E-Commerce - Week 7

Topics: Retailing, Online shopping, Electronic commerce Pages: 2 (637 words) Published: May 18, 2013

Course: BUSN320
Assignment: Week 7 Assignment

As the owner of an online surfing gear business, you periodically study the customer paths on your site. This week you've noticed a high percentage of customers abandoning their orders at checkout. Outline the possible reasons as well as how you would correct the problem. Have you ever gone online to checkout a website? And as you browsed through, you add things to your shopping cart as you go along. At the end you decide to go to your shopping cart and go through the process as if you were going to check out, you look at your total and decide to come back later. And that’s if you decide to purchase those items. I know for sure that I am guilt of that. When an online store sees that there are a high percentage of abandoned shopping carts on their site, they try to see what the possible reasons are and how they can fix them.

There are several reasons why online shoppers abandon their shopping cart. Some of the reasons are: shopping and handling costs are high, the customer may not have been ready to purchase the product, the customer was comparing prices, there prices are higher than the customer is willing to pay, or the customer just wanted to save the product for later (Roggio, A., Apr 24, 2012).

Many e-commerce teams instinctively think that tuning the checkout process that is top priority when they consider increasing their website conversion rate (and redoing the shopping cart abandonment rate) (Bustos, L., Aug 10, 2012). When you have “free shipping” or “guest checkout” on your site, it appeals more to the customer. But due to high shipping charges, taxes and other fees will make a customer reconsider their carts. When you have a website that offer a quick shipping calculator, this will give the customer a view of the full price (Bustos, L., Aug 10, 2012). When you have a customer that think the prices are too high, you have to figure out how to make it more appealing to them. By...
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