Add to Cart Ethics / Best Practices - Studies?

28 Mar 2008 - 1:22pm
6 years ago
3 replies
802 reads
Thomas Marks
2008

Does anyone know of any good studies, reports or resources involving e-
commerce/shopping cart ethics or best practices?

Currently I am working with a site that automatically adds (extended)
warranties to products when adding the product to the cart. The
customer is in for a surprise when they enter the cart and find a
price higher than they would expect, and must remove the warranty
(which is subtle and easy to miss) manually.

I am trying to support the idea that this is having a substantial
(negative) impact on cart abandonment rates, and a more long term
effect on customer trust and loyalty.

My personal belief is that this warranty should never be an "opt-out"
scenario and it should be treated and marketed as any other up-sell.

Any data or studies outlining these scenarios would greatly assist me
in supporting my position.

Thanks!

Thomas Marks
Front-End Designer

Comments

28 Mar 2008 - 4:29pm
kimbieler
2007

Thomas,

Yikes! This violates a basic trust principle of shopping carts. Here's
Jakob Nielsen on the subject ("E-Commerce User Experience," pp.84-85):

> "Trust is also related to pricing. High prices, shipping costs that
> appeared unreasonable, and hidden prices caused 5% of the sales
> catastrophes in this study. ...
>
> "Our users commented negatively on hidden prices. They were
> unpleasantly surprised by high shipping costs that were not shown
> until after they had gone through a lot of effort to find suitable
> products. ...
>
> "For these reasons and more, show the total price -- including
> shipping charges, taxes, duty, and any other fees -- as soon as
> possible. Don't wait until after the customer has placed an order."

-- Kim

+ + + + + + + + + + + + + + + + + +
Kim Bieler Graphic Design
www.kbgd.com
+ + + + + + + + + + + + + + + + + +

28 Mar 2008 - 4:48pm
Joshua Lane
2008

I don't have any data or studies to share, but you might want to
bring up the legal angle as well. By adding the extended warranty to
the cart (without the permission of the user), the company very likely
opens itself up to fraud-related lawsuits. At the minimum... they're
gonna get a lot of very angry customers canceling the extended
warranty.

Also, is the financial benefit going to outweigh the customer service
costs of people canceling the warranty? Plus the cost of the loss in
consumer trust? This whole scenario is also ripe for an internet
backlash (digg/consumerist/etc).

Joshua Lane
Senior Web Designer / Information Architect
Creative B'stro

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Posted from the new ixda.org
http://www.ixda.org/discuss?post=27755

31 Mar 2008 - 5:49am
Alexander Baxevanis
2007

Unfortunately it's already a common practice in the travel industry,
which has (quite predictably) not been very popular with consumers:

http://www.smartertravel.com/travel-advice/opt-out-is-still-another-scam.html?id=2360303
http://www.guardian.co.uk/money/2006/mar/11/travelinsurance.insurance

Good luck,
Alex

On Fri, Mar 28, 2008 at 7:22 PM, Thomas Marks <tmarks at sayersmedia.com> wrote:
> Does anyone know of any good studies, reports or resources involving e-
> commerce/shopping cart ethics or best practices?
>
> Currently I am working with a site that automatically adds (extended)
> warranties to products when adding the product to the cart. The
> customer is in for a surprise when they enter the cart and find a
> price higher than they would expect, and must remove the warranty
> (which is subtle and easy to miss) manually.
>
> I am trying to support the idea that this is having a substantial
> (negative) impact on cart abandonment rates, and a more long term
> effect on customer trust and loyalty.
>
> My personal belief is that this warranty should never be an "opt-out"
> scenario and it should be treated and marketed as any other up-sell.
>
> Any data or studies outlining these scenarios would greatly assist me
> in supporting my position.
>
> Thanks!
>
>
> Thomas Marks
> Front-End Designer
>
>
>
>
>
>
> ________________________________________________________________
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