Remember the “helping hand” from those Hamburger Helper commercials? He always came just in time to help enrich dinner for the busy family finally giving them some quality time. We at Advertise.com like to think of ourselves as the helping hand for shopping carts–we find users who have abandoned shopping and use our secret blend of herbs and spices to bring them back to convert! How do we do this? Our secret recipe: Remarketing.
Recently we came across some research from SeeWhy that sparked our interest, according to their findings, below are the top 5 reasons why users leave the checkout process when buying online:
1. Shipping and handling costs were too high 44%
2. I was not ready to purchase the product 41%
3. I wanted to compare prices on other sites 27%
4. Product price was higher than I was willing to pay 25%
5. Just wanted to save products in my cart for later consideration 24%
These numbers aren’t shocking; we’ve all been there, about to press the “purchase” button when something stops us. In fact, SeeWhy found that the shopping cart abandonment rate is currently 71 percent. That means that more than 7 out of every 10 customers that start a shopping cart process fail to complete it. And during 2009, 88 percent of U.S. online customers abandoned at least one shopping cart, or 136 million people in total.
That’s a lot of abandonment going on, and while there is no way to avoid shipping and handling costs, there is a way for retailers to get back in front of those individuals who have left their site.
SeeWhy goes on to note “This is where remarketing is absolutely essential. Website visitors that have just abandoned a shopping cart are your very best prospects. After all, they almost purchased…but didn’t quite.”
Remarketing empowers marketers to get in front of viewers who have already shown interest in a product or service by following them and showing ads for the product or service they initially eyed as they surf elsewhere on the web.
This means for the percentage of people that leave a site because they aren’t ready to purchase or they are comparing prices, a retailer can reengage with that visitor through a targeted advertisement. These ads can be specific to the product that they were originally debating, or just a friendly call to action like “Free Shipping” or “10% off”.
Harking back to the results of our survey with SEMPO, to back up SeeWhy, in our research we found that Remarketing is the most underutilized online marketing technology.
Remarketing is underutilized and shopping cart abandonment is sky high. Coincidence? We think not.