Any firm considering investing in a mobile app has most likely observed and even come across the concept of Fintech. They also might even wonder what it means and how it impacts the app development processes.
Here is what is enveloped by the FinTech Industry:
- Blockchain solutions.
- Digital wallets.
- Payment processing.
- Trading and securities.
- Cross-border payments.
How did Mobile apps improve with the aid of Fintech Solutions?
FinTech solutions give the tools in creating secure and efficient mobile apps on a whole new level. Since protection of financial information requires extra security layers and protection for privacy from risky situations, such poses unique challenges to mobile app and software developers. In all honesty, no one wants a FIntech mobile app putting the user’s privacy at risk.
Since financial information can create a security and privacy risk to users, it also poses particular challenges to mobile app users, it also makes development of such apps and related software a challenge.
How do Fintech solutions take this into account? Simple, according to experts from a Brampton based firm of app development Toronto; they incorporate features like Blockchain, cryptocurrencies and secure channels for exchanging sensitive financial information.
Other than that, Fintech solutions also raise efficiency through automation of some processes and offering digital options for traditional processes that typically consume a lot of time, among them being obtaining signatures on contracts.
Last, but not the least; FinTech solutions simplify financial exchanges by providing an improved user experience for companies whose financial workings include client dealings, vendor payment and exchange of assets in different currencies.
Even if app development firms are not creating a mobile app specifically for banking, FinTech still has implications that affect a wide range of mobile apps.
Non-Financial Apps now include Financial Features
Though experts recommended apps launch themselves with a focused, signature feature; it is common for companies to add features later on incorporating options for payment. FinTech solutions become even more vital as more apps are rolling out newer and more innovative features involving financial transactions.
With social media giants such as Facebook offering merchants the chance to sell directly on their websites, it became clear in a much quicker manner that financial exchanges and transactions would no longer be the sole jurisdiction of banks and other financial institutions.
Over the course of time, the trend has continued with transportation apps transforming themselves into meal delivery service apps, goods delivery service apps and vice versa as well as retailers offering in-app purchase options.
Fintech has the ability to influence such a wide range of mobile apps through provision of top class solutions that reduce the complications of financial exchanges for both users and companies managing transactions at both the front and back end.
Though these apps do not deal directly with any bank or a typical financial exchange, the best practices driven by FinTech can improve user experience, security and efficiency with relative ease.
Freemium Apps that monetize via In-App transactions
A motivational factor for mobile apps to add financial features has been the successful rise of the freemium model’s successful rise. In the freemium model, a mobile app can be downloaded for free and be used easily that way. Also, users in this model are given the option of purchasing paid upgrades, or in other words, make needed in-app purchases.
In a survey of 100+ app developers from companies worldwide, more than half (61%) recommended the freemium model as the most effective strategy for monetizing an app.
Although a lot of users are now accustomed to trusting the apps of their banks, some users are still cautious of sharing financial information with numerous apps, among them being Spotify, a renown app offering access to music, or NBA Live made by EA Sports in terms of making small payments for additional features.
Fintech Solutions ensure that organizations who are running freemium apps can provide the same kind of security and reassurance users require from their banking apps.
Consumer expectations evolve continuously each day
Consumers have become accustomed to efficiency and security banking apps have provided. Hence, expectations are shifting and evolving. There are banking apps that have been able to offer biometric protection options to be used easily in place of passwords, or security questions.
Biometric verification allows for apps to be opened after fingerprint scans have been verified. In fact, some banking apps have even decided to test facial recognition(app ideas).
Mobile apps that involve payments should be ready to serve preferred payment methods of users. In an ideal situation for instance, users logging into either Lyft or Uber should pay with renowned digital wallets like Google Wallet or Apple’s Passbook, bitcoin or paying online through their debit/credit card.