No matter how much conversion rate optimization you do, are you tired of those potential customers who browse your store and then do a virtual U-turn, abandoning their cart at checkout? You may have done conversion rate optimization, but are you still tired of potential customers who browse through your store, then make a virtual U-turn and abandon their carts at checkout? You’re not alone! According to a study by the Baymard Institute, the average cart abandonment and checkout rate is 70%! You read it correctly. This is where abandoned cart recovery strategies are so important, as a way to re-engage those lost customers. It is important to have strategies in place that will help you recover abandoned carts and re-engage lost customers.
This report will help you understand the statistics and reasons why people abandon their shopping carts. Why aren’t customers clicking the ‘Confirm & Pay’ button? We’ll tell you why people are abandoning the checkout and what you can do to bring them back! Because there’s always something your business can do to foster happy customers who commit to the checkout.
Key Statistics
- The average rate of checkout abandonment across all industries is 70%.
- Ecommerce brands are losing $18 billion a year in revenue due to checkout abandonment.
- The average large ecommerce website can increase its conversion rate by 35.26% when it improves checkout design.
- Mobile phones are responsible for 85.56% of cart abandonment.
- 48% of cart abandonment is due to hidden costs on websites.
What is the average cart abandonment rate?
The average rate of checkout abandonment across all industries is 69.82%. For every 100 customers, around 68 of them will abandon their online shopping cart – ouch! Unfortunately, ecommerce checkout abandonment happens quite often. In fact, each year, brands lose $18 billion in revenue. By just creating a better checkout design, the average large e-commerce website can gain a 35.26% increase in conversion rate.
The EU and US have combined e-commerce sales of $738 billion. If we add the 35.26% conversion rate increase, that equals $260 billion worth of lost orders that can be saved by changing the checkout flow & design. The last thing you need is to fail at the final online hurdle after spending countless hours building your business, creating a website, or marketing it. It is important to understand what makes people go digital and how to resolve this. This will increase your profits over time. We’ll show you how to do it.
What is the average cart abandonment rate by device?
| Device | Cart Abandonment Rate |
|---|---|
| Mobile | 85.56% |
| Tablet | 80.74% |
| Desktop | 69.75% |
According to research, 85.56% of cart abandonment occurs when customers use their mobile phones. This could be because mobile users are more likely to put a smaller screen down than with a desktop. The smaller the screen, the more likely it is that shoppers will abandon the checkout! It’s therefore important to ensure that your website is mobile-friendly and easy to navigate across all devices.
Reasons for Cart Abandonment
The reasons for cart abandonment involve three main areas of the customer journey: hidden information, time taken to checkout, and poor website design. Some visitors may just be browsing for fun, but the majority will leave your site because of one of these three factors.
- Long forms: 17% of shopping carts are abandoned because of long forms. This frustration is responsible for 17% abandoned shopping carts.
- Hidden costs: Websites with hidden charges account for 48% unfinished orders.
- Security concerns: 18% of people abandon a shopping cart because they don’t trust a website with their credit card details.
- Shipping issues: 22% of customers abandon carts due to shipping limitations or unsatisfactory returns policies.
- Re-entering information: 30% of shoppers will abandon carts if they have to re-enter payment or shipping information.
- Website performance: Accounts for a 13% cart abandonment rate.
- Payment issues: 13% of cart abandonment results from payment-related problems.
5 Tips to Reduce Cart Abandonment
- Don’t Hide Anything: Be upfront about costs, fees, and policies to earn trust and encourage purchases.
- Create Short & Easy Checkout Forms: Simplify the checkout process to help customers complete their purchases more easily.
- Check Your Payment Options: Offer multiple payment options to reduce abandonment.
- Continuously Improve Your Website: Regular updates and performance tests can help minimize cart abandonment.
- Retarget Cart Abandoners: Retargeting through ads or email can encourage customers to complete their purchases.
Reducing cart abandonment is as simple as being upfront and helping create an effortless experience for your customers. If you can recover even 15% of these lost customers, your profits will increase. For example, if you earn $30,000 a month, you could earn $54,000 more per year.
To reduce cart abandonment:
- Show the buyer costs, fees, shipping times, and returns policies upfront.
- Create quick and easy checkout forms.
- Provide lots of payment options.
- Keep updating and checking your website functionality.
- Retarget cart abandoners.
Comment below to let us know what is stopping you from buying or what your company is doing to reduce the checkout abandonment rate!
