E-commerce Vocabulary in English

A cart — called a shopping basket in British English — is the virtual container that holds the items a shopper has chosen while they browse. Nothing is bought until they decide to pay. The checkout is the final stage, where the customer reviews everything in the basket, enters their delivery and payment details, and completes the purchase. In short, the cart is where you collect items, and the checkout is where you pay for them. A smooth checkout is vital, because a confusing one is one of the main reasons shoppers give up before buying.

Fulfilment is the whole process that happens after a customer places an order: receiving the order, picking the right items from stock, packing them, and dispatching them for delivery. It also includes handling returns when goods come back. Many online shops use a fulfilment centre or warehouse, sometimes run by another company, to manage this efficiently. Good fulfilment means orders arrive quickly and in perfect condition, which keeps customers happy and encourages them to buy again.

A conversion happens when a visitor to a website does what the shop wants them to do — usually making a purchase. The conversion rate is the percentage of visitors who convert out of everyone who visited. For example, if 100 people visit and 3 buy something, the conversion rate is three per cent. Online shops work hard to raise this figure by improving their product listings, speeding up the checkout, and reducing the number of abandoned carts, because even a small rise in conversion can mean a big increase in sales.

An abandoned cart is an online basket that a shopper fills with items but then leaves without completing the purchase. People abandon carts for many reasons: unexpected shipping costs, a long or complicated checkout, or simply changing their mind. Abandoned carts are very common, so many shops send a reminder email offering help or a small discount code to tempt the shopper back. Reducing the number of abandoned carts is one of the most effective ways to improve sales.

A payment gateway is the online service that securely processes a payment between the shop and the customer's bank. When a shopper enters their card details at the checkout, the gateway encrypts that information, checks that the card is valid, and confirms whether the payment has gone through. It acts as a secure bridge so that sensitive card data is protected. Popular gateways make it possible for even small online shops to take card payments safely without handling the details themselves.

An online marketplace is a platform where many different sellers list their products together in one place for buyers to browse. Instead of running its own shop, a seller pays to list items on the marketplace, which handles much of the technology and brings in customers. This makes it easy for small businesses and individuals to reach a large audience quickly. The marketplace usually takes a fee or commission on each sale in return for the traffic and trust it provides.

Dispatch is the moment a shop sends an order out — when the packed parcel leaves the warehouse and is handed to a courier. Shipping refers to the transport of the goods all the way to the customer, and the word is also used for the delivery cost the customer pays. So a shop might dispatch an order on Monday, but shipping then takes two or three days until it arrives. Telling customers both the dispatch date and the expected shipping time helps them know when to expect their parcel.

A SKU, short for Stock Keeping Unit, is a unique code that a shop gives to each individual product so it can be tracked and managed. Every variation counts as a separate SKU, so a T-shirt that comes in three sizes and two colours would have six different SKUs. Using SKUs helps a business keep accurate records of how much stock it has, see which items sell best, and reorder products before they run out. They are especially important when a shop sells hundreds or thousands of different items.

Drop-shipping is a way of running an online shop where the seller takes orders and payment but never holds any stock. Instead, when a customer buys something, the order is passed to a supplier or manufacturer, who ships the goods directly to the customer. This lowers the start-up cost because the seller does not need a warehouse or money tied up in stock. The downside is that the seller has less control over delivery times and product quality, since another company handles the goods.

The most effective way is to connect each word to a real online shopping or selling situation. When you buy something online, notice the words on the screen as you move from your shopping basket through the checkout. If you sell products, pay attention to the language of dispatch, returns, and order fulfilment. Practise the 20 words on this page with Flash Cards on LexFizz, then test yourself with the Quiz. Linking the vocabulary to tasks you actually do, such as applying a discount code or writing a product listing, helps the words stick far faster than memorising a list.