Shopping cart abandonment

Simplifying CX YouTube series episode on how to battle shopping cart abandonment.

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Video transcript

Hey everyone, Rachel here from GetFeedback. Welcome to another episode of Simplifying CX.  

If you’re new to this channel, welcome! Our videos are here to provide you with straightforward answers to the biggest CX challenges. If that sounds relevant to you, don’t forget to subscribe!  

Today I’m going to go over the basics of shopping cart abandonment and the shopping Cart Abandonment Rate, also known as CAR, which is one of the most important metrics for ecommerce brands to track. 

First, I’ll define shopping cart abandonment and why it's important. 

Then I’ll go over how to measure it with the CAR metric.

The term shopping cart abandonment refers to when a prospective customer starts the checkout process for an online order but drops out before completing the purchase.

 In other words, when there is an item in an online shopping cart that never makes it through the transaction, it’s considered to be “abandoned” by the shopper. 

There are many reasons shoppers might be abandoning their cart on your website or application. But before you delve into the possible issues, it’s important to know how to measure your Cart Abandonment Rate, also known as  (CAR), to gauge your current situation.

Knowing your Cart Abandonment Rate (CAR) can help identify if there are hidden challenges on the path to purchase. If the CAR increases, that can be an indication something is going wrong. 

OK so how do you measure it?

To calculate your CAR, divide the total number of completed purchases by the total number of created shopping carts. Subtract the result from 1 and then multiply by 100 to get to the percentage.

For example, if there are 70 complete purchases and 400 shopping carts created total, the Cart Abandonment Rate would equal 82.5%. / 1 – (70 ÷ 400) x 100 = 82.5%

A high cart abandonment rate is a sign that somewhere across the customer journey, there is at least one poor experience or broken funnel.

You can identify the poor experience or broken funnel by collecting feedback across your site via in-the-moment surveys capturing customer loyalty metrics like CSAT, CES, NPS, as well as qualitative responses from your customers. These surveys help you to dig deeper to identify and fix existing issues in the customer experience. 

We’ve covered these types of surveys in previous simplifying CX episodes, so check out our playlist for more information.

Once you’ve calculated your Cart Abandonment Rate, continue tracking this metric to see if you’re improving and where you need to make further changes. 

For a complete guide on shopping cart abandonment and how to improve your Cart Abandonment Rate, click on the description section of this video. The guide takes a deep dive into the common reasons shoppers abandon their carts and how to overcome them.   

Also, if there’s a topic that you’d like us to cover -- tell us in the comments section! 

And make sure to subscribe now to see more videos that simplify CX. 

Until next time!  

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