Infographics: FinTech market trends and statistics 2021 and beyond

The FinTech market is growing, and even traditional financial organizations embrace its top-notch innovation to enhance customer interaction. The FinTech market is expected to reach $190 billion by 2021. According to TopTal financial market analysis, there are three factors that are contributing to the maturing of the fintech sector: the evolution of technologies like AI, cybersecurity, payment methods, and so on. Much of the money invested in the first generation companies that tried to capitalize and build on the devastation caused by the 2008 financial crash. These funds are coming to an end. The macroeconomic situation, especially in the UK and in Europe, has deteriorated, slowing down funding for newer companies. 

Geographically, more and more mega-deals are taking place in developing countries, where large numbers of people without access to banking services and without access to banking services create very fertile ground for rapid growth. Ant Financial (~ $ 150 billion as of June 2019) is an excellent example of all of these various trends.

We created Infographics covering FinTech market trends and statistics to save your time and monitor the main trends quicker.

Infographics: FinTech market trends and statistics

 

The radical transformation of the financial services industry by undermining financial technology still continues. The tightening of regulatory requirements, starting with the financial collapse of 2008, continues apace and, thus, forcing the players to take the traditional innovation. The market is gaining momentum and the number of large deals concluded at later stages is decreasing. Consumer segment and segment creditors face strong consolidation, particularly in the event of an abrupt deterioration in the macro situation.

We, at RoveTek, deliver top-notch solutions in web & mobile development to our clients in the FinTech domain. Let’s start a journey of digital transformation for your FinTech project with RoveTek!

How to design fintech apps? We created a guide with examples!

Fintech apps or any finance app have a specific design. For example, have you noticed that many of them have dark blue, black colors or green)? Designing the fintech app differs from doing so with other apps. There is not so much flexibility and freedom in the representation of the fintech apps, and wrong design can lead to mistrust of users (and this is the last thing you want in the finance sector. 

 

We created a UI design guide for fintech apps showing you some great examples to spy.

 

Pain points in FinTech app development

FinTech app design

What is the main message of fintech or finance apps? To induce users’ trust, to rely on money transfers, and ensure the financial data in such apps is secure. Its design should reflect the ‘vibe’ of stability and trust, should look serious and formal enough but at the same time joyful in use.                                                                                                                                                                                                                                                           Banks and financial web/mobile applications usually choose a more formal design for their web or mobile applications. In recent years, something has changed, and these apps became more fun to use. Yes, fun is the right word.                                                                                             

Especially in recent times, banks are trying to be fun and open for younger users. For example, I adore Arts and, believe me, I will choose a bank that will bring me an artsy vibe, or a bank card with my favourite painting. For example, my digital bank app has cats who give me bonuses for using this app.

 

So, the main pain points of designing Fintech apps are:                                                                        

– Security. Finance apps should be secure first, as users give access to their financial data and conduct transactions. The challenge is in designing a functional and easy way to make money transactions with no errors and inconveniences. 

– Induce the trust of the users. You can induce trust by showing excellent customer service, transparent and secure payment, etc. 

– Functionality. No need to say that users shouldn’t think more than few seconds where to find expenses for the last week or how to ask a question to a customer agent.

– Competition. There are so many digital-only banks that offer perfectly designed bank apps.

But how to stand out? We have delivered mobile app development and design solutions and want to share some basic rules for designing a fintech app. 

 

Let’s talk about colors

FinTech app design

Green, dark blue, and black. These colors are overused, especially in banking, but still they are classics for finance products design. While in other industries, you can play with the colors, fintech requires more stable and classic colors, as when we use finance apps, we are less likely to think about extreme things. 

The psychology of color suggests that different colors can trigger psychological reactions. For example, color is often thought to influence mood and emotions. Sometimes these reactions are related to the intensity of the color, and in other cases, they are the product of experience and cultural influences.

 

Blue

 

Since many people prefer blue, it is often viewed as a harmless color that can appear conservative and traditional. Blue evokes feelings of calmness or serenity. It is often described as peaceful, calm, safe and orderly.

 

Green

 

“Green, which is Nature’s colour, is restful, soothing, cheerful, and health-giving.” —Paul Brunton

 

This is a cold color that symbolizes nature and the natural world. Perhaps because of its strong associations with nature, green is often considered a symbol of calmness, luck, health, and jealousy.

 

The researchers also found that green can improve reading ability. Some students may find that placing a clear sheet of green paper over the reading material increases reading speed and comprehension.

