1. Author: Adarsh Bikash Saikia,
Indian Institute of Management, Calcutta

2. REDUCING ONLINE SHOPPING CART ABANDONMENT BY ECOMMERCE
COMPANIES THROUGH STRATEGIC REMARKETING AND CRM WEB-ANALYTICS
Flow of
Presentation
Solution
Analysis
Study
Design
Problem

3. Shopping cart Abandonment
Exit of a prospective customer from the web store without completing the
purchase of items added to their shopping cart.
88% customer leave
Price too high (25%)
cart before purchase
Compare price
elsewhere (27%)
24%
comeback Not ready to buy yet
80% (41%)
Shipping & Handling
costs (44%)
 Customers more demanding online.
 Too many sites available, giving them options
 Customer loyalty through ECRM - important
*Source: Global Millennia 2011
PROBLEM STUDY DESIGN ANALYSIS SOLUTIONS

4. Shopping cart Abandonment
Focus areas for E-Commerce marketers
Who are my customers?
What is the strategy of my competition? What is the best Price for
my product?
PROBLEM STUDY DESIGN ANALYSIS SOLUTIONS

5. Design of Study
$200 million/day of sales
Studied 5 website to understand their
CRM response.
Shopping cart abandoned in each of
the website
Cart sizes varied from 1 item to 10
items. Also in terms of value.
Responses monitored as a registered
as well as unregistered user
Total response studied for 4 weeks
To understand the best practices as well as short-falls in ECRM & online remarketing
PROBLEM STUDY DESIGN ANALYSIS SOLUTIONS

6. Results of Study
Only Amazon contacted
within 1st week
Unregistered users
not contacted
Only Amazon
reminded of cart
Amazon,
Myntra, Ja By 4th week all
bong companies started
giving offers
PROBLEM STUDY DESIGN ANALYSIS SOLUTIONS

7. User pipeline
Web Analytics
 Integration of email solution
 Building of dynamic messages
 Triggering the messages according
to consumer behavior
Contact List
for Product Offer Wait for set Terminate
conversation in the email time period conversation
Opens
Clicks Bounces
Campaign
Parameters
ECRM Conv.
Orders
Rate
Revenue
PROBLEM STUDY DESIGN ANALYSIS SOLUTIONS

8. E-mail Remarketing
a= • No. of e-mails sent (x)
60%
b= • No. of e-mails opened (0.6x)
40%
c= • No. of clicks on the e-mail link (0.24x)
15%
• No. of orders (0.036x)
Increase: a, b and c
 Send the first re-marketing email within 24 hours of
cart abandonment.
 Use a picture of the cart to remind the user of what he
was looking after.
 Use offers and discounts to lure the customer from the
second e-mail onwards.
 Keep it short and simple
 Use free shipping (if possible).
PROBLEM STUDY DESIGN ANALYSIS SOLUTIONS