Top 5 Digital Banking Software Companies 2023

Digital banking industry is one of a few to keep growing tremendously despite all the challenges the world is facing in 2022. The growing trend is very much similar across many regions leading to a great demand on technology and white-label solutions. This situation often leads to inappropriate decisions in terms of the resource and product planning. Digital banking or wallet applications often appear to be simple and straightforward, and that's true if we consider the consumer side which was intentionally built this way. However, this “simplicity” often leads to an underestimation of the entire product in terms of cost-to-build. There are not many agencies and entrepreneurs who did a chance to work with production digital banking products to clearly understand what should be “under the hood”. 

To help organizations that are looking to build mobile banking products, we’ve identified to 5 vendors in this space based on customers’ reviews, product functionality, security and compliance certifications, additional services provided. 

1. Auka

Since 2010, Oslo-based Auka has been offering customers a standardised and easy-to-use mobile payment platform called Settle. It was the first company to launch a mobile payments solution (mCash) in Norway. The company focuses on providing exceptional user and customer experiences and thus its key success factor is its ability to build customer-centric products.

2. Velmie

Velmie is a tech company providing modular banking software and middleware solutions. It offers a wide range of integrations with banks and payments companies; white-label apps and customization services. 

3. Softspace

Malaysian fintech player, Softspace, has developed a sound reputation in Asia for its payments platform and Fasspay wallet. The company, founded in 2012, has impressive experience, with 20 financial institutions in 11 countries using its solution. The company does most of its business in Asia and deals primarily with enterprise customers.

5. Openway

Openway was established in 1995 in Belgium, which remains its head office. It has since expanded to 17 offices around the world. The company developed the Way4 card, wallet and payment solution. It has significant experience, expertise and a good reputation. Its large team services the 130-plus banks that are its customers. In 2016, it was recognised by Ovum for the quality of its digital banking software.

5. Obopay

Obopay was established in 2005 and offers digital payments and banking platforms, including mobile wallets. Its mobile wallet comes with a card, P2P payments, loyalty schemes, membership cards, and international remittance and savings. It is a huge enterprise linked to a proprietary banking platform.

How to choose a digital banking software platform

When choosing a banking software vendor, there are certain criteria that are important to consider because the long-term success of your product will be determined by the vendors ability to deliver to your evolving needs. Critical considerations include:

1. Modular architecture. Even if the starting point is the same for all clients, every company will develop at its own pace and will adapt the product over time to meet its customer needs. By developing a branded digital banking solution using microservices, companies are able to easily adapt and scale the technology over time for increased usage or a growing number of users without having to change the underlying architecture of the bank.

2. Customization. The vendor should be able to customize the solution to your exact specifications. Many technology providers sell banking platforms “as is” or provide APIs so that companies can plug in additional functionality. But this is not ideal because it does not offer the end-customer banking apps that has been carefully designed for them.

3. Capacity. The vendor should be able to easily scale its development resources up and down when needed so the customer does not need to hire a huge team of dedicated developers.

4. SLA support. The vendor should offer a flat monthly fee for hosting and technical support so that the client can focus on its business, knowing that the wallet is being supported by the developer and will function effectively.

5. Ecosystem. The vendor should have the experience and capability to handle all types of integrations with the clients’ systems. The vendor should also be equipped to test and train users so that they are comfortable using the wallet and are in a position to make full use of all the functionality it offers. Preferably, the white-label digital banking platform provider should have a local presence to oversee the integration of the software.

As you can see there is a lot to consider when deciding which provider to contract within the development of your branded, customized mobile wallet. However, it is well worth doing your homework properly at the beginning of the process because this will set you up for long-term success with your employees or end-customers.