How much does it cost to develop a mobile wallet like Paytm?
Posted: Oct 16, 2018
Before few years paying bills (electricity, DTH, mobile) needed so much time. People used to visit the place and wait in a queue to pay bills. The whole process needed a lot of time.
Many users face a common problem of change! Vendors might not always carry change and customers too. People traveling in public transport usually does not carry exact change. Have you seen people arguing about change in buses or autos?
There are many reasons why users need a mobile wallet. Paytm is India’s most trusted and used a mobile wallet. There are some big brands that have entered the market of mobile wallets to give good competition to Paytm. Google has launched an app called Tez. There are also other brands like Phonepe, Mobikwik, etc. Each mobile wallet has some different features and is unique in a certain way.
In India, November 2016 saw a huge change and that was demonetization. That was the time when Paytm and other mobile wallets saw a huge increase in a number of downloads. The Indian government announced that old 500 and 1000 notes will not be accepted and people got panic. There was a sudden lack of cash in the whole country. Since the Indians have started virtual money or plastic money. Paytm has accounts of shopkeepers, small vendors, restaurants, etc.How does Paytm work and what are the benefits of Paytm?
Paytm is very easy to use. The user simply needs to search in the play store. It available in iOS and Android too. Once user downloads, the apps ask for some basic information such as name, address, contact number, and KYC details. KYC is ‘know your customer’. The user needs to fill Aadhar card information to proceed KYC.
It is important for authentication purpose. When you proceed transaction online, security is the major concern among users as well as app developers. Once the user signs up, he or she can connect to that account with the bank. However, in Paytm, connecting to a bank is not a mandatory term. Plus a user can add more than one bank details in the app. Those who do not have any bank account can also access Paytm but that person must get some amount first to transfer.
In a simple way, no user without bank details can send money unless he receives it from other users. Though the wallet is connected to the bank, the user is asked to put a password or pin every time a transaction is done. This is again for authentication and security purpose. The user can transfer money by entering registered contact number of receiver or through a QR code.
Each user has a unique mobile number and gets a unique QR code. But hey, the user can also transfer money to someone who does not have an account on Paytm. Yes! Paytm has an option of transferring money directly to the bank.What can be the cost to develop a mobile wallet similar to Paytm?
After the huge success of Paytm and other mobile wallets, many startups are planning to start new mobile wallets. The mobile wallet industry is profitable and has a good scope in upcoming years. The question is what is the estimated cost of developing a mobile wallet?
As we know there is no certain formula to estimate cost. Developers from eastern countries charge less per hour as compared to western countries. Developers around the world charge money as per hours spent on projects.
Let us discuss what are the ‘must include’ features in a mobile wallet app.
- App platform:The cost to develop a mobile wallet varies from platform to platform. The cost of wallet development is a bit higher when you choose Android as compared to iOS apps. Because developers need to write longer code lines and also the app is tested on various Android devices.
- App design:App design is one of the crucial parts since the success of the app depends on the design. Because design creates the first impression on the users. The design of the app should be in such a way that the user should interact smoothly. The design must be engaging. Various tools are used to design the app. It requires between 80 hours to 170 hours on an average basis to create a design.
- App Functionalities:When we talk about mobile wallet app like Paytm, various functionalities are involved. Most of the time is required during this phase. Developers create a list of functionalities that are kind of mandatory. These functions can be registered, securing bank details, syncing contact list, syncing bank details, real-time money transfer, etc.
It requires a lot of months to develop a mobile wallet; it is not a thing that can be done in a few days. If developers add basic functionalities to the app, it requires around 390 hours to complete the features. This process also includes backend development of admin cost and implementation the things with UI.
- Third Party API's Integration:This is the most important thing when you estimate cost. An app like Paytm is integrated with other apps like travel booking apps, hotel booking apps, movie ticket booking apps, on-demand food delivery apps, on-demand apps like zomato, uber, ola, etc. This feature is the main reason people enjoy using mobile wallets. This third party API's implementation needs 200 hours to 400 hours depending on the APIs required by you. The support from third-party apps also influences the cost of API integration.
Paytm is one of the most used and popular mobile wallets in India. To develop a mobile wallet app like Paytm, developers need to first estimate the cost of development. At nine hertz, we have skilled resources who are pro in developing apps like Paytm and understand the exact need of an app.
My name is Hemendra Singh. I am Managing Director and Co-Founder of The NineHertz, a Mobile App Development Company. My ideology is that, a clear vision and hard work builds a great company.