FinTech has evolved into one of the most innovative industries, shaping the global economy through the use of cutting-edge technology and customized software solutions.
Furthermore, FinTech has several key advantages that can assist financial institutions in streamlining their workflow and providing a consistent experience to their clients, which also include brokers and traders.
When it comes to software development, although for the FinTech sector, off-the-shelf software may appear to be a much more cost-effective alternative, it is designed to operate for a wide range of businesses. As a result, it appears to have a small set of features and can be difficult to customize to meet specific requirements. If you have to create various features for pre-built applications, you will end up spending more money in the long run. That is why custom software can be a better option.
Custom Software Development – The Main Benefits for FinTech Companies
Access to cutting-edge technologies
You can be sure that when you work with a custom software development company, you’ll have access to some cutting-edge technologies for your FinTech company. And there are a lot of them to choose from! AI algorithms and cloud computing systems will assist you with your data-driven techniques and simplify your processes. There’s also blockchain, a system that many believe can completely transform financial services.
Working with a third-party software development company to provide your organization with the right expert talent for your FinTech needs can be really helpful. You can gain access to qualified experts without the effort or cost of recruiting full-time employees.
Your team of developers can assist you in developing technical solutions focused on the latest advancements, such as:
- AI-based advisors to assist your clients in finding better, data-driven wealth management decisions
- Apps that allow investment and transactions to be made directly from mobile devices using e-wallets
- Blockchain technology to simplify processes and improve security in large-scale transactions
Generally, off-the-shelf solutions are available for all of these technologies. However, with a custom software development team, you’ll be able to make the most of them. That’s because the development team will search for ways to better match certain innovations with your business objectives. You’d be pressured to fit the goals into what they provide with an off-the-shelf solution, and the fit wouldn’t be as good as it would be with a custom solution.
Clients deserve to be valued and understood. This way, they will be more likely to be loyal in the future if you find out what they want and give it to them. Customized FinTech apps will analyze consumer data and develop the personalized services your customers want, using the most up-to-date data analytics techniques.
Developers may also use artificial intelligence technology to build more customized solutions for platforms like mobile apps, online banking, and loyalty programs, enhancing the customers’ experience. And given that your clients will engage with your digital systems, the best solution is to customization. Besides, with an off-the-shelf solution, you will have limited customization options, while with custom software you’ll define anything and everything in your software and adjust it as you go, based on customer reviews.
Safety must be at the top of everyone’s priority list when it comes to financial services. And no ally will help you more than a specialized custom software development team.
Customers’ credit card numbers, bank and investment portfolio records, and other sensitive data are stored by financial institutions. The data must be extremely well-protected because, in reality, cyber attacks involving financial institutions happen quite often.
FinTech software that is personalized to your company’s needs will help with cybersecurity risk management, regulatory enforcement, and fraud detection and prevention. AI technology can help detect and reduce illegal online activity, and biometric technology can help make your financial software products practically hack-proof and easier to use for your clients.
Also, your business may have stayed away from cloud computing because of the threat of cyber attacks. But now, you can easily use cloud storage and reduce the need for physical assets including in-house servers thanks to recent data privacy security changes.
Customized FinTech software can save you time and money in a variety of ways:
- Customer requests can be handled efficiently and reliably by AI-assisted chatbot systems
- Cloud computing enables the business to cut costs on infrastructure, resulting in a more seamless and cost-effective process.
- During a custom project, developers can tackle user interface, quality assurance, and data privacy functionality, so you won’t have to deal with them until the product is finished.
- By enabling investment robots to execute routine tasks including data entry and programmed asset rebalancing, you can free up your in-house providers to rely on more advanced and strategic activities.
Scalability, or the ability to expand and adapt to evolving needs and requirements, is a critical factor. Your software must be able to scale up and down with your business as it expands. When it can’t, you’re more likely to have performance issues and poor customer service.
With custom software development, you can create custom FinTech apps to allow for potential development or service expansion, such as more users or data storage. They will use scalable technology from the beginning, ensuring that you will get items that can meet your changing demands.
In the long run, using the same software can save you money. Besides, it’s also easier to add new features than it is to start over with a new software application, allowing you to deliver new or enhanced services sooner.
Is custom software development a better option for FinTech companies?
Any financial institution will benefit from the services of a custom software development company. That’s because such a company will assist with the creation of a technology-driven strategy, promote digital transformation in your organization, provide consultancy services, improve overall productivity, assist with the development of your digital infrastructure, and even reduce costs.
So, don’t try to fit the company’s specific requirements into generic FinTech apps. You’ll get the latest technological advancements as well as provide your clients with a safe and personalized experience by working with developers to create customized software for your specific needs. At the same time, you’ll boost your company’s productivity and prepare it for long-term growth.
If you want to know more about the benefits of custom software development for the FinTech sector, do not hesitate to CONTACT US.