Okay, let’s start discussing the most interesting part of our article. We won’t go into all the details, just outline the very substance of the matter.
Table of Content
Firstly, you need to assess the overall situation. Research the market, analyze competitors and consumers. The resulting data will form the basis of your strategy and ensure effective mobile banking app development.
Of course, you need to hire a team of experienced UI/UX experts able to create cool app designs. Keep reading our article to understand why this step is so important.
Technology for mobile banking app development
Next, you should pay attention to the technical features of creating a mobile banking application or, in other words, the required technological stack.
As you’ll see, it very much depends on the approach you choose to the development process.
Native App Development
The ideal option is to create a native app for the platform of your choice (iOS, Android, or both). Such an application will fully comply with the requirements of Google and Apple.
Let’s take a look at an indicative mobile app development technology stack that your hired team is likely to use in the case of a native approach.
However, native development is time-consuming, energy-intensive, and, as a result, expensive. And if your budget is tight, choose a different way to develop an application for a banking organization.
Hybrid & Cross-Platform App Dev
The cross-platform approach simplifies the development process several times. Once created, the application will support both iOS and Android devices. It may not be as perfect as the native program, but you’ll save a lot.
Now about hybrid applications. In fact, they are a cross between native and web applications. Designed differently than native services, they resemble them in use.
And there are also a few more technologies for Mobile Banking Apps. You might find them useful too.
Now you know the technology to build mobile banking applications (or rather, technologies). Start small and create a simple model of your future full-fledged application (the so-called MVP model).
Such a model will have only main mobile banking features, nothing extra. With MVP, you’ll be able to save money and test the initial version of the application on end-users
Publishing an application to app stores
The application is ready to launch and can be published in App Store and Google Play.
Improving your mobile banking software
Now your task is to collect user feedback, analyze it and adjust your strategy. It’s never too late to become better.
Challenges in Mobile Banking Application Development
When you start building a mobile banking app, do your best to protect your users’ data. After all, the statistics are very disappointing:
- Since 2015, the number of fraudulent transactions in mobile banking has increased by 600+%.
- Almost 90% of digital fraud is the result of account hacking.
- In 2020, losses from mobile fraud exceeded $ 35 million.
However, you shouldn’t abandon the mobile banking app development idea for fear of not dealing with security issues. Better ensure decent data protection with the following techniques:
- Multi-stage user authentication system.
- Encryption of all information, including data stored on the device.
- Using one-time passwords to confirm transactions.
- Applying passwords to access the application itself.
- Automatic app blocking in case of loss or damage to the device.
And we haven’t listed all the methods that the best mobile banking apps use to protect user data.
Of course, security comes first, but application usability matters a lot too. Mobile banking services should be easy to use, intuitive and user-friendly.
So pay as much attention to the issue in question as possible. Follow the rule of 3 steps: the fewer taps the user needs to do to perform the selected financial transaction, the better. Of course, provided that you don’t compromise the security of user data.
Mobile Banking App Development Trends
If you’re serious about building a mobile banking app, you must understand in which direction the entire sector is evolving. Therefore, you’ll find it useful to know the latest market trends:
- More active use of the smartphone camera. Among other things, many payments are being increasingly made using barcode scanning (which you won’t be able to do without your camera).
- Remote identification. Previously, a face-to-face meeting between a client and a bank representative was always mandatory. However, quarantine has offered an alteration in the usual business processes. And now identification is gradually moving into remote mode. Such methods as video identification, electronic digital signatures, and others are being introduced.
- Voice technologies. Why not provide your client with special top mobile banking features that allow him to manage payments using his voice?
- Artificial Intelligence. In particular, AI-based chatbots and robotic financial advisors are becoming rather popular.
- Financial discipline control. Also, the latest types of mobile banking apps help in financial monitoring. Company owners can resort to special features to better assess their business processes and prevent possible risky operations.
- Integration with instant messengers and social networks, which will improve the communication of clients with bank employees and bring the exchange of documents to a new level.
- Additional trends. Also, don’t forget about the growing demand for biometrics, NFC payments, as well as integration with external B2B services.
The Cost of Developing a Mobile Banking Application
How much money do you need to spend to build a successful FinTech app? Let’s say right away: a lot. It’s not the time to skimp and screw!
Surely, it is impossible to name a specific price without clarifying all the details first. Although the diagram below might help you get your bearings:
Best Mobile Banking Apps
We’ve covered the most important topics, now it’s time to identify a few of your competitors. To begin with, we suggest paying attention to the most popular banking apps… at least, three of them.
Bank of America
This financial giant is one of the largest banks in the United States. Besides, it is ranked 23rd among the most influential companies in the world (according to Forbes). Bank of America was founded by Italian émigré Amadeo Giannini in the early 20th century in San Francisco. In those days, it was called ‘Bank of Italy’ and focused on helping immigrants.
Giannini’s company got its current name closer to the 30s after the merger with the bank of the same name from Los Angeles.
One of the reasons for Bank of America’s success is its focus on innovation and active use of digital technologies. Among others, the business owners decided to build a successful FinTech app. And their efforts paid off completely.
Capital One is another well-known American banking company. Compared to the previous example, its history is less impressive (it has existed only since the end of the 20th century), but it has already managed to enter the list of the largest US banks. What’s more, Capital One has earned a reputation as a technology-driven financial institution. So it’s no surprise that the mobile service they’ve created has joined the top banking apps.
JP Morgan Chase
J.P. Morgan Chase is, too, a very strong player in the banking sector. The organization offers various types of financial services and doesn’t limit its activities to the United States only. It works with clients all over the world.
The history of the company dates back to 1799 (which inspires respect, isn’t it?). Although in those days the financial institution was known as The Bank of the Manhattan Co. Later, it became part of The Chase Manhattan Bank. In its current form, the bank has existed only since the beginning of the 21st century.
J.P. Morgan Chase is the leader in the investment banking market and popular even with large corporations and government agencies. And its mobile banking software is one of the best.