How a simplified checkout page helps you reduce transaction bounce rates
There are multiple reasons why a transaction fails. Broad categories are bounced, failed and dropped. On an average 20-25% of total initiated transactions for a merchant goes towards bounce. This is a huge opportunity lost for merchants. So, how bounce rates can be reduced? Obviously, these cannot be controlled entirely but a significant chunk of it can be controlled. For that, it is essential for the product manager of an e-commerce company to understand reasons behind transaction bounce. It is important to understand the intent of the user visiting the website and to achieve that the checkout experience should be made simple, relevant and self-explanatory with minimum number of steps required to reach the payment page. Let us take some examples to understand it better.
Transaction Bounced Explained
User Intent & Usability– Checkout experience of a website should be simple and intuitive. If it is not, customer may close the website page in between out of confusion or frustration and could go to a competitor website. This will increase bounce rates, which means merchant is losing revenue on transactions that could have been successful but were not because merchant failed to provide simple checkout page.
Another key thing is to understand the intent of customers visiting the website. Take a scenario that the intent of the user visiting one of the website is just to buy an event ticket in minimum number of steps, but merchant checkout page requires user to fill in many mandatory fields before taking to the payment page. This increases the probability of a user closing the website without completing the transaction, increasing bounce rates.
Let us look at a sample checkout page and visualize how a poorly designed page can reduce usability and kill user intent:
So, there are multiple problems here.
- Page does not provide easy interface to buy multiple tickets (1st screenshot).
- Lengthy 5 step process(2) to complete a transaction
- Does not provide guest checkout (3) option.
- Multiple mandatory fields (4) that user may not want to fill in or interested to share, reducing usability and killing user intent.
- “Other Information” section is vague (5), does not give clear message on why this information is required for a user who only wants to buy a ticket in the simplest possible way.
Now, let us look at a page for another events website and see how simplified the checkout experience could be
- Simple 2 step process with simplified interface to add as many tickets as a user wants to purchase
- Terms and conditions page
- And that is it, directly on to the payment page.
This is how bounce rates can be managed by providing a simplified checkout process just like we at PayUbiz believe in providing Simplified Payment Solutions.