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High shipping costs, users researching: Key reasons for cart abandonment | Copenhagen INK

High shipping costs, users researching: Key reasons for cart abandonment

Users just researching sites (34 per cent) and shipping costs or times not being acceptable (18 per cent), are some of the key reasons why users abandon online shopping, a quarterly remarketing report from SaleCycle found out.

Prices being too high (18 per cent) or users preferring to buy in-store (15 per cent) were the other reasons quoted in the report. Taken from a consolidation of results from over 500 global brands, the remarketing report looks at all the key cart abandonment and remarketing data from July, August and September 2016.

The data released highlights the struggle for online retailers to stay price competitive in terms of their products and services, as well as shipping costs in a very saturated market.

Commenting on the finding that high shipping costs lead to cart abandonment, Chris Brinkworth, Chief Revenue Officer, APAC for SaleCycle told Digital Market Asia, “The 18 per cent – that is part of the surprise element. From a shipping perspective, be open up front and tell them the costs include shipping or do not include shipping based on minimum order. Retailers who offer ‘pick up in store’ will also notice a drop in abandonment, because the cost of shipping is not a problem.”

In terms of sectors, travel continues to see the highest average rates of abandonment at 80.4 per cent. Financial services witnessed an average 79.3 per cent of people who start applications or purchases on a financial services site, but leave before completing them.

Speaking on the biggest mistakers online retailers make, Mr Brinkworth added, “Sadly, unwanted surprises account for the majority of mistakes made by online businesses. Retailers should always consider whether it would be a good or a bad surprise for their customers if the addition of tax, shipping costs, or redirection to a different website to pay as well as being forced to register were not expected.”

The post High shipping costs, users researching: Key reasons for cart abandonment appeared first on Digital Market Asia.

Via Digital Market Asia Mobile

Copenhagen INK

Lars M. B. Anthonisen is Global Account Lead @ Google. Previously, he held various digital marketing positions at media companies across Europe and Asia including Regional Digital Director at MediaCom APAC, CMO at Adform and Digital Manager at Universal McCann Worldwide.

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