Top 3 Payment-Related Reasons for Abandoned Carts
E-commerce owners face numerous challenges in running their businesses. Low conversion rates, this really expensive website design that’s supposed to be failproof, and customer satisfaction constantly dropping for no apparent reason. Of course, every business is unique, yet these issues come up to a higher or lower extent in the majority of them. These and one more, that’s really difficult to fight unless you’ve determined the reason for it – cart abandonment.
Potential customers leaving their shopping carts after browsing through your offer and devoting their time to choose a few items suddenly decide to say goodbye… moments apart from finalizing their transaction. What happened? Everything seems to work seamlessly for you and if you were that customer, you’d definitely be on cloud nine after buying that thing. Well, believe it or not, you may not be as objective as you think. That’s why you should look for someone objective. Someone who would be able to find out, why your precious clients leave before they buy. And that someone is an e-commerce auditing company, like Shoplyze.
According to Shoplyze, one of the e-commerce auditing companies, on average as much as about 60% of customers abandon their carts. It’s a lot of lost transactions. In other words, only one third of all the people who’ve visited your shop decides to finalize the purchase. During the whole process, tens of customers are resigning from next steps. Around 40% drops out before they enter their personal details into the form, another 10% quits during choosing the payment method. Further steps make the rest of the customers rethink their purchase, so that only about 40% eventually buys a particular product. Instead of having your purchase process working in your favor and encouraging customers to go a step further, you have a sieve, discouraging them and making them rethink and leave.
Fortunately, such daunting statistics aren’t the only result of an audit. During an array of audits performed and tens of cross-checked online business activities, Shoplyze was able to point out money-related weaknesses of purchase processes. Consequently, they could define top reasons for abandoned carts. And if you know what makes the customers leave, you can change it and make them stay.
Top 3 reasons for abandoned carts
1.Hidden costs
One of the major reasons for abandoned carts are pricing discrepancies. They occur when the price we predict to pay suddenly turns out higher for no apparent reason. No wonder a customer feels cheated and immediately leaves. Dishonesty and hiding additional costs in hope that a customer won’t notice it – is a poor marketing practice. Usually such extra costs accrue in connection to the payment method. Processing any kind of money transaction shouldn’t have any surprises also for you, go for an online payment services provider that states all the fees clearly in advance, such as PayLane. It allows you to adjust prices in your ecommerce beforehand, be transparent and have satisfied customers.
2. Painful checkout
Time is money, to all of us. If spending money also demands time, then it’s clear why a certain number of your customers abandon carts while checking out. Filling the forms, being forced to do it time and time again because of some misspellings, or dividing the checkout procedure into a few pages that need some time to load, while you’re waiting, and waiting… – the pain is understandable. Here again – think about your payment services provider.
PayLane easily integrates you website with their Secure Form. Customers are redirected to an intuitive and safe payment form that takes a blink of an eye. It also stores credit card data, so that it needs to be filled in only once and then customers can enjoy one-click payments. In addition, it works seamlessly on mobile phones, so even if your customers are in a hurry, they can buy on the go.
3. Little payment methods and currencies options
Credit cards are the most popular payment method, however your business can’t pretend others do not exist. Imagine a customer doing shopping, already happy he or she has found the right product and is ready to pay for it and all of sudden…. Wait a second, where is the payment method I’d like? Or where is my currency? The frustration leads to waving goodbye to your online shop, maybe forever. No one wants that, yet it’s a frequent problem. It can be simply solved with an experienced online payment provider who guarantees multiple payment options and currencies.
PayLane accepts 160 currencies and all the payment methods there are, including credit and debit cards, wire transfers and e-wallets. It does much more than allowing customers to pay – it suits them neatly and make paying for shopping actually a nice experience.
Wrap up
The above issues can be found in numerous audits performed by Shoplyze and are among the most frequent ones. But there is also good news that Shoplyze has – the abandoned carts can be recovered. And if you take it seriously, you may see such results. Thanks to their professional experience, they have come to a conclusion that if you really use the tools like email retargeting, Google Ads or Facebook Ads, as well as automate your marketing, then as much as 15-20% of the carts can be recovered, which is a decent number of customers.
