Shopping cart abandonment in online stores remains a major problem for websites selling products and services online. In many cases the abandonment rate can reach 60%, 70% or more, hurting the conversion rate and losing significant business. Many stores that focus their efforts on costly, aggressive customer acquisition strategies waste all that effort and money because they fail at the checkout process.
There is no single cause of abandonment, which is why you need to carefully analyze many aspects of the online business: checkout steps, product prices, shipping costs, access to critical information, security, payment methods, shipping methods and times, returns policy and customer service, among others.
Here we will focus on analyzing the checkout or purchase process, the final stage, where users already have products in their cart and we need to convince and help them complete it so it becomes a purchase.
There are currently 2 widespread options:
– One step checkout, a process in a single step or page.
– Multi-page checkout, a purchase process across several steps or pages.
And I’ll add a third option which, while not very widespread, is a good alternative to the other 2:
– Accordion checkout.
There is an offline analogy often used to justify the single-step format: when we are at the supermarket and reach the checkout lanes, we always look for the fastest lines with the fewest people. We even switch lines if we see one cashier is faster and more efficient than the others. Online, allowing for the differences, the same thing happens.
That is why it is generally said that one step checkout is faster and simpler than multi-page checkout, since only one page needs to load to complete the process. Even so, I don’t think there is a single best option for everyone: the best checkout for each website depends on many other factors related to the business model, product type and customer profile, among others.
One step checkout
This format presents all the information needed to complete the purchase in a single step or screen: user login or registration, payment method selection, shipping method selection, final review of the purchased products, discount coupon entry, tax application and so on.
Having all the information on a single screen makes it faster and easier to understand. That said, this depends on how the information is displayed, with the different elements clearly separated so it is very clear and simple to interpret.
In both cases, it is also important that the customer sign-up or registration form includes only the necessary information fields to complete the purchase, without long, endless registration forms. Required fields and how they are validated are also a very important factor. In this format, fields are validated “on the fly”, without reloading the page each time. Who hasn’t suffered filling in an endless form only to see alerts pop up when validating, submitting or saving, and all the data entered get wiped? Clearly a serious flaw to avoid, and one that doesn’t occur with the validation format described above.
Advantages:
– Speed
Even though the form is the same in both formats, here users don’t have to wait for different pages to load, as happens with multi page.
– Progress
Customers can quickly see all the information at once and know exactly what they need to fill in to complete the purchase. This also has a psychological component, as users know they won’t have to go through several pages to buy.
– Navigation
The good thing about this format is that there are no navigation elements, since all fields and information are on a single page. This means there is no need to go back and forth during the process. In multi page processes, hitting “back” in the browser can cause loading issues and loss of form data, creating problems for users trying to buy.
Disadvantages:
– Design
With so much information on a single page, it may not be organized properly and users may struggle to view, distinguish and interpret it.
It is essential to design properly in blocks to separate the information and make it very easy for users to understand and complete.
Multi-page checkout
Unlike the previous format, multi-page checkout spreads the purchase process across several pages. Each step has its own goal, and users must complete them one by one until they reach the final step and payment. These steps are usually: user registration or login, shipping type, payment method and confirmation. Here it is very important to always display which step of the checkout the user is on, as well as the next steps needed to finish. This helps guide users through the process and improves its effectiveness. It is also important to simplify forms and steps and to design each one effectively so it is as clear and simple as possible for users.
Advantages:
– Contact details
By splitting the information across several pages, you can capture the data customers entered in earlier steps, even if they abandon the process later. For example, if a customer enters their email address in step 1 and then abandons the checkout, you can contact them to try to recover the abandoned cart.
– Spotting leaks in the process
Splitting the process into pages lets you know exactly which pages cause the most drop-offs and apply corrective measures to optimize them. You can set up a sales funnel in the digital measurement tool Google Analytics to track it continuously.
– Design
By splitting the information across several pages, each one has a cleaner, simpler design and makes the information feel shorter and easier to complete.
Disadvantages:
– Length
Seeing that buying requires going through 3, 4 or 5 steps may have a negative psychological effect on users and make them give up on the purchase.
Accordion Checkout
This format presents the design on a single page, but the options or steps are hidden in tabs or submenus. It works, but it forces users to follow the defined steps sequentially. You could say it is a mix of the previous 2. The best-known example is the Apple store. As mentioned earlier, perhaps what matters is not the format of the process but the information requested, the steps and sequences defined and how that information is requested.
In practice, users perceive this format as a multi-step process, the only difference being that it is displayed on a single page.
Advantages:
– Design
Keeping all the information separated into steps allows a clear design for each one.
– Speed
The page loads only once, so there is no need to wait for a separate page to load for each step.
Disadvantages:
– Technical
In many cases, when users are on one of the steps and want to go back, pressing the browser’s “Back” button returns them to the page before the process started, losing all the information entered. This can be solved by saving session data on the server and reloading it when the user has to start the process again.
– Length
As with multi-page checkout, the amount of information and the feeling of having to fill in data across many steps make users give up on the purchase.
– Understanding and navigation
Users often find it hard to understand this format and how it works, since they must complete the previous step to move to the next. There is also the technical issue mentioned above with the “Back” button.
Other elements to consider
Keep in mind that checkout processes can vary and become more complex or simpler depending on each business and the need to include additional elements.
For example, I mean the following:
– In-store pickup for companies with physical stores that offer this option to online shoppers, saving them shipping costs.
– Applying different taxes depending on the delivery address (international sales, or the Canary Islands in Spain’s case).
– Discount coupons for special promotions applied differently depending on the delivery country.
– Shipping costs and times. Try to show shipping costs from the start so customers always know the total purchase amount and how long the product will take to reach their home or pickup point.
– Shipping and payment methods. There are often special rules and restrictions between shipping and payment methods that must be handled within the checkout itself. For example, if a customer chooses in-store pickup, cash on delivery should not be shown as an option.
A/B testing
To test and measure the effectiveness or conversion of each process, you can run an A/B test in which 50% of users who start checkout are randomly shown one process or the other. After a reasonable period that lets us measure a significant number of started checkouts, we will have real, verified conversion data for each one on our website, applied directly to our customers. This data will help us decide which process to bet on.
Conclusion
Finally, we can conclude and state that there is no single successful checkout process that suits every online store. To decide which checkout is optimal for our online business, we must consider:
– the necessary elements we need to include.
– the characteristics of our users or target audience.
– visits and conversions by device (tablet, mobile, desktop).
From there, we will outline the overall content to fit 1 or 2 of the formats, also ensuring it adapts perfectly to every device (responsive).
Then all that’s left is testing and measuring results to fine-tune and optimize the process.
Do you know the best checkout process for your online store?
If you would like more information or have a specific question, feel free to contact us.
