These Common Problems Could Be Preventing Your Customers from Converting—Bread Express Can Help
Your customers don’t like filling out forms. Whether they’re online or on paper, they’re a universal inconvenience. How often have you started filling out a form online to order from a new site or to subscribe to a newsletter or service, only to get overwhelmed by a long list of fields or an over-involved process and closed the tab before you finish?
You’re not alone: your customers are doing the same thing. In fact, the average documented online cart abandonment rate is 69.89%, according to the Baymard Institute. Over one quarter of those customers (26%) will abandon a cart because of a lengthy or complicated checkout process. Anything that adds to the complexity or difficulty of that experience is going to lead to more abandoned carts and fewer purchases. We’ve shared some tips for ecommerce retailers to overcome cart abandonment before, but what causes it, and how can you prevent it at checkout?
To see just how much customers hate filling out forms, and how it’s impacting our retailers’ business, Bread conducted a survey of over 500 Americans to get some answers. What we found are several prime reasons why customers aren’t making it to checkout.
Checkout is taking too long
We’re all short on time, and time is one of the biggest pain points when shopping online. It’s meant to be more convenient, but when checking out takes longer than expected, customers give up.
We found that 58.5% of consumers cited a ‘long checkout process’ or ‘payment information taking too long’ to enter as their main pain points for online shopping. No matter how attractive and informative your product pages are, or how intuitive your experience is, if providing payment information takes too long your consumer will likely abandon their cart and you’ll lose out on a sale.
Solution: Keep your checkout process as simple as you can. That means no distracting information, super clear calls to action, and clearly-set expectations on what the customer needs to do and what the next steps are going to be. If the customer has shopped with you before, remember that information and auto-populate it when they log in. Make sure you offer a variety of payment options, that the final price clear and in their local currency, and that payments are processed quickly. Optimizing every part of the experience will go a long way towards driving more checkouts.
You’re asking too many questions
As a marketer or ecommerce leader, you want to know as much about your customers as possible. It’s a difficult balance—checkout is a crucial time to collect the information you need to improve your experience. However, making the process too involved and the barrier to checkout too high is going to lead to higher cart abandonment.
In our study, we found that a shocking 49.9% of consumers said they were ‘very likely’ to abandon a form because it asked for too much information. Don’t make the same mistake.
Solution: To strike a balance between collecting information and streamlining your journey, you’ll have to do a bit of testing. You’ll want fewer form fields up front to encourage more customers to complete the sale, but that doesn’t mean you can’t ask any questions. Ask what you need to complete the sale at first, and save that information for later wherever you can so they don’t have to repeat it. If you want to learn more about your customers’ interests or behavior, follow-up with more questions after they’ve completed checkout, or include an option to “complete their profile” in your confirmation email.
You’re asking for sensitive information
Customers are concerned about their privacy and safety—and for good reason. A report from 2016 showed that 91.6% of personal information breaches were due to data theft. It’s no wonder that 59% of surveyed customers report that they were concerned about having their information stolen online.
Based on our Bread survey, 63.2% of consumers noted they were extremely uncomfortable submitting their social security number to an online website—one of the most valuable and vulnerable pieces of personal information. Unfortunately, your social security number is also a crucial piece of info to identify customers who are applying with financing. Is there any way around it?
Solution: Luckily, yes. Bread is launching Bread Express—a new shorter prequalification that doesn’t require customers to enter any part of their Social Security number or date of birth.
Our Fastest Rate Application Process Yet
Bread Express helps streamline checkout experience by reducing friction and decreasing the number of pieces of information customers are required to share to see their credit terms. Many traditional financing application forms require an array of different pieces of personal information, but Bread Express only requires three to prequalify a customer: name, email, and mobile phone number.
We’ve already seen Bread Express elevate conversions for Bread’s retail customers by 5 to 10 percent during beta testing.
Learn more about Bread Express here.