How to Improve the Conversion Rate of Fintech Apps
The pandemic gave rise to faster adoption of tech innovation in many spheres—from remote working solutions to online entertainment. Fintech apps, especially, saw widespread adoption to cater to contactless and cashless payment methods. Even non-tech users became tech savvy. Post-pandemic trends show that mobile money is in, while paper and plastic are out.
Mobile payment growth is predicted to rise at a CAGR of 26.93% between 2020 and 2025. Fintech marketing and growth teams face heightened industry competition as an increasing number of fintech apps become a more accepted form of payment.
The increased use of mobile payment apps can enhance the analysis of in-app user behavior. That said, knowing which metrics to measure and how to leverage these data insights to provide personalized customer experiences, boost retention, and reduce uninstalls is another story.
The only way for you to differentiate your fintech app is to effectively convert casual users into diehard fans. But how?
What Is a Good Conversion Rate?
App conversion rate is calculated by dividing the number of app installs by the number of impressions the app listing or product page receives. For example, if 1,000 people viewed your app page and 50 installed the app, your conversion rate would be 5%.
According to our own Fintech App Engagement Benchmark Report, 76% of new fintech app users convert within an average of 7 days.
The fintech space has seen a decline in average costs to acquire new app users in 2022, which has led to a significant increase in ad spend for finance apps. Despite this, drops in conversion rates were still recorded.
A page from our Fintech App Engagement Benchmark Report.
App Store iOS
App Store iOS conversion rates fell from 6.8% to 5.8%. While App Store users can download apps directly from the search results or browsing charts, this is not the case with Google Play. The average impression-to-install conversion rate across all app categories in 2022 was 4%. Despite the drop in conversions, the finance app category still maintained the highest conversion rate—more than 5%.
Google Play
Since Google Play users can only download apps from the individual app page, conversions are measured by page view to conversion rate. Users who click on an app page probably already know what to expect from the app and have some intention of making a download (as opposed to those browsing the App Store). The page view to conversion rate is thus much higher.
Google Play Store conversion rates for fintech apps rose from 27.7% to 33.7% between 2021 and 2022, while the average page view to conversion rate across all categories in 2022 was 32.7%.
Why Conversion Rates Matter
Mobile app conversion rates allow you to measure your app download performance against your competitors. Essentially, conversion rates reflect how app users view your app and how they employ it in their daily lives. These performance metrics help identify the connection between mobile users who find and download your app, complete registration, and make in-app purchases.
Once you understand your position in the market, you can start developing strategies to increase conversion. For instance, by adapting marketing and product offerings in line with consumer interests.
Best Practices to Improve Conversion Rates for Fintech Apps
While not an exhaustive list, the following are some highly effective yet simple ways to improve your app conversion rates.
Leverage the Use of Video to Showcase Your App
In the iOS App Store, app videos are on autoplay. This means users will see the beginning of your app video instantly. However, the average video watch time is only 4 to 6.5 seconds. For maximum effect, you need to convey your app’s main value propositions in the first three seconds. Start the clip with the most convincing and enticing message — and don’t depend on sound to do this!
The Binance App’s preview on Google Play is short, direct, and effectively conveys what the app is all about—with or without sound.
Optimize Your Screenshots in the Store
Poor visuals are a sure way to get users to skip straight past your app—so screenshots need to be attention-grabbing. They can take one of three forms:
- Feature-oriented screenshots: These are actual screenshots of your fintech app. They highlight unique value propositions and showcase top features. If the user interface is what sets you apart from other fintech apps, this is a good approach to emphasize that fact.
- Lifestyle-oriented screenshots: These types of visuals are intended to create an emotional connection with your app. They include feeling-oriented images and real-world elements that depict the ideal lifestyle of your fintech customer. If your app user interface is not the main value proposition, this is a worthwhile tactic to test.
- Hybrid screenshots: This approach combines the above two strategies, integrating app features and lifestyle-oriented visuals. It offers the best of both worlds because the user is emotionally connected yet still sees the functional value of what you have to offer.
Colombia-based fintech app, Sumer, showcases its features in its app store screenshots.
Avoid Repetitive Messaging
Since you only have a few seconds to capture a user’s interest, you need to showcase as many features as possible in the quickest, most effective way. Repetitive messaging gives the impression that you don’t have any other features to showcase and conveys a limited offering. This causes an immediate drop in further exploration and can greatly harm conversion rates.
Use Tools That Can Provide A/B Testing
A/B testing allows you to make changes to your store listing while collecting useful data on elements that impact user behavior. Because app stores are dynamic, what works currently for conversion optimization won’t necessarily work in a couple of months. You have to keep monitoring and keep testing.
The Importance of Using the Right Tools for Conversion Optimization
Measuring conversion metrics and KPIs for fintech apps is challenging and confusing if you don’t have the right tools. In addition, inaccurate and irrelevant data can lead you down the wrong path.
An all-in-one platform like CleverTap not only offers automated analytics in real time but also provides comprehensive insights into user behavior in an easy-to-understand dashboard. With the right statistics and accurate data at your fingertips, you’ll be well equipped to boost the conversion rate of your fintech app and drive retention.
For further in-depth insights and advice, download the free Fintech App Engagement Benchmark Report.
