For merchants, the most painful thing to see is rising cart abandonment rate, which means rising number of shoppers are leaving the store without completing the checkout. Shoppers abandon the cart due to many reasons, and it’s the merchant’s duty to decipher the reasons and curb the rate. Is your store witnessing high cart abandonment rate? Are you wondering what are the possible reasons behind it?
Check the following elements and see if they are contributing to the Shopping cart abandonment rate.
When the cart is abandoned due to time factor, it’s called time friction. Now time impacts the conversion rate in several ways. It could range from something as simple as a user taking time to read product description, to filling a form to the load time. Also, time element is a perceived factor. If a user thinks you have a long checkout process, he/she may not be motivated to buy the product at all due to it. On the other hand, if the checkout process displays a progress bar, a user will get an idea how many steps he/she needs to go through to complete the process – and this increases the conversion ratio.
To understand this friction, you first need to understand users’ psychology because that’s the only thing that’s going to help you improve the conversion rate of your store. To grab and retain the attention of your users, you need to avoid:
- Awkward and unreadable copy
- Too little or too many images
- Jarring design colors
- Offsite anchor links with intriguing anchor text
- Hyper-linked images
- Too much of design elements
Are you surprised looking at this point? Don’t. Many times users abandon the shopping cart because they simply don’t know how to complete the transaction. They are unable to find the checkout button or they don’t know how to add more products to their cart. Make sure that the layout of the store is logical and easy to use.
Web Copy Friction:
As we said before, having unreadable or awkward web copy is never going to make the cut with users. Also, using lame words such as buy, submit, give or complete are total no-no. These words simply don’t inspire users to convert into customers. Instead, you should use words such as check this out, discover and earn. Simply put, the words you use – specifically for call-to-action buttons – matter a lot for the conversion rate. So use them wisely.
This is the only type of friction which isn’t in your control. You never know how the thinking process of the users work. But you can try to offer maximum facilities to gain the trust of the users. For example, to combat trust issues, you can use trust symbols such as VeriSign and TrustPay. A strong presence on social networking platforms is also great to gain the loyalty of customers.
If you are lost, and you don’t know how to improve the conversion ratio of your store, you can contact us. Kaushalam specializes in offering a range of custom eCommerce & Shopping cart solutions that optimize business operations.
Having extra inventory lying around is bad, very bad for any business. There are no two ways about it. A stagnant inventory will not only take up precious space of warehouse but it will choke up your cash flow. And do I need to spell out what happens to a business when its cash flow is as dried up as a drought-inflected barren piece of farm? If you have excess of inventory lying around, you have to get in gear to make them start moving. Although it’s easier said than done, you have to try at least.
Following are few tips that can help you get rid of excess inventory:
First of all, you have to find a reason behind why you are saddled with excess inventory. Once you find out the reasons, you have to rectify the process so that the error isn’t repeated again. Also, when you have a small business, it’s very important to optimize each and every aspect of the business. To move your current excess inventory, try marketing your products in a different way in different tone of voice. This will also optimize the value of your products.
Study your customers’ behavior and see what works with them. Based on this information, develop special bulk discounts. Now bulk discounts can work in multiple ways – either you can bundle up complementary products or you can offer quantity discounts. See what works for you and your business.
Products as incentives:
If you have too much of inventory lying about, use them for promotion. Create a referral campaign using these products as incentives. You can create campaigns such as “tell a friend” and get a Tee FREE. Usually this kind of campaigns are very effective in multiple ways – you will get new customers through reference, you will appease your existing customers and your inventory has finally moved out of your warehouse, freeing up the space for new inventory.
If you are in dire need of cash flow and can’t wait until you are able to move the inventory out of the warehouse, sell the excess inventory to liquidators in bulk. They will sell the inventory on your behalf. Website such as Liquidation.com are great for such services. However, before you start the process, make sure that you know the value of your inventory and decide how much you are willing to settle for.
Tax deductible donation:
When all means fail, the last option is to donate your inventory for tax-saving purposes. When you do this, you will earn above-cost, federal income tax deduction. But before you initiate the process, do some research to make sure how much you can write-off. Also, if you are able to find a charity that gels with your brand and the social responsibility philosophy of the business, give it to them because it will improve the visibility of your business while strengthening your brand at the same time.
If you are looking to optimize your inventory process, Kaushalam is the perfect eCommerce service provider to help you with. Our sophisticated solutions will make sure that you are stocking up the right amount of inventory along with optimizing the entire inventory and ordering process. Contact us to know more.
Business is never stagnant, and if you think you won’t need extra resources for certain period of time, think again. You might have steady sales throughout the year but as Black Friday and Cyber Monday draw near, you will see a jump in the sales. What will you do then if you don’t have scalable business model? Lose sales and profits? Of course that’s not the right attitude to run a business. Due to this very reason we always advise our clients to have scalable business infrastructure. Are you wondering what kind of scalability you need to make the most of shopping festivals and flash sales? Read on.
Scalability for traffic
If you are running on an infrastructure that lacks the capacity to support a spike in the traffic any day, it’s highly likely that the store will completely go down during shopping festivals. The result: loss of customers, sales and profits. So make sure the platform you choose is scalable enough to support a sudden and unexpected spike in traffic, especially during holidays.
Scalability for inventory
There has to be a room for growth and expansion in any business plan. That’s why, businesses are always advised to have some amount of buffer stock. Apart from physical store, the eCommerce platform will also need to be agile to offer the flexibility to make changes to the site as and when required.
Scalability for fulfillment
It’s quite easy to ignore fulfillment aspect of eCommerce. But if you wish to offer outstanding customer service, you can’t afford to ignore it. For flexible fulfillment procedure, it’s always a good idea to partner with a warehousing company to smoothen the processes of picking, packing and shipping of orders.
Are you wondering how you can have all these elements to make your business versatile and scalable? No worries. Contact Kaushalam. Our expert team of developers and designers will help you set up a store that’s highly customized per your business requirements, and flexible enough to accommodate sudden spurts of growth seamlessly.