User Experience focused Banking Apps: A journey to Excellence

Mobile banking has become increasingly popular in recent years, with more and more people using smartphone and tablet apps to manage their finances. Thus, the need for next-generation mobile banking has been on the rise continuously.

As banks compete for customers in the digital space, providing an excellent user experience through their mobile apps is crucial.

In this comprehensive guide, we’ll explore the key techniques banks can use to elevate the user experience in their mobile banking apps and keep customers satisfied and engaged long-term.

Introduction to mobile banking apps

Mobile banking has become a game-changer allowing us to handle our money matters from anywhere. Instead of visiting a branch, you can take care of business from your smartphone or tablet via mobile banking apps. Thus, when you hire a renowned company for Fintech app development services, you are assured that it is committed to providing only the best modern mobile banking solutions that are secured and reliable. It’s brought modern banking into the 21st century for sure!

The key to mobile banking is convenience. You can deposit checks instantly, make purchases, send money to friends, find ATMs nearby, and much more. It’s made finances way more accessible. Who wants to drive to the bank and wait in line when you can tap a few buttons and get it done in seconds? Not me!

Mobile banking has really taken off in India over the past several years as more people get hooked on the convenience. In 2021, India had over 1.31 billion mobile phone users – a huge market of potential mobile banking customers! Experts predict India will hit 1.37 billion mobile users by 2025 as smartphones get cheaper and internet access spreads.

The number of mobile banking transactions in India skyrocketed from 3.5 billion in 2016-17 to a whopping 22.4 billion just four years later in 2020-21. That’s major growth! India has embraced mobile banking for a few reasons: increasing smartphone penetration, affordable mobile data plans, and the government pushing for a cashless society.

However, now, we’ll explore progressive banks’ top techniques to drive mobile banking excellence.

Top techniques to elevate mobile banking app UX

While mobile apps provide a big opportunity for banks, the competition is fierce. Multiple banking apps often jostle for space on a user’s home screen. Mobile banking services with poor navigation, complex workflows, and lack of personalization often become ignored or uninstalled.

For a banking app, UX is of the utmost importance. How efficiently all the required features are segmented and made available across in the various screens in the mobile banking app with respect to the frequency of its usage adds more value. The tips on UX design strategy will help to understand certain niche aspects.

To take a step further, here are some proven techniques that will be helpful to elevate the user experience for mobile banking:

Easy Navigation

Simplicity is key when it comes to mobile banking navigation. Banking Apps should be designed in such a way that users can find what they need in as few taps as possible. Important features like account balances, funds transfer, and bill pay should be accessible directly from the home screen or main menu. Visual cues like icons make navigation intuitive even for first-time users. Some tips to improve navigation:

• Follow conventional design standards that users are familiar with from other apps. For example, the hamburger menu for profile and settings options.
• Use a consistent and clutter-free layout across screens. Don’t overwhelm users with too many options and menus on a single screen.
• Make key actions accessible with the least number of taps. Important flows like checking a balance or paying should be achievable in 2-3 taps.
• Enable swipe gestures within the banking mobile app for faster navigation. Horizontal swiping to switch accounts, vertical swiping to view transactions, etc.
• Include a search capability to let users quickly find what they need. Also, suggest results as they type to improve discoverability.

Reduce user actions/inputs

The number of steps and fields involved in any user action should be minimized. The more fields to fill and buttons to click, the higher the abandonment rate.

• Use smart defaults and pre-filled values like account numbers or biller information to complete forms in one tap.
• Remember user choices. If they’ve rejected notifications or geo-location in the past, don’t ask them again.
• Offer shortcuts like quick balance buttons on the home screen.
• Use icons and gestures like swipes and sliders instead of text fields wherever possible.
• Auto-fill OTP codes received via SMS to skip manual entry.
• Based on past user behavior, recommend preferred billers, funds transfer recipients, etc.

Keep app updated

Release new versions of your app regularly to fix bugs, add features, and deliver an optimal mobile banking app experience on the latest OS versions and devices. Notify users to update if they are running an outdated version of your app.

• Target releases a new version at least every 2-3 months. Even if there are no new features, use the release to optimize performance.
• Test rigorously on both old and new OS versions and newly launched devices. Mobile OS and device fragmentation can easily break things.
• Ensure backward compatibility even as you add new features so that the app works smoothly for users who haven’t updated.
• Monitor crash reporting and reviews to swiftly fix serious issues via a hotfix if needed instead of waiting for the next release.

Add new features – but not too frequently

While regular updates are vital, be careful about pushing too many feature changes simultaneously. Each new feature requires users to learn and adapt, so balance innovation with consistency.

• Talk to users to understand which features they really want. Align roadmap to user needs rather than chasing every new trend.
• Test prototypes extensively before rollout. Gradual, staged rollouts let you catch issues before impacting all users.
• Provide in-app tutorials, helpful cues, and tooltips to make new features easy to discover and learn.
• Allow users to opt for legacy or ‘lite’ versions of the app if they find newer versions too complex.
• Separate mandatory and optional updates. Don’t force users to update if they don’t need a specific new feature.

