Checkout today is still somewhat broken, especially on mobile. The most salient evidence of that is the fact that the abandonment rate for checkout is still as high as 68% on average. If you think about that, that’s close to 70% of people who made some indication that they were interested in products by adding them to the cart, proceeding down that path and then 70% of those people decided they weren’t going to buy them.
If you were in an actual store looking at people in the line and then saw that more than two-thirds of the people in line got frustrated and left, it would be very surprising. That’s what is happening in mobile commerce. It’s something that affects everything that you do, so it’s not just about the checkout and mobile checkout flow and the checkout conversion rates. It affects your entire conversion rate because it is that last step, meaning the efficacy of your entire marketing and operating programs, and the ROI that you realize on your marketing spend, is all impacted by this number.
After looking at the entire flow, from brand awareness to completed purchase, we found some surprising data, which shows that companies spend a lot more money acquiring customers than they do optimizing an experience to get those people to convert. For every $92 is spent acquiring customers, only $1 is spent converting them. There is kind of an imbalance here. If you look at this statistic in terms of the $92 spent to attract people to the website is not nearly as powerful as it can be if you just spent a little bit more and pay a little bit more focus on actually optimizing that experience and especially the checkout.
The Baymard Institute have determined that there is a 35% potential for an increase in conversion rate to the checkout process based just on improvements to the checkout process but even more interestingly, it’s just the design related improvements. In that number, they are not including things like the fact that your shipping may be too slow or too costly. They are just talking about the errors, things being non-intuitive, forms taking too long to fill out, error messages and other issues such as not solving problems and bugs.
Also, our data shows that the reasons for abandonment have to do with hundreds of small things. Call it the death by a thousand cuts of the things that happen that are non-intuitive. When people are used to buying products on Amazon where things are very seamless, in fact on Amazon there is no checkout because all of your data is there. That’s what people are going to end up doing. They are going to abandon for either Amazon or for a competitor where they’ve purchased before.
All factors for cart abandonment come through the data and analytics that products like ours capture at a field level to truly understand what is going on. What we do on a general level is look at that data and compare it to the data we see on the network at a field level. Then we can identify areas where your mobile site is underperforming and make suggestions accordingly.
How 1-800-Flowers.com Got 25x Mobile Web Revenue Growth
1-800-Flowers use to have a lengthy, somewhat painful experience for users to buy anything. They needed to go through 13 steps with very slow load times in order to check out. After starting to work with Moovweb they were able to cut it down to 6 steps and then over time. Now, 1-800-Flowers have fully optimized their mobile checkout flow and thus been able to increase their conversions and see 25 x growth in mobile revenue. That’s phenomenal.
Some of the things that 1-800-Flowers will be focusing on next, is working with Moovweb to look at their top landing pages and turning them into the new AMP standard.
Accelerated Mobile Pages
Google’s new best practice is to deliver incredibly fast and amazing experiences to everyone on their mobile devices. Page load times for 1-800-Flowers landing pages used to be 4.5 seconds. By rewriting those pages using the AMP standard, they’ve been able to bring it down to less than a second. Their AMP pages are now loading at about half a second or 0.4.
Those are some of the fantastic results they’ve seen thus far and it has also been helping their search traffic. Users coming in through organic search see the lightning bolt and the result! They click on it and they are getting a really fast experience.
The next part of their strategy is an ongoing effort to connect the pieces. How to connect someone who has come to the website and then get them to checkout in a very seamless, smooth manner? 1-800-Flowers is currently working with Google and Moovweb on new technology - Progressive Web Apps, which they are looking to launch soon. PWA’s deliver an app like experience that’s reliable, fast, and engaging.
With this experience, they are planning to reduce the friction that user experiences in the Home to Cart flow. With PWA’s users are getting a very different app-like look and feel. It even offers an offline mode where users are able to engage with parts of the experience offline. Just the fast experience will help them convert.
Learn how your mobile checkout may be leaving money on the table--and what you can do about it by watching our latest webinar -- Mobile Checkout and Instant Payments: Conversions and Revenue You are Leaving on the Table.