A sometimes overlooked but key ingredient to successful eCommerce subscription experiences is the ability to subscribe seamlessly as part of the checkout process.
Integrated checkout is, in a nutshell, the ability for customers to join your recurring revenue program as they’re completing an online purchase, without having to leave the checkout user flow. Customers are prompted to enroll in a subscription, membership, or reorder program as they’re checking out, which helps increase recurring revenue conversion rates.
When the checkout for recurring revenue programs is separate from the rest of a customer’s checkout flow, customer enrollment in subscription programs can diminish by as much as 40%. That’s far too much money for enterprises to risk losing when an alternative is so easily accessible.
Another unignorable disadvantage to a separate checkout is the behind-the-scenes duplication of everything. Order management, product catalog, and each other step of the customer journey must be repeated time and time again. This increases the likelihood of customer confusion and the risk of order management error. In addition, it screws up tracking and analytics since analytics tracking often breaks when you’re sent to a separate site.
“Managing separate checkouts was a nightmare,” said one CMO of a major health and wellness brand. “Not only was customer conversion reduced because offers could not be displayed in the cart, but merchandising efforts needed to be duplicated on many fronts – promotions didn’t carry over and SKUs were duplicated in the product catalog, to mention a few.”
Previously, Shopify Plus customers didn’t have the option of integrated checkout, but that’s finally changed. Ordergroove has launched the first integrated checkout for subscription service on Shopify to help merchants maximize their subscription sales, as well as improve tracking and analytics. The days of losing that 40% of conversion is over — or at least, it should be.
Integrated checkout is essential to the future of recurring revenue, and we’re excited to be at the forefront of this exciting new retail venture.