How Much Are Abandoned Carts Costing You?

Did you know that eCommerce businesses lose around $18 billion in sales per year due to abandoned carts? And that last year alone, the estimated value of products abandoned in online carts was $4 trillion? Those are some pretty staggering numbers. If you don't have a strategy in place for reducing and recovering abandoned carts, your business could be set to lose out.

What Does This Mean For Your Business?

On average, 77% of all online shopping carts are abandoned. That's much higher than you'd expect, given how easy it can be to make an online purchase. But there are reasons for this, and if you don't get your strategy right, you could be losing out on a lot of revenue.

Let's break it down. If you have an average order value of $75, and you're able to convert 50 people a month who would have otherwise abandoned their carts, that's an extra $3,750 in your pocket - all because you took the time to set up your eCommerce marketing strategy right.

Cover The Basics

There are a number of reasons why people abandon their carts, and most of them are something you can fix just by analyzing what's really going on. Are there too many pop-ups or add-ons at the point of sale? Are the payment methods you're offering too limited? Is your website taking too long to load? Looking further into why people are leaving items in their cart without purchasing will give you some insight into where the barriers might be and how you can provide solutions.

Get Communicating

On average, abandoned cart emails have a 45% open rate. And of those abandoned cart emails, the clickthrough rate sits at around 21%. Of those people who click, 50% make a purchase. That means that for every 1000 people who abandon their carts and receive an email reminder from you, you'll likely receive about 50 sales - that’s 50 customers who would have otherwise disappeared. Setting up abandoned cart emails doesn't need to be difficult, but you do need to get your strategy right from the start.

Including SMS as part of you’re abandoned cart strategy is an option too. According to Klaviyo, SMS automation generates the second-highest abandoned cart revenue after emails. If you combine email and SMS messaging in your abandoned cart flow, that might just be the push that potential customers need to follow through with their purchase.

Getting It Right

You shouldn't just take a one-and-done approach to your abandoned cart emails. Because multiple abandoned cart emails result in 69% more orders than a single abandoned cart email, you're best to set up an automated sequence of about 2 or 3 emails. For example, you might start with a reminder email, then a follow-up email with a discount or offer. Then if they still haven't purchased a couple of days later, it could trigger another email asking for feedback.

Make sure your abandoned cart emails:

• include product imagery – they were interested enough to put it in their cart in the first place, so remind them why they were considering it.
• highlight the benefits that people would be missing out on by not purchasing.
• have one big CTA button - don't make people click too many times to get back to their cart.
• include a discount or a freebie to entice them to fulfill their purchase.

Does It All Seem A Bit Much?

If you don't want to miss out on the money you could recover from abandoned carts, but you just don't have the time to set up an email marketing strategy, it's time to call in the professionals.

At Socialike, we live and breathe eCommerce marketing, and we'd love to help you increase your revenue and grow your business. Want to have a chat? Get in touch, and let's get coffee.