Determinants of Cart Abandonment

In: Business and Management

Submitted By chandanzzz1
Words 3821
Pages 16
Abstract Despite placing items in virtual shopping carts, online shoppers frequently abandon them —an issue that perplexes online retailers and has yet to be explained by scholars. Here, we identify key drivers to online cart abandonment and suggest cognitive and behavioral reasons for this non-buyer behavior. We show that the factors influencing consumer online search, consideration, and evaluation play a larger role in cart abandonment than factors at the purchase decision stage. In particular, many customers use online carts for entertainment or as a shopping research and organizational tool, which may induce them to buy at a later session or via another channel. Our framework extends theories of online buyer and non-buyer behavior while revealing new inhibitors to buying in the Internet era. The findings offer scholars a broad explanation of consumer motivations for cart aban- donment. For retailers, the authors provide suggestions to improve purchase conversion rates and multi-channel management.
Keywords Online shopping cart abandonment . Online buyer behavior theory. E-tail .E-commerce
To more fully understand buyer behavior, it is crucial to also examine consumer “non-buying” behavior. Non- buying behavior is especially apparent in an online retailing context, where many shoppers place items in their virtual shopping carts yet do not complete the purchase—thereby abandoning their cart. Known as virtual or online shopping cart abandonment, we define this behavior as consumers’ placement of item(s) in their online shopping cart without making a purchase of any item(s) during that online shopping session. Industry studies report that 88% of online shoppers have abandoned their electronic cart in the past (Forrester Research 2005). As an ongoing “non-buyer” behavior, online shoppers abandon their carts approximately a quarter of the time. Specifically,…...

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