According to the most recent report on the Economic Well-Being of U.S. Households, 70% of adults use personal finance apps to monitor their spending and help them stick to their budget. Furthermore, Gallup believes that the market size of the personal-finance sector is projected to increase rapidly in the coming years, surpassing $1 billion by 2021.
Personal finance apps are clearly not going anywhere anytime soon, so this is an excellent time to engage in developing a solution to assist consumers in managing and planning their finances. If you want to build a powerful personal finance experience, you’ve come to the right spot. In this post, we’ll go through the tips and tactics you can hold in mind when building a personal finance app.
Tips to Build an Effective Personal Finance Application
When engaging in the growth of a finance app, you should have a clear idea of how you plan to monetize it. Over 60% of app developers advocate a “freemium” strategy, which allows users to try a product before purchasing it. A finance app development company or a mobile app development company can help you in finalizing an effective monetization strategy for your app.
The app’s download and basic features are free. If a person wishes to obtain more opportunities, he must pay. So, all you need to do is find out the functionality the app customers are willing to pay for. Here are some of the most effective tips that you can use to build an effective personal finance app.
Emphasize The App’s UX
Personal finance applications may be dull and uninteresting by design. As a result, you must emphasize User Experience management (UX). If you actually present a vast volume of data to consumers without understanding their experience, you are likely to see low levels of user interaction. Ensure that the product’s user interface (UI) is as uncluttered as possible, that reports and details are easy to interpret, and that the overall flow is intuitive.
Deploy Robust Security Measures
It can go without saying that consumers of personal finance applications want and need assurance that all of their confidential personal data is safely protected. Include external security mechanisms, such as encryption, as well as sophisticated authentication measures, such as fingerprint recognition, two-factor authentication, or iris scanning, in your app.
Emphasize user convenience
Modern customers are constantly on the move, and they like their personal finance app to be conveniently available when they are on the go. Try having personalized widgets available in order to provide consumers with useful ways to enter data and keep track of where they stand.
Deploy Push Notifications
It is important to keep the users informed. Push updates and other forms of reminders about pending purchases are important features for personal financial monitoring applications like Mint. Get the reminders as timely and unobtrusive as possible. A finance app development company or a mobile app development company can leverage the latest APIs to deploy push notification functionality.
Allow Customization Options
Automated cost monitoring is one of the key reasons that people use personal finance applications in the first place. Some customers, though, are more cautious than others and do not want to grant a third-party app access to their bank account information. In these situations, you should think about including a manual data entry option. Even if the finance app development company or a mobile app development company builds an app that provides automatic cost logging, it is better to allow users to edit or modify the details.
Don’t Include In-App Ads
People generally dislike seeing display ads in their online financial services. If you want to display advertisements in your interface, it may appear spammy and untrustworthy. However, a freemium approach is a feasible alternative. Consider including a free version of your software as well as a premium plan with added functionality. A mobile app development company or a finance app development company can help you in exploring the monetization options for your finance app.
Identify Your Target Market
The bulk of personal finance applications on the market today are targeted at consumers in the United States. By entering a less saturated local market outside of the US, you can lower the barrier to entry and have fewer rivals in your space. Instead of using regional targeting, you might try targeting individual personas. For example, your software could be built and tailored for college students to assist them in repaying student loans.
Include Sync Options
The current weakness in the personal finance software industry that is not being properly tackled is the opportunity to build shared bank accounts or track all of a family’s finances from a single digital solution. If you’re developing a personal finance app, you should think about using these features to set yourself apart from the competition.
Enable Real-Time Data Sync
Your personal finance software can enable real-time integration between devices and bank accounts. This can be achieved when the app is running in the context of the user’s smartphone. A finance app development company or a mobile app development company can help you in enabling real-time data sync.
Keep The App Slick
Don’t cram too many gadgets or functionality into your personal finance app. At the end of the day, most people do not want a workaround that is too complex. Don’t overthink it by adding extra features, which exposes you to customer frustration and the possibility of bugs.
Deploy Robust Security Measures
It can go without saying that consumers of personal finance applications want and need to have the assurance that all of their confidential personal data is being stored safely. Include additional security layers in the app, such as encryption, as well as sophisticated authentication measures such as fingerprint recognition, two-factor authentication, or iris scanning.
As we open the new year, the FinTech industry shows a lot of hope. If you want to take advantage of the benefits that come with launching your own personal finance app, make sure to read the tips above.