Amazon Touts Reduced Shopping Cart Abandonment With Newly Expanded "Login and Pay" Service

Looking to solve that perpetual issue of shopping cart abandonment.
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Eliza Brooke
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Looking to solve that perpetual issue of shopping cart abandonment.
Let's buy a coat from AllSaints, shall we? Photo: AllSaints

Let's buy a coat from AllSaints, shall we? Photo: AllSaints

On Tuesday, Amazon announced that it has rolled out its "Login and Pay with Amazon" service to Europe. The feature, which launched in the U.S. around this time last year, allows e-commerce sites to give customers the option to check out using the credit card and shipping info they have stored with Amazon, shaving the purchase process down to just a few clicks.

The advantages of this are pretty clear: It's simple for shoppers, gives the site a better shot at customers actually completing the purchase and Amazon takes a cut of every sale. But Annemarie Jung, Amazon's director of external payments for Europe, took the stage at Womenswear Daily's Digital Forum on Tuesday to make the case that fashion sites in particular have a lot to gain from the service. 

Her argument? Roughly 67 percent of online shoppers abandon their carts before completing the purchase; that rate grows to 73 percent for fashion companies, compared to 55 percent for food and drink sites. Basically, all those factors that contribute to people not following through with a purchase — concerns about security, speed and convenience — pose a greater threat to those in the fashion sector.

Jung's solution, of course, is to use "Login and Pay with Amazon," since it's meant to address all three of those issues. But she also offered up some new data from Amazon's work with AllSaints in the U.S. that does look promising.

According to Jung, it took AllSaints customers approximately one minute and 10 seconds less to check out via "Login and Pay" than it did when shoppers had to manually enter their credit card and shipping information. The service also resulted in a 34 percent increase in AllSaints's online conversion rate, she says. 

So that's pretty good. Is Amazon the only viable solution to the problem of cart abandonment? Of course not. But it is clear that the easier and faster an e-commerce site makes its path to purchase, the better off it will be.

"Login and Pay" wasn't the online shopping giant's only move to court the fashion industry this week. News also broke on Tuesday morning that Amazon has partnered up with designer Osman Yousefzada on a capsule collection due out for holiday.