In the world of online shopping, knowing how customers behave is key to running a successful eCommerce business. Two important things to keep an eye on are abandoned carts and abandoned checkouts. These can really affect how many people end up buying from your store and how much money you make. If you’re using Magento 2 for your online store, it’s important to understand the difference between abandoned carts and abandoned checkouts so you can make the right moves to fix them and improve your store’s performance.
Cart Abandonment vs. Checkout Abandonment: What’s the difference?
Cart abandonment is when a customer adds an item for purchase to their cart during browsing, but then leaves the site or app without completing the purchase.
Checkout abandonment is when a customer that has initiated the checkout process does not complete the purchase.
The main difference between cart and checkout abandonment is the stage in the process that users abandon their purchase – after loading their cart or during checkout. This difference is significant because certain metrics help identify and isolate when and why customers abandon their cart or checkout.
Although the moment at which customers give up on a purchase makes a significant difference, understanding dropout points is not enough to properly handle these problems. To reduce cart and checkout abandonment, it’s critical to understand the differences and investigate the root causes.
Checkout abandonment solutions differ from those for shopping cart abandonment since the reasons for departing vary at each stage of the process. Addressing checkout abandonment with cart abandonment solutions (or vice versa) will not address the underlying issues.
What is Abandoned Cart or Cart Abandonment?
Imagine someone comes to your online store, puts some stuff in their shopping cart, but then leaves the website without buying anything. That’s what we call an abandoned cart. It happens a lot in online shopping, and there could be many reasons for it. Maybe they got distracted, saw some unexpected costs, or found the checkout process too long and complicated. In Magento 2, you can keep track of these abandoned carts to understand why people aren’t finishing their purchases and then try to get them back to complete their orders.
Here are some things you can do in Magento 2 to tackle abandoned carts:
- Track Abandoned Carts: Magento 2 has a feature that helps you see when people abandon their carts. This way, you can figure out who these customers are and reach out to them.
- Send Reminder Emails: You can set up Magento 2 to automatically send emails to people who left their carts behind. These emails can include special messages or offers to encourage them to come back and buy the items they left.
- Make Checkout Simple: If your checkout process is too complicated, it might scare people away. With Magento 2, you can make it shorter and easier, so people are more likely to finish their purchases.
- Offer Discounts: Sometimes, giving people a discount can convince them to come back and complete their purchase. Magento 2 makes it easy to create discounts and promotions to tempt customers to finish their orders.
Also Read: “How to Decrease Abandon Cart Rate of Your Magento Store?”
What is Abandoned Checkout or Checkout Abandonment
Abandoned checkouts happen when someone starts the checkout process but then decides not to proceed. This could happen at any point during checkout, like when they’re entering their address or payment details or reviewing their order.
Here’s how you can deal with abandoned checkouts in Magento 2:
- Track Abandoned Checkouts: Just like with abandoned carts, Magento 2 helps you keep track of where people are dropping out during checkout. This helps you understand what’s stopping them from completing their purchases.
- Simplify Checkout Forms: If your checkout forms are too long or complicated, people might give up. Magento 2 lets you customize and simplify these forms, making it easier for customers to fill them out and finish their orders.
- Offer Guest Checkout: Some people don’t want to create an account just to buy something. With Magento 2, you can offer a guest checkout option so people can complete their purchases without signing up, reducing friction and increasing conversions.
- Show Real-time Costs: People like to know how much they’ll pay before they finalize their purchase. With Magento 2, you can show real-time shipping costs and taxes so customers have all the information they need to complete their orders.
This was all about the Abandoned Cart and Abandoned Checkout. Now, let’s examine the differences between them.
Side-by-Side Comparison of Abandoned Cart Vs Abandoned Checkout
| Feature | Abandoned Cart | Abandoned Checkout |
| Definition | User leaves the website after adding items to the cart. | User leaves during checkout after providing information. |
| Occurrence | Anytime during shopping journey. | After user provides checkout details. |
| Recovery Efforts | Reminder emails, discounts, customer support. | Emails, incentives, checkout optimization. |
| Magento 2 Support | Built-in Abandoned Cart feature. | Extensions available, not native support. |
| Impact | Affects conversion rates and revenue. | Indicates checkout process issues. |
| User Intent | Potential interest, not intent to purchase. | Intent to purchase shown. |
| Importance | Recovers lost sales, improves conversion. | Critical for revenue and user retention. |
| Follow-up Actions | Remarketing strategies to re-engage. | Analyze data, optimize checkout, follow-up. |
Conclusion
Understanding the difference between abandoned carts and abandoned checkouts is important for running a successful Magento 2 store. By using the platform’s features and strategies, you can tackle these issues and improve your conversion rates and revenue. With a good understanding of your customers and the right tools, you can create a smooth shopping experience that encourages people to complete their purchases and keep coming back to your store.
