Let’s pretend for a moment that your business has a perfect product and your hard work in attracting customers to your website shows a positive flow of traffic (visitors) to your website. This means that people out there want your product and have the money to purchase it. — So, what happens when your great business model and the thousands you spend on marketing to enable people to know about your brand ends up with visitors to your site (with an intention to make a purchase) leave you nothing but an “abandoned cart”?
Did you know that according to Forrester research, $18 billion is lost in revenue simply because of “cart abandonment”?
Let’s investigate this massive problem. Your business cannot afford to “abandon” this problem; indeed, if you read on, you will see a solution that will ultimately improve your conversion rate on your merchant website, giving you back that revenue you lose every day.
Why do customers abandon their cart at check-out?
Many surveys have suggested that cart abandonment is due to various factors – some are a combination of factors and some are purely due to a singular reason. Now, if your merchant business knew why your ready customers leave before check-out, surely you would want to fix that immediately.
Here are some reasons to consider:
- Slow websites
This increases the abandonment rate by 75%. (Research: Baymard)
- Shipping or hidden costs
Customers feel annoyed, and it shows in a 64.2% abandonment rate. (Smart Insights)
- Insecure sites
Trust is important. Abandonment rate is set at 35% (Research: Baymard)
- Poor payment solutions
The lack of alternative payment methods as well as a slow or long-winded payment gateway on your website can cause a great increase in your cart abandonment.
For a moment, let’s touch on the importance ofAlternative Payment Methods of which renowned payment pioneer CEO, Bruce Dragt, says, “If your online payment checkout system doesn’t support APMs, it could cost you thousands, if not millions per year in lost sales and revenue – depending on the size of your business.”
A great loss in revenue – your personal calculator
Discover your personal method to calculate the possible loss in revenue due to cart abandonment. The statistics shown reflect the general scope of this issue, globally; but there is a way you can do this for your own merchant account, which will help you decide whether offering a better solution is best for your merchant account.
This is the calculation, and it’s simple to apply: —
Divide the number of total completed purchases with the number of carts created. Then, subtract this number by one. With this number, times it by one hundred and you will be left with a percentage reflecting your personal business’s abandonment rate.
Your definitive remedy to reduce cart abandonment
As mentioned above, one of the main reasons is improving the check-out process and structure. This is backed up by research in which such research shows that redesigning the check-out offers a “significant boost in sales”.
Another, and arguably the most important feature to reduce cart abandonment, especially during and for the post-COVID-19 period, is the introduction of alternative payment methods.
By insisting on having a merchant account that not only offers credit card payment solutions, but also helps customers pay in their preferred method such as cryptocurrency, for example, will indubitably add to the success of a business and its sales.
iPayTotal can help your business obtain a merchant account easily and help integrate a seamless crypto-exchange platform without even disrupting your current business model.
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It’s a good thing you did not abandon this article. — Call iPayTotal on +44 800 776 5988 or email info@ipaytotal.com for your number one solution to reducing cart abandonment and reducing your loss of revenue.
