Wednesday, October 23, 2013

Take advantage of the shopping cart abandonment during these holidays

            Do you know that 88 percent of your shoppers are going to abandon the online shopping cart in your site during these holidays? Do not despair; there is a way to take advantage about this consumer behavior. As an integrated marketing communication graduate student at Northwestern University, I have learned that the most important concept in marketing is to understand consumer behavior to plan your marketing strategies.

            Check this out this amazing info graphic about abandonment issues. It is highly probable that customers quit their shopping experience because they want to research online to find better prices. Today, shoppers are well informed, and it is easy for them to compare your product to other retailers'. In this scenario, everything in its online customer experience matters and should be subject to careful analysis (yes, using data.)
            But you can improve their customer experience through personalization, so it is possible to take advantage of this situation. Improving their experience, you can develop loyalty to your site. Repeat shoppers represent 8 percent of site visitors, but they account for 41 percent of all online sales. There is no necessity to spend tons of money on fancy recommendation agents; with good customer service, you can improve their experience. Finally do not forget the abandonment cart. One out of four people will abandon his or her cart, but they do that to save their products for later consideration. So, a gentle reminder at the end will produce more sales.
So, it is time for action:
  1. Provide options to save the contents of the cart
  2. Display customer support information
  3. Offer free (or reduced) shipping

            All these actions will increase the chances that your customers will click the "pay" button. But remember, the main issue here is to understand why your customers are leaving the cart. By only understanding their consumer behavior, you will be able to find ways to improve your e-commerce techniques.

Sources:
Kissmetrics. Abandonment Issues.  Retrieved from http://blog.kissmetrics.com/shopping-cart-abandonment/?wide=1
Amanda Myers, Improve your customer experience through personalization. Retrieved from http://www.bigcommerce.com/ecommerce-blog/improve-customer-experience-personalization/


Alvaro Gutierrez is a MSc. Candidate in Integrated Marketing Communications at Northwestern University with an emphasis on e-commerce and marketing analytics. He previously worked as a Category Manager consultant for Nielsen Chile. Follow him @mktgda

4 comments:

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