Without a doubt, nowadays the fintech industry is one of the most innovative and fast-developing industries. According to Vantage Market Research, the value of the global fintech market is projected to grow and reach approximately $333 billion by 2028. We can trace the excellent dynamics of new fintech startups launching and investors’ willingness to invest in their development. For example, there were approximately 26,000 fintech startups registered globally in 2021. At the same time, based on the CB Insights research, the number of fintech funding deals grew by 20% in Q1 2022. All these statistics show that it’s a great time to think of fintech software development.
In this article, you’ll find short tips on how to make your app trendy in 2023 and outpace your competitors!
AI solutions are here to stay
Forbes stated that the value of artificial intelligence in the fintech market reached $8 billion in 2021 and is very likely to exceed $27 billion by 2026. Such enormous demand for this technology in the fintech software development industry is not a surprise as it can bring a lot of benefits:
- boost effectiveness – AI allows to process a lot of data instantly, automate tasks like invoicing, etc.
- strengthen security and prevent fraud – AI systems can be easily trained on real-world cases of financial fraud and detect it with the speed of light
- increase customer loyalty – AI chatbots can significantly enhance user experience as they are available 24/7, can solve the most common customer’s questions rapidly, and make communication more personalized. According to Jupiter Research, chatbot usage is expected to save fintech institutions and banks approximately 860 hours in 2023. Also, it’s worth paying attention to the voice recognition systems – they make financial solutions more accessible and facilitate the identification process.
- provide smart analytics and custom recommendations – AI can quickly analyze customers’ financial behavior, provide statistics, and make forecasts. Thanks to robo-advisors, customers can get personalized advice on how to invest or save costs smart, and achieve financial goals in a more efficient way
The most popular AI fintech startups as of 2022 are Axyon AI, Forwardlane, Token Metrics, AiDA.
Banking-as-a-Service is a rather new model that is gaining momentum. In simple terms, BaaS is about the integration of digital banking services into non-banking products and solutions. It helps financial institutions and startups get more partners and engage more customers. At the same time, non-financial businesses can offer their customers digital banking services without their own banking licenses. Keep this trend in mind if you’re going to start your fintech software development process.
This trend will be relevant for many years to come. If you want to invest smartly into the fintech software development process, MVP development is the best solution for you. The main benefit is that MVP (Minimum Viable Product) usually contains the crucial features only and even so it can already be launched to the market and attract users and investors, help you gather feedback, and raise money.
Bonus info: how much will it cost you to develop a fintech software?
It’s hard to share precise numbers as fintech software development cost always depends on many factors. However, we can make an approximate evaluation based on one of our projects. This year, Perfsol has developed a loan app – MXNEY. The average rate for software development in Ukraine is $40/hr (in comparison, the average rate in the USA is $80-100 per hour). The project took approximately 800 hours to complete. So we can assume that the project cost is more than $30,000.
If you want to reduce your fintech software development costs, get a high-quality solution developed for relatively low rates, or get any consultations to build trendy and successful software, feel free to reach out to our team!