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Software vendors are crucial. They provide digital solutions to help banks operate efficiently and meet customer expectations. However, while ready-to-use solutions offer speed and convenience, they often fall short in delivering a tailor-made user experience that aligns with a bank's unique brand, strategy and customer needs. How can banks choose the best software provider in terms of UX, and what future risks might arise from using third-party software?
The Role of Software Vendors in Digital Banking
Banking software providers develop and sell solutions such as online and mobile banking platforms, CRM systems, fraud detection systems, loan origination, and accounting systems. These providers help banks operate efficiently and meet customer expectations by offering tailored software solutions. Their key responsibilities include:
Partnering with software vendors provides banks with the speed and flexibility needed in the Fintech era, leveraging the vendors' expertise to swiftly implement digital solutions and save resources.
Main UX Risks of Banking Software Provided by Vendors
Evaluating the UX of digital solutions from banking software vendors is critical. While financial institutions aim for rapid digitalization, UX ultimately determines whether users stay or switch to a competitor with a more user-friendly product.
Key UX risks to consider:
Choosing vendors who prioritize user-centered design, flexibility, and seamless UX is essential for a successful digital banking experience.
Main UX Criteria and Steps for Choosing Provider
Banking software vendors are continually improving their products to be more user-centered. They hire UX experts and often collaborate with external UX agencies such as our, and UX consultants to achieve this goal. At the same time, banks are getting increasingly active in managing the above-mentioned risks on their own.
In particular, some banks separate the implementation of the core platform and the development of the UI/UX frontend solution. This allows them to use a ready-to-use vendor solution while establishing the best UX in cooperation with the UX design agency such as ours.
Banks should pay attention to five key UX design aspects when choosing the ideal banking software platform:
Steps to Choose a Software Vendor
By following these criteria and steps, banks can select the apropriate banking software provider to enhance their UX and overall customer satisfaction.
Conclusion:
The partnership between banks and software vendors is more than a business arrangement; it is a collaborative effort to innovate and excel in digital banking. By focusing on user-centric design, continuous improvement, and seamless integration, software vendors help banks deliver superior customer experiences.
However, the conflict between the benefits of adopting ready-to-use solutions and the need for tailored, brand-specific digital service cannot be overlooked. While ready-to-use solutions provide quick deployment and cost efficiency, they may lack the depth of customization necessary to fully represent a bank’s brand and meet the nuanced demands of its customers.
Therefore, banks must carefully evaluate software vendors, prioritizing those who offer flexibility and customization alongside exceptional UX. As the digital banking landscape continues to evolve, the ability to balance the advantages of pre-built solutions with the necessity for bespoke, customer-centric approaches will be crucial for sustained innovation and growth.
Check out my blog about financial and banking UX design >>
This content is provided by an external author without editing by Finextra. It expresses the views and opinions of the author.
Oleksandr Strozhemin Co-founder and CEO at Trinetix
13 August
Elaine Mullan Head of Marketing and Business Development at Corlytics
12 August
Abhinav Paliwal CEO at PayNet Systems- A Neo Banking Software Platform
Donica Venter Marketing coordinator at Traderoot
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