PROBLEM STATEMENT
How To Help Etsy Resolve Price Transparency Issues, Complex Payment Flows And Unclear Shipping Options To Grow Profit And Enhance User Dissatisfaction!
Etsy faces a significant challenge with users abandoning their carts during the checkout process. Common issues include unexpected fees, complex payment flows, and a lack of clarity about shipping options. This problem results in lost revenue and reduced seller satisfaction due to incomplete transactions. Enhancing the checkout experience can directly increase conversion rates, improve user satisfaction, and boost overall revenue for both Etsy and its sellers.
PROBLEM STATEMENT
How To Help Etsy Resolve Price Transparency Issues, Complex Payment Flows And Unclear Shipping Options To Grow Profit And Enhance User Satisfaction!
Etsy faces a significant challenge with users abandoning their carts during the checkout process. Common issues include unexpected fees, complex payment flows, and a lack of clarity about shipping options. This problem results in lost revenue and reduced seller satisfaction due to incomplete transactions. Enhancing the checkout experience can directly increase conversion rates, improve user satisfaction, and boost overall revenue for both Etsy and its sellers.
INTRODUCTION
Why Shoppers Give Up On Etsy: From Excitement To Frustration And Hesitation At Checkout!
Why Shoppers Give Up On Etsy: From Excitement To Frustration And Hesitation At Checkout!
Picture this( we can help you with that): A shopper finds the perfect handmade item on Etsy—something unique, something special. Excited to add it to their cart and go to checkout but faces lots of questions without any answers like “can I refund?”, “why is the delivery period is long?!”, “why did the item’s price get shockingly high in the checkout?” and many more. So doubt sets in, “Is this really worth it?” After a moment of hesitation, they check other websites for a similar item at a better price, abandoning the cart. Just like that, another potential sale is lost. This is a common story for many Etsy shoppers.
Picture this( we can help you with that): A shopper finds the perfect handmade item on Etsy—something unique, something special. Excited to add it to their cart and go to checkout but faces lots of questions without any answers like “can I refund?”, “why is the delivery period is long?!”, “why did the item’s price get shockingly high in the checkout?” and many more. So doubt sets in, “Is this really worth it?” After a moment of hesitation, they check other websites for a similar item at a better price, abandoning the cart. Just like that, another potential sale is lost. This is a common story for many Etsy shoppers.
Established
2005
2005
2005
Active Sellers
7.5 Million
7.5 Million
7.5 Million
Active Buyers
95.1 Million
95.1 Million
95.1 Million
ABOUT ETSY
A Marketplace For Unique And Handmade Products
A Marketplace For Unique And Handmade Products
Etsy isn’t just another online store—it’s a global marketplace where creativity thrives. From handcrafted jewelry to vintage treasures, it’s the go-to destination for shoppers seeking unique items from independent artists and small businesses. However, despite the incredible finds, many shoppers abandon their carts before completing the purchase.
Etsy isn’t just another online store—it’s a global marketplace where creativity thrives. From handcrafted jewelry to vintage treasures, it’s the go-to destination for shoppers seeking unique items from independent artists and small businesses. However, despite the incredible finds, many shoppers abandon their carts before completing the purchase.
SUCCESS METRICS
Increase Conversion Rate
Increase Conversion Rate
A series of targeted UX/UI solutions that increase conversion rate, resulting in more revenue for business and higher user satisfaction.
North Star Metric: An increase in the percentage of users completing purchase
Supporting metrics like:
A series of targeted UX/UI solutions that increase conversion rate, resulting in more revenue for business and higher user satisfaction.
North Star Metric: An increase in the percentage of users completing purchase
Supporting metrics like:
ASSUMPTION
What We Initially Believed Could Be The Cause of Cart Abandonment!
What We Initially Believed Could Be The Cause of Cart Abandonment!
These 5 assumptions were formed based on our guess and initial engagement with the platform!
These 5 assumptions were formed based on our guess and initial engagement with the platform!
APPROACH
Let’s Uncover Key Pain Points Through In-Depth User Conversations And Secondary Research To Better Understand The Root Causes!
Let’s Uncover Key Pain Points Through In-Depth User Conversations And Secondary Research To Better Understand The Root Causes!
As starting point, we looked into users’ comments, reviews and industry articles to know common issues.Then, we engaged directly with users—both casual and frequent shoppers—to understand their experiences, frustrations, and desires. Alongside these interviews, we evaluated our competitors’ strategies and their practice. This blend of firsthand insights and broader context provided a clear view of the challenges and opportunities within the Etsy shopping journey.
