Fintech development has started to grow in popularity and usage. However, there are some issues in the field as over 94% of banks are unable to deliver their “Personalization Promise.” It’s no longer the domain of centralized banks to use vast data resources to give your consumers specific financial solutions.
Now financial organizations are starting to experience the benefits of personalization strategies. This is due to the new advances and innovations in predictive analysis. Now financial institutions can take what it “indirectly” knows about an individual and use transform this data to create insights that are personally relevant, useful, and predictive.
Epsilon’s research states that consumers expect and want personalization, and they’re most comfortable with providing personal data when they can have control over the results. Financial incentives like offers and tailored discounts are the best motivators to provide data.
Here are some important findings from Epsilon’s report:
- 90% believe that personalization is/somewhat appealing.
- 80% of customers are more likely to do business with companies that offer a personalized experience.
- 66% of customers think that the companies are doing “better” in their efforts to improve and personalize their experience.
How Can My Company Adapt?
There is a myriad of ways to get your company onboard with fintech development. Before even creating an IT team, you need to have a clear idea what you’re trying to accomplish. Here are some things you need to keep in mind when finding new solutions for your fintech project.
Data Analytics and Big Data
Big Data isn’t just a buzzword. Online marketers, Google, and both public and private government sector organizations have collected a myriad of data on almost everyone alike. Most of that data is readily available, and gigabit networks with low-costs have made it possible.
But accessibility and availability aren’t enough to make the data useful. Your fintech development team have to be innovative in finding exciting and new ways to make data useful. They must be skilled in predictive analysis that can infer customer’s behavior by making nontraditional models for credit scoring.
Data Privacy and Security
It’s not enough that your developer is a genius at writing code or creating an interesting GUI interface. If they aren’t experts in protecting your data, they aren’t experts at fintech technology. But your developer must have some in-house resources to ensure that your project meets applicable regulations.
Government agencies in Europe and other areas have strict requirements for how your financial data must be handled during transit, when stored, and when it’s at rest. It’s your responsibility to ensure that the software that’s given to your customers are compliant and secure. Start by making sure that every developer has relevant experience in that area.
Are Your Developers Resourceful?
Big ideas require even bigger efforts to ensure that it works correctly. One consideration that most startups don’t think about until problems occur is if the developer is eligible to complete the project.
It’s a good time to ask your prospective developer about the facilities and full staffing they can bring to your project. Depending on the project size, you might need one team or multiple teams. Make sure that the development team can complete it in-house where they have more control.
Fintech development requires two things: a company that’s able to create personalized experiences for their clients. Plus, the company needs to pick the right developers to fit their IT team. So make sure that you have the tools needed to make sure that your project is a success.