Basket abandonment is an ecommerce term describing the scenario in which a customer adds items to their online shopping cart, but fail to complete the purchase. It occurs when shoppers begin the checkout process but leave without completing the transaction. This can be due to one of many reasons, including technical issues such as a website crashing, or simply customers changing their mind.
Basket abandonment rates vary greatly among ecommerce stores and products, but generally range between 60-80% across all ecommerce sites. This means that nearly two thirds of shoppers are not completing their purchases when using ecommerce platforms. This can have a major impact on ecommerce businesses, costing them potential revenue from those who would have otherwise completed their transactions.
There are several strategies ecommerce stores can employ to try and reduce basket abandonment rates. One way is through deploying targeted marketing campaigns designed to remind shoppers of items left in their carts or offer promotions specifically for abandoned baskets. Additionally, ecommerce businesses should make sure their checkout process is fast and efficient with minimal steps required for completion. Other strategies include employing loyalty programs for returning customers and providing additional payment options such as Apple Pay or PayPal for added convenience.
In addition to preventing basket abandonment there are also ways of measuring it more accurately via analytics tools such as Google Analytics or by integrating third party solutions into ecommerce websites that measure shopping cart activity much more closely in real time. This allows ecommerce businesses to gain insights into why shoppers abandon baskets and use this information to further refine marketing strategies and checkout experiences in order to capture more sales opportunities.
Given the prevalence of basket abandonment in ecommerce it’s important that businesses take proactive measures to combat it by running regular tests on checkout experiences, offering discounts, reviewing site performance data and leveraging customer feedback to inform decisions and strategies related to reducing basket abandonment rates. Doing so will allow ecommerce stores not only increase revenue from existing customers but also potentially drive new ones through improved user experiences leading to increased conversions overall – creating a healthier business model for long-term success.