As starting point, we looked into users’ comments, reviews and industry articles to know common issues.Then, we engaged directly with users—both casual and frequent shoppers—to understand their experiences, frustrations, and desires. Alongside these interviews, we evaluated our competitors’ strategies and their practice. This blend of firsthand insights and broader context provided a clear view of the challenges and opportunities within the Etsy shopping journey.
Research Goals:
Validate our assumptions about the users issues about the checkout problems.
To truly empathize and gain a deeper understanding of our user's mindset and perspectives.
Secondary Research Methods:
Social listening
Industry articles
Interview
Competitive analysis
Sources:
Platforms or apps: Reddit, Trustpilot, Google Display, Apple Store, Etsy’s Community
Industry Articles
Research Goals:
Validate our assumptions about the users issues about the checkout problems.
To truly empathize and gain a deeper understanding of our user's mindset and perspectives.
Secondary Research Methods:
Social listening
Industry articles
Interview
Competitive analysis
Sources:
Platforms or apps: Reddit, Trustpilot, Google Display, Apple Store, Etsy’s Community
Industry Articles
Secondary Research Methods:
Social listening
Industry articles
Interview
Competitive analysis
INDUSTRY INSIGHTS
And Its Not Just Etsy, The Average Cart Abandonment Rate Is 70.19%.
And Its Not Just Etsy, The Average Cart Abandonment Rate Is 70.19%.
In this step, we took a look at the industry study conducted by Baymard to get bigger picture of the abandoned carts. It showed that major reasons why users do not complete their purchases during checkout are:
In this step, we took a look at the industry study conducted by Baymard to get bigger picture of the abandoned carts. It showed that major reasons why users do not complete their purchases during checkout are:
13%
Declined credit card
17%
Website errors or crashes
18%
Unsatisfactory return policy
21%
Inability to calculate total cost upfront
22%
Complicated/long checkout process
23%
Slow delivery
25%
Lack of trust with credit card information
26%
Requirement to create an account
48%
Extra costs too high (shipping, tax, fees)
1012 Respondents . USA Adults . 2024 . Baymard.com/research
Have you abandoned any online purchases during the checkout process within the past 3 months? If so, for what reason? Answers normalized without the “I was just browsing option.”
If we look at the combined e-commerce sales of $738 billion in the US and EU, the potential for a 35.26% increase in conversion rate translates to $260 billion worth of lost orders which are recoverable solely through a better checkout flow & design.
The Study Shows That A Better Checkout Design Could Increase Conversion Rate Up To 35%!
The Study Shows That A Better Checkout Design Could Increase Conversion Rate Up To 35%!
If we look at the combined e-commerce sales of $738 billion in the US and EU, the potential for a 35.26% increase in conversion rate translates to $260 billion worth of lost orders which are recoverable solely through a better checkout flow & design.
Increase in Conversion Rate
Through A Better
Checkout Design
35%
35%
Through A Better Checkout Flow & Design
Lost Order Are Recoverable
$260 B
DESK RESEARCH
What Users Say ...
What Users Say ...
We took a look at the platforms or apps including Reddit, Trustpilot, Google Display, Apple Store, and Etsy’s Community.
We took a look at the platforms or apps including Reddit, Trustpilot, Google Display, Apple Store, and Etsy’s Community.
INTERVIEW
"Trust Is Built With Consistency, Transparency, and Reliability—Without It, Every Transaction Feels Like A Risk."
"Trust Is Built With Consistency, Transparency, and Reliability—Without It, Every Transaction Feels Like A Risk."
We interviewed 6 people about their shopping experiences and asked about their interactions with Etsy and the checkout process.
We interviewed 6 people about their shopping experiences and asked about their interactions with Etsy and the checkout process.
PRIORITIZATION
Trust-Building Can Directly Impact The Conversion Rate, So Will Be On The Top Of Our List To Be Addressed!
Trust-Building Can Directly Impact The Conversion Rate, So Will Be On The Top Of Our List To Be Addressed!
After interviews, we identified the key insights and prioritized them. These insights directly affect purchase conversion rates, address cart abandonment, and support Etsy's mission to empower seamless human-centered commerce but trust-building should be address first due to its impact on first-time buyers or those who may hesitate due to concerns about product authenticity, payment security or seller credibility.
After interviews, we identified the key insights and prioritized them. These insights directly affect purchase conversion rates, address cart abandonment, and support Etsy's mission to empower seamless human-centered commerce but trust-building should be address first due to its impact on first-time buyers or those who may hesitate due to concerns about product authenticity, payment security or seller credibility.
PERSONA
Our Major User Groups Are Budget-Conscious, Frequent and Window Shoppers!
Our Major User Groups Are Budget-Conscious, Frequent and Window Shoppers!
