In ecommerce, abandonment rate refers to the difference between the number of initiated transactions and completed transactions. For example, if you had 100 users reach your site's checkout page, but only 30 finalized their orders, you'd have an abandonment rate of 70%. The majority of lost sales in ecommerce can be traced back to cart abandonment. The abandonment rate for individual e-tailers varies, but averages to about 69%.
There are several reasons why a shopper abandons a cart. Aside from all the users who are just window shopping or researching products (which you can't really control), most carts are abandoned due things like:
- Complicated checkout process
- Multiple steps and loading screens
- Info collection forms that are too lengthy or numerous
- No option for guest checkout
- New information
- Prices that aren't revealed until checkout, like taxes or shipping costs
- Inflexible return policy
- Inconvenient delivery timing
- Limited payment options
- Privacy or security concerns
As you can see, most causes of cart abandonment boil down to simplicity and convenience. Fortunately, there are many features and preventative measures you can implement to reduce abandonment rates and improve your customers' experience.