Future of the Digital Checkout
Today’s trends shaping tomorrow’s Tech
Research from over 4,500 global consumers and 150 eCommerce decision-makers to bring you the latest insight into innovations and trends shaping the future of the digital checkout.
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Optimising the checkout experience is one of the most crucial parts of the job as a retailer, but with ever-changing customer demands and rising expectations, it can be hard to see which way the wind is blowing. The Pandemic and events of last year have amplified the consumer's desire for convenience, immediacy, and simplicity. Never before has the consumer expected so much from online businesses.
Across a multitude of industries, the needs of customers no doubt vary; however, one issue that rears its head throughout the eCommerce world is cart abandonment, and the fact that so much revenue is left behind in abandoned carts is a cause for great concern. The value of products in the average customer’s abandoned carts is $67.67 per week – a figure that eCommerce retailers can ill afford to ignore.
As such, for any business to continue to grow from an eCommerce perspective, it must embrace the changes sought by customers and investigate the innovations that can propel profits upward.
- Matthew Furneaux
Global Commercial Director, Loqate
Top findings
44% of customers say they will not return to a site if it has a poor checkout experience.
36% of consumers say that address validation is the best way to improve an online checkout.
56% of online shoppers actually want a slower purchase journey.
The impact of the pandemic
72% of consumers have a greater reliance on online shopping compared to before the pandemic
The opportunity has never been so great for eCommerce retailers to capitalise on a market eager for more online delivery options. 72% of consumers have a greater reliance on online shopping compared to before the pandemic. For this reason, eCommerce sales saw the equivalent of five years of growth last year alone.
Cart abandonment remains as problematic as ever
Although some cart abandonments are inevitable, there are plenty more that come about due to poor websites and checkout experiences.
The average customer abandons a cart six times a week for this reason, and when the potential value of those purchases is taken into account, each customer costs retailers an average of over $67.67 every week.
Revenue lost per week due to poor websites or online checkouts
Main concerns for eCommerce decision-makers
Our research uncovered several areas that key decision-makers from the eCommerce industry are keen to improve. Delivery error is the biggest concern, as was slow checkouts and cart abandonment - all of which are resolved by improving the checkout experience.
Delivery errors
Not generating initial visitors
Slow checkout procedures
Not driving enough return visitors to your website
Cart abandonment
Retaining customers on the website
Trust issues with the website
Decision makers say that delivery error is their largest barrier to success
How to improve the checkout for customers
Given that improving the checkout is the best way to avoid cart abandonment, it would be wise for eCommerce retailers to listen to what customers are asking for in this department. Clearer pricing and address verification are both mentioned as quick fixes for flailing checkouts.
36% of customers say that address lookup improves the checkout experience
