Automated Labels: Reduce Cart Abandonment in Black Friday Cyber Monday (BFCM) 2024

Every year, Black Friday and Cyber Monday (BFCM) offer significant growth opportunities for e-commerce stores. However, along with increased traffic, there’s a major challenge: high cart abandonment rates. Research by Baymard Institute shows that 69%-81% of customers abandon their carts without completing their purchase. This means that for every 100 potential customers, around 70 leave without making a purchase.

To help Shopify merchants seize this prime sales opportunity during BFCM, Fordeer offers tips on using labels and badges to enhance the customer experience and convert browsers into buyers.

I. Cart Abandonment Rate and Why It’s a Big Problem

1. What is Cart Abandonment Rate?

The cart abandonment rate represents the percentage of customers who added products to their cart but did not complete checkout. This is a key metric for evaluating how effectively an online store is converting potential customers into real ones.

2. Industries Prone to High Cart Abandonment

Sectors like cosmetics, accessories, and fashion—which are seasonal and trend-dependent - often experience higher cart abandonment rates, especially during major shopping events like BFCM, Christmas, or New Year. Without strong strategies to capture attention and build trust, stores are at risk of losing these potential sales.

II. Causes and Solutions from Fordeer

The issue of customers abandoning their carts just before checkout is like preparing a grand feast, only for the guests not to stay long. Statistics indicate this is a common problem for many online stores.

So, what’s the reason?

It could be that your store isn’t appealing enough, the promotional program isn’t clear, or there’s simply not enough trust for the customer. How can this situation be changed? Let’s find the answer together.

1. Lack of Trust in Product and Store

Trust is one of the most important factors in online shopping. Many cases show customers hesitating to finalize purchases because previous online orders didn’t match their expectations. Additionally, if customers have added items to their cart but see another shop with better images, more purchases, and more reviews, they may leave you for them.

Fordeer's Solution: Showcase Trusted Suppliers with Vendor Labels

If your store has products from trusted suppliers like Apple or Nike, use labels that display the brand name directly on the product image. Customers can easily recognize big brands and tend to trust them more, leading to quicker purchase decisions.

While most themes allow vendor names to be displayed, it’s important to emphasize that our solution is intended to highlight well-known brands, rather than simply providing less-attractive information.

Basic Instruction:

To implement this, you don’t just create a label and add products but should combine it with the Product vendor feature to automatically display well-known brands on your product images. Here’s how to do it:

1. Access the app and create a label containing a logo or easily recognizable symbol of the brand you want to feature on your product images.
2. Create labels using text or images with content such as "100% Authentic, Quality Assurance."
3. Go to Product Settings and enable the Product Vendor(s) option under Advanced settings.
4. Activate and select the appropriate supplier for the created label.

This helps products stand out with the selected brand and creates a strong connection with customers through the product image.

Advanced: To achieve customization and compatibility with your business, we suggest combining other advanced conditions to increase operational flexibility:

• Product Type: simultaneously combine certain products with the vendor you've chosen, e.g., display Tissot brand watches.
• Price Range: combine the price range with the selected vendor, for example, show the label with a condition of a price range from $500.

2. Customers Solely Await Promotions

Promotions can attract many customers, but they also create a "side effect" forming a mindset of waiting for discounts before buying. Therefore, this is also one of the reasons customers add items to their cart but don’t complete the purchase.‌‌ Limit the time for discount codes, promotions, and flash deals so customers feel they must buy quickly, or they’ll miss out.

Fordeer's Solution: Time-limited Labels with Schedule Settings

This feature allows you to create FOMO (Fear of Missing Out) labels like "Today Only," "Best Price Today," or "Flash Sale." By limiting the application time, these labels create immediate shopping incentives for customers, encouraging them to act quickly before the deal ends.

Basic Instruction:

• Open the Fordeer: Product Labels & Badges app
• Create text or image-based labels tailored to your sales event.
• In the Schedule Settings, define when the label will be visible with Date or Weekly.
• Use the Weekly Timing option to display labels during specific hours, like peak shopping times.

