How AI Fixes Shopify Cart Abandonment Fast — Menachem Schechter | Why 89% Of Shoppers Abandon Carts, Why Cart Recovery Beats Ad Spend, Why AI Assistants Beat Old Chat Bots, What 45% Cart Recovery Looks Like, How CartKeeper Keeps Buyers Engaged (#414)

In this episode, we explore cart abandonment - one of e-commerce's biggest challenges. With 89% of shoppers leaving without buying, this costly problem affects every online store.  

Our guest Menachem Schechter, Head of BZ Marketing Agency and Co-founder of CartKeeper, shares how AI can help recover lost sales. 

He explains the main reasons customers abandon their carts and demonstrates how smart AI assistants can answer questions in real-time, leading to 28-45% cart recovery rates across different industries. 

Topics discussed in this episode:  

• Why 89% of shoppers abandon carts—and how to stop it. 
• How AI assistants prevent cart abandonment early. 
• Why real-time WhatsApp chat lifts conversions. 
• What causes most cart drop-offs—and how AI solves it. 
• How CartKeeper keeps shoppers ready to buy. 
• Why old chatbots fail—and AI assistants succeed. 
• How AI chats in any language without store changes. 
• Why cart recovery outperforms ad spend. 
• What 45% cart recovery looks like with AI. 
• How flat pricing makes CartKeeper accessible to all stores. 
  
  

Links & Resources 

Website: https://cartkeeper.co/
Shopify App Store: https://apps.shopify.com/sp-recovery-monkey
Facebook: https://www.facebook.com/profile.php?id=61567217097073

Get access to more free resources by visiting the show notes at
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Transcript

[00:00:00] If you want to help the customer, you need to be able to, to have conversation with WhatsApp is one tool can, you can reach him in in many other tools, but. The key factor is to be able to react fast, answer a question and have a conversation.[00:00:20] 

Hello and welcome to another episode of the E-Commerce Coffee Break. Today we want to. Tackling one of the e-commerce costly challenges out there. It's card ab abandonment. We'll explore why shopper's abundant their cards and how AI can help you maximize conversions. Joining me on the show is [00:00:40] Menachem Schechter. He's the head of BZ Marketing agency and co-founder of CartKeeper.

We have a lot to cover, so let's welcome into the show. Hi Menachem, how are you today? I'm very highly, I'm very well. Let's talk about cart abandonment. 89% of all website visitors come to an online store and they [00:01:00] leave without buying anything. Why do you think that so many shoppers add items to their cart and then they do not complete the checkout?

Uh, actually, we, we measured with that a lot and we found that there are two main reasons for why drops the verticals. [00:01:20] The first one is the destruction. Yeah, think about it. The customer has cho chosen the, the item which reach out, reach out the checkout, fill the, fill the shipping details, and then an Instagram notification pops up one, split second, the destruction, and, and the user goes, will go away.

The [00:01:40] second reason is a misinformation or, or actually missing, missing confidence. The shopper hesitate because the key beaters are crystal clear. Uh, when, when my order will arrive, uh, can I return it easily? Is it in, is in, in install payment [00:02:00] is an option. Did I, I miss start in the, in the refunding. Too many options that can be uncertainly.

It's all taken to sell in, in the purchase. Now it makes perfect sense. And obviously a lot of marketers use sort of interruption marketing, so people aren't really prepared to buy [00:02:20] anything. They basically see something and then there's this impulse bias, I wanna buy it. And then all these reasons that you just mentioned are coming into play and then they don't, at the end of the day, they don't buy.

Now a standard checkout page obviously is not really providing all this information that you just mentioned. How can AI help with that? So actually, uh, [00:02:40] we, we, we are. AI cannot do it by its own. The you need to take, take care of a few factor here. The first thing is, is the real time Trigger. The moment.

Check, check out the inactivate, the detect you, you should to find a, to fire [00:03:00] identification to the, to the customer. You can, uh, give him a one type resume. Some, some, uh, nice, uh, message and you kept the user. In the very mindset that he left the, the website and in that's way, that's the first company, it's very important company to keep the, the, [00:03:20] the user in the same mindset.

