In many ways, technology has made our lives easier. A decade ago, you had to go to a bank branch and wait in line to carry out basic transactions such as making payments, exchanging currency, or depositing money.
Complex transactions, such as investing money or executing insurance contracts, would often take weeks or months. However, with the advent of mobile banking apps, it is now considerably more comfortable and simple.
As a result, in this blog, we will walk you through everything you need to know before you begin developing your Mobile Banking App.
Benefits of Developing a Mobile Banking App
Developing a mobile banking application provides a competitive edge from a business standpoint. Because leading US banks offer mobile banking, you must have one to meet those standards to compete with them in the market. With so many advantages, let us explore them more closely.
1. Reduced Costs
Because organizations don’t have to rent physical offices or pay a large workforce, mobile banking applications lower the cost of client service. You can also optimize various procedures and decrease the number of mistakes.
Moreover, it also cuts transaction costs as a mobile transaction costs 0.08 cents, as opposed to 0.85 cents at an ATM and $4.00 at a branch.
2. Extra Security
Through multi-factor authentication and encryption, you can offer a high level of protection against fraudulent activity, leaks of data, and theft in mobile banking apps.
3. Improved Customer Experience
Through a chatbot, a mobile application provides continuous access to all financial services. The latter allows you to check your balance and previous transactions, pay your bills, and approach customer service.
AI and machine learning enables data collecting and analysis, resulting in more tailored service.
4. Advanced Marketing
The mobile app is another way to communicate with clients, engage them, and deepen your relationship. According to a top mobile app development company, advertising offerings on the app are viewed favorably compared to traditional sales in bank offices.
Banks can also collaborate with retailers, restaurants, movie theaters, and other companies to offer rewards and discounts.
Features To Be Added to Mobile Banking App
The following are the main features that are difficult to prevent in mobile banking development:
- Account Creation and Management
- ATM and Bank Branch Locations
- Customer Support
- Secure Payments and Transactions
- Push Notifications
The above-listed app features form the foundation of mobile banking app development. You should consider some novel mobile banking features to improve user stickiness and interest, such as:
- Spending Trackers
- Cashback Service
- Personalized Offers
- Apps For Smartwatches
- Finance Sharing Feature
Steps To Develop A Mobile Banking App
Now, we will discuss the development process of mobile banking apps.
Step 1: Do the Research
The first and foremost step is identifying your competitors, the condition of the industry, trends in development, and who your users are (their wants and why their requirements are significant) are all necessary for developing a distinct value proposition/business model.
Step 2: Build and Verify a Prototype
To bring your concept to life, you must first construct a prototype that depicts the app’s logic, structure, and arrangement of design elements, images, and content. Furthermore, fixing a design issue through a prototype costs ten times less than implementing changes during development.
Step 3: Design the UI and UX
You should give a tailored client experience, make the account relevant and beneficial, aim for simplicity in use, and guarantee the whole app is clear and safe, in accordance with best practices in banking app UI/UX design.
Step 4: Choose a Technology Stack
Because each project is unique, there is no standardized stack for web or mobile banking development. Nonetheless, a well-chosen technology stack will help save costs, cut software development time, and accelerate time to market.
Step 5: Code the App
You can either implement the app in-house or via an app development outsourcing company. If you have the time and money to engage banking software development pros, the first technique works.
However, if you need to get started quickly, hire Indian app developers who are experienced in developing mobile banking apps.
Step 6: Release and Maintain
Perhaps the most amazing and gratifying point is the application release. But only if you have experts on your team or collaborate with certified banking app developers.
They will help you improve the app and prepare it for release on the App Store and Google Play.
Step 7: Market your App and Get Feedback
Your task is not over just after launching your mobile banking app. You need to promote your app as well, in order to make it visible to your customers.
Use different marketing strategies such as ads, influencer marketing, SEO, word of mouth, and more, to market your app. Also, keep an eye on the feedback of your customers regarding your mobile banking app.
Step 8: Improve and Update
Nothing is perfect in this world. Everything has a scope to improve and this also implies on your mobile banking app. Evaluate the feedback of your customers regarding the app and make necessary changes in your mobile banking app in order to make it better and user-friendly.
Different Strategies to Monetize Your Mobile Banking App
There are five basic strategies that will help monetize a mobile banking application:
#1. Subscriptions
A subscription plan is an effective way of monetization for mobile banking app development companies. It involves users paying upfront for access to a service for a specific period, typically monthly, quarterly, or year.
This flexible approach allows for the development of mobile banking applications that don’t require payment for periods not used.
#2. Transaction Fees
Mobile banking application development can be monetized by taking transaction fees for various money operations. The platform is free-to-download and does not require account management. The percentage varies between apps, typically not exceeding 5% per regular transaction.
#3. Business Collaborations
FinTech startups partner with renowned financial institutions for business collaboration, establishing mutually beneficial relationships without third-party advertisements or fees, and promoting financial innovation.
#4. In-App Advertising
Consider an advertising model for mobile banking application development, offering a free platform for users. Application runners earn profits by showcasing ads within their app.
Ads can be banners, media, or interactive elements. This in-app advertising strategy attracts more customers but has a lower retention rate because excess ads may seem irritating.
#5. API as a Product
APIs are cost- and time-effective methods for accessing functionality in mobile banking applications. They enable payments and money transfers, but banks must provide free API access, making the model relevant for them.
Conclusion
Mobile banking app development is a trendy matter at the moment. As more financial institutions adopt modern FinTech technologies, traditional banks will become obsolete.
When you are doubting yourself, your opponents have already chosen a winning ticket. If you would like to dominate the competition, don’t waste time and contact the best financial app development company straight away to begin customized mobile banking application development.
