May 12, 2020 Last updated May 12th, 2020 188 Reads share

How Current FinTech Surge Is Ready to Disrupt Traditional Banking Sector

Image Credit: DepositPhotos

Witnessing the current situation, there’s no denying the critical importance of being digital now. The rise of mobile apps has a major immense influence on the banking sector. From money deposits to generating e-statements, mobility is completely transforming the way users do their banking transactions.

89% of survey respondents said they use mobile banking, but this percentage rises to a massive 97% when it comes to millennials. (Source: Business Insider)

Why Do People Use Mobile Banking?

The demand for mobile banking apps is continuously increasing because it is an easy-to-use tool for different banking activities. Unlike before, people have more trust and more users are switching to mobile apps every day.

To make the most of it, you can partner with a reliable mobile app development company for e-banking services. The company helps you create a secure end-to-end process that also offers a great experience to its users.

It is estimated that by 2021, 90% of the smartphone users will start making payments through their devices.

However, the road for choosing the mobile app development partner is not easy. Financial institutions find a few challenges when planning to create a unique financial app.

Challenges Faced When Developing Mobile Banking Apps

1. Concerns Related To Data Security

Security is the forefront issue when it comes to banking apps. There is no room of error as banking apps should contain sensitive and confidential data of the users. Even the slightest lapse is enough for hackers to peep in the data. Thus, security becomes paramount and you need to keep it on the top of your priority list.

2. Regulatory-Based Concerns

The financial industry regulated as most of the policies are formed by the esteemed government or other organizations. Therefore, the mobile app development company must abide by all the regulations while creating apps.

Many top mobile app development companies are offering solutions that overcome any challenge.   Thus, it is important to choose the right mobile app development company to achieve goals and fruitful results. With the help of experienced mobile app developers, you can enjoy tremendous benefits.

Benefits That Mobile Apps Offer To Financial Institutions

1. Helps in Retaining Customers

Compared to branch-only customers, mobile banking customers are more engaged with banking services. With instant fulfillment of customer needs, you can engage your customers and retain them for a longer period. The instant gratification makes customers satisfied and loyal towards banks.

2. Gain Loyalty through Push Notifications

Push notifications offer multiple benefits to you as well as your customers. It is key to reach your customer base when they are not even using your app. You can give relevant updates on their accounts and update about the latest offers through in-app or push notifications.

3. Use of Analytics Helps in Gaining Customer Insights

With a mobile app, you can gather and analyze actionable metrics. It allows you to improve your services and helps banks to interact with their customers. With data like active users, session intervals, and abandonment rates, you can monitor customer satisfaction rates. Tracking the number of downloads and the region for maximum downloads helps to analyse acquisition metrics. Finally, based on the latest transactions, you can send them relevant bank offers.

4. Enhanced Customer Support

Mobile banking apps provide the facility of 24*7 customer support. With mobile baking, customers are not limited to make their essential transactions according to the working hours of the banks. By providing round-the-clock services, you can win customer’s attention that increases customer engagement rates.

5. Better Security

The mobile banking app is built while keeping all the security measures in mind. The mobile app developers introduce several layers and firewalls to keep your data safe.

With the emergence of mobile banking, the financial industry is disrupted by the current scenario. There are many modern technologies that you can implement for improved customer experience.

Futuristic Technologies That Transform Banking Experiences

1. Make Use of Smart bots

AI Chatbot Development for Banking & Finance industry and can solve customer’s queries to a great extent without the intervention of humans. With chatbots, you can offer 24*7availability to your customers that also eliminate the need for hiring too many support operators. They can even handle more complex dialogs based on previous requests. Moreover, it also eliminates the need of standing in long queues thus, provides world-class services.

2. Implementing Big Data to Handle the Data

A large volume of data is generated in the banking and financial sector. Thanks to big data analytics, as electronic record grows, financial services can easily use it to store data, drive superior business insights, and improve scalability. Making use of the technology, the financial institutions keep a track of daily online transactions effortlessly and offer a better solution for investment management. Business intelligence tools can easily identify potential risks that are associated with money lending processes in banks. Furthermore, it helps you take a glance over the market trends, enabling you to decide the increase or decrease in interest rates.

Will Digital Give Big Win To Financial Institutions In The Future?

Taking your bank online is a big step however with upcoming surge e-banking services will become a need of an hour. Leveraging the capabilities of the latest technologies, you can build a remarkable app that offers convenience to your everyday users.

How Much Fintech App Development Cost?

It is difficult to get an accurate amount as development cost depends on various factors. For instance, features required, third-party integrations, location of the outsourcing company, and much more.

If you are ready to develop an innovative FinTech Solution then you must be eager to know its development cost. There is various app cost calculator to get estimates of your Android or iOS apps available online. All you need to answer a few questions basis on your requirements and you can get the approximate cost within minutes.

With the approximate numbers in your hand, you consult a renowned company and build an app that generates great ROI in the future.

mobile banking concept -DepositPhotos

Ramesh Lal

Ramesh Lal

Ramesh Lal is a digital marketing specialist at FATbit Technologies, a leading software development company. https://www.linkedin.com/in/ramesh-lal-302961127/

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