The second one is where the ai, uh, enters actually AI can gi give the, the customer a very, very, very important and helpful information. Which react exactly [00:03:40] to the customer's, uh, concerns actually. Uh, we develop a kind of a ai, uh, shopping assistant. We try to prevent the counterbalance in advance. You can, uh, pull out the, pulls, the, the light products, shipping all the data.

You need the policies, [00:04:00] and you can reply the question, uh, during the. During the, the, the purchase. So the user never lo lost, lost any important details. And if the, if the cart has, has been abandoned, you, you can, uh, reach him [00:04:20] and answer his question with, with the AI chat, also in WhatsApp and other tools too.

So if you can, uh, react fast, warmly, and give important details. For the purchase. That's the some key factor that you can help to, uh, to, to prevent that. [00:04:40] Mm-hmm. You said outreach through WhatsApp is one option, and obviously you are really starting a conversation with your shopper, which usually would not happen.

Talk me through the process. How does it look at real life? First of all, uh, the conversation, conversation is very, is crucial here. That's the, that's actually the [00:05:00] big difference between, uh, the, the all, I call it, we call it the, all the tools. If you want to have the customer, you need to be able to, to have conversation with WhatsApp is one tool can, you can reach him in ma in many other tools, but the.

The key factor [00:05:20] is to be able to react fast, answer a question, and have the conversation. So, uh, in, in our case, so, so in the moment that the checkout activity is detected, can't keep error, they open a WhatsApp check. We send, send them an option. In one tab, they send them a message that you, [00:05:40] we, you also, you first you present yourself as the shop owner and say, hi, here is Mark.

Uh. You, I just want to make sure that everything fine with the, with the, the purchase. If you have, if we, if you want to complete it, you can click here if you have, if you have any questions, just [00:06:00] reply me here and I would reply as fast as possible. So they have, uh, they, they have one tab click to finish the purchase, and they have the option to, to, to start the question about the, about the returns policy.

About, about the. About chip times and everything that they, [00:06:20] they hold everything that hold them from a finish. The, the order. Now, in the past we had chat bots, but they were sort of static, so they basically had to really prepare a conversation. AI has changed. This is very dynamic. Where does AI pull the information from?[00:06:40] 

That's, that's amazing. You are right. The, the, the old chat chat bots. Well, terrible, because you need to, to keep them at a and once the GPT uh, starts, we can have a very freely conversation and ask for about many things. [00:07:00] But GPT has its, uh, hall hallucination calls because they want want, uh, they give you information which not really act accurate that.

That is a very important thing that we need to, we have to prevent when we create a chatbot for e-commerce store [00:07:20] chatbot for e-commerce store. Learn from the database for the Shopify store. It learns from the policy, they learn from the FNAs. And you also can set the tone, the tone of the chat so we can communicate in the chat.

In in the shop style is the very same. I got, uh, when we run our test, one [00:07:40] of the client of customer said it's like to train a, a new employee in my store and teach him how to communicate, how to, how to be polite. Uh, what is, how you can help the customer can offer maybe discount. It's the very same in, in, uh, in smart, uh, AI assistant.

We don't like you [00:08:00] to call it at all. It's an assistant that allows the, the user in, in the store to finish the order. To work 24 7. It knows every detail of the shop. Uh, it's learn database and the policies and the, the behavior. I have to say it took us about three [00:08:20] months to, uh, to build this, uh, agent to, to be able to be, uh, to build AI agent that learn very specific shop, can walk on scale, can, can operate in real time.

And make it also cost effective because we, [00:08:40] we, we, the first version of the a IH chat was very reliable, but it cost us, it cost us in the API about $10, the conversation. So we needed to go back to the, to the round table, and we [00:09:00] rebuild the entire logic to make it stable. Smart and fast and also cost effective.

Uh, so we use a technique which called embed, and it was very amazing. It took us a more two months just to, to build it in that ver version. But now you [00:09:20] have the, the, I think the master you, uh, ai, a shopper assistant. A assistant, which also, and that's very nice. You can add to cart and finish the purchase after you, you get everything you need.

