At least eighty percent of the world now owns a smartphone (Oberlo). Mobile devices are playing an increasingly prevalent role in people’s lives, including their banking and payment activities. Maintaining a thriving prepaid program in this digital space requires a strong mobile approach, and a well-designed prepaid app is a key element of this strategy.
Catering to mobile devices is vital because of their wide-spread use. Already 88% of Millennials and Gen Z use a mobile device to interact with their bank accounts (Forbes). People also spend nearly four hours a day on their mobile devices and at least half shop online via their mobile phones once a week or more (Oberlo). Thus, mobile devices provide an important connecting point for shopping and money management.
In 2022, people used mobile apps for nearly 3.5 hours a day versus less than an hour for mobile browsers, showing apps offer the preferred experience for mobile device users (Insider Intelligence). What app features are most important for consumers?
The top three functionalities (Forbes):
These are all functions that can be incorporated into a prepaid app to satisfy cardholders and make your prepaid program more relevant to their needs.
Forty-two percent of people forty and under also see budgeting tools as critical or important to have in an app (Forbes). Prepaid cards already have the benefit of helping people budget their funds, so merging this traditional feature with the convenience of an app enhances the budgeting experience for cardholders.
Designing apps so the process is as smooth and streamlined as possible is also important for these convenience-focused users.
Mobile apps can help your prepaid card program compete in the growing digital payments space. Apps make the cardholder experience more streamlined and convenient. They also help build cardholder confidence and loyalty.
The ability to easily link a prepaid card to a mobile wallet via an app makes using these cards more convenient for mobile-wielding cardholders, encouraging more regular use. Also, fraud protection features empower cardholders to better guard themselves against fraud. This enables them to feel more comfortable using their prepaid cards, which helps build loyalty and trust.
As a leading provider of payment processing services, Envisant is here to serve your credit union. Connect with Envisant to learn more.
Article by Naomi Anderson, Vice President of Prepaid, Envisant. Envisant is a provider of CUNA Strategic Services, a business partner of the California and Nevada Credit Union Leagues.