Limiting time creates a FOMO effect (Fear of Missing Out), prompting customers to act quickly to enjoy the promotion before it expires.

Advanced: Additionally, you are free to add our advanced conditions to impress customers:

• Discount Range: Your program will display with products that are discounted according to the % you set. Example: "Best Price Today" will display on products discounted by 50%.
• Price Range: The price range you set will display the label. Example: "Deal Ending Soon" label displays for products valued from $500 to $1,000.

3. High Shipping Costs

Another effective way to reduce cart abandonment is to offer free shipping. According to Baymard Institute statistics, 44% of shoppers abandon their cart due to high shipping costs. Offering shipping discounts will make customers feel less hesitant and make purchasing decisions faster. Additionally, reducing shipping costs gives a competitive advantage, making customers favor your product over competitors.

Fordeer's Solution: Free Shipping Labels with a Specific Price Range

Balance product profitability, then use Product Labels & Badges to create a Free Shipping label for orders meeting the required value. When customers see products with free shipping or discounted shipping, they will have fewer reasons to hesitate and more easily decide to buy, giving them a competitive edge over stores without this policy.

Basic Instruction:

1. Access the Fordeer: Product Labels & Badges app.
2. Create a Free Shipping label like "Free Shipping - Today Only!" or your desired message.
3. Go to Product Settings, choose Price Range, and specify the amount you’re ready to offer free shipping for.

With a few basic setup steps, you have a strategy to eliminate the psychological barrier of high total order costs, helping customers confidently make purchasing decisions.

Advanced: Some advanced features we suggest will give you additional choices to enhance your sales strategies:

• Customer Tag: A feature often used by B2B or wholesale businesses to serve their customers by simply categorizing them to display different label samples.
• Schedule Settings: Display labels on main holiday dates to increase orders.
• Display by Country: Another interesting feature that international, multi-national businesses use by setting different countries, which will have Labels displayed with suitable content in each country.

III. Successful Examples of Using Product Labels & Badges in Sales

1. VICI

This needs image editing and adding a label about the stock quantity.‌‌As a standout fashion brand for women, VICI uses the "Selling Fast!" badge to indicate hot-selling products, helping customers quickly spot popular items without spending time searching.‌‌Along with that is the label displaying "2 items left!", creating the FOMO effect (Fear Of Missing Out) that encourages customers to shop and check out immediately before the item sells out. This is one of the most popular label types to reduce cart abandonment.

The "QUALIFIES FOR FREE SHIPPING" badge is displayed under the product price, providing an important push that helps customers decide to buy, especially with attractive offers during shopping events.

2. SOKO GLAM

As a leading Korean beauty brand, SOKO GLAM uses labels like "Best of 2022" and "Natural Ingredients." For skincare products, safety and quality are top priorities for customers, and SOKO GLAM has successfully built trust by using Labels to highlight product certifications and strengths.

IV. Practical Tips for Optimizing Labels & Badges

• Strategic Placement: Position labels prominently, such as in the top corner of product images or near the price, to ensure immediate visibility.
• Avoid Overloading: Limit labels to what’s essential for each product to keep the presentation clean. For example, one label like “Free Shipping” or “Limited Stock” is often sufficient.
• Monitor and Adjust: Track the effectiveness of each label using metrics like click-through rates and conversions. Adjust label positioning or content based on these insights.

Conclusion

The examples above show that understanding and strategically applying conditions and labels can help reduce cart abandonment. By creating urgency with time-limited promotions and building trust with brand labels, merchants can enhance customer experience and encourage faster purchase decisions. With Fordeer: Product Labels & Badges, merchants can boost their conversion rate and make a strong impression during peak seasons like BFCM, ultimately increasing revenue effectively.

For more invaluable information, stay updated with Fordeer Team!

• Install Fordeer Apps for Free
• Get immediate assistance by chatting with us.
• Join Fordeer Commerce Community for fresh app updates, expert tips, and private deals.