Inside the chat. I mean, you ask the chat and you, you understand that if you look [00:09:40] for a running shoe, you know what, you know, which brand you looking for, you know, your size, you know, uh, just wanted to see if you can, the inventory, how fast it can arrive, and what is the return policy. You ask everything on the chat during, during your visiting the website.

When you, [00:10:00] when you are certified and you, you find the right shoe, the right price, the chat ask you, do you want, do you want to edit to your, to your, to your cart? It's here. You don't go out, you don't navigate somewhere else. You click here, it's the product has been added into the cart and you can finish your purchase [00:10:20] on the chat.

You, you still in the website, but everything goes through you and you can manage everything. Without navigating any and walk around in the website. So that's, and that's why we trying to present in advanced abandoned cart. [00:10:40] Uh, one last factor about that. We currently, we are about, I think, uh, 708, 780, uh, activist stores.

So we. We, because today we recover so many, many cards and we learned [00:11:00] how a cart blender is behaved and it's begin to, it start to be like a, a credit card that you can predict which customer you need to, you need to think about when they go going to, when they going to abandon the car. [00:11:20] And this is very, is very helpful to know.

When you try to do to achieve the maximum for the. Hey, Klaus here. Just a quick one. If you like the content of this episode, sign up for our free newsletter, commerce Smarter Shopify Merchant. In just seven minutes per week, we create content from more than 50 sources, [00:11:40] saving you hours of research and helping you stay on top of your eCommerce game with the latest news, insights, and trends every Thursday in your inbox, a hundred percent free.

Join now at newsletter dot eCommerce coffee break.com. That is newsletter dot eCommerce coffee break.com. And now back to the show. It's very interesting and I think that shows the future of online shopping, [00:12:00] AI agents or AI assistance are so powerful and I think the whole user journey, the ux, everything will change and will be AI driven.

I think you are in the forefront of showing what is possible there. Now, if somebody basically increases your conversion rate from one to 2% or from two to 4%, you double your business. So it's really [00:12:20] worth doing it. What kind of results? You said you're working with 780 stores out there. What kind of results do you see in stores when they are using an AI agent and AI assistant?

We, we measure, uh, few factors. We, we, the, the first factor that we, we [00:12:40] think need to be measured is which percent of the abandoned cart has been recovered. So, uh, we have where it goes. It depends on the niche, but it go in the industry, but it goes from the, uh, from 28% recovery [00:13:00] in, and it's, uh, we think about it, it's about that it a bad result up to 45%.

Yeah, it's, it's, it's quite and depends in the industry. It depends on the culture. Actually, I have to say we, we [00:13:20] mostly operated in, in Europe and Australia before because the, the customer, the con, the communication was very, was very common. The co the, the human communication between the, the tailor and the customer and just, just after we added the ai.[00:13:40] 

The, the AI assistant will start to do it also in the states, so someone who, which help them. And we gain the, uh, quite sustainable results from eight, uh, 28 up to 45% of car recovery. Uh, this huge, [00:14:00] these are huge numbers now from the merchant side. The benefits are clear. Did you get any feedbacks from your customers?

How their customers, how their buyers react on con having a conversation with an AI AI agent, what's the acceptance rate there? Do they feel it's ai or do they think there's a real person behind it? How does it look and [00:14:20] feel for a buyer? That's funny actually, because in the beginning we. We won't, it's a assistant.

We, we, we are here to help some of the, the merchants, uh, prefer to be, to, to hide that and say, hi, I'm, I'm Kevin. Let me, let me help you. But mostly if you run [00:14:40] big numbers, nobody cares because you got what you need. The, the, the most problematic issue is the old world checks was you don't, the first that you don't get any response.

And if it's a chatbot, the old chatbot, you don't, uh, you don't get any relevant, uh. So [00:15:00] actually when you get the, the relevant, the, the relevant and accurate respond, which help you and give you accurate information, the customers and the big numbers don't really care. They just, they, they, they, they think about it as any other part of [00:15:20] the website.

It's very interesting. That makes perfect sense. And I think customers or website users nowadays, or everyone who's on the internet sort of with chat, GPT and the other tools that are around, are getting trained on how to talk to an agent. So I think the user behavior is changing pretty much a lot right [00:15:40] now compared to what we had in the last 20 years when you do, uh, in, in each class country.

