September 1, 2023
December 14, 2022

How User Experience can Transform your Fintech Product

Benjamin Yang

“Fintech’s have reshaped customer expectations, setting new and higher bars for user experience. Through innovations like rapid loan adjudication, fintech’s have shown that the customer experience bar set by large technology firms, such as Apple and Google, can be met in financial services.” - Deloitte, 2020. These large technology firms have shown that user experience is any business’ salvation, and it’s no different for fintech solutions that already face the challenge of trust straight out of the gate. This blog takes a look at how user experience can transform your fintech product into a long-term success.

Defining User Experience

User experience (or UX) is a broad concept that explains how any person interacts with a product or service. Within the digital industry, UX design often means said person’s overall satisfaction with a digital product that provides value, function, usability and a positive impression. The purpose of UX design is to provide a series of conditions that best facilitate the user to ensure gratification. The priority when aiming for quality user experience is meeting the needs of your users, while the second focus is doing so in a way that seamlessly integrates all the functions of your business into a cleverly crafted application.

Five Things Fintech Start-ups Should Know About User Experience

  1. UX is more than just usability

While users appreciate apps that are easy to use and navigate most, it isn’t the only element that they anticipate from a great website or application. Ease of use is just one of the things users expect from their digital product, and having usability only may not guarantee that individuals will use your fintech app.

  1. UX and UI are two different things

User experience (UX) and user interface (UI) are ofttimes used interchangeably, but user interface is only one part of the whole user experience. User interface refers to the visual representation of your app, while the user experience incorporates user interface design along with other processes to create a high-functioning and visually appealing experience.

  1. UX is customer-centric

Successful fintech apps are apps that put the user first. Quality UX design is all about understanding your customers, meeting their needs and addressing the problems they have through your product. Part of the process to achieve the best possible user experience involves researching your customers’ behaviours, aspirations and pain points.

  1. UX continually evolves

Delivering on user experience is a never-ending cycle that ultimately forms part of your service delivery. Once the product launches, it becomes imperative to translate feedback from users into actionable requests. Technology advancements also influence and improve the user experience, while regulations within the fintech space evolve, and need to be accounted for, too.

  1. UX should support your business

Just as users have needs that should be met through the development process of your application, so too does your business. The design process of your application should aim to find a balance between providing a quality user experience and offering a technical solution that supports your business needs.

Understanding user experience as part of your fintech solution design and development process assists in laying foundations for building out a quality app that has a higher chance of success in the market. But what exactly are the benefits of prioritising user experience?

Five Benefits of User Experience for Fintech Start-ups

  1. Minimises development costs

UX designers begin their whole process of development by first identifying the customers’ needs through rigorous research to best understand how to serve them the ideal product solution. This makes them more productive. It also means that there is less time spent on reworking any element or function of the application once it has launched, based on user feedback, as the groundwork has already been done. Some studies have highlighted that 50% of programmers’ time (not to mention budget) is wasted on work that could have otherwise been avoided.

  1. Attracts new users

Word-of-mouth marketing is considered the best advertising tool to-date. If you deliver on a quality user experience and high-end fintech app, chances are your loyal users will love it and recommend it to their friends and family. This results in more customers for you, so working to ensure your product is user-friendly and enjoyable is time well spent.

  1. Increases conversion

Global digitalisation has meant that more individuals and generations are growing up with technology in-hand, which means their expectations of websites and mobile applications are high. Providing a fintech app that is easy to navigate, has clear flow and offers call-to-actions at the right time drives conversions. 75% of users judge websites on how they look and feel, and it is this quality user interface that will convert.

  1. Builds brand loyalty

Long-term growth and success for any business is driven by positive brand experience, which happens at every customer touch point. Delivering an inefficient app or non-functional website are ways to guarantee customer losses. UX designers are best equipped to not only deliver a high-functioning fintech app, but also encourage trust in your product; something that is a challenge when it comes to financial services.

  1. Reduces operational costs

A quality fintech app that prioritises user experience produces a product that is easy to use. This means that users will require minimal additional customer support to navigate and make use of your product, saving time and resources that can be better dedicated elsewhere in the business.

It’s not just enough to understand user experience and know how it can affect your start-up, you need the right developers working alongside you to implement UX tools effectively. Peter Morville, a leading expert and author on the topic of user experience, classified his seven-trait model that developers should follow in order to achieve quality UX in their designs:

The Seven-Trait Honeycomb Experience Model

  1. Usable. Any web or app-based product should be easy to use. If a user cannot navigate your website or complete the tasks your app was designed to fulfil, they will not use your product. Iterating and user testing help to ensure that your product is user-friendly.
  2. Useful. While usability speaks to the ability of the user to make use of your product, usefulness refers to what need your product fulfils in their lives. Being useful is a necessity. If your product does not serve a purpose, you will not retain customers. Thorough research and sticking to core functionality help keep your goal clear and your app useful.
  3. Desirable. How desirable your product is to the consumer is influenced by social trends or culture, emotional connotations and advertising. The appearance of your product should attract and retain customers. Thoughtful user interface design and marketing strategy influence desirability.
  4. Findable. The creation of any website or application involves troubleshooting, and it is important to ensure that the solutions to any foreseeable problems you can identify throughout the development process are made available to users. If a user cannot find the information they need, or resolve a problem they have, they will not keep using your product. Organising information, providing context, and search features all form part of a findable product.
  5. Accessible. Ensuring your website or mobile app can be accessed by all your users is of paramount importance. Products that are difficult to use or inaccessible are not easily adopted in the market. There are a number of ways to make your app more accessible, from iconography to functionality.
  6. Credible. Credibility is crucial in the digital age, and even more so when it comes to financial services. Any individual or scammer can create a website or mobile application, so users are naturally more sceptical of products they do not know. It’s important to gain trust and build brand loyalty. This can be achieved through BJ Foggs four types of internet credibility:
  • Presumed: being supported by a well-known brand.
  • Reputed: through word-of-mouth marketing or customer reviews.
  • Surface: your brand’s perceived professionalism through its web design and tone of voice.
  • Earned: based on a user’s previous experience using your product.
  1. Valuable. All the other six traits go a long way in establishing value, but it is important that your product provides value for its users, as well as for your business. Value is generally reflected in financial gain or time spared. 

Quality user experience is the difference between effective, high-converting websites and applications, and failed startups. Partnering with a development and design studio that prioritises UX and UI will grant your fintech startup a competitive advantage, build brand loyalty and drive sustainability for your business. Get in touch with our UX designers today, click here.

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