Smartphone Shopping is all the Rage
We’ve all seen or read the stories – ecommerce via mobile phone is HOT hot hot. Here are a few great recent stats from a variety of sources and reports.variety
- Mobile accounted for nearly a quarter of global ecommerce sales in 2017. [Statista]
- Roughly four out of five Americans are shopping online, with more than half of those purchases made on a mobile device. [Pew Internet Research]
- Cyber Monday 2017 broke $2 billion [yes with a B] in mobile sales. [CNBC]
And mobile commerce is NOT going anywhere. In just the next three years, it’s going to become the main shopping vehicle.
- By 2021, mobile is predicted to dominate online sales, driving 53.9% or $659 billion in sales.[Statista]
- Mobile commerce is growing 300% faster than eCommerce. [DemacMedia]
- By the end of 2018, more than 75% of ecommerce sales in China—over $1 trillion worth—will be transacted via a mobile device. [eMarketer ]
As these stats show, we can all agree that if you’re not making mobile a priority in your business strategy, you are missing out on a majority of potential customers. But what does “making mobile a priority” actually mean? Where should you begin?
Interestingly, while many ecommerce companies are starting to focus on the shopping side of mobile [products, listing, discovery], it’s evident that designing a streamlined checkout process is lagging far behind. If you’ve pushed focusing on your mobile checkout process to the back burner – now is the time to step up or suffer the consequences.
The Cost of a Poor Mobile Checkout Experience
Let’s face it – shopping on mobile is a pain, and the mobile checkout process is clunky! Just think about the last time you tried to complete a purchase on your phone, not fun was it?!… It’s no wonder mobile checkout abandonment is an issue for ecommerce merchants today.
You’ve spent the time and money to attract a customer, they’ve liked your products enough to choose and drop them in a cart – but then BAM – something goes wrong and they leave before checkout. A poor mobile checkout process impacts sales, conversion rates, and retention. You can’t afford to ignore this channel any longer.
Sales: You’re leaving money on the table!
According to PYMNTS.com’s Checkout Conversion Index Study: “In the U.S., where eCommerce sales total $390 billion, we estimate that at least $200 billion in sales are foregone due to frictions in the checkout process — a whopping 50 percent.”
Conversion Rate: Don’t lose the customer you worked so hard to acquire!
The following are just three recent stats that highlight the magnitude of the frustration your customers go through when shopping on their cell phones.
- Only 12% of consumers find shopping on the mobile web convenient. [DynamicYield]
- 30% of mobile consumers will abandon a transaction if the experience is not optimized for mobile. [MoPowered]
- Checkout is the 3rd biggest frustration thwarting conversion. [Baymard Institute]
Top Five Reasons Shoppers are Abandoning the Cart
According to Business Insider, shoppers are not reaching the end of the checkout process. So what are the main reasons customers abandon the cart when shopping on mobile?
- 46.1% of cart abandonments occur at the payment stage
- 37.4% occur at checkout login
- 35.7% occur once the shoppers see shipping costs
- 20.9% occur when the user needs to enter their billing address
- 20% occur when the user needs to enter their shipping or delivery address.
As you can see, four of the top five reasons consumers abandon checkout have to do with the complicated logistics of the process. Consumers shouldn’t have to endure lengthy forms, and duplicative inputs – they’re giving you their money, don’t make it difficult for them!
A bad mobile checkout experience not only loses you sales and conversion, but future customers as well: “40% of users will go to the competitor after a bad mobile experience, yet an alarming 84% have experienced difficulty completing a mobile transaction.” [OuterBox)
What makes a great mobile checkout experience?
So that was the bad news. The good news is that with just a few steps you can fix this! “Conversions increase two or three-fold with ANY upgrade to mobile checkout efficiency!”
“The average large-sized e-commerce site can gain a 35.26% increase in conversion rate, which translates to $260 billion worth of lost orders which are recoverable, solely through a better checkout flow & design.”
Top Five Ways you Can Improve your Mobile Checkout Experience
The PYMNTs.com 2017 Checkout Conversion Index identified the top five ways you can improve your mobile checkout experience. We list them below.
Speed: During checkout, every click and second matters. A good shopping experience is one in which a customer zips through the checkout process as quickly as possible. A recent study by Google demonstrates that “40% of consumers will leave a page that takes longer than three seconds to load. The current average load time for U.S. mobile retails sites: 9.54 seconds.”
Fewer Clicks: This is counted in the number of individual steps a consumer must go through to finish and checkout. The number of times the consumer must “click” before leaving the site with a purchase. Top-performing websites move consumers through the checkout process 15 percent faster by removing 10 percent of the average number of clicks to completion.
More Payment Methods: Top performing sites allow approximately eight different payment options.
Live Help on Your Site: This prevents consumers from getting discouraged and reconsidering their purchases. While live help won’t force customers to buy, it can certainly lead these horses to water.
Value Add Features [that cost you virtually nothing!]: Features such as “Billing address same as shipping address” checkbox option, or providing customer reviews and recommendations
Invest in Mobile Checkout & Increase Conversions
It’s clear. Ecommerce merchants investing more in developing a quick, convenient, and easy-to-use mobile checkout will convert and retain more customers, increase ROI, and expand their business by catering to the ever-growing mobile audience.
The fact is customers value an intuitive mobile purchasing experience, and they’re only going to keep buying more and more on mobile. If you don’t start catering the checkout process to your mobile users now, you won’t just lose current customers, but you’re also going to lose a substantial percentage of potential customers to your competitors.
You Don’t Have to Start From Scratch – LimeLight’s Got You Covered
Gratify, the world’s leading mobile checkout solution
Gratify enables your customers:
- To completely skip the shopping cart and go straight to checkout! #SkipTheCart
- Fill out the fewest required fields of any checkout process
- Checkout in just 2 clicks after the first purchase!
Gratify does all this through a conversational SMS experience, gathering customer and order details through a fun and engaging SMS conversation!
Plus, Gratify is two solutions in one! Not only does it optimize your mobile checkout, it also allows you to engage your target audience with mobile marketing! Gratify enables Automated SMS Retargeting and Mass SMS Marketing Campaigns!