How are super apps helping the banking sector
In recent days, super apps have brought revolutionary changes in the banking sector. This practice of using super apps has been very popular in Southeast Asia like Grab and Gojek, which enable you to manage everything, including housekeeping and insurance. In India, too, this trend is starting to accelerate after the surge of the pandemic.
Several financial services and banks are trying their utmost to develop a one-stop technology that can meet all the financial and banking requirements of their clients. According to experts, the traditional banking apps will not be in use anymore as customers are searching for a faster, better, and easier experience of financial management, including some other important services.
Those super apps can help users to streamline their regular financial functions like booking cabs, paying phone bills, booking movie tickets, buying groceries, etc., onto a single platform that they can access anytime, anywhere, while bearing very low operating costs.
How can these super-apps help the banking and finance sector?
Super-apps can integrate financial services into their platforms and offer a seamless experience for their customers. Thus, many users bypass those banking apps and just choose to use those super-apps, which are more integrated. Thus, customers can reduce their dependence on credit cards and cash. In this way, those super apps can help users to streamline their everyday functions from anywhere and at anytime.
Super apps can enable the banking sector to enhance and improve their analytics and data management capabilities and even share them across different service areas of the business to build a better view of their target audience.
Super apps allow a rich flow of information between entities with the help of APIs for third-party integrations, open data architecture, and CX-based offerings that are enhanced. Those apps even support the procedure of digital onboarding by unified authentication, real-time KYC, facial recognition and biometrics, and some other AI-powered features that enable self-service for their customers.
With the help of these super apps, banks can shift their focus on building long-term relationships with their customers that can lead to higher rates of customer satisfaction and acquisition and eventually strengthen brand loyalty.
Thus, with the growing popularity of these super apps, they could become the most reliable and powerful source of competition for banks than either Fintechs or neobanks. Thus, convincing customers to leave those super apps and use the standalone digital banking app has become nearly impossible.
How can open banking help super apps?
The rise of Open Banking worldwide is powering those super apps to use data from various sources as per the needs of the customers and deliver the right financial products. This will offer the platforms a greater scope to offer a wide range of banking and financial services and even target the right kind of service to each user.
Ways through which Open Banking can help super-apps
- Access to everything on one platform
Once the super-app can use Open Banking data, users can check their account balances, make payments, and monitor their transactions from the digital wallet of the app. Thus, it can reduce the need to access the own app of a bank.
- Enhanced personalization
The Open Banking system can develop an environment that can help platforms to leverage the data of the users and create some enhanced and personalized experiences for them.
- Advanced technology
Machine learning, artificial intelligence, and analytics can leverage data related to Open Banking that can build products that are customer-relevant and empower a culture of data-driven decision-making across the ecosystem of the super apps.
Well-known super apps
KeyMall is a one-stop online mall of Kotak Mahindra Bank that can meet all the shopping and travel needs of the customers. This app enables customers to book bus and flight tickets and book hotel rooms. Customers can even shop online from Amazon and Flipkart with this super app.
The YONO app of SBI can offer all kinds of banking and financial services offered by SBI within just a single app and offer convenience to its users. The customers of SBI can integrate all of their services and products like SBI Card, SBI Mutual Fund, SBI Securities and Life Insurance with the help of the bank’s website and this app.
Therefore, in this era of technology, these super apps are enabling the banking and financial sectors to perform their tasks and satisfying their customers in a hassle-free way. If you need help with any of your software needs in Fintech segment or across other verticals, please feel free to contact us right away!