Today’s digital-savvy customers are raising the expectations bar. We live in a world where you can make everything imaginable through an app. Therefore, it is common for today’s consumers to expect more features. In fact, U.S. bank customers clarified in Forrester’s research that they now believe they can accomplish any financial task from a mobile device.
Now, it’s all about personalized, frictionless experiences across every digital touchpoint, and only a few companies are adding more features to their apps, but which ones do they focus on?
Before sharing with you ten highly effective secrets to improve the user experience in your application, let’s see what customer experience (CX) in banking is and why it is so important.
Customer Experience (CX) in Banking
To understand the customer experience, you need to consider all user interactions with a bank, from opening a new account and answering their questions to swiping their card or scanning a QR. Any interaction and how the user feels is what matters.
A solid CX strategy directly influences the entire financial spectrum of your business, from reducing service costs to increasing cross-sell and upsell rates.
But what do users want, and what are they looking for today? Consumers wish for features plus a great user experience, and European and American institutions have demonstrated that you can have many features and offer strong UX within mobile banking.
61% of consumers’ banking transactions in 2019 were conducted on mobile phones, which has increased over the years. Many mobile banking functions considered leading-edge even just a few years ago are now table stakes, like balance information, transferring funds between accounts, paying bills, and deposit checks using phone cameras, fraud alerts, and ATM and branch locators.
10 Effective Tips to Boost Your Application’s User Experience
1) Know Your Audience: It is essential to understand your users, what they need, what they prefer, and what kind of challenges they may find using the app. Knowing your audience will make you one step ahead of your competitors.
2) User-centered Design: A user-centered app involves users in all process stages. Conducting usability testing and gathering constant feedback to iterate and improve the design is essential.
For example, you can use automated saving tools to predict what customers can save and ask them if they want to keep that amount. Some companies use algorithms that automatically transfer the available funds to savings once the consumer has agreed to the arrangement.
3) Surprise with Simplicity: A simple, intuitive design and navigation is critical. Sometimes, the more, the better, but in the case of user experience, it is the opposite. Most companies don’t realize that sometimes they force users to figure out how to complete tasks with poor navigational directions; for example, not including an in-app search function or not letting a customer quickly move from the app to mobile web and back is part of this error with users.
Eliminate everything non-essential in the user interface and make sure navigation and interaction are intuitive.
4) Intelligent Personalization: Customers expect you to know them beyond their account numbers. Offering personalized content and functionality based on user behavior and preferences is critical to creating a more relevant and engaging experience.
From personalized financial advice to customized budgeting tools, a tailored experience is becoming an expectation for users. For example, customized money management insights are the most significant mobile banking feature, making them intuitive and fun, with AI-powered tools like cash-flow analysis and categorizing spending.
5) Attention to Detail: Small touches can make a big difference in the perceived quality of your app. We recommend being smart and including them in the app, for example, micro-interactions, subtle animations, legible typography, and even alternative language choices. A multi-lingual banking app is a smart move if you want to appeal to various market segments.
A personalized marketing strategy is crucial in this context, where every user can find small, personal touches within the app. Think of the excitement and personal connection you felt when you saw your name on a Coca-Cola can or how Spotify curates your annual music summary. We aim to achieve that level of attention and detail with our app.
According to Salesforce Research’s “State of the Connected Customer” report, 61% of customers state that technology redefines their behaviors. This report sheds light on a few critical insights:
50% of respondents are likely to switch brands if a company doesn’t anticipate their needs. This underscores the importance of proactive engagement and personalization in our app development.
75% of consumers expect consistent experiences across multiple channels, social media, websites, mobile devices, etc. Therefore, our app’s design and functionality must be seamless and integrated across all platforms.
Customers expect every company interaction to be immediate, personalized, and proactive. With our focus on attention to detail, we can meet these expectations by creating an app uniquely tailored to each user, much like the delight of finding a product with your name.
By integrating these insights into our app’s development, we can ensure a high-quality product that resonates personally with our users, increasing satisfaction and loyalty.