Lloyds Bank, UK
Lloyds Bank, UK

Red

 

This color is used only for the call to action in the fintech apps, or any similar color. Red is the brightest color in the palette and quickly catches the users’ eye, which is the main goal for the call to action. 

 

Black & White

 

This is a traditional color palette, and not necessarily connected to psychology. Fintech apps often use a white background and black fonts in their designs. 

Keep it simple and functional

 

While designing the finance app, focus on the customer journey. If it is a banking app, users need to easily copy the bank number, send money in few clicks, and see all transactions in one place. 


Minimalism is the main design trend in finance apps. Users must see the main information that can be presented through diagrams, icons, etc. 

Some apps use gamification even in finance apps, to make the process interacting and fun in use. Not only the finance sector but other web or mobile applications use such a user-interaction approach. Most luxury brands implement AR technologies to increase customer engagement.                                                                                                                                                                                                                                           

FinTech app design

Ensure users your app is secure

 

There are many design approaches to make users trust the app. As we mentioned above, use the right colors and a neat, functional design. Also, as users leave their financial data, explain why your app collects this data. Ensure your users the data collected is saved. 

Security lies on the back-end, but design and visualization are how your app communicates with your users. 

 

Another way to prove your app is secure is excellent customer support. Ensure your app has a live chat button or any other support call to action that should be visible.

 

Biometric authentication 

 

This is a prevalent new ‘killer feature’ in biometric identification. This feature is widely used in digital banks apps or other finance apps for security reasons. Some companies even replace password-based security solutions with fingerprint input. We advise using different security approaches, as fingerprint input sometimes isn’t convenient for users (for example, cold weather or dry hands).

 

Add ‘killer features’ to stand out

 

By ‘killer features’ in design, we mean something in your design that stands out or adds some brand recognition. For example, the gamification approach. You can use it for increasing customer’s interaction and making the process of using your app fun. It can be puzzles, quizzes, different animations, and so on. Use animations or 3D animations to make your design shine bright.

FinTech app design

How RoveTek can help you to design FinTech app?

 

Our team is focused on FinTech and aware of design tricks for the finance sector. We can implement both back-end and front-end for your FinTech app, providing security at each point of the design. 

 

Success stories: FinTech app ‘Mint’ is a personal money management app with 10 million users

We already mentioned Wealth Management as one of the biggest fintech trends, and here is one of WM best representatives. A fintech startup Mint – your money champion and free personal money management app. Mint grew to 10 million users and sold for $170 million in just 2 years. Also, Mint was chosen as the best-presenting company at TechCrunch40.

 

RoveTek makes some research on how this fintech product could take off that quickly.

 

“That was the idea behind mint. Make it dead simple to get your finances in order and to feel in control of your life.” – Aaron Patzer, Mint founder.

 

From the beginning, the launch strategy differed from other startups. Its founder, Aaron Patzer, thinks that not an idea is the most important but execution. 

 

Aaron Patzer took a different approach:

 

“Number one is to validate your idea. I actually didn’t write a line of code until I did about three or four months’ worth of thinking on Mint, which I think is counter to what a lot of people will suggest. A lot of people will say ‘Just get the product out there, just iterate very, very quickly, (and) just make a prototype.’ That works for certain types of things; I think anything that is social…that works. But for finance, I wanted to be a little more rigorous and there were a lot of technical problems, connectivity to all of the banks, and the business model.”

 

Mint app has a very neat and usable design. It uses just a few colors – green, white, black as base colors, and highlights in different graphics. The app brings the opportunity to manage all your personal spendings, savings, investments, and even subscriptions to Netflix. Thanks to this FinTech app, users help save money by continually searching for deals on credit cards, bank accounts, etc.

Mint Fintech App

Competitive Uniqueness and Growth Strategy

 

Mint stands out from its competitors, and the main reason Mint took off quickly and successfully is great customer research. Before launch, they gathered feedback on competitors’ weaknesses and customers’ expectations. Consequently, Mint improved those features that their competitors have troubles with – easy account set up, categorized expenses, and life planning software features (called ‘gem’). 

 

Mint also focused on content strategy, became #1 in personal finance, and drove good traffic to the app itself.

 

 

Want to create your own success story? Build digital finance products with RoveTek!

 

Give us a shout if you want your FinTech app to make another success story! 

