UK Online Retailers Lose £1bn In Abandoned Transactions
Most of us know that developing user-friendly websites and providing convenient and simple online shopping experiences are two of the key factors for success in Internet-based commerce. A new survey that I noticed today comes as proof of this statement.
According to a new report from information services company Experian, UK consumers have abandoned online transactions worth £1bn mainly due to “old and inefficient identity measures”. About 20% of the abandoned transactions are not taken to another website or channel, meaning that retailers miss out on sales worth £200m.
The survey, carried out in collaboration with the International Fraud Prevention Research Centre, reveals that 44% of UK consumers have decided not to finish a transaction they had started at least once over the past year.
Nick Mothershaw, UK director of identity and fraud at Experian, comments that it is totally unnecessary to miss out on such amounts of money, with modern technology that provides “almost instantaneous” identity checks available. Professor Paul Barnes, director of the International Fraud Prevention Research Centre, also warns that the matter should be resolved immediately, as abandoned transactions are potentially harming key industries in the UK.
Research from last year also highlighted the importance of a simple e-commerce process for better conversion rates, with over half of respondents citing technical problems with sites as a reason to abandon a purchase, while over a quarter decided not to buy an item because they were required to register first.