6) Optimize Performance: First impression is vital for users. If you design an app that is slow or crashes frequently, it can be frustrating for them. Make sure the application is always fast and reliable.
Integrating 5G technology is critical in modern app development to ensure your application is fast and reliable. In Financial Technology, the fusion of 5G and Artificial Intelligence (AI) is reshaping the landscape. 5G networks provide lightning-fast data transfer and low latency essential for AI-powered applications, enhancing everything from real-time data processing to immersive AR/VR experiences. This integration is not just an upgrade but a complete transformation in the functionality and efficiency of financial services.
Speed is a necessity. Users expect instant results, and a slow app can be a significant deterrent. Embracing 5G technology in your app development ensures that your application meets the high-speed and reliability standards demanded by modern users, leading to better customer retention and satisfaction.
7) Effective Communication: Use clear and concise messages to guide users through the application and provide real-time helpful feedback.
Managing alerts is a whole world. You can use a few kinds: push, text, email, and phone alerts. Make them a benefit for you and the user. For example, they are an easy way to access customer service and clarify how to get help with a simple tap on screens. Assistance may come through live chat, live phone, virtual chat, or other means.
As mentioned above, a push notification is one part of the alert capability of an app; with it, you will be able to send messages in the manner consumers prefer. Some examples include deposit notifications, bills coming due, low balance/overdraft risk, large purchases, specific purchase categories, password/profile changes, and others.
8) Accessibility for All: Design an app by putting yourself in your user’s shoes. For example, always-on accessibility is essential because customers expect to handle their finances whenever they are free and wherever they are.
That means your banking services must be available 24/7. Also, remember to make it usable for people with disabilities. Complying with accessibility standards is essential.
9) Social Integration: Facilitate interaction and content sharing through social networks, which can increase the participation and virality of your application.
10) Robust Security and Privacy: Security is a significant priority for digital banking users. A Javelin Strategy report shows that 36% of consumers would switch their bank to one with more robust security features.
We recommend including biometric security; your app will be more secure with multi-factor authentication like fingerprint readers, facial recognition, and others.
Remember to protect your users’ data and communicate your privacy policies.
Tools and Technologies that Will Power Smart Banking in 2024
There is a growing expectation about smart banking and how it has the challenge of transforming tedious or routine tasks into seamless experiences.
Nowadays, customers expect a new level of personalized financial advisory and security. For that reason, integrating advanced digital technologies into financial services to facilitate personalized, secure, and efficient transactions and management of financial assets will be a challenge that every financial application will face.
Let’s see some technologies that will power smart banking in 2024:
1. Artificial Intelligence
AI algorithms prove invaluable for fraud detection and deliver personalized financial insights and tailored financial offerings. For that reason, enhancing both the customer experience and operational efficiency with AI is key to increasing customer engagement and loyalty.
2. Chatbots and Virtual Assistants
As the front line of customer service, these AI-powered platforms offer round-the-clock assistance, significantly reducing customer wait times. The challenge for chatbots and virtual assistants is to refine their services and offer more personalized experiences, like analyzing spending patterns, offering tailored budgeting tips, investment advice, and on the other side, collecting valuable data on customer behavior and preferences.
3. Augmented Reality
Augmented reality can transform how users interact with their financial data, offering a more interactive and enriched user experience. You can see it when they scan their bank cards using their mobile device’s camera to instantly access account information like the current balance and spending reports.
As you can see, when we look to the future, the line between technology and banking is closer than ever, so companies must be very flexible in adopting and integrating new technologies to deliver a truly seamless and personalized experience.
We know mobile app development is a critical step in every online business. Still, with these secrets we already shared with you, your mobile app will improve the user experience in your application.
Remember, the key to exceptional user experiences lies in a deep understanding of your users’ needs, continuous testing and improvement, and a commitment to clarity and simplicity.
Ready to take the leap?
Consider partnering with ThinkUp, an experienced fintech app development company that understands the intricacies of fintech mobile apps. Let us help you transform your business and stay competitive in today’s fast-paced.