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BizReport : Ecommerce archives : July 16, 2015

Research reveals increase in online shoppers deliberately abandoning carts

Online shopping cart abandonment has long been a challenge for retailers, but their response to it could be what is causing shoppers to abandon carts in the first place.

by Helen Leggatt

Today's online shoppers are savvy. Abandoned online shopping carts often trigger a response from a retailer in the form of an email with a discount code to motivate them to complete a purchase... and shoppers have caught on.

Recent research from Mindshare North America among Millennials found that, as well as clearing their browser and search history to keep online prices down, they are also abandoning shopping carts and sitting back to await that triggered email discount.

More research, this time from UK-based It Works, found a similar scenario playing out in the U.K. In their analysis of more than 300 ecommerce sites (in the U.K. and U.S.) they found a significant increase in the number of online shopping carts that were deliberately abandoned - up from 8% last year to 15% this year.

"Though the existing, retargeting technology is an efficient way of attracting customers back, the data suggests that consumers may be abusing this approach in order to obtain a reduction in cost," says Steve Pritchard, founder of It Works. "We would recommend that retailers focus on reducing their abandonment rates as much as possible and also look at the nature of any deals they offer to retarget customers back to the site."

It Works suggests three ways in which retailers can approach this deliberate abandonment behavior - retarget only new customers, limit discounts to more profitable products and ensure technology used can apply multiple filters and offers.

In terms of reducing abandonment rates, It Works' research highlighted a couple of checkout annoyances among consumers - 33% did not complete a purchase due to delivery cost and 23% said they did not like being forced to create an account before the purchase could be completed.

Image via Shutterstock

Tags: cart abandonment, ecommerce, online shopping, retargeting

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