Guest checkout versus forced accounts: what the data actually says

The Problem of Guest Checkout Versus Forced Accounts

Guest checkout versus forced accounts is a common dilemma for online store owners, as they try to find the right balance between making the checkout process as easy as possible for their customers, while also trying to collect valuable customer data. The data actually says that this is a critical decision, as it can have a significant impact on the overall conversion rate of an online store. According to a study by Google Search Central, 27 percent of online shoppers will abandon their cart if the checkout process is too long or complicated.

In this article, we will examine the data surrounding guest checkout versus forced accounts, and provide some practical advice for online store owners who are trying to make the right decision for their business. We will also look at some real-world examples of how different companies have approached this issue, and what the results were.

Understanding the Data on Guest Checkout

One of the most important things to understand when it comes to guest checkout versus forced accounts is the data on how customers behave when given the option to checkout as a guest. According to a study by Moz, 58 percent of online shoppers prefer to checkout as a guest, rather than creating an account. This is likely because many customers do not want to take the time to create an account, or because they are concerned about receiving spam email or other unwanted communications.

However, the same study found that customers who do create an account are more likely to return to the site and make repeat purchases. In fact, the study found that customers who create an account are 45 percent more likely to return to the site than customers who checkout as a guest. This suggests that while guest checkout may be more convenient for customers, it may not be the best option for online store owners who are trying to build a loyal customer base.

Another important thing to consider when it comes to guest checkout versus forced accounts is the impact on conversion rates. According to a study by Baymard Institute, the average conversion rate for online stores that offer guest checkout is 35 percent higher than for online stores that do not offer guest checkout. However, the study also found that online stores that force customers to create an account before checkout have a 23 percent lower conversion rate than online stores that offer guest checkout.

A Real-World Example of Guest Checkout Versus Forced Accounts

A good example of how different companies have approached the issue of guest checkout versus forced accounts is the online retailer Amazon. Amazon offers customers the option to checkout as a guest, but also provides incentives for customers to create an account, such as free shipping and streaming of music and video content. According to a study by Statista, 75 percent of Amazon customers have created an account, and these customers account for 90 percent of all sales on the site.

Another example is the online retailer ASOS, which has taken a different approach to guest checkout versus forced accounts. ASOS does not offer guest checkout, and instead requires customers to create an account before they can checkout. However, the company has made the process of creating an account as quick and easy as possible, and also provides incentives for customers to create an account, such as exclusive discounts and promotions. According to a study by Digital Commerce 360, ASOS has a conversion rate of 45 percent, which is significantly higher than the average conversion rate for online stores.

How to Apply the Data to Your Online Store

So how can you apply the data on guest checkout versus forced accounts to your online store? The first step is to understand your customer base and their preferences when it comes to checkout. If your customers are primarily looking for a quick and easy checkout experience, then offering guest checkout may be the best option. However, if your customers are looking for a more personalized experience and are willing to create an account in order to receive incentives and promotions, then forcing them to create an account may be the better option.

Another important thing to consider is the overall user experience of your online store. If the process of creating an account is quick and easy, and the benefits of creating an account are clearly communicated to the customer, then forcing customers to create an account may not have a significant impact on conversion rates. However, if the process of creating an account is complicated or time-consuming, then offering guest checkout may be the better option.

In order to make the right decision for your online store, it is a good idea to run a free scan of your store using a tool such as Audience Connect’s free store scanner, which can help you identify areas for improvement and provide recommendations for how to optimize your checkout process.

Common Mistakes to Avoid

There are several common mistakes that online store owners make when it comes to guest checkout versus forced accounts. One of the most common mistakes is to force customers to create an account without providing any incentives or benefits for doing so. This can lead to a high abandonment rate, as customers may not see the value in creating an account.

Another common mistake is to make the process of creating an account too complicated or time-consuming. This can also lead to a high abandonment rate, as customers may become frustrated with the process and decide not to complete their purchase.

A third common mistake is to not clearly communicate the benefits of creating an account to the customer. If the customer does not understand the benefits of creating an account, they may not see the value in doing so, and may instead choose to checkout as a guest.

A Checklist for Implementing Guest Checkout Versus Forced Accounts

Here is a checklist for implementing guest checkout versus forced accounts on your online store:

• Understand your customer base and their preferences when it comes to checkout
• Determine whether to offer guest checkout or force customers to create an account
• Make the process of creating an account quick and easy
• Clearly communicate the benefits of creating an account to the customer
• Provide incentives for customers to create an account, such as exclusive discounts and promotions
• Use a tool such as Audience Connect’s free store scanner to identify areas for improvement and optimize your checkout process

By following this checklist and considering the data on guest checkout versus forced accounts, you can make the right decision for your online store and improve your conversion rates. Guest checkout versus forced accounts is a critical decision that can have a significant impact on the overall conversion rate of an online store, and it is essential to get it right in order to maximize sales and revenue.