April 30, 2024
Mobile banking is now one of the most important segments of online banking services. As reported in Statista, mobile banking applications are used by 2.5 billion individuals in 2024. As the use of mobile devices and networks increases, customers want banks to offer mobile banking services.
This guide is useful for bank or financial institution owners who want to develop a mobile banking application.
Before starting the mobile banking app development process, it's crucial to understand your target users and their needs. This will shape the features and functionality you need to provide in the app.
Some questions to ask:
Analyse your existing internet/mobile banking usage data and customer demographics. You can also run surveys and user interviews to gather insights or let Mangosoft.tech help you during the banking mobile app development process.
Understanding user expectations and behaviours will allow you to design an app perfectly suited for them and finally answer the question of how to build a banking app. Failing to do so risks creating an app with features they may not want or need.
Once you analyse and segment your target users, define what exactly you want to enable them to do through the mobile banking application.
Some common mobile banking features include:
Prioritise must-have features first based on popular demand. Enhanced capabilities can be added later through app updates. The final feature list should align with your mobile strategy and business goals. At the same time, design features to help improve customers' financial lives!
There are primarily two technology routes to build the mobile banking app - native or hybrid platforms.
Native apps are built specifically for a single mobile operating system - either iOS or Android. They offer the best performance since the mobile application development for banking directly interfaces with the device's capabilities.
But you need to build the iOS and Android versions separately, which takes more time and money. This may be suitable for large banks targeting many customers across platforms.
Hybrid apps use cross-platform frameworks like React Native, Flutter, Ionic, etc. This allows you to build a banking app once and deploy it to both iOS and Android app stores.
They are faster and cheaper to build, though performance may be slightly lower than native apps. This approach can work for smaller banks with limited budgets.
Analyse your users, business goals and budgets to decide the right approach. You can always take a hybrid first strategy and later build your own banking app that is native. Google "Ukraine outsourcing companies" if you need a hybrid solution. As time has shown, Ukrainian developers are good at them.
The mobile app’s user interface (UI) and user experience (UX) will directly impact adoption and usage. Keep it simple yet visually appealing, and follow platform-specific design guidelines to ensure familiarity.
Some best practices on how to make a banking app that is appealing include:
Additionally, optimise the experience for quick sessions. Use features like Face ID for fast access and in-session freezing to resume where users left off.
Security is paramount to building a banking app. Your app must safeguard user information and prevent unauthorised access or fraudulent transactions.
Keep up with regulatory and industry security standards that explain how to build a mobile banking app that meets all the requirements. Conduct extensive app testing and audits before launch.
The banking app development needs connectivity with your core banking software and systems like CBS, card management systems, etc. This enables real-time data access to:
You can either build direct API-based integration or use middleware solutions. Ensure the integration pathway is secure and efficient while abstracting internal complexity from the app.
Additionally, build a web-based admin portal for managing the mobile banking application and users. Key admin functionality includes:
The portal must only be accessible to authorised admins via multi-factor authentication.
Before a full launch, conduct beta testing of the apps with a smaller set of users. Fix any crashes, bugs or issues found during testing.
Testing also provides user feedback to improve flows and user experience. Functional, UI, performance and security testing are all crucial.
Only proceed to launch once rigorous testing in real-user conditions is completed. Manage app releases by gradually ramping up users, which will help you understand how to create a bank app that people really like.
To enable easy access for all users, launch the native or hybrid apps on both:
Submit your iOS app for Apple's review and listing on their App Store. This makes it visible and downloadable for iPhone/iPad users.
Similarly, list your Android app on the Google Play Store. Android phone/tablet users can search and install it from there.
Apps are the primary distribution channels for mobile banking. Listing on app stores ensures you reach all target users. Therefore, one of the first questions you will have to answer is how to create banking application in Android or iOS.
Merely launching the mobile banking app will not drive spontaneous adoption. You need dedicated marketing and engagement efforts, including:
Tellers, relationship managers and branch staff play a key role here. They should educate and personally assist customers in how to create mobile banking interactions and install the app during account opening or visits. Have the staff demonstrate the app features themselves right on the customer's phone. This helps new users understand the convenience and builds confidence.
Notify existing internet banking users via emails and text messages. Send download links and simple pictorial steps to register for the app. Email is also useful for sharing app updates or new features to re-engage users.
Create fun Facebook/Instagram posts showcasing your new mobile app. Use short videos to highlight key features and convenience. You can have customers share their experiences, too. Target paid ads on social platforms towards website visitors who have not signed up for mobile banking. Catch their attention with the ads in places they frequent daily. This is an essential part of how to start a banking app to make it successful.
Once users install the app, use in-app messages and push notifications to drive re-visits. Be helpful by sending timely alerts on new offers or account activity notifications. But don't overwhelm people with too many messages.
Everybody likes deals! Run limited-time discounts or cashback for users completing their first transaction on the mobile app. This incentivises instals and drives initial usage. Make the offers juicy enough to attract attention amidst the everyday app notification noise.
Prompt satisfied users to leave positive ratings and reviews on the app stores. This signals quality to potential users browsing the app stores. Occasional app popups can encourage users to share their nice experience or provide any feedback on how to make a mobile banking app better.
The goal is to use multiple channels to inform customers and make them feel comfortable trying out the new mobile banking application. The personal touch also helps humanise outreach. Keep iterating the engagement campaigns based on user response.
There are two key aspects to tracking post-app launch:
Developing a mobile banking application, use mobile analytics tools to monitor app crashes, errors, bugs, or glitches faced by users. Analyse if issues are device/platform-specific. Track opt-outs or uninstalls.
Measure transaction volumes and usage of different features. See which areas need improvement. Check data for enrollment rates, user drop-offs, frequency of use, session lengths and similar metrics.
Continuous monitoring provides insights to further enhance the apps through updates. It also indicates adoption levels across user segments.
Banking apps development require ongoing maintenance for optimal uptime and performance:
Based on the data gathered from analytics, resolve any problems that a user encounters, such as crashes, bugs or other problems, via updates. Offer upgrades and fixes for OS/device-related issues.
Continuously refine features and introduce new functionality in light of the current user requirements and technological advancements. Maintain competitiveness.
Describe changes in regulation or policy regarding app use – for instance, changes in authenticating users. Reminders to compel the users to stay on the right side of the law.
How to create a banking application that is safe?Update security, encryption, etc. , from time to time to correct flaws and protect from new cyber threats.
Thus, to maintain your mobile banking channel, there is a need to be proactive in the management of the mobile application.
So, how to develop online banking application and what are the steps? Building a feature-rich, user-friendly and secure mobile banking app development requires coordinated efforts across multiple steps:
When mobile banking app development is approached systematically, the customer satisfaction and the frequency of usage of the mobile channel in your bank is improved.
Meeting user needs, security, and the constant improvement of the service are the factors that will determine the sustainable future of mobile banking.