 

10 FinTech trends to watch in 2021+ (Based on Deloitte Report)

2021 promises us to bring recent fintech trends and solutions as previous years skyrocket online sales and trust to e-banking. The fintech market is on its growing stage. Even though implementing new technology is a risk, a considerable wealth opportunity motivates proactive executives to embrace fintech innovations (as Deloitte said). 

 

The challenges we faced during 2020 connected people with technologies, and shifted trust to online payments and banking to positive. Many consumers (especially millennials and gen Z) choose online banking and trust online payments like Amazon Go. Pandemic time also shifted to cashless payments, as it’s more hygienic. We use our bank cards and less cash. So, our will to be more aware of proper hygiene influences cashless payments. Consumers are open to the idea of on-demand finance because of mobile and cloud computing. 

 

FinTech Trends

 

The recent report by Statista claims that the global growth in the use of financial apps during COVID-19 was the largest in Japan, at 55%. South Korea (35%), the USA (20%), China (20%), Germany and Italy (15%) followed. Before the pandemic, global investment in fintech was also on the rise. Despite a slight decrease in assets in 2019 by $ 137.5 billion compared to $ 141 billion in 2018, FinTech has shown positive growth in most of its sectors.

 

According to Deloitte, the financial technology sector is “red-hot, with traditional financial institutions increasing their fintech investments and competing with startups to offer financial services products faster and more efficiently.”

 

Financial services ready for transformative change; both mega-corporations and startups are investing in fintech investments.

 

Fintech trends for 2021 and beyond are the following:

        

 

1. Financial firms are more open to fintech 

 

“A large number of our clients are taking aggressive action to determine how they can use these technologies within their ecosystems,” a managing director and head of innovation for Deloitte & Touche LLP’s financial services businesses Krishna said.

 

As consumers are more open to online banking or online payments, financial firms and institutions embrace technological advances and digital transformation in the financial sector. 

 

Financial institutions too often deal with fintech in a very inefficient, fragmented and tactical manner. The companies that succeed have undertaken carefully architecting their transformation strategy, including integrating fintech within their organization. Murray Raisbeck Global Co-Leader of Fintech, KPMG International and Partner, Insurance KPMG in the UK.

 

2. Blockchain is a big fintech trend

 

According to Deloitte, blockchain eliminates the need for a central intermediary to transfer assets, so the transfer of assets is not limited to money. Blockchain also increases efficiency. Payment transactions usually go through a central intermediary that uses several steps to authenticate and authorize the person who is allowed to send that amount, transfer the details of the transaction, and actually settle. Calculations can take two to three days. 

 

Prakash Santhana, a managing director in Deloitte Transactions and Business Analytics LLP also stated that the third benefit of blockchain is an audit trail. Blockchain relies on a distributed database. All information is duplicated in each copy of the database, and all data is publicly available. You can enter the blockchain ledger and, since it is immutable, prove that the transaction took place and be sure that the record has not been changed or corrupted while it is in the distributed ledger. As a result, many sectors of the financial services industry can improve productivity by using this technology to improve transaction speed and transparency.

 

3. Regulators are interested in fintech

 

According to Krishna, regulators actively seek to create sandboxes to test scenarios and determine how the system can solve problems.”

 

According to KPMG, fintech is a priority for asset management firms, where technologies help win the competition. Fintech offers various opportunities and greater efficiency in transactions. 

In recent months and years, we have seen regulatory bodies worldwide attempt a careful balancing act. On the one hand, regulators recognize the need for innovation. They are working to support and encourage fintech activity through actions such as framework changes and regulatory sandboxes’ creation. On the other hand, there are significant concerns that existing risks, especially surrounding cybersecurity and fraud, are becoming heightened by fintech’s growth.

 

In recent years, regulators around the world are trying to balance the situation carefully. The regulators recognize the need for innovation and are working to support and encourage fintech activities such as restructuring and creating regulatory sandboxes. There are serious concerns that existing risks, especially those related to cybersecurity and fraud, are amplifying as financial technology grows.

 

4. Implementation influence operational challenges

 

Krishna claims that fintech and other new disruptive technologies are causing a stir, but there are changes in the existing design and new implementation and deployment challenges along with them. Regardless of how transformative these technologies will be; reality leads to operational difficulties such as’ What problems are you solving first? How do you solve them without affecting other businesses? Financial instruments now have to figure out how to use the preliminary and long-term influence on new system processes. It’s always more complicated than you think, but the strategic risk can pay off big. 

