Case study for Eldorado.ua:

a 7% uplift in conversion rate and 4% uplift in ARPU as a result of introducing an exit-intent pop-up with abandoned products in the cart

Summary

Cart abandonment is a major headache for most eCommerce stores, severely affecting their revenue. While there are many tactics to retarget users after they leave the site, there is a shortage of tactics to convince users to complete the purchase while they are on the site.

We introduced an exit-intent pop-up that shows potentially abandoned products in the cart when users motion to leave the site, to convince them to complete the purchase in the current session. The result: a 7% uplift in conversion rate and 4% uplift in ARPU.

 

Overview

Eldorado.ua is one of the largest electronics stores online in Eastern Europe (2 million visits per month according to SimilarWeb).
Our task was to increase the revenue per user (ARPU) metric by optimizing the UX to grow the conversion rate (CR) and average order value (AOV).

 

Research

The analysis of the conversion funnel demonstrated that a large proportion of users drop off between adding a product to the cart and completing the purchase. We identified the specific frictions that users experienced in the cart and checkout. One of them was a natural tendency to look if the product added to cart can be found cheaper in other places.

We identified that some users go to other sites to look for better offers for the products they added to the cart, and some of them never return, even if they don’t find a better deal. So we had to find a way to encourage users to close the deal before they start to look elsewhere.

We also found that Eldorado.ua has a significant selection of products that were in short supply. So we decided to effectively communicate to users about the scarcity of products in their cart, to convince them to complete the purchase in the current session.

 

Hypothesis

We reasoned that communicating to users that products added to the cart are in short supply, and may not be available for purchase later if the transaction is not completed in the current session, will reduce the cart abandonment rate.

The trick was to trigger this communication when there is some credible indication that users may be intending to abandon the cart.

 

Solution

To manifest our hypothesis, we decided to test an exit-intent pop-up that displayed the potentially abandoned products in the cart, and messages that communicate the scarcity of the products in the cart.

The pop-up activates when a user moves the mouse cursor outside of the browser window, provided that a user added at least one product to the cart in the current session.

 

The control variation had to changes to the UX

The alternative variation with an exit-intent popup

screen eldorado

Validating the hypothesis

To validate this hypothesis, we conducted an experiment that measured the impact of the new UX with the exit-intent pop-up on the CR, AOV and ultimately ARPU. The experiment had the following characteristics:

 

Experiment type:A/B test

Traffic split: 50/50

Device: desktop

Primary metric: ARPU

Secondary metrics: AOV and CR

Taking part in the experiment: 93,248 users

Conversions recorded during the experiment: 4,219.

Result

The alternative variation with an exit-intent pop-up that showed the potentially abandoned products in the cart, and messages that communicate the scarcity of products added to the cart, produced a 4% uplift in ARPU and a 7% uplift in the CR.

In fact, users who added products to their cart and viewed the exit-intent pop-up (alternative variation) had a CR 2.5 times higher than users who added products but didn’t see the exit-intent pop-up (control variation). Moreover, users who received the exit-intent pop-up and clicked on the “Confirm purchase” CTA in the pop-up had a CR of over 50%!

This result indicates that our scarcity messages were effective in convincing users to complete the purchase in the current session.

The result of the experiment achieved a 95% statistical significance and a power of 80%.

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