What are the reasons people abandon your shopping cart?
If we knew all the reasons someone abandoned a shopping cart, we could address them. Then people wouldn’t abandon their shopping carts. Right?
It’s simple. Bing, bang boom.
Luckily, we know the reasons people abandon their shopping cart.
According to Statista (who know what they’re talking about) it comes down to 8 primary things:
- Expensive shipping
- Only browsing
- Only researching
- No free shipping
- Unaware of shipping costs
- Slow shipping
- Long process
- Bad site navigation
Here’s the graph of how those reasons shake out, and how things have changed in recent years:
Notice it’s mostly about shipping?
This makes sense, right? You display your pricing in your product directory and on the product page. And people who put things in their shopping cart are clearly interested in buying the thing. So it makes sense that the primary reason for not completing that purchase would be costs or complications they didn’t anticipate (namely, shipping, time, and checkout complexity).
So those are the top 8 reasons. Let’s address them and combat shopping cart abandonment, shall we?
Here are the top strategies to do just that.
Shopping Cart Abandonment Strategy: Offer free shipping or a checkout promotion
This strategy addresses reason #1, 4 and 5 in the graph above: essentially combating concerns about expense and shipping.
Unfortunately, offering free shipping may seriously cut into your profit margins. So there are a few strategies to do this:
- Add the cost of shipping into your prices
- Give free shipping as an incentive for opting in/submitting contact information
- Give free shipping exclusively to first-time buyers, but make account creation mandatory.
Number 1 there could result in a drop in sales, as people may now think your products are overly expensive.
So my recommendation is this: give free shipping exclusively to people who have given you their contact information. Someone whose contact information you have can be more effectively made a loyal customer. This increases their lifetime value, and addresses any profit margin concerns you might have.
Another option is to only allow free shipping for purchases over $X (upper range of your average purchase) – those products where your profit margins are a little healthier and can take the hit.
Shopping Cart Abandonment Strategy: Use dynamic retargeting
This strategy (and the one below) address reason #2 and 3 in the graph above, the “only browsing or researching” concerns.
Let’s say I head to an online eyewear retailer, shop around, and add a pair of new ‘specs to my shopping cart:
But then, for whatever reason (perhaps I can’t find my credit card or the cat jumped on my keyboard at an inopportune time), I leave.
Unless that eyewear retailer has my email address (more on that below) they’re out of luck. I’m gone, taking my $550 with me.
Unless that eyewear retailer is using retargeting (dynamic product retargeting, if they’re super fancy). This will allow them to follow me around while I peruse the web, and use ads to prompt me to return to my abandoned shopping cart.
On Facebook, that retargeting ad might look like this:
To do it like the eyewear retailer has done above, with the specific product I was looking for in the ad itself, you’ll need to use Dynamic Facebook Retargeting, and that’s a bit more complicated than regular retargeting (which just uses the Facebook pixel to create a custom audience of your website visitors).
I could give you the complete rundown on creating dynamic Facebook retargeting ads, but Steve Chou has done it already in his article “Tweet