Revive Abandoned Carts with strategies of an  ecommerce website development company

Imagine this: You have worked hard to build your ecommerce platform, curated your product catalogue and created a user-friendly website with a web design company in Ahmedabad. Your marketing is on point and you have a lot of excited visitors on your website. They browse, they select, they add to the cart… and then, they disappear. Cart abandonment is indeed a nightmare for any retailer.

Statistics tell us that 70% of shopping carts are abandoned on average across the e-commerce platform. That means 7 out of every 10 shoppers don’t complete their transaction— that’s not just abandoned carts; that’s potential revenue lost.

So how do we fix this? In this blog, we are going to talk about it, known as cart revival. Let’s get started

Table of contents

1. Growth of Ecommerce Platform & Problem of Cart Abandonment
2. Calculate your Cart Abandonment Rate
3. Why Ecommerce Carts Are Abandoned – 8 Reasons Given by Web Development Company
4. Effects of Shopping Cart Abandonment Explained by Web Development Company
5. Reduce Abandoned Shopping Carts – Strategies by Web Development Company
6. 4 Marketing Tips to Reduce Cart Abandonment
7. In Conclusion
8. Frequently Asked Questions

Growth of Ecommerce Platform & Problem of Cart Abandonment

The ecommerce industry in India is booming! In 2022 it gathered about 46.20 billion USD in 2020 and is expected to reach 111.40 billion USD by 2025, which is approximately 19.24% every year.

So what’s driving this growth? There are two things: affordable data prices and developments in technology that make the entire online buying process smooth.

This whole online buying process has a key element: checkout”,  which consists of several steps that shoppers take in an online journey

The first step is to browse and add the desired items to the shopping cart (using the “add to cart” option). However, this is not enough to complete a purchase. The next steps include – applying promotions and coupon codes, calculating taxes, selecting shipping and payment methods. The process ends with the payment confirmation.

But wait here’s a catch. Many internet users leave the ecommerce site after the first step only, i.e., after adding the items to the cart and it’s called cart abandonment; a big problem for online retailers.

So when should retailers start worrying about it? A cart abandonment rate will tell you when to worry and when not to.

Calculate your Cart Abandonment Rate

Cart abandonment rate in simple terms is: Figuring out how many people put their products in their online shopping cart but didn’t end up buying anything

The formula to calculate the rate is

For example, if your ecommerce site has completed 50 purchases out of 200 shopping carts created, this is how you calculate % of cart abandonment

1. 50/200 = 0.25
2. 1 – 0.25 = 0.75
3. 0.75*100= 75%

Now you might ask what’s an acceptable abandonment rate? Well, there is no magic number that applies to all industries. But usually, successful websites have cart abandonment rates between 60% to 80%.

That’s what the Baymard Institute found out when they studied nearly 40 different sites over the past few years. They calculated an average abandoned cart rate of 69.82%. But, don’t worry if your site performs above or below this number. It’s just a benchmark with which you can compare and improve your site’s performance.

Why Ecommerce Carts Are Abandoned – 8 Reasons Given by Web Development Company

Having to create an account

Say a new prospect is browsing your website excited about a product and wants to buy. The person clicks on ‘Buy,’ and suddenly, a message pops up, “create an account” Frustrating, right? As an ecommerce website development company in Ahmedabad, we know that first-time shoppers love a simple and quick process. They often leave when they see additional steps like creating an account.

Unexpected additional costs

Another buzzkill – unexpected costs. You add something to your cart, thinking it’s all good, but when you check out, extra fees appear out of nowhere; makes you rethink your purchase, isn’t it? Some people even add things to their cart just to see the final cost. If they see those EXTRA fees, they’re less likely to go through with it, so keep your costs clear! No hidden costs (like in the image below)!

Complicated checkout possess

Even if you don’t force people to sign up, a complicated checkout process can still drive shoppers away. Shoppers love speed and simplicity. An experienced Shopify development company, will keep it easy and not drown customers in endless forms.

Window shopping

Let’s be honest, some people visit the shopping site just to browse; they add stuff to their cart, thinking they might buy it later. But any ecommerce website development company in Ahmedabad would know that often these shoppers don’t return or they change their minds; leaving the product hanging in the cart.

Unclear return and refund policies

Shoppers don’t like it when they are unaware of the return policy until the end. A vague return policy makes them leave to find a better deal. Returns can also be a headache, especially in India, where they add to logistics costs. Take Apple, for example. Great products, but their return policy? Not so impressive, customers only have 14 days to return products, as long as all the accessories, packaging, documentation and receipt are included.

Website performance issue

Your website is your e-commerce lifeline. If there are performance errors, your sales will suffer. Major issues like crashes are a big no-no, but even minor performance issues can annoy customers. So, it is advisable to hire the best web development company in Ahmedabad to keep your website running smoothly.

Payment security concerns

When it’s time to pay, customers worry about their card info getting misused. That fear can make them leave their shopping cart. So, make sure your payment process is secure.

Restrictions on product quantity

Imagine wanting to buy a bunch of stuff, but the website says, “Nope, you can only get this much.” A major turnoff for shoppers. The best web development company in Ahmedabad will give freedom to your shoppers to choose the quantity.

Effects of Shopping Cart Abandonment Explained by Web Development Company

As an ecommerce website development company in Ahmedabad, we can say that cart abandonment is a big deal and it does affect your business, How? Let’s break it down:

Lost revenue

No doubt about this! When customers abandon their shopping carts it directly impacts your business’s revenue. It’s not just a one-time thing; it’s a snowball effect. Consistent cart abandonment can lead to a drop in your sales and revenue which can make it harder for your business to achieve its growth and profitability goals.

