Man's Hands Typing Laptop Keyboard And Holding Credit Card Online Shopping Concept
Man's Hands Typing Laptop Keyboard And Holding Credit Card Online Shopping Concept

5 ways to reduce cart abandonment and increase sales

Have you ever bought something on Amazon because you knew it would be fast and easy, even though you might have been able to get it cheaper elsewhere? Today’s customers are looking to avoid hassle as much as possible, and retailers are striving to meet that demand. In the physical world, many big chains are experimenting with zero-touch checkouts, while online it’s about making the checkout process as seamless as possible.
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Find out more about Nordea Connect at nordeaconnect.com

Designed for merchants, Nordea Connect is a Nordic online payments platform that directly connects business owners to the full value chain of Nordea’s solutions and advisory services.

Despite this, the average cart abandonment rate currently stands at around 77%[1]. Reducing that rate is a key metric for most digital retailers—not just because it means more sales immediately, but because it can help retain customers and grow your share of their wallet. And as the Amazon example shows, an easier checkout experience can win over price—an important factor in highly competitive markets.

Is your cart abandonment rate too high? Nordea is trusted by over 700,000 businesses and handles billions of payments each year. This gives us tremendous insight into what both companies and consumers want. Here are five reasons why your customers might not be completing their purchases—and how you can improve conversion rates.

 

[1] Barilliance, Complete list of cart abandonment statistics: 2006-2020, February 2020

1. Simplify the checkout

Signing up for an account can be a slow process—it can also make people feel like they’re going to be bombarded with spam. Think about giving customers the option to checkout as a guest. This is especially important as people are increasingly paying using their mobiles—they are on the move and want to be able to complete the transaction without having to answer a lot of questions.

At the end of checkout, or in the delivery confirmation email, you can let the customer choose to add a password and create an account. If they do create an account, make the process as simple as possible and only ask for information you really need. Depending on your system, you may be able to implement “progressive profiling”, where you can ask for a bit more information every time the customer visits.

2. Be upfront about additional costs

Are your shipping costs and any additional fees clearly stated on your website? Many customers will add items to their basket simply to investigate these costs. Particularly for international purchases, where customers may be surprised by delivery duty unpaid (DDU) shipping as it can incur extra customs fees. Customers value transparency, and the easiest solution is to fully disclose costs. If you’re willing to make all costs clearly visible, then there’s a good chance that customers will return for future purchases.

3. Encourage transaction completion

Customers are getting more resourceful when it comes to researching price, quality, and special offers, and sometimes they deliberately abandon their carts. Customers might go to checkout just to check final price and shipping times—and they might even be looking to trigger email discount codes. Limit discounts, especially to more expensive products, and focus instead on other retargeting techniques. Also, try implementing exit pop-ups that guarantee a price match, or using push notifications that anticipate a customer’s preferences.

4. Improve trust

Customers are increasingly concerned about their data privacy and losing out financially—so if they don’t trust the checkout process, they’re likely to abandon their carts. A professional looking checkout experience is essential to instilling trust. If the form asking for personal information and payment method details looks outdated, visitors are likely to question its legitimacy and whether its security defences are up to date. Displaying trust logos from payment and shipping providers helps reduce uncertainty and shows that you’re working with other partners and processes that customers are already confident with.

5. Provide more payment options

Customers have a wide range of choices for payments: credit card, Swish, ApplePay, PayPal, and many more. Which one they select will depend on many things—including the size of the purchase, the device they’re using, and what incentives they’re after. If they can’t use their preferred option, they’ll either be more hesitant to checkout, or they’ll abandon their cart completely. Neither are desirable outcomes. Supporting a broad range of options—from the humble invoice to the latest must-have app—will help you keep your customers happy and boost conversion rates. Don’t forget, the payment process is probably the last page on your site a customer will see during a visit. Don’t let it be a disappointment.

Improve the customer experience and boost returns

These five pointers won’t enable you to eliminate cart abandonment entirely, but they will help remove many of the barriers, improve conversion rates, and leave shoppers with a positive impression that will encourage them to return.

At Nordea, we’re constantly striving to give our customers what they want. Today’s payments industry is dynamic and exciting, but fragmented—this is partly because of the popularity of local payment methods. We understand this, and our Nordea Connect platform is built to make it easy for customers to pay however they want. The platform provides one simple integration, meaning your checkout experience will become quick and easy, whichever Nordic payment method your customers select. It can help you to reduce cart abandonment, keep up to date with customers’ changing needs and give you better insight into your business.

Visit nordeaconnect.com to find out more, or write to psp@nordea.com to see how we can help.

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