Term

Abandoned cart

When a customer puts goods in an online shop's basket but does not complete the purchase. Typical reasons are high shipping costs, mandatory registration or a complicated payment, and shops reduce them by simplifying checkout and sending reminder emails.

Updated

What it means

An abandoned cart occurs when a customer adds goods to an online store basket but does not complete the purchase. It is one of the biggest sources of lost revenue in online selling, because these are people who have already shown a clear intention to buy and left just short of the finish line.

The cart abandonment rate is the share of created carts that never become an order. Studies have long shown that most carts are left unfinished, and part of that is natural: people compare prices, save items for later or simply want to see the shipping cost.

The most common reasons are unexpected delivery charges, mandatory registration, a long form, a missing preferred payment method, distrust of the shop or a technical error. Each of them directly lowers the conversion rate and raises the cost of acquiring a customer.

How it works in practice

The first step is simplifying checkout: guest purchase without registration, address autofill, delivery cost visible already in the basket and several payment methods through a reliable payment gateway. Good UX often achieves more than any discount.

The second step is reminder emails. The first goes out within a few hours, another a day or two later, sometimes with an incentive. They belong to email marketing but require the customer to have entered an address and a lawful basis for contacting them.

The third tool is retargeting, which shows the abandoned products in ads on other websites. It works well but depends on cookie consent; without it the ads must not be personalised, so part of the visitors stays out of reach.

What to watch out for

A reminder email is commercial communication. If the customer gave no consent and is not an existing client, sending it may breach the rules on electronic communications and the GDPR. The safe approach is to mention the reminder right in the checkout form.

A discount in every reminder teaches customers to abandon carts on purpose and wait for the coupon. Incentives work better when offered selectively, for example only above a certain basket value or on a first purchase, and when you check whether they really bring extra orders.

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