsewhere and the statistics do not lie.
“44% of Web Buyers Abandon Shopping Carts Due To High Shipping Costs.”
The discovery of high shipping costs has been identified as a major driver in the decision to abandon purchases altogether – for instance, if the primary differentiator between two sellers is price, discovering inflated shipping costs at the checkout page might just push the interested party into the hands of another supplier or retailer, losing you the sale. To address this, ensure all shipping costs are stated early on and throughout the checkout process: no one enjoys surprises that cost them money.
Another factor is restriction, namely a lack of payment options. This problem is greatly exacerbated in the B2B environment where maintenance of healthy cash flow ranks highly the agenda. It is imperative to provide options for payment (including credit) as many resellers and B2B companies now recognise the clear benefits of financing and would opt to take their trade elsewhere, (even if it ultimately costs more) rather than commit to a rigid payment option that inhibits cash flow, albeit ultimately less expensive.
The Top Ten Reasons…
For more information regarding Shopping Cart Abandonment and the drivers behind this growing issue, download our infographic below, outlining the Top Ten Reasons for Shopping Cart Abandonment. Understanding the reasoning behind this problem will prove invaluable in helping tackle its occurrence within your business.