Your 2026 D2C Calendar mapped day by day - Powered by real data from India’s biggest D2C shopping network
Your 2026 D2C Calendar mapped day by day - Powered by real data from India’s biggest D2C shopping network
Your 2026 D2C Calendar mapped day by day - Powered by real data from India’s biggest D2C shopping network
Your 2026 D2C Calendar mapped day by day - Powered by real data from India’s biggest D2C shopping network
eCommerce
How To Avoid And Overcome Cart Abandonment Losses
12 May 2024
08 Min Read
Suhag spearheads D2C growth strategies at GoKwik, focusing on e-commerce optimisation, conversion funnels, and sales enablement. Based in Bengaluru and an MICA alumnus, he excels in crafting GTM playbooks and marketing campaigns tailored for D2C brands.
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Table of Contents
- The Overall Nuance Of Cart Abandonment Globally And In India
- Which Categories Are Most Prone To High Cart Abandonment In India?
- What Are The Factors That Lead To Cart Abandonment?
- What Are Some Ways To Reduce Cart Abandonments? 1. Simplify The Checkout Process
- 2. Offer Discounts And Incentives
- 3. Provide Customer Support
- 4. Use Remarking Tactics
- 5. Offer Multiple Payment Options
The Indian eCommerce industry is growing at a rapid pace. So much so that it’s the seventh-largest market in the world and is expected to reach a revenue of USD 104,931.8 million by 2024. While it’s a positive sign for the economy and its citizens, it has given rise to many underlying challenges. One prominent problem among many others is high cart abandonment.
Cart abandonment refers to the phenomenon where shoppers add items to their online shopping cart but leave the website without completing the purchase. This results in lost sales and revenue, and impacts the overall profitability of an online business.
The Overall Nuance Of Cart Abandonment Globally And In India
Cart abandonment is an issue prevalent across the entire global eCommerce market. According to the Baymard Institute, the average cart abandonment rate across industries globally is about 70%.
This means that more than two-thirds of online shopping carts are abandoned before the purchase is completed. In India, the situation is not much different. Many studies suggest that India too registers a high cart abandonment rate, ranging between 60% and 70%.
The reasons for cart abandonment in India can vary, but some common factors include
- Online payment security concerns
- Lack of trust in online retailers and online shopping
- High shipping costs
- Lengthy checkout processes.
Additionally, factors like unique demographics and purchasing behaviour of Indian consumers, cultural differences, pricing dynamics, and the evolving Indian eCommerce landscape further contribute to higher cart abandonment rates.
Which Categories Are Most Prone To High Cart Abandonment In India?
While cart abandonment is a great concern across all eCommerce categories, some of them are more prone than others. For instance, fashion and apparel, electronics, and home and furniture are among the categories that typically experience higher cart abandonment rates.
This is primarily due to factors like,
- Size and fit concerns
- High price points of goods sold in these categories
- Quality and authenticity concerns
- The need for detailed product information
- Customisation options
Additionally, shoppers may abandon their carts in these categories if they find better deals or discounts on other websites, or if they encounter issues with payment options during checkout.
Health, beauty, and grocery are other categories that experience a high cart abandonment rate. In contrast, pets, FMCG, gaming, digital products, and food delivery are some categories that are comparatively less prone to cart abandonments.
What Are The Factors That Lead To Cart Abandonment?
Factors that lead to cart abandonment can be categorised into several key areas. These include unexpected costs, a complicated checkout process, a lack of trust, and limited payment options.
1. Unexpected costs such as high shipping fees, taxes, or additional charges that are revealed during the checkout process can be a major factor in cart abandonment. Shoppers may feel deceived or discouraged by hidden costs, leading them to abandon their carts.
2. A complicated checkout process that involves multiple steps, excessive form filling, or mandatory account creation can also contribute to cart abandonment. Shoppers prefer a quick and easy checkout process that requires minimal effort and time. Any friction or inconvenience during the checkout process can cause shoppers to abandon their carts and look for more user-friendly options.
3. Trust is crucial in online transactions, and if shoppers do not trust the website or the retailer, they may abandon their carts. Concerns about the security of online payments, privacy, and data protection can all erode trust and lead to cart abandonment. Retailers need to prioritise building trust with their shoppers through secure payment options, transparent policies, and clear communication.
4. Limited payment options can also be a significant factor contributing to cart abandonment. Shoppers expect to get a variety of payment options, especially today. These include credit/debit cards, net banking, digital wallets, UPI, EMI, Pay Later and cash on delivery. If one of their preferred payment options is not available or if the checkout process fails to accept a particular payment method, shoppers are highly likely to abandon their carts.