So maybe the database shouldn't be translated at all, but during the conversation, the, the chat. Translate it in, in very, very, very reliable way. And you could communicate in the, in the shopper, [00:16:00] in the shopper language, which is very important because most of the shops are in English or Spanish, and people cry and they use, uh, their own on both translator, which is nice, but it's hard to get effective answer for that.

So we do give, uh, [00:16:20] we, we give, we give them. There is the shop and the entire information of the products and when the policies in the, in the, in the end customer language and it can, can react synchronously in e, in Italy, in Spain, in Spain, in ge, in German, each in different language, [00:16:40] even if the shop owner never to anything and they've never used multi store.

I love that. This is very smart. It's very smart. Um, because you as a stop store owner for it makes your life easy. You don't have to translate everything and have your website in tons of different languages, but the customer still has a feeling you speak his, [00:17:00] his or her, his language. So that, that's very, I like that.

Now tell me about, about the pricing structure. How does that work? Uh, as I, me, I mentioned, uh, earlier. I had, I had experience as a shop owner by my own and a agency owner. And [00:17:20] the, the thing that I, I always didn't, never liked is to be surprised by the end of the month by, by a way that has been changed by performance.

And, and, uh, I wanted, I was very, very, I felt confident when I had, uh, [00:17:40] flat rate. I tried, I tried also here to keep in the same, in the same structure, which, uh, the, the rate divided by the, by the volume of the, the cut that the app recovers for you. So if you, if you, in the, in beginning of your way, it would charge you 90, [00:18:00] $19 for 10, 10 a recoveries.

Uh, 49 for up to 50 recoveries and endless. And endless recoveries for 99 flat. And, uh, we don't, uh, we, we don't focus about how, how many conversation, how many, [00:18:20] uh, messages has been sent. We don't care about it. We only focused about how much card has been, has been recovered by our app. That's our key start.

That's absolutely no brainer. I mean, you can only win, um, chances that you get conversions in and you increase your conversion rates are pretty [00:18:40] much a hundred percent. So basically it's, it's a, it's a way to make money very, very easy, and your app helps, helps with that. Now, let's talk about where people can find more out about it.

What's the app's name? Where can they find all the details? Our, our app's name is Cloud Keeper. They can find us in the [00:19:00] Shopify, in the Shopify app store. We have our own website, of course, but the Shopify app store, it's, it's good place to find us because there is a really live, live conversation over there on the, on the reviews people to, uh, people for the part of the, the early lunches give the feedback and we [00:19:20] communicate.

We all. So that's the best place to find us. Exactly. I will put the links in the show notes. It will be just one click away han before our coffee break comes in. And is there anything you wanna share with our listeners that we haven't covered yet?

Uh, yes. I, I think my, my, my [00:19:40] comments message to, to every merchant, uh, listen, uh, listening for us. The cost abundance recovery is not the first place on your to-do list, where before new ad spend of fancy side mix. Right now there is a pile of revenue sitting on the on the floor of Restore Left Behind by shopper.

Who will [00:20:00] this close to buying this revenue first, then worry about driving more traffic. That's very wise words. I think if you can convert the people where they already have or about to pull out their credit card and you catch them there and you answer any question they have immediately, the [00:20:20] chances that they will become your customer and they will leave money with you are very, very high.

So I couldn't agree more. Card abandonment is really where you should put most of your focus in. Once that works, you can focus on other things in your business. And thanks so much for your time today. Um, Asad, I will put the links in the show notes and I hope a lot of listeners will check your app out.[00:20:40] 

Thanks so much for your time today. Thank you so much. Bye bye. Take care. We, we had multilingual, we, uh, based on the customer, the end customer, it's very, it's very nice because your shop might be, might be in India, might be Arabic, might be in Greece. [00:21:00] And, and the shop, uh, react differently, uh, in, in each client country.

So maybe the database shouldn't be translated at all, but during the conversation, the, the chat translated in, in very, very, very reliable way in the communicate in the, in [00:21:20] the shopper, in the shopper language, which is very important because most of the shops are in English or Spanish. People cry and they use, uh, their own on browser translator, which is nice, but it's hard to get effective answer for that.

