Required Registration Lowers Online Conversion Rates

April 15th, 2008

Megan Burns

With contributors:

Olga Melnikova , Steven Geller , Kerry Bodine

Summary

To understand the impact of required registration on conversion rates, Forrester asked US online shoppers what they did last time they were required to register before making a purchase online. The survey revealed that almost one-quarter leave the site without registering or purchasing, taking millions of dollars in potential revenue with them. What can companies do to encourage registration? Make it optional, and clearly explain the benefits customers will get if they do sign up. The right incentives can also be helpful — online shoppers are most likely to hand over personal data in exchange for discounts.

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