Prioritize security

Security is table stakes for banking apps for mobile handling sensitive financial information. Rigorous measures must be implemented while also keeping user convenience in mind.

• Enable biometric login like fingerprint or face recognition. But give users the choice to use PINs if they prefer.
• Provide two-factor authentication for sensitive actions like adding payees, changing limits, etc. OTP via SMS provides a cost-effective 2FA method.
• Encrypt all user data and transactions end-to-end. Data should be undecipherable if breached.
• Conduct regular security audits and penetration testing to catch any loopholes. Quickly patch vulnerabilities through app updates.
• Use AI to detect suspicious transaction patterns and alert users regarding potential fraud.
• Share security practices and safe account usage tips within the app. Users are the first line of defense.

Artificial intelligence (AI) and machine learning (ML), integral components, enable ardent developers to craft programs that enhance client happiness and simplify tasks. Staying abreast with cutting-edge technology allows firms to develop bespoke system solutions catered specifically to modern clients’ needs. For enhanced security, the use of fintech web3.0 technology help banks to protect customer data and transactions.

Boost user engagement

Since users have multiple banking apps, you must attract them to use yours frequently. Personalization and contextual recommendations increase engagement.

• Onboard users intelligently, explaining key features suited to their needs right away. Don’t overwhelm them initially. This is one of the benefits of mobile banking apps for users.
• Help users set savings goals, track expenses, and manage budgets to make your app a daily financial tool.
• Use offers, rewards, and financial tips to drive habit formation. For example, reward points for paying bills through the app.
• Send notifications about account activity, approaching EMI/insurance payments, and festive offers. But provide controls to avoid notification fatigue.
• Suggest accounts, loans, and cards based on income, spending patterns, and life stage. But allow users to switch personalization off.

Provide an intuitive UI

Simple, visually appealing interfaces make apps easy to use by all demographics. Avoid clutter and use familiar UI elements.

• Use a clean, uncluttered layout with sufficient white space and clearly defined zones.
• Make buttons and clickable elements large enough for error-free tapping on small mobile screens.
• Label icons and menu options clearly. Relying solely on icons can confuse users.
• Use large, legible fonts optimized for mobile. Avoid conveying important info only via small text.
• Make forms short and conversational. Use dropdowns, sliders and toggles instead of long input fields.
• Adopt a consistent design language and controls across the app. Don’t make users relearn interactions.

Focus on app performance

Laggy, slow-loading apps are incredibly frustrating and get uninstalled quickly. Optimize speed by all means.

• Test on both WiFi and cellular networks. Optimize images, and eliminate unnecessary bloatware.
• Lazy load content and images that are lower down on screens.
• Use data caching intelligently, especially for frequently accessed information like balances and transactions.
• Make network calls asynchronously. Don’t block UI rendering while waiting for network response.
• Use graphics judiciously. Animations and gradients slow down apps and avoid gratuitous use.
• Monitor app crashes and freezes closely. Poor memory management can significantly impact performance.
• Clearly communicate when operations may take longer time, e.g. external transfers. Show progress bars for long-running tasks.

Design an intuitive dashboard

A dashboard overviews key financial information. Design it thoughtfully to enable users to glean insights at a glance.

• Prominently display account balances, spending trends, and goals progress on the dashboard.
• Graphics like charts, gradients, and trends represent information, not just raw numbers.
• Allow users to customize dashboard components as per their priorities.
• Keep the dashboard visual design clean. Use white space between cards and columns.
• Show snapshots of spending, income, recurring payments, etc., directly on the dashboard rather than burying inside menus.
• Summarize insights and advice based on the user’s financial data – don’t just display data without insights.

Closing thoughts on Mobile Banking App user experience

Delivering excellent user experience in banking apps requires understanding consumer needs and leveraging the latest technical capabilities. Banks that hire professional mobile app developers to craft an intuitive, seamless, engaging banking mobile app can gain loyal customers in today’s competitive landscape.

The ideal company is one that has years of experience creating cutting-edge solutions for Fintech and banking app development. The future mobile banking provider must stay ahead of the curve by providing cutting-edge technology and customized services.

Banks must continue soliciting user feedback, testing potential features, and keeping pace with mobile app development trends to ensure the app satisfy customers now and into the future. By taking a human-centric approach focused on convenience and quality over gimmicks, banks can become the definitive choice for mobile banking users everywhere.

When looking at the increasing rate of mobile banking needs, you must select the best firm with the most up-to-date technology. The right company will have extensive experience developing custom applications for banks, financial institutions, and other businesses within the fintech industry. Such expertise ensures your project is completed on time and to the highest quality standards.

Pragnesh Modh

With a deep interest in new technologies, analyzing mobile application trends and impressive technical concoctions keep him inquisitive. In addition to managing the Operations and Delivery of projects at Prismetric, he likes to read and write a lot about the latest in technology. New app technologies, gadget fascinations, and big technology announcements kindle the writer in him spontaneously. His articles are his passion for innovative technologies.