So we [00:21:40] do give, uh, we, we give, we give them the, the, the shop and the entire information of the products. And when the policies in the, in the, in the end customer language and it can, can react s uh, simultaneously. In Italy, in Spain, in Spain, in in German, each in [00:22:00] different language, even if the shop owner never to anything and they never used multilingual store.

I love that. This is very smart. It's very smart. Um, because you as a stop store owner for it makes your life easy. You don't have to translate everything and have your website in tons of different languages, but the customer still has a [00:22:20] feeling you speak his, his or her, his language. So that, that's very, I like that.

Now tell me about, about the pricing structure. How does that work? Uh, as I, me, I mentioned, uh, earlier. I had, I had experience as a shop owner by my own and a agency owner. [00:22:40] And the, the thing that I, I always didn't, never liked is to be surprised by the end of the month by, by a way that has been changed by performance.

And, and, uh, I wanted, I was very, very, I felt confident when I [00:23:00] had, uh, flat rate. I tried, I tried also here to keep in the sa in the same structure, which, uh, the, the rate divided by the, by the volume of the, the cut that the app recovers for you. So if you, if you in the, in the gain of your way, it would [00:23:20] charge you 19, $19 for 10, 10 a recoveries.

Uh, 49 for up to 50 recoveries and endless. And endless recoveries for 99 flat. And, uh, we don't, uh, we, we don't focus about how, how many [00:23:40] conversation, how many, uh, messages has been sent. We don't care about it. We only focused about how much part has been, has been recovered by our app. That's our key factor.

That's absolutely no brainer. I mean, you can only win, um, chances that you get conversions in and you increase your conversion [00:24:00] rates are pretty much a hundred percent. So basically it's, it's a, it's a way to make money very, very easy, and your app helps, helps with that. Now, let's talk about where people can find more out about it.

What's the app's name? Where can they find all the details? Our, our app's name is Cloud Keeper. They can [00:24:20] find us in the Shopify, in the Shopify app store. We have our own website, of course, but the Shopify app store, it's, it's good place to find us because there is a really live, live conversation over there on the, on the reviews people to, uh, people for the take part of the, the early lunches, give the [00:24:40] feedback and we communicate, we all, so that's the best, uh, place to find us.

Exactly. I will put the links in the show notes. It will be just one click away, but before our coffee break comes in. And is there anything you wanna share with our listeners that we haven't covered yet?

Uh, yes. I, [00:25:00] I think my, my, my comments message to, to every merchant, uh, listen, uh, listening for us. The cost. Abundance recovery is not the first place on your to-do list, where before new ad spend of Fancy side weeks, right now, there is a pile of revenue sitting on the on the floor of Restore Left Behind by [00:25:20] shopper.

Who will this close to buying this revenue first, then worry about driving more traffic. That's very wise words. I think if you can convert the people where they already have or about to pull out their credit card and you catch them there and you answer any question they [00:25:40] have immediately chances that they will become your customer and they will leave money with you are very, very high.

So I couldn't agree more. Card abandonment is really where you should put most of your focus in. Once that works, you can focus on other things in your business. And thanks so much for your time today. Um, as that I will put the links in the show notes and I hope a lot of [00:26:00] listeners will check your app out.

Thanks so much for your time today. Thank you so much. Bye bye. Take care. Hey, k Claudia. Thank you for joining me on another episode of the e-Commerce Coffee Break podcast. Before you go, I'd like to ask two things from you. First, please help me with the algorithm so I can bring more impactful guests on the show.

It'll also make it easier for others to discover the [00:26:20] podcast. Simply like, comment, and subscribe in the app you're using to listen to the podcast. And even better if you could leave a rating and finally sign up for our free newsletter and become a smarter online seller in just five minutes. We content from more than 50 sources, saving you hours of research and helping you to stay on top of your eCommerce game with the latest news, insights, and trends twice a week in your inbox.

A [00:26:40] hundred percent free. Join now at newsletter dot eCommerce coffee break.com. That's newsletter dot eCommerce coffee break.com. Thanks again and I'll catch you in the next episode. Have a good one.