Thursday, April 25, 2024

CouriersPlease: Why nine in 10 Aussies abandon online shopping carts

With online shopping cart abandonment resulting in a staggering annual loss of $18 billion in sales revenue for e-commerce stores across Australia[1], a recent survey of online shoppers revealed 88% abandon goods in online shopping carts. Interestingly, 63% of respondents identified expensive shipping costs as the main cause of cart abandonment.

The figures have been revealed in a survey of an independent panel of 1005 Australian adults who shop online, commissioned by leading parcel delivery service CouriersPlease.  

“The survey results found that only a small minority of online shoppers – 12% – are decisive shoppers that do not abandon their shopping carts, and the proportion is higher among over-50s. Cart abandonment is more common among 18-30-year-olds, with only 3% of this age group proceeding to checkout without leaving items in their carts. Whereas in the 31-50-year-old category, 10% do not abandon their carts and 18% of those over 50 do not leave items in their online shopping carts.

“Shipping costs are a concern shared across all age groups, with 65% of under-30s and 59% of over-50s abandoning their shopping carts because of shipping costs and not proceeding through check out. This close margin suggests that consumers of all ages are actively seeking ways to minimise additional expenses amid current cost of living challenges. A higher proportion of women (71%) abandon shopping carts due to shipping costs than men (55%).”

Other online shopping expenses are also a concern for shoppers, with 26% of respondents not proceeding to check out after discovering currency exchange fees and other fees associated with their purchases.

The survey results indicated that a significant proportion of consumers also use shopping carts as a form of ‘window shopping’, leaving their items in the cart while research better deals elsewhere or realising they didn’t need the product. “For instance, 38% of respondents – and 45% of 18-30-year-olds – admitted to abandoning their carts after researching and discovering the same item at a cheaper price elsewhere. Twenty-nine (29)% of respondents abandoned their carts because they realised the product was unnecessary, while one in four (26%) directly admitted that they use online shopping carts as wish lists. One in five (20%) simply lost interest in their selected product.”

Inconvenient delivery options are the reason why 16% of shoppers don’t complete their online purchases. With hybrid working arrangements becoming a mainstay across corporate Australia, flexible and customer-friendly shipping choices are becoming more of a priority.

CouriersPlease CEO Richard Thame says: “We are heading into peak sales season – with Black Friday, Cyber Monday and Christmas running in succession – where cart abandonment rates might rise due to wider choices and limited time. Our research aims to inform retailers, who may decide to strengthen sales and marketing messages for individual products to reduce cart abandonment.

“We are proud to partner with major online retailers who prioritise offering value, just as we aim to provide value in shipping. In today’s economy, affordability is key, and our strategic partnerships focus on aligning with retailers whose product offerings resonate with cost-conscious shoppers.

“CouriersPlease is committed to improving the customer experience and making the delivery process simpler by allowing customers more flexibility in how and when they receive their parcels. We can now offer customers who shop with many of our retail partners the option to collect their parcels – even after hours – from over 3,000 conveniently located collection points. Receivers can also elect to reschedule their deliveries to a different date or redirect to a neighbour’s house in response to a notification that their parcel is on its way.”

For more information, view the full survey results.

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