“In 2018, 66.7 percent of senior banking executives said that non-traditional financial firms were having a large impact on wallets and mobile payments globally,” says Statista. And this fintech industry trend is likely to continue ballooning as the financial sector grabs the massive benefits of mobile app development. Read on to discover what your fintech business can win from these mobile app trends.
In this article, you’ll learn:
- What Is Fintech?
- What Are the Examples of Fintech?
- What Are the New Trends in Mobile App Development?
Let’s get rolling!
What Is Fintech?
Fintech, known as financial technology, refers to using the latest technologies and software to offer financial services faster and make them more accessible.
The demand for fintech software, such as mobile payment apps and online banking, has led to the enhanced fintech mobile app development. Fintech mobile app development involves creating trendy and intelligent apps for the financial sector. These apps have analytical tools to collect financial data and develop financial products.
Companies or customers can use real-time data from apps to manage their expenses, sales, income, and savings. Also, mobile payment wallet apps help customers control their finances at the click of a button.
Let’s look at some more examples of fintech.
What Are the Examples of Fintech?
1. Trading
Fintech apps make trading online effortless through advanced algorithms. Traders can see risks and trends from data available at their fingertips.
2. Insurance
The insurance industry is also reaping the benefits of using insurtech apps. Insurance companies can tailor-make products to meet the needs of their customers.
3. Cryptocurrency & Blockchain
Cryptocurrency is on the rise now. Modern technology connects buyers and sellers of cryptocurrencies remotely and efficiently.
Now that you’re familiar with the examples of fintech, let’s dive into mobile app technology trends developments for 2021 and beyond. Keep reading.
What Are the New Trends in Mobile App Development?
1. Artificial Intelligence and Machine Learning (AI & ML)
AI & ML are some of the growing fintech industry trends that you should keep your eye on. Insurance firms and banks can use AI to get real-time customer data to understand their buying decisions. Based on this data, they can customize products and services to respond to their target market.
Examples of AI for the banking sector and other financial service providers include live chats and chatbots. The latter quicken transactions and solve customers’ problems and queries instantly. As a result, customers remain satisfied and loyal to your brand.
Another great benefit of AI is that financial companies can slash their operating costs. Hence, they can make huge savings and improve their bottom line.
Here are more pros of AI for fintech companies:
- Detecting and handling cybercrime has become less challenging
- Financial frauds and online commercial risks are minimized
- AI enables face recognition features on mobile apps to improve security and document identification
2. Digital-Only Banking
Digital banking is no longer a buzzword in the financial sector. It’s a reality now. As one of the mobile app development trends, digital-only banking speeds up bill payments and reduces banking costs. Also, it provides customers with instant balance reports and banks with real-time analytics.
Peer-to-peer cash or lending has become possible and popular. For example, many online fintech companies like Lending Club have turned into the sources of loans for individuals and start-ups. Users can lend each other money without the need of traditional banks due to the state-of-the-art analytics and Big Data.
Other benefits of digital banking are as follows:
- Banks can offer virtual MasterCard without transaction fees
- Global payments can be processed at lightning speed
- Crypto traders can buy and sell cryptocurrencies easily
3. Open Banking
Like digital banking, open banking is also one of the mobile app technology trends you need to check out. Open banking is when banks and other financial companies let third-party providers access, use, and share data, consumer banking, and transactions. The practice is made possible through mobile apps.
Some pros of open banking include:
- Reducing debt
- Improving financial decisions
- Enabling competition of big banks with small financial institutions
4. Biometric Security Systems
Fintech app development helps financial service providers simplify financial transactions. It brings financial services within reach of customers. You can access these financial products with a single click of a button. However, mobile banking has opened wide doors to internet fraudsters.
Online scams skyrocket as technology advances. Thanks to modern biometric security systems, fintech companies can secure their customers’ sensitive data. And mobile app security best practices can help your fintech company reduce the risks of cybercrime.
5. Blockchain Technology
Blockchain technology is also a part of the fintech trends you should consider. Digital peer-to-peer lending platforms like Peerform make it easy for members to process loans through distributed ledger technology (DLT), for example. The technology creates a digital ledger containing users’ transactions to make it hard to hack and change.
Benefits of blockchain technology include:
- Lowering costs
- Improving internal operations
- Quick sharing of critical business docs by insurance, banks, and logistics companies
- Reducing the risks of falsified docs and invoices
- Allowing for smart contracts, which automate payments between traders and banks
6. RegTech
Companies in the financial sector must follow particular laws to run their operations. And these regulations come from many different government agents. Thus, it’s time-consuming to fall in with each government agency’s rules and regulations.
But the good news is that RegTech (Regulatory Technology) has made the entire process straightforward. Innovative apps help fintech companies to fulfill all the laws in real-time. Besides, crucial info becomes available within reach.
Some pros of RegTech are:
- Minimizing administrative expenses
- Strengthening a company’s financial position
- Protecting consumers through big data and machine learning
7. Gamification
Gamification also appears as one of the growing mobile technology trends. It’s a technology using the ideas of game playing in marketing. For example, customers can compete with others to promote your product or service.
Through the use of educational videos, quizzes, and cashback rewards, companies want to boost customer engagement. Additionally, gamification improves customers’ experience with your offer.
8. Voice Technologies
Google Assistant, Alexa, and Siri are among the most popular voice technologies at present. Voice-enabled technologies or voice assistants automatically provide answers to users’ queries. For instance, customers can inquire about their account balance and payments.
Voice technologies have some benefits, including:
- Reducing phone calls
- Saving time
- Making life easier for customers
- Improving companies’ operations
Final Thoughts
As a fintech company or investor, you would do well to keep your eyes peeled for the latest mobile app technology trends. Mobile app development can help your business benefit from gamification, blockchain technology, digital banking, regtech, voice technologies, and more advancements. At Swagsoft, you can always be on top of the game in fintech app development. Browse the website to learn more about how we can help your business with a customized mobile app.