What are banking apps?
A banking app is a mobile application that can be downloaded from Google Play Store, Apple’s App Store, and Microsoft Store. It helps in accessing your bank accounts and completing monetary transactions from the palm of your hand. Depending upon the bank, you can access and carry out a wide variety of services with the help of your banking app.
Most banking apps allow you to view your account balance, transaction history. Certain banking apps even allow you to update your information (address, mobile number and email), change your branches, request check books, loans and many more.
Why do you need to develop banking apps?
Our day-to-day lives have made developing banking apps, a necessity. It offers many benefits to both the business and consumers.
In this fast-paced world, most people don’t have time to visit a bank, stand in a queue, talk to a cashier and initiate a transaction. People always have mobile phones with them. Therefore, having their bank’s application in their mobiles will greatly reduce the burden on the customers. No matter where you are, you can access your account without visiting your branch. This reliability and user-friendliness boost a positive customer experience.
Reduction in Cost
Mobile transactions are cheaper than transactions at banks or ATMs. They don’t charge extra costs to the customers. This greatly reduces the bank’s operating costs and the need for staff. This minimizes the cost on paper, bill delivery, utilities, supplies and more. The usage of mobile banking apps has reduced the cost to serve customers up to 50 – 70%. They also reduce any human errors that may occur.
Banking applications allow customers to access their bank accounts 24/7. This increases the quality of service and enhances customer loyalty. Implementation of push notifications can also allow customers to know about various service rates, credit cards, loans and more. Inbuilt chatbots and support increase customer engagement, thereby improving their experience. This leads to a higher retention rate of the customers.
Increase in Revenues
Creating a banking application provides the bank with an extra way of increasing their income. Many banks with mobile applications and mobile-only banks partner with cinemas, shops, restaurants, gas stations and retailers to offer discounts and cashback facilities using mutually beneficial partnerships. Automatic transactions, 24hrs service and additional services provided by the mobile applications will increase the customer’s activity which will help in collecting commissions and other extra charges. In-built chatbots can identify and direct customers’ patterns and aid them in completing a transaction. This analysis usually consists of utility payments, online purchases and loans that help the customer by offering propositions, which increases sales.
Related article: Increase Banking CSAT with Conversational AI Chatbots in 2023
What are the Mobile Banking Trends in 2022?
As a result of the pandemic, using touchless transactions has become an unusual standard. From small roadside vendors to big corporations, everybody uses QR code technology. This can be only possible if the customer has a mobile banking app with them. Just by logging in to the mobile application and scanning them, and performing further steps, you can do touchless transactions. This method is fast and secure which reduces the chances of card skimming and stolen PINs.
Digital security is important for any mobile banking application. Implementing biometric technology has alleviated any stress that the customer may have when accessing mobile banking. Facial recognition, iris scans, fingerprint scans, and voice recognition are some of the features that biometric identification systems use. More than 56% of users trust biometric methods for banking applications.
Chatbots are AI-powered platforms that many banks have adapted. The need for personalized experience, data, and speed are the main reasons why banking institutions have started to use chatbots. Understanding the customers’ data and conversations with the help of chatbots provides a better customer experience. According to research, chatbots are expected to reduce business costs by up to $8 billion in 2022. It is estimated that up to 75 – 90% of banking queries will be handled by chatbots.
Related article: How to decide on the right chatbot for your banking institution
How to build a banking app?
Research and Build a Prototype
Before developing a mobile banking app, it is important to know the market trends and your competitors. Knowing what your users what and how to address them is crucial for developing a banking app. Once you identify what your users want, a prototype has to be created by implementing a structure, logic, design elements, content, and graphics. If any error occurs during the prototype phase, it can be rectified easily.
Any app that is developed should be enforced with security, and if it is a banking app then the security should be impregnable. This is done to protect your data and keep your money secure. Banking mobile applications use a few more layers of security. If your banking app doesn’t pass security rules, then it won’t even be published. Implementing two-factor authentication and an inactivity timer are some of the basic securities that the app developers at Autonom8 do to secure the app.
User Interface and Technology
When designing an app, it is important to choose the best tech stack that addresses all your needs. It could be a native or cross-platform tech stack. Native development needs knowledge of the platform’s framework and code. Usually, complex apps that require security and high productivity need native development. Cross-platform lets you have code shareability. It is a single codebase that lets you run on both platforms. Choosing an absolute tech stack will lower your costs, need for maintenance and also reduce the app development period. Since your customers vary from young adults to older people, the UI/UX design should be easily accessible and easy on the eyes. Your banking app can be customized as per your need at Autonom8. Our developers will heed your wishes and needs and create a useful and easy to use banking app that will address all your needs.
Coding and Integration
Your banking app can be executed with the help of an in-house developers team or you can hire a team of dedicated software developers who can take care of all the important aspects in developing a banking app. Once the app is developed, it has to be integrated with third-party apps like accounting software, expense trackers, document sign software and so on. These third-party apps will be beneficial to the users of the banking app.
Release and Maintenance
After developing your app, it has to be released in appropriate mediums. A dedicated team of software professionals can finetune your app and help you in publishing them in Microsoft Store, Google Play Store, and/or App Store. All three of these stores have different requirements that the banking apps should follow for submission and release. So, they have to be checked for adherence before publishing.
Feedback and Update
Pay attention to the reviews and feedback after publishing your banking app. Address and fix any bugs that may exist to ensure the best user experience. You can always ask influencers and area experts to try and test out your app. This will both improve and promote your app. Implementing articles, chatbot features and help columns will reduce the money spent on Support considerably.
The world of fintech is constantly evolving. Even though mobile banking will not entirely replace a traditional banking system, it provides the customers with a user-friendly and secure banking experience. Contact us today for more information on how we can build your banking mobile applications using AI technology.