Loss in customer lifetime value

Let’s think long-term. It’s true, you can’t eliminate shopping cart abandonment but doing nothing about it can have consequences over time. When someone abandons their cart you not only lose a sale but may also have lost a loyal customer. If that person never visits again, you miss out on all future purchases and potential referrals. Add all those up and it’s what we call customer lifetime value. It tells you how well is your business doing overtime.

Inventory management issue

Another reason to focus is that abandoned carts can trouble your inventory. Those items sitting in abandoned carts aren’t available for other online shoppers to see or buy. It might look like you have limited stock and customers might just head somewhere else.

Increase in customer acquisition cost

When you lose customers due to cart abandonment, you’ll need to work extra hard (and spend more money) to replace them. This includes expenses like advertising, marketing and promotions to attract new customers. These costs can pile up, especially when cart abandonment rates are high. Plus, those cart abandoners might leave negative reviews, which could tarnish your business’s reputation and make it more challenging to bring in new customers. It’s like a never-ending cycle that can drive up your customer acquisition costs.

Missed opportunities of upselling & cross-selling

Upselling and cross-selling; are important strategies for increasing the average order value and overall revenue. But when someone abandons their cart, those opportunities go poof! Imagine someone puts a pair of shoes in their cart but doesn’t complete the purchase. That’s a chance to suggest shoe care products, accessories or related stuff they might want. When you miss these chances, your average order value drops and your overall revenue takes a hit over time.

Reduce Abandoned Shopping Carts – Strategies by Web Development Company

There are a lot of retailers can do to reduce abandonment rates, from providing all the information shoppers need, to making purchases easy, no matter which device shoppers are using.

Optimise website performance

First things first, check the performance of your website in terms of loading, SEO keywords, website content, an interactive UI and a lot more. If you’re not sure how to do this, consider hiring a web development company in Ahmedabad. They can build your ecommerce website and also help optimise its performance.

Offer guest checkout

You know what’s annoying? Having to create an account just to buy something online. It feels like an extra chore, right? Well, guess what? Many customers feel the same way. So, unless itly necessary (like for a grocery store), avoid the registration requirement and offer a guest checkout option instead.

Provide a choice of payment options

When it comes to payment, people have different preferences, and payment habits can be diverse Debit and credit cards are still popular, but there are plenty of new alternatives out there. Take Reebok, for example. They let customers choose between card, PayPal or Klarna. Having multiple payment options can ease objections and increase the chances of customers completing their purchase.

Show a progress indicator during checkout

One of the quickest ways to lose your customers? Bore them with a seemingly endless checkout process. Well, it may be shorter but if customers don’t see a progress indicator, they’ll assume it’s a long process. Don’t let that happen. Work with a web design company in Ahmedabad to add a progress indicator during checkout. It’ll keep customers engaged and informed about how close they are to the finish line.

4 Marketing Tips to Reduce Cart Abandonment

Only changing the UI and UX of your website won’t magically fix the issue of cart abandonment. You will need to make some marketing efforts too! Here are 4 marketing techniques that will help:

Remind shoppers to complete their checkout

Cart abandonment isn’t the end– as long as you have the right marketing strategy with you. One report suggests that up to 74% of abandoned carts can be recovered with the right communication strategy. So how do you do it? Through abandoned cart emails or SMS campaigns. Here’s how it works:

1. A shopper adds a product to their cart and initiates checkout but doesn’t complete the purchase.
2. You send them an email or text message reminding them to complete the purchase. You can sweeten the deal with discounts or promotions.
3. The shopper sees the reminder, is incentivised and goes back to your ecommerce store to complete their purchase.

Remarketing e-mails

Email marketing isn’t effective anymore, is one of the common digital marketing myths that any digital agency would have heard. But that’s not the reality, it’ ‘s still one of the most effective ways of communicating and building relationships with your customers and yes even for tackling cart abandonment. Send personalised abandoned cart emails with special offers to guest shoppers or first-time shoppers. Why personalised? Because it reminds shoppers about their abandoned carts and personalisation adds to the trust in your brand.

Give social proof to shoppers

We all read reviews before buying something online, right? Well, your potential customers do too. So, why not use this to your advantage? Show off the social proof! As a brand, you can display reviews from other customers who’ve purchased the same product. This builds trust and confidence in your shoppers, making them more likely to complete their purchases.

Clear CTA’s at checkout

A clear CTA makes a lot of difference. The right CTA can make all the difference in convincing hesitant online shoppers to click the “ BUY” button.

Here’s what you should do:

1. Make sure your CTAs at checkout match the tone of your product pages.
2. Use action-oriented language to guide shoppers through each step of the checkout process.
3. Experiment with different CTA options to see what works best for your audience.

For example, try something like, “Keep going! You’re just two steps away from grabbing this limited-time offer.”

In conclusion

Effective ecommerce remarketing strategies are the key to reviving those abandoned carts. By implementing smart tactics such as personalised email campaigns and offers, you can win back those lost customers and turn their interest into conversions.

Suppose you are looking to reshape your ecommerce marketing strategy. Feel free to drop us an email at hello@websitedevelopmentahmedabad.in. We excel at enhancing brands’ online presence by creating websites and also offer you the added benefit of improving your website’s search engine ranking.

Frequently Asked Questions