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Are You Selling Online? Are You Remarketing?

June 18, 2010 • Article by Dan Fallon

I stumbled upon an interesting article from SeeWhy about online purchasing behaviour and shopping cart abandonment rate. According to them, below are the top 5 reason 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%

Note respondents were able to give multiple answers

I guess it’s not surprising to see shipping and handling costs come in at number one. For starters, I quite often add an item to my basket when browsing online (and with no intention of purchasing) just to see how much the postage comes to.

But what the article then goes on to address is how companies recapture these users and re-entice them back into completing their order. The answer is simple – remarketing. For example, if the visitor came via an ad on Google or its content network, it’s just a case of installing some code on the site which tracks and “follows” them for a predefined period (or until they commit to complete the transaction).

However it seems a lot of companies are spending a small fortune in online advertising and search engine marketing but are overlooking the importance of remarketing. Users have already expressed an initial interest by clicking on the ad so surely it makes sense to keep bugging them until they decide to buy? Well, apparently not…