A recent survey found that 16.9% of South African retailers identify a complex checkout process as a major cause of cart abandonment. Globally, research shows that nearly one in five shoppers experience similar frustrations.
Many eCommerce platforms struggle with high cart abandonment rates because they fail to fully understand the buyer’s perspective.
Just as software can miss the mark in meeting the actual needs of end users, online merchants often overlook the needs of their customers.
According to the World Wide Worx Online Retail in South Africa 2024 report, 16.9% of more than 200 retailers surveyed cited a lengthy and complicated checkout process as a key reason for cart abandonment.
Key Factors for Successful Online Payments
Some common mistakes include offering limited payment options, using confusing or non-standard interfaces, and introducing hidden costs or unclear return policies. Additionally, omitting trusted security payment icons can undermine shopper confidence.
The Barnyard Institute, a global online user experience research specialist, found that almost one in five customers in the US will abandon their carts when the checkout process is too complex to negotiate.
It says ideally, the checkout flow should be between 12 and 14 form elements, where the existing checkout flow of many ecommerce platforms can be as high as 23.48 elements.
Simplicity of Payments Essential
Andy Higgins, Managing Director of South African ecommerce ecosystem Bob Group, is not at all surprised by these findings.
“The buyer is the most affected by complex online payment processes. When faced with tedious forms, forced account creation, or hidden costs, buyers abandon their shopping carts out of frustration or mistrust,” Higgins says.
Higgins adds that this directly impacts buyers trust in the platform and their likelihood of returning may significantly harm the merchants reputation and sales.
“Ensuring simplicity and transparency in the payment process is essential to building a loyal customer base and enhancing the overall shopping experience.”
He says any deviation from standard processes is a huge pain point, as most buyers expect a familiar and straightforward checkout experience.
For a platform to be successful, it must offer customers transparency, simplicity, and security throughout the checkout process.
“It’s critical to streamline the payment process at every stage of the buyer’s journey, but especially during checkout. By the time a buyer reaches this stage, they have already invested time in selecting products and are ready to make a purchase.
“Any unnecessary friction at this point, such as a confusing interface or unexpected costs, can lead to immediate cart abandonment. Additionally, building trust earlier in the journey – by showcasing secure payment options and clear policies – lays the foundation for a smooth checkout experience, reducing drop-offs.”
Online Retailer Recommendations
Higgins makes several recommendations for ecommerce businesses to reduce cart abandonment. These include:
- Adopting standard UI/UX practices: Ensure the checkout process feels familiar, intuitive, and hassle-free.
- Offering multiple payment options: Cater to diverse buyer preferences, including credit cards, EFT solutions and other alternative payment methods. Some banks offer their own EFT payment solution, which can increase trust for payers when available.
- Being transparent: Clearly display costs, including delivery fees, early in the process to manage expectations.
- Building trust: Use secure payment gateways, trust badges, and visible contact/support options to reassure buyers.
- Streamlining the process: Avoid unnecessary steps, allow guest checkout, and autofill information where possible. By putting the buyer first and addressing potential friction points, businesses can create a frictionless checkout experience that retains more customers.
Interestingly, the World Wide Worx survey found that the primary reason for cart abandonment is credit card declines, with 52.2% of respondents citing it as a major issue.
The second most common concern is distrust in sharing credit card information, reported by 26.9% of respondents.
Main Image: Supplied
