The holiday shopping season is fast approaching and the reality is that most online shopping carts are abandoned. Even though more people will be shopping in the coming months before the holidays, ultimately if a shopper doesn’t buy what they have in their cart, all the effort to get the customer to checkout means nothing. The good news is that there are plenty of ways to optimize checkout for a positive checkout experience for a customer, reduce cart abandonment, and close the deal on a sale. I recently spoke with Dor Mizrachi, Product Manager for Wix’s eCommerce Platform, to discuss ways organizations can improve their checkout success for fewer abandoned carts and more sales.
Gary Drenik: Tell me about yourself and your role at Wix.
Dor Mizrachi: I’ve been at Wix for 2 years, working in the eCommerce team. The Wix eCommerce platform provides businesses with all the professional tools and services they need to sell anything from products to services online and in-store. Wix users can grow their e-commerce business and sell across multiple sales channels, including their own web and mobile storefronts, social media channels, major e-commerce marketplaces, and physical outlets.
Drenik: What are the most common reasons people abandon their shopping carts?
Mizrachi: In today’s digital retail environment, approximately two-thirds of all shopping carts are abandoned. There are several reasons why consumers abandon their shopping carts.
- User Friction: Whether it’s being forced to create an account instead of having the option to checkout as a guest, the checkout form not being optimized or localized, a lack of convenient shipping options or clear; difficulty finding a promo code; insufficient return policy; not enough payment options. For example, according to a new Prosper Insights & Analytics survey, a flexible return policy is very important to nearly half (49.4%) of US adult shoppers and free shipping is very important to about 62% of them. . Too much friction or a lack of information about these aspects in the shopping process often leads to cart abandonment.
- Performance (site errors/crashes/timeouts): Slow sites can lead to cart abandonment. For example, a site that loads in 1 second has a 3x higher conversion rate than a site that loads in 5 seconds. When a consumer clicks on an item they are interested in and it takes a while to load, chances are they will give up and move on to another site.
- Buying behaviors: Today, consumers use their carts for different purposes. Not all online shoppers use their shopping cart with the intent of making a purchase. Many online shoppers today use the shopping cart as a wishlist, retrieving items they want but are unlikely to buy. Others use the shopping cart as a way to collect the items they think they want, then use the shopping cart as “storage” to compare with other items they plan to buy or to compare prices with those of others. another site. The current state of the US economy is also affecting household spending, with nearly a quarter (24%) of shoppers making more comparison shopping online according to a recent Prosper Insights & Analytics survey. These consumers typically do not plan to checkout and can be grouped together as browsing abandoners.
Drenik: Successful online stores are no strangers to retargeting their site visitors – what tactics do these stores use that set them apart from others on the web?
Mizrachi: First, it’s crucial to turn unknown visitors (consumers that the business can’t identify because the visitor hasn’t logged into an account, filled out a form, or clicked on marketing materials) as known visitors or members of the store. . This can be done, for example, by explaining to visitors the value of registering to become a member of the store, whether it is to obtain discounts, receive pre-sale alerts for new items or for other reasons. In some cases, even if the consumer does not make a purchase, the business may have the ability to send abandoned cart emails. These emails can be automatically sent to your contacts when they have left items in their basket.
If you already have someone’s email address, you can go the route of sending abandoned cart emails. These emails can be automatically sent to your contacts when they have left items in their basket. It is not uncommon for these types of emails to also contain discount codes. About half of the people who open them end up finalizing their purchase. Open rates are also high at 41%, with click-through rates around 9.5% and ROIs reaching 1,300%. Digital retailers are also now integrating abandoned cart SMS, which has come in handy with 81% of consumers now opting into at least one SMS marketing program from a brand.
Drenik: You mentioned payment optimization earlier. Can you explain why this is an important part of reducing cart abandonment?
Mizrachi: Checkout optimization is an essential part of the purchase funnel. Once buyers have decided to buy from your site, it’s essential to make their experience as smooth as possible. The payment form should be clear and simple. The policies, order summary and total price breakdown should be easy for the customer to understand. Where appropriate, having automatic settings to help fill out the form and make the form faster to complete will help ensure that customers don’t get frustrated and give up halfway through payment. It is also essential to show the buyer a clear and user-friendly error message in case something goes wrong or is missing.
In addition, it is important to know the payment preferences of customers. The payment form should offer a variety of payment options, such as credit cards, Apple Pay, Buy-Now-Pay-Later, or account-to-account payments. The merchant is likely to see the customer abandon the purchase if they cannot find their preferred payment method.
Localizing the payment form with local language, currency, and currency formats will help ensure process clarity. It’s important to be transparent about taxes, shipping and handling charges, and dates. These additional fees are often added at the end of the purchase and may surprise buyers if they are not aware of them before payment. The clearer you are about taxes and shipping costs, and when the product will be delivered, the more likely you are to have a successful order.
One of the benefits of using a platform rather than building an e-commerce site from scratch is that the business owner can benefit from the data the platform has gathered about their industry and customers. leads and help optimize a merchant’s payout. For example, if a business owner uses a Wix checkout page, Wix may use the data to optimize the shopping flow experience and help users improve their conversion rate, or it may help the owner of localize the checkout form, optimize site pages for mCommerce, provide analytics tools to help optimize the checkout flow, and more.
Drenik: How does establishing an e-commerce strategy for mobile commerce (m-commerce) help business owners get more clicks, clicks, and swipes, thereby reducing cart abandonment and increasing income?
Mizrachi: More digital shoppers will use smartphones rather than desktops to shop, but mCommerce has the highest cart abandonment rate, with over 80% of all transactions ending without a sale . The same rules apply for increasing conversion and retention rates on mobile devices as they do for desktop computers, just increased. UX and forms should be clean, precise and clear. Everything that is visible must be essential and serve a purpose. When it comes to review and verification, everything should be clear and visible, and the cashier should collect the minimum details to close the sale. It is essential that the site is compatible on all mobile devices (i.e. IOS, Android).
In addition to making the mobile shopping experience seamless for shoppers, retailers can build mCommerce apps and incentivize users with special discounts and promo codes to download and purchase through the retailer’s app. In addition to saving on customer acquisition costs and increasing customer repeat rates, it also allows retailers to collect shopper data and send push notifications to the device, encouraging them to complete the sale if they left the app before paying.
Drenik: Dor, I really appreciate you sharing your unique insights on checkout optimization. It’s really interesting to learn more about why online shopping carts are frequently abandoned and your recommendations can really help retailers recoup those sales, especially as the holiday shopping season approaches. of this year. It was a pleasure talking with you.