While the world is still reeling from the effects of the global health crisis, certain industries are faring better than others. Fintech is one such industry that has witnessed increased adoption rates. One important reason is that more and more people are forced to take up cashless and contactless payment models.
It’s been quite some time since Fintech apps have begun replacing traditional modes of cash and card-based payments. Some reasons for their increasing prominence have been the increase in safety and the ability to process transactions in real time, which not only contributes to instant gratification but also addresses the practical need for contactless payments.
Many developing economies saw huge strides in Fintech adoption due to the lack of banking infrastructure. In many developed nations, cashless payments have already overtaken cash-based payments. With the commercial landscape undergoing massive changes, the global Fintech industry is expected to grow to $3 trillion by 2024.
With the increased usage of Fintech, companies have opportunities to create individualized experiences for users by understanding user behavior and leveraging data analytics. But, with newer apps coming to the scene, the true differentiator is the level of customer service offered. Apps that deliver superior value to customers with their services stand a chance to experience higher rates of registration and repeat transactions.
The Importance of Metric-Driven Marketing
Across the Fintech industry, the same set of questions confound marketers:
- How do we increase user base and sustain growth?
- How do we reduce uninstalls and increase retention?
- How do we reduce the time to their first transaction?
- How do we engage customers and convert new users into brand advocates?
With more and more apps to choose from, brands have to understand their users more than ever to differentiate themselves from the competition and deliver experiences that delight users. Only by tracking the right metrics can marketers better gauge the success of their marketing efforts and compare their app’s performance to industry standards.
Created by analyzing over 1.95 billion messages across 500+ million devices and 250+ million users, the CleverTap 2020 Fintech benchmark report provides effective marketing strategies, the right metrics to measure, and best practices that have worked for leading Fintech apps.
Also, with this report, you gain a better understanding of the contributing factors that lead users to successfully move from new user to brand advocate. Marketers can leverage these insights to optimize the end-to-end user experience and boost their app’s retention rate. In today’s turbulent times, only by providing customers with a compelling user experience can an app become a trusted part of a customer’s life… and wallet.
A Sneak Peek at the Report
The secret to successful user adoption and retention lies in delivering a great onboarding experience. Delivering a great First Time User Experience (FTUE) will help reduce the time taken to purchase critical actions like registration, adding money, or using the app for payments. Some useful metrics that marketers can measure during the onboarding stage include: the install to register rate and the average time to register.
The benchmark for the install to register rate was 30% pre-COVID (December 2019 to February 2020) and increased to 33% post-COVID (May to July 2020). While 24% of new users registered within an average of 4 days pre-COVID, now 26% of new users register within an average of 3 days.
Some ways to amp up the onboarding process include: sending users a welcome message upon the first app launch, nudging users to register via an in-app message, or offering a brief product tour.
Users who see an immediate value in the product while onboarding will be more likely to stay engaged, transact more, and build long-term loyalty thereby helping apps achieve sustainable growth. Leading apps encourage engagement by offering relevant cashback offers and by allowing users to select their preferred service providers for utility bill payments.
To learn more about the benchmarks for Fintech apps and ways to encourage user engagement, download CleverTap’s 2020 Benchmark Report for Fintech Apps.