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Why Do Customers Abandon Their Shopping Carts?

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Carl Addoumieh

Friday, July 30, 2021

Shopping cart abandonment is when a customer starts the check-out process or adds an item to the cart but drops out of the shop before completing their purchase. It is an essential metric for any eCommerce business to understand their sales funnel and pinpoint bottlenecks in their website.

The shopping cart abandonment rate is calculated by dividing the number of finished transactions by the total number of transactions initiated. In 2020, Baymard Institute found the average rate of 44 cart abandonment studies to be 69.80%. A very high number of potential transactions and a range of customers that you can target. So, why do customers abandon their shopping carts?

Reasons for high shopping cart abandonment rate

There are various reasons why a customer would abandon their cart during check out, and it is hard to pinpoint all of them. However, here are the most common reasons for shopping cart abandonment:

Unexpected costs

Problem: Customers usually have a set budget when they are going online for purchase. When choosing the product or service they need, a customer almost always takes the price into account. Many customers end up rethinking their investment when they see the final total with all costs added. Shipping costs are usually the highest cost that makes the customer abandon their shopping cart. Some other costs could be taxes, subscription fees, or customs fees.

Solution: To make sure your customers don’t abandon their shopping cart for unexpected cost, you can let your customers know about costs upfront. Include shipping costs or minimal shipping costs on product pages, point out where taxes and other fees might apply. If the customer is expecting such expenses when checking out, chances are they will not abandon their shopping cart and complete their purchase.

Account creation

Problem: Privacy is a significant concern for any consumer, and not all customers would like to share their personal information. Also, forcing users to create an account when checking out could break the purchase cycle and adds another layer to your sales funnel. A long or complex funnel could be why your customers are abandoning their shopping carts.

Solution: The best solution would be not asking your customers to create an account. However, if account creation is needed for your product or business, maybe try to offer a guest checkout. If you provide a service that might require account creation, try offering third-party account creation options where their data will not be shared with you.

Limited shipping options

Problem: Offering one type of delivery through one shipping partner could be the reason your customers are abandoning their carts. Customers’ interests vary, some look for a faster option, some look for a sustainable, and some look for flexibility and cost. As a result, offering one shipping partner limits the options for customers, such as the type of service or different features.

Solution: Find the last-mile partners that fit your company but also your customers. Read our guide on finding a reliable last-mile partner.

Sign up Packaly to offer your customer green reliable last-mile solutions with express, same-day, or next-day delivery services.

Slow Delivery

Problem: According to the World Economic Forum (WEF), same-day and express delivery options are growing with an annual average of 36% and 17%, respectively. This reflects a bigger consumer behavior shift towards faster delivery. Targeting people looking for fast delivery could help you boost your shopping cart abandonment rate.

Solution: Packaly’s last-mile delivery solutions offer your customers the option to receive their order in an average of less than 1-hour with our sustainable express delivery option, allowing you to ship from the store directly to your customer’s door.

You can sign up directly with our Delivery Dashboard or integrate Packaly into your eCommerce platform.

Read how to integrate Packaly with Wix and Shopify.

(Dis)honorable mentions:

Here are other reasons that customers might abandon their cart:

Lack of trust
Long or complex check out process
Lack of payment options
Technical difficulties
Just browsing with no intention to purchase

Retaining customers and retargeting customers that abandon their carts are essential for your eCommerce success. By offering suitable last-mile options to your customers, you boost their experience, retain them, and drive your business’s cart abandonment rate lower.