Mobile payment platforms are becoming increasingly popular among consumers and businesses, especially in the wake of the COVID-19 pandemic. But how can banks measure the success of their mobile payment offerings and optimize their performance? In this article, we will explore some of the key metrics that banks should track to evaluate mobile payment platform success.
The adoption rate is the percentage of customers who have activated and used the mobile payment platform at least once. This metric reflects the initial interest and awareness of the platform, as well as the ease of registration and activation. A high adoption rate indicates that the platform has a strong value proposition and a user-friendly interface. To increase the adoption rate, banks should promote the benefits and features of the platform, provide clear instructions and incentives, and address any security or privacy concerns.
Some ways to track this include: - percentage of active users - number of users acquired over time - user churn rate - average revenue per user - average daily/monthly users - CSAT surveys - cost of user acquisition
Well done Ebere, in addition to what you have listed, we can add the following also - Average transactions per user It gives an insight into the usage level of the mobile platform. - The App rating can also be used. A mobile App with a rating of 4.8 stars is likely meeting the needs of the users rather than a contemporary with 3 stars rating
The usage frequency is the average number of transactions per user per month on the mobile payment platform. This metric reflects the loyalty and engagement of the customers, as well as the convenience and reliability of the platform. A high usage frequency indicates that the platform has become a preferred payment method for the customers, and that they are satisfied with the service quality and speed. To increase the usage frequency, banks should offer rewards and discounts, integrate with other apps and services, and ensure a smooth and secure payment process.
The transaction volume and value are the total number and amount of transactions processed on the mobile payment platform over a given period. These metrics reflect the revenue and profitability of the platform, as well as the market share and growth potential. A high transaction volume and value indicate that the platform has a large and diverse customer base, and that it can handle a variety of payment scenarios and amounts. To increase the transaction volume and value, banks should expand their merchant network, support multiple currencies and payment modes, and leverage data and analytics to personalize offers and recommendations.
The customer satisfaction and retention are the measures of how happy and loyal the customers are with the mobile payment platform. These metrics reflect the customer experience and feedback, as well as the likelihood of repeat purchases and referrals. A high customer satisfaction and retention indicate that the platform has met or exceeded the customer expectations, and that it has built trust and loyalty among the customers. To increase the customer satisfaction and retention, banks should solicit and act on customer feedback, provide responsive and proactive customer support, and create a community and a brand identity around the platform.
The cost per transaction is the total cost of operating and maintaining the mobile payment platform divided by the total number of transactions processed. This metric reflects the efficiency and scalability of the platform, as well as the return on investment. A low cost per transaction indicates that the platform has a lean and optimized infrastructure, and that it can handle a high volume of transactions without compromising on quality or security. To reduce the cost per transaction, banks should automate and streamline workflows, leverage cloud and AI technologies, and monitor and optimize performance and security.
The innovation and differentiation are the measures of how the mobile payment platform stands out from the competition and offers unique value to the customers. These metrics reflect the creativity and agility of the platform, as well as the ability to anticipate and respond to customer needs and market trends. A high innovation and differentiation indicate that the platform has a clear and compelling value proposition, and that it can offer new and improved features and services that enhance the customer experience and satisfaction. To increase the innovation and differentiation, banks should conduct market research and customer surveys, collaborate with partners and stakeholders, and foster a culture of experimentation and learning.