What Are Some Ways To Reduce Cart Abandonments?
There are several ways to reduce cart abandonment and increase the likelihood of converting website visitors into paying customers.
1. Simplify The Checkout Process
As mentioned above, a complicated checkout process can significantly harm the business. So much so that nearly 46% of these abandonments happened primarily due to this very reason.
The best way to convert this percentage into actual sales is by optimising the checkout process. Reduce the number of steps, minimise form filling, and make it easy to edit and review carts before making a purchase. For instance, GoKwik-enabled merchants have seen a significant improvement in their checkout conversion rate by simplifying the entire buying process.
With GoKwik-powered checkout, users get the option to log in within microseconds. They also easily skip the address-fill stage as GoKwik automatically fills it for them. This eliminates friction in the checkout process and increases the chances of conversions.
2. Offer Discounts And Incentives
Another way to reduce cart abandonment is by offering discounts and incentives to shoppers. They help encourage shoppers to complete their purchases. However, keep in mind that selecting the right kind of discounts and incentives is critical. For if these are not relevant to the shoppers, it will give them another reason to abandon their cart.
GoKwik offers 250+ discounting options to choose from. It also offers proper guidance to ensure these discounting strategies work wonders.
Meanwhile, apart from offering regular discounts and incentive schemes, retailers can also offer discounts at the payment stage to further reduce the chances of abandonment. For instance, boAt offers an extra 15% discount to all its shoppers who choose to pay via UPI. This additional rebate acts as a catalyst and ensures conversions.
3. Provide Customer Support
Offering seamless customer support throughout the checkout process can significantly help to reduce cart abandonment. Online retailers can offer live chat (web or via WhatsApp), phone support, or email support to help shoppers resolve any queries and concerns they may have during the checkout process.
4. Use Remarking Tactics
Online retailers can use different types of remarketing tactics to recover abandoned carts. These can include,
- Sending targeted email and WhatsApp reminders
- Allowing shoppers to checkout within WhatsApp
- Offering enticing discounts to lure shoppers to complete the purchase
- Display personalised ads across various platforms
5. Offer Multiple Payment Options
Last but not least, providing multiple payment options and clear information on shipping costs as well as delivery dates is another excellent way to reduce the risk of cart abandonment. Shoppers expect transparency and convenience in their online transactions. And, online retailers must cater to these expectations to minimise the aftereffects.
How Can Online Retailer Offer Seamless Payment Experience To Reduce Cart Abandonment
Online retailers can take several steps to offer a seamless payment experience and avoid cart abandonment. Here are some strategies that they can implement.
1. Offer Multiple Payment Options
One of the primary and most effective ways to reduce the risk of cart abandonment at the payment stage is to offer a wide variety of payment options. Pick and choose options that are most popular and can accommodate different customer preferences.
For instance, UPI is one of the most commonly used digital payment modes in India today followed by wallets, and credit/debit cards. So, ensure that these payment methods available on the site.
2. Ensure Secure Payment Options
Prioritise customer trust. Offer secure payment options and display trust badges or security seals that instil confidence in shoppers. This is highly critical in a country like India where nearly 60% of people still want to transact in cash and show less interest in digital payment modes. The more secure the payment option, the fewer the concerns about making online payments.
3. Provide Transparent Pricing
Clearly display all costs - including shipping fees, taxes, and any other additional charges, upfront during the checkout process. This can significantly prevent shoppers from witnessing surprises and punching them towards cart abandonment.
4. Use Mobile-optimised Payment Solutions
Since a major chunk of the Indian audience shops via mobile apps, retailers must ensure that their payment solutions are mobile-friendly and easy to use. The more flexibility, the better the conversion rate, and vice versa.
5. Ensure Fast And Reliable Payment Processing
Slow or unreliable payment processing can cause frustration for shoppers and increase the likelihood of cart abandonment. Retailers must ensure that their payment processing system is fast, reliable, and error-free. For instance, GoKwik ensures that every transaction processed through its platform and partner payment gateways is fast, encrypted, and successful.
To Conclude,
Cart abandonment is a persistent challenge being faced by online retailers, causing lost sales and revenue. However, many proactive measures can help curb this problem. By prioritising website optimization to offer a seamless user experience, simplifying the checkout process, offering attractive discounts and incentives, driving retargeting campaigns, and providing exceptional customer service, online retailers can address common pain points and reduce the risk of cart abandonments.
AUTHOR
Suhag Vamja
Head of Product Marketing @ GoKwik
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