Do you run an online shop and often notice that customers add products to their shopping cart, but do not finalise their purchases? You probably know perfectly well that this situation brings losses and the possibility of activating people who abandon shopping baskets would increase the profitability of your company. How to do it? The CCR ratio analysis will help you.
What is the CCR indicator and how to calculate it?
One of the most critical indicators in e-commerce is CCR (cart completion rate). It measures the ratio of the number of people who add products to the cart compared to those who make a purchase.
This indicator can be calculated using the following formula:
What does the CCR tell about your online store?
Cart Completion Rate Indicator can tell you a lot about the condition of your e-commerce – provide insight into its health and indicate points that need improvement.
A low CCR indicates that your customers are already heavily involved in the ordering process and looking for a purchase opportunity, but something has stopped them from completing the transaction.
On the other hand, the high CCR indicator informs us that e-commerce is very popular with customers and the majority of people who visit a given online store finalise their purchases. Lucky you!
If we analyse the purchasing path of a given customer in detail, we will likely find out at what stage of the shopping process the shopping cart has been abandoned. Maybe it happened when you asked the customer to create an account? Alternatively, perhaps when your potential customer saw the magic field "have a discount coupon?" and decided to search the Internet to find a discount? Alternatively, maybe when you asked for more information than is necessary to complete the transaction?
There may be many reasons for this. They depend on the specificity of the industry in which our e-commerce operates and the target group we are trying to reach. However, CCR analysis positively encourages e-commerce owners to analyse their customers' purchasing paths thoroughly and to strengthen those points that cause customers not to complete transactions. The problem of abandoned shopping carts concerns many online stores, but increasing awareness in this area will undoubtedly bring measurable benefits to every owner of an online store. CCR analysis will help you make small improvements that will ultimately have a significant impact on your financial performance.