Super apps tailor features for youth, small businesses

Customization and security drive engagement and trust.

Financial super apps, powered by advancements like 5G, are reshaping how young consumers interact with financial services. Febri Nugraha, Managing Director at Kadence International (Indonesia), emphasised the critical role of customization and secure credentials in increasing user engagement among tech-savvy youths and small businesses.

"The key to engagement in financial super apps lies in aligning with the consumers' current financial goals," Nugraha stated.

Whether it's entrepreneurship or investment in digital currencies like Bitcoin, understanding these goals allows super apps to offer targeted features that resonate with users' needs. This approach not only enhances user experience but also builds a loyal user base.

Nugraha noted that while an abundance of features can be overwhelming, the right customization ensures that each feature adds value to the user's financial journey. "It’s not about having many features, but about the relevance of these features to the financial goals of specific consumer segments," he explained.

Moreover, the credibility of the financial institution behind the super app plays a significant role in attracting and retaining young users. "For a FinTech company, being recognized as a credible player in the B2B or government sectors might not necessarily translate to credibility in peer-to-peer markets, especially among the youth," Nugraha added. This segmentation underscores the importance of a tailored approach in both feature selection and marketing strategies.

Discussing consumer behaviours that drive the popularity of neobanks among young people, Nugraha highlighted the simplicity and cost-effectiveness of digital transactions that cater to their lifestyle needs. 

"Young users are drawn to neobanks that integrate seamlessly with their daily transactions, whether it's for ecommerce, ride-hailing, or investing in stocks and mutual funds," he said. Features like free interbank transfers and direct connections to e-wallets enhance convenience, making these platforms more appealing to the youth demographic.

Nugraha also pointed out that distinctive offerings, such as services catering to specific cultural or religious demographics, can further differentiate a neobank. "Adding unique pitches, like Sharia-compliant services or country-specific features, can significantly enhance a brand's appeal and uniqueness," he elaborated.