 

5. The industry understands that this is a marathon, not a sprint

 

“There was a lot of hype in this area, and there was a lot of venture capital,” says Krishna. And, adds: “There is both expectation and concern about what these technologies can do in the financial services industry. Many of the conversations we have with clients have an end-of-the-start atmosphere as there is some fatigue and frustration in keeping up with all the latest companies and technologies. “

 

There are several issues to consider, for example:

 

  • Will these new services be replaced by the existing architecture or offered in parallel?
  • Are the benefits promised by the latest technology improving existing products, or are they just adding features and complexity that no one is really looking for?
  • What architectural or technological changes need to be included in strategic planning?
  • In what areas of the business should fintech investments be directed?

 

Fintech trends

 

These were fintech trends by Deloitte, and here are some insights on trends from our team at Rovetek.

 

6. Financial literacy solutions fintech trends

 

There is a significant demand for managing financers online, so this is an ample opportunity for fintech startups related to financial literacy. 

The survey by EY claims that the consumer awareness of FinTech services in the five key categories is reported to be the following:

Fintech trends

Source: EY – Global FinTech Adoption Index 2019

 

The trend on financial literacy is not new, but thanks to a huge increase in online payments and fintech growth, financial literacy apps’ need have become inevitable. Apps can easily integrate your data and financial expenses in your mobile, etc. So many options for fintech apps.

 

7. Digital-only banks

 

FinTech Trends

 

This is a big fintech trend that started to grow in recent years. Just some years ago, it was hard to believe that we will put money and make purchases in the banking app, which doesn’t even have a physical department. 

 

The number of bank visits to banks will decrease by 36% from 2017 to 2022, while the number of mobile transactions will grow by 121% over the same period. Many banks have embraced digital transformations and offer their consumers top-notch web or mobile banking versions. But, there are those which don’t have any departments, just apps. 

 

The main reason why people are moving from ‘conservative and bureaucratic’ banks is that consumers want banks to become more user-friendly, accessible, and convenient.

In other words, consumers want banks to be more fun. Another reason is the queues. Digital banks and online banking apps are more comfortable in use. 

 

8. Cybersecurity in fintech

 

Another fintech trend in 2021 is the enhancement of cybersecurity. The activity in online payments is continually growing and hacker attacks are increasing. First, fintech companies or banks must deliver high-level transaction, data security, and general security service.

 

9. Biometric security systems

 

Following the cybersecurity trend, to secure our data and transactions, banks use biometric security systems. With a simple finger touch, clients can unlock their online banking applications or conduct payment transactions. This approach takes online security to another level. The popularity of biometric sensors that involve physical contact is predicted to decline. While the general increase in the use of biometric technology for identity verification, contactless solutions will take over the touch-based fingerprint reader market. Because of the COVID-19 pandemic, it is recommended to avoid cash, which increases the growth of the biometric payment card market. 

 

10. WealthTech

 

Another fintech trend is related to financial management solutions. Especially during the lockdown, this trend has ‘flourished’. WealthTech funding reached $ 1.7 billion in the first quarter of 2020, according to Fintech Global. The shift to online business influences the appearance of more digital services for managing personal and corporate finances. AI and Big Data will give us even more effective financial solutions for financial management shortly.

 

An example of Wealthtech services is Robo Advisors – the automated platforms use algorithms and machine learning to help investors make critical financial decisions.

 

FinTech Trends

 

Bottom Line

 

According to the KPMG report, The industry is developing rapidly. The financial products and services and the technological infrastructure underlying financial institutions will look significantly different in a decade compared to what they look like today. The last 5 years have presented a level of violation that has never been observed before. Opportunities for new financial technologies companies to quickly gain momentum global financial services market forcing financial institutions to stay competitive. They must accept customer-centric innovation and back-office solutions to help them provide a more personalized value-added approach to experience working with clients. New competitors (both in uniform fintech startups and technology giants reacting to opportunities add value) and new solutions catalysts for industry change have long been defined by tradition.

 

From AI, automation and augmented reality for cloud, internet of things and data analytics, fintech transforms financial services. Financial institutions that are in no rush define your fintech strategy and agree it will be better for their business purposes positioned to help create future Financial services.

 

We, at RoveTek, deliver top-notch solutions in web & mobile development to our clients in the FinTech domain. Let’s start a journey of digital transformation for your FinTech project with RoveTek!