The checkout process is the final stage in the customer journey. It is the last step before a customer makes a purchase, and it can make or break the sale. A streamlined checkout process can help to improve conversion rates and customer satisfaction.
The Importance of the Magento 2 CheckoutProcess
The checkout process is important for a number of reasons. First, it is the last chance for you to convince the customer to complete their purchase. Second, the checkout process can influence customer satisfaction with your store. Third, the checkout process can affect your conversion rates.
The ultimate objective of every online business is maximizing its revenue. The biggest hurdle in achieving this objective is the common phenomenon of shopping cart abandonment. When the customer adds certain items to the shopping cart to initiate the checkout process but abandons them in between, it is shopping cart abandonment.
It is the ratio of the total number of initiated transactions, and the total number of transactions concluded. It is a crucial metric for online businesses as it highlights the lacunae in the checkout process, the user interface, or the sales funnel. Currently, the cart abandonment rate is around 47.8%, with shopping cart abandonment on mobile devices going as high as 47%.
According to a survey, the key reasons for shopping cart abandonment are additional costs, account creation requirements, complex checkout processes, etc. The survey further highlights that the losses in revenue can tune up to $260 billion in the absence of a streamlined checkout process. Online businesses can heighten their conversion rate by around 35% by rationalizing the checkout process.
Nevina Infotech underlines the importance of checkout as one of the major elements in optimizing an e-commerce business apart from Design, Plug-ins, Speed, and Content/SEO. Let’s see how the Checkout process of Magento 2 encounters the top 4 reasons for shopping cart abandonment.
Reasons for Abandonments During Cart & Checkout (2023 data):
- 47% Extra costs too high (shipping, tax, fees)
- 25% The site wanted me to create an account
- 24% Delivery was too slow
- 19% I didn’t trust the site with my credit card information
- 18% Too long / complicated checkout process
- 17% I couldn’t see / calculate the total order cost up-front
- 16% Returns policy wasn’t satisfactory
- 14% of Websites had errors / crashed
- 11% There weren’t enough payment methods
- 6% The credit card was declined
Reason#1: Extra costs too high (shipping, tax, fees)
At a staggering 53%, the foremost cause for abandoning the shopping cart is the additional costs involved in shopping viz. shipping charges, taxes, etc. Magento can’t moderate the shipping costs. But, the applicable shipping rates are not held back and are loaded automatically as soon as the customer enters the delivery details. On selecting a shipping rate, the total is updated to include the shipping charges. This transparency reduces the likelihood of abandonment of the cart notably.
Reason#2: The site wanted me to create an account
The compulsion to register with the website forces 31% of the customers to abandon the cart. The e-commerce businesses need to understand the principle of cognitive sloth, which states that humans are wired toward doing anything that requires minimal effort. Customers want to purchase things with the least amount of effort. The simplified registration process in Magento 2 delays the sign-up process until the order is placed.
The customer is not bothered by the same during the checkout process. Moreover, Magento 2 just asks for the e-mail address of the customer during checkout. If the e-mail matches that of an existing customer, the saved information is loaded automatically to fasten the checkout process. On the contrary, if the e-mail does not match, the account of the guest user can be created with a single click from the “Thank You” page. However, online businesses in a specific country (e.g., India) can modify this default setting by customizing it with the help of Magento development services in India.
Reason#3: Too long checkout process
The cumbersome and lengthy checkout process contributes 23% to the cart abandonment rate. The solitary-step checkout process of Magento 2 reduces the checkout time considerably. The customers can see all the relevant information on a single page itself, making the checkout process lucid and proficient. All the mandatory fields are displayed on this page, only meaning that shoppers can focus on purchasing without any back-and-forth navigation.
All the irrelevant details such as zip in case of domestic sellers, reviewing the order twice, etc. are eliminated in Magento 2. Region-wise customization is also possible in the checkout process of Magento 2 e.g., Indian businesses can opt for the GST field by customizing it with the help of any Magento development company in India. Moreover, the integration of Magento 2 with PayPal eradicates the need for entering information already with PayPal, such as billing addresses.
Reason#4: Not able to see total order cost up-front
One-fifth of the shopping cart abandonment is due to the inability of e-commerce sites to display the costs up-front. The checkout page of Magento 2 displays a detailed summary of the order, including product name, quantity, price, sub-total, etc. The summary also incorporates the images of the product, which cuts down ordering errors, which in turn reduces the returned items. The Magento development services have developed various extensions for customizing the checkout process e.g., to include extra charges for additional services such as packaging charges, gift wrapping charges, etc.
How to Hire a Magento Development Company
If you are looking to streamline the checkout process in your Magento store, you may want to consider hiring a Magento development company. A Magento development company can help you to:
- Design and implement a streamlined checkout process that meets your specific needs.
- Integrate with your existing payment gateways and shipping providers.
- Test and debug the checkout process to ensure that it is working properly.
- Provide ongoing support and maintenance for the checkout process.
To conclude, the streamlined checkout process can reduce the shopping cart abandonment rate drastically and enhance sales. So, streamlining the checkout process should be a core focus area for any online business. By default, the checkout process in Magento 2 is of two steps, which can be customized to reduce it to one step by hiring a Magento developer. Magento 2’s intuitive checkout process is the solution to the stated problem.
What is the Magento 2?
Magento 2 is an open-source eCommerce platform developed by Adobe. It is a successor to Magento 1 and was released in 2015. Magento 2 is designed to be more scalable, secure, and user-friendly than Magento 1. Magento 2 is a popular choice for eCommerce merchants of all sizes. It is used by a wide range of businesses, from small online stores to large enterprises.
How to make Magento 2 checkout process more user-friendly?
here are some tips on how to make Magento 2 checkout process more user-friendly:
Use a one-page checkout: This will help to reduce the number of steps in the process and make it easier for customers to complete their purchases.
Offer guest checkout: This allows customers to make purchases without creating an account. This can be a convenient option for customers who are not sure if they want to make a purchase, or who do not want to create an account.
Save addresses: Allow customers to save their shipping and billing addresses for future purchases. This can make the checkout process faster and easier for repeat customers.
Offer multiple payment methods: Offer a variety of payment methods, such as credit cards, debit cards, PayPal, and more. This gives customers the flexibility to choose the payment method that is most convenient for them.
Use clear and concise language: The checkout process should be easy to understand, with clear and concise language. Avoid using jargon or technical terms that customers may not understand.
Use error messages: If a customer makes an error during the checkout process, provide clear and concise error messages that help them to correct the error.
Personalize the checkout experience: Personalizing the checkout experience can help to make it more relevant and engaging for customers. This can be done by using customer data to recommend products, or by offering personalized discounts.
- How To Choose A Magento Application Development Company
- Why New Businesses Are Preferring Magento 2 For Their ECommerce Platform?
- How Much Is Magento Compatible With PWA?
- Why Choose Magento To Build An Omnichannel Retail Portal
- Features Of Magento Community, Magento Enterprise
- Smart Ideas To Boost Your Magento Store Sales