PayPal recently published a survey of online transactions (or non-transactions) and here is how we read the results:
The biggest challenge for online merchants is getting them through the eCommerce Conversion Funnel. The funnel usually looks a little something like this:
StoreFront (Home Page)
> Catalog View
>> Product List View
>>> Product Detail View
>>>> Shopping Cart Summary**
>>>>> Check Out Form
** The Shopping Cart Summary is the page where the buyer sees a summary of the products selected, the taxes, and the shipping charges. This is where the ABANDONMENT occurs.
We can measure and test abandonment rates to help your site reduce abandonment. And PayPal has helped us to see what items need to be considered or tested to increase sales.
Here are our interpretations of PayPals survey:
Main reason why visitors leave the Shopping Cart Summary:
- To gather more information like "Shipping Costs"
Main reason for abandoning:
- Shipping Charges were too high
- Wanted to compare prices with another website
- Wanted to compare prices with a Bricks and Mortar store
- Wanted to look for an online coupon
- The preferred payment option was not available
Main Suggestion for Online Merchants
- Provide shipping charges upfront before the checkout
- Provide as many options for payment as possible
Shipping still seems to be the main driver for visitors to leave a website behind. We suggest that all online merchants carefully examine their shipping policies and consider making "Shipping" a marketing function rather than an "Operational" function.
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About The eCommerce Blog
The eCommerce Blog is brought to you by Charles Brodeur of BigTurns. BigTurns is a Vancouver, BC consulting company helping Small Business with their sales and marketing. Charles is the Director of Services at BigTurns and can be contacted direct by calling (604) 657-1563 or cb@BigTurns.com |
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The eCommerce Blog
Small business owners find this blog to be a great resource for sales and marketing strategies.
Shipping Charges and Shopping Cart Abandonment
Ways to optimize your Online Shop
The year 2010 should be used to optimize your existing eCommerce
Platform.
Many Online Shops I see out there have enormous potentials for
improvement. Some of them can't be implemented easily, e.g. Clean URLs
(URLs which just reveal their resource, but not their technology) - here
you are often limited by the technology and platform you use. However,
there are many things you can do in the field of technical Search Engine
Optimization (SEO). For this purpose one option would be to create a
whole new template to get started. You can overhaul the GUI (graphical
user interface) and optimize the template for all the search engines
like Google and Yahoo. What needs to be done for this can be listed
quickly:
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Nine Common Mistakes Retail Stores Make Online
Sure, your web store looks just great and you have a right to be proud of it. But did you ever sit with a focus group to see what problems they had with it? Did you ever have top web site designers analyze it to find its hidden flaws? Have you listened to dozens of eTailers describe in detail how they vastly improved their online sales and conversion rates just by making basic design changes that eliminated the most common web site design faux pas?
Online retailing is expected to return to double-digit growth this year, and the web merchants that enhance their web site design and usability early in the year will lead the way. The growth will be achieved by avoiding the most common web site design and usability mistakes that cause shoppers to abandon the retail sites and result in an average conversion rate of just 3%.
Here's a list of 9 common online store design mistakes:
1. The Self-Satisfaction Syndrome
It may comfort you to assume that because your web designers and staff can whip through your site without problems your customers can do so, too. Unfortunately, beauty is in the eye of the online shopper, not the web designer. You need to find out how customers really use your site. Find out how to test your site to make sure consumers can navigate it as easily as you can.Contact BigTurns for a No Obligation Free Consultation2. Throw money at your Web Designers to fix problems.
This idea can be an excellent way to throw money away. The Internet is overturning the old adage that "You get what you pay for." Many free or low cost design and usability tools can help retailers uncover how to take their sites to the next level of performance—if they know where to find those tools and how to evaluate them. Contact BigTurns for a No Obligation Free Consultation3. What Works in the Store Works on the Web
No, not so much. Many merchants still mistake online merchandising as an extension of in-store merchandising where the merchant simply stacks items in aisles for shoppers to see. But online merchandising must be a much more engaging and interactive experience. Contact BigTurns for a No Obligation Free ConsultationRead More
Selling Tips for Online Business
Once you have your website up and people have started visiting it,
your battle has only just begun. Everything is for sale in the
Internet from snake oil to – maybe – atomic power barbecues. Why
should people buy from you and how can you be sure you are making
money on the sales? Making money on sales seems easy – if you buy for
$8 and sell for $10, you have made a $2 profit. Right! Wrong.
It may
have cost you $3 to sell the product and you won’t know it till you
have lost a lot of money. So here are some things to keep in mind.
Know why people should buy from you. If you don’t, how will
they? You need to know your product or service inside out. Nothing is
ever perfect. Your product will have its weaknesses. Recognize them,
try to minimize them and work with what you have.
Believe in your product. It’s not enough knowing it’s good. You
have to believe it. This belief will come out in your approach to
sales and add value to the sales pitch. Would you buy a Rolls Royce
from a salesman who could recite why it is the best car in the world
if you felt he did not really believe what he was saying?
What is different about your product? What benefits does buying
from you provide to the customer as compared to other similar items or
suppliers? These are called USPs or Unique Selling Points and make
your product stand out in a crowd. Know these strength and capitalize
on them when selling.
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About Sales and Marketing Automation
This is the first Post for The eCommerce Blog from Sales and Marketing Automation.
Our mission with this blog is to promote eCommerce Best Practices to Small business owners. We will be including topics that relate to building eCommerce Sites, marketing eCommerce Sites and managing eCommerce Sites.
We are not sure where this journey will take us but the general direction we are going to set out on is to expose the tricks that make successful sites sell.
We will discuss topics like eCommerce Technology, SAAS, Email Marketing, Internet Marketing, Blogging, Content, Conversion, Customer Automation, and more.
I will be the main contributor to the blog postings, and all of our contributors will some how be related to BigTurns Business Systems, an eCommerce Consulting Company with an eCommerce Platform for sale and a team of eCommerce Consultants.
I Hope you like it.
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