Only 1 in 5 users that install fintech apps sign up within week one: Report

CleverTap released its Industry Benchmark Report for Fintech Apps 2022. As fintech apps continue to grow more popular, the number of players vying for market share has increased. This has subsequently reduced customer retention and “stickiness” for any one brand. Therefore, today more than ever, it is crucial that fintech companies find ways to drive customer “stickiness” by engaging users in effective ways that eventually drive transactions and fuel growth. 

The report reflects data collected from Asia-Pacific, Europe, India, Latin America, Middle-East, and North America. The report gives marketers a truly holistic view of key metrics within the fintech app landscape. It also spans a wide variety of fintech apps, including, but not limited to, mobile payment apps, cryptocurrency, and block chain services, along with banking and insurance among others. 

These insights will not only serve as a helpful starting point for developing successful engagement strategies, but also assist in understanding how an app fares in comparison to global averages. Some of the key metrics in the report include: 

• Install to sign-up rate: Only 1 in 5 users that install fintech apps (21%) end up signing up within the first week.
• Average time to sign-up: 70% of the users that sign-up, do so within 75 seconds of launching the app for the first time.
• Sign-up to conversion rate: 95% of newly signed-up users make at least one financial transaction in the first month. 
• Average time to to convert: 76% of newly signed-up users move from onboarding to deeper-in-the-funnel engagement within an average of 7 days.
• Session frequency: On average, fintech app users launch their app around 11 times a month.
• Average repeat transaction rate for new users: 15% of newly signed-up users complete more than one transaction in the first week.
• Average click through rate for push notifications: On average, 9% of Android users and 6% of iOS users will click on and interact with push notifications.
• Average click through rate for in-app notifications: The click through rate for in-app notifications is 24%, that’s about 3 times more than that of push notifications.
• Average email open rate: 34% users open emails sent by fintech companies
• Average Stickiness Quotient: Fintech apps enjoy a stickiness quotient of 22%, that indicates nearly one-quarter of MAUs consistently return to their fintech apps

“The fintech industry has seen exponential growth in the last few years. Given the relentless competition within the space, fintech platforms need to step up their Omnichannel engagement efforts to better retain customers”, said Jacob Joseph, VP-Data Science, CleverTap. “The benchmark metrics laid out in our report provide a great starting point for growth marketers looking to develop effective marketing strategies. They will be able to compare numbers against global averages and pinpoint which aspects they are excelling at and which areas could use some attention or innovation.” 

95% of new fintech users complete a monetary transaction in the first month. This shows that while users see value in fintech apps, it’s important to adopt customized user engagement strategies to boost retention on the platform. Today there is a real need for fintech brands to bake-in effective marketing strategies within their apps. Users will remain responsive as long as the experience is engaging and seamless. The benchmark report helps fintech apps understand how to build successful mobile communication campaigns, and also allows growth marketers to discover areas that require greater focus.