Our user groups formed based on the insights from previous steps.
Our user groups formed based on the insights from previous steps.
Competitive Analysis
Price Transparency, Seller Profile Visibility, Shipping And Refund Clarity Will Bring More Trust To Users!
Price Transparency, Seller Profile Visibility, Shipping And Refund Clarity Will Bring More Trust To Users!
We evaluated Etsy’s competitors to see how they resolve cart and checkout issues. We looked at transparency, trust-building strategies, and ease of use features to find ways to improve Etsy. Our analysis of Etsy’s competitors highlighted key strengths in price transparency, trust-building, and ease of checkout. Platforms like Amazon and eBay excel in clear pricing, upfront shipping details, and streamlined checkout flows, while others emphasize seller credibility and membership benefits. These insights guide opportunities for Etsy to improve trust, clarity, and user experience in the purchasing journey.
We evaluated Etsy’s competitors to see how they resolve cart and checkout issues. We looked at transparency, trust-building strategies, and ease of use features to find ways to improve Etsy. Our analysis of Etsy’s competitors highlighted key strengths in price transparency, trust-building, and ease of checkout. Platforms like Amazon and eBay excel in clear pricing, upfront shipping details, and streamlined checkout flows, while others emphasize seller credibility and membership benefits. These insights guide opportunities for Etsy to improve trust, clarity, and user experience in the purchasing journey.
Transparent pricing with detailed breakdowns of taxes and delivery fees.
Price Transparency
Showcase it with ratings, reviews, and smart CTAs like "Contact Seller" to build trust and get help and support from sellers.
Seller Profile
One-click checkout with focusing on the task of completing the checkout conveniently.
Checkout Flow
Upfront payment options and estimated delivery dates with guaranteed shipping.
Shipping and Payment Clarity
Includes free delivery, unlimited returns, and worry-free shopping.
Membership Benefits
Visible return policies with clear refund statuses for confidence.
Return/Refund
Showcase item’s value with story, artist’s introduction & authentic photos for trust.
Seller Craftsmanship
Amazon
AliExpress
Bonanza
eBay
uncommon goods
REDEFINE
To identify some potential opportunities and to translate user needs into a design challenge, we formed some "How might we" statements.
To identify some potential opportunities and to translate user needs into a design challenge, we formed some "How might we" statements.
IDEATION
Our Impactful Solutions Are Designed To Foster Trust, Improve Price Transparency, Enhance Visibility And Accessibility of Product Information, And Ensure Users Feel Valued!
Our Impactful Solutions Are Designed To Foster Trust, Improve Price Transparency, Enhance Visibility And Accessibility of Product Information, And Ensure Users Feel Valued!
After conducting an Effort-Impact Matrix analysis, we prioritized solutions with the highest impact and lowest effort.
After conducting an Effort-Impact Matrix analysis, we prioritized solutions with the highest impact and lowest effort.
DESIGN
It’s Time To Implement Our Ideas And Visualize Them!
It’s Time To Implement Our Ideas And Visualize Them!
We started by the product page by working on information architecture, then followed by adding features like AI- powered authenticity badge, review summary maker, membership for free delivery/return and finally “Try Before You Buy” which uses AR technology.
We started by the product page by working on information architecture, then followed by adding features like AI- powered authenticity badge, review summary maker, membership for free delivery/return and finally “Try Before You Buy” which uses AR technology.
Product Page:
What We Did Good?
The users found the product page easy to understand and visually appealing, with reviews and images standing out. They spotted the membership option easily.
What We Need To Improve?
AI review summary maker was not visible enough.
Checkout Page:
What We Did Good?
Everything was clear and made total sense to users.
What We Need To Improve?
Nothing!
TEST AND ITERATE
We Found That Adding Character And Identity To The AI Summary Maker Boosts Visibility And User Engagement!
To evaluate users' understanding of the UI design and interaction on the Product Page, Subscription, and the Check Out Page on the Etsy website.
Hi, I’m here!
Hi, I’m here!
TEST AND ITERATE
We Found That Adding Character And Identity To The AI Summary Maker Boosts Visibility And User Engagement!
To evaluate users' understanding of the UI design and interaction on the Product Page, Subscription, and the Check Out Page on the Etsy website.
Product Page:
What We Did Good?
The users found the product page easy to understand and visually appealing, with reviews and images standing out. They spotted the membership option easily.
What We Need To Improve?
AI review summary maker was not visible enough.
Checkout Page:
What We Did Good?
Everything was clear and made total sense to users.
What We Need To Improve?
Nothing!
Hi, I’m here!
Hi, I’m here!
WHAT I LEARNED ...
WHAT I LEARNED ...
Next Steps
Next Steps
