How much does it cost to develop P2P Payment app like Venmo or Venmo clone app
Are you looking for a way to make the daily lives of thousands of people easier? Do you wish to earn profits by improving the payment experiences of your customers? Then you should consider developing a P2P payments app like Venmo. The complexities of the realm of finance can be very much bothersome. So, if you are dealing with them on a daily basis for mundane reasons, they are becoming an annoyance. In case you need to return a small borrowed amount from your friend or pay a local handyman it gets irksome to make out a cheque or walk to the ATM.
The number of mobile-based P2P payment have users spanning over 26 million in the USA alone. The P2P payment industry is showing a picture of uncontested growth. Right from the number of participating players to the transaction volume which has almost become mobile-only, each aspect of the P2P payments industry is growing at a fast rate.
There are two factors due to which the growth of P2P payment marketplace is driven.
- The users are leaning towards innovative tech
- The users enjoy the comfort of doing untimed financial transactions.
Many mobile P2P payment providers have added to shaping the present state of the industry. However, there are a few providers which have risen to rule the top charts.
The demand is grown to such an intensity that it has become a struggle for other industry’s players and a perfect business model for the many entrepreneurs who strive to follow its growth trend. But how much does it cost to build an app like Venmo?
Here is how the Venmo app came into existence and how the app works:
» Foundation of Venmo — peer-to-peer payment pathfinder
Venmo arrived in the year 2009 and the things in the finance sector started changing rapidly. It was a mobile payment app that has become all the rage with a vast number of users over the years. The amount of the app’s audience is millennials. The app became prominent enough within just 5 months of its launch. It was purchased by Braintree which is a PayPal company and a payment provider. Its client accounts consist of many iconic names and universally known disruptive startups. Venmo was originally considered as a P2P payment app. But it combines the concept of a payment wallet app with that of a social network.
Currently, the app enables its users to make secure and cashless transactions with friends and businesses situated in the user’s vicinity. Venmo links the user’s account either to their bank account or their credit card. The app also allows the user to make a search for and add a friend, as well as view all their transactions. These transactions are illustrated with emoticons, in a continuous feed. There is a trust feature which allows the users to automatically pay for recurring needs, such as for example, utilities. The app is easy to use, visually appealing and free and fun to use for all the users.
One of the reasons due to which Venmo has got a strong and loyal customer base is due to the easy user flow which brings down the learnability hook. Understanding how the users move within Venmo can be a great opening spot for entrepreneurs who are looking for a solution to how to build an app like Venmo.
Cost of Development of an app like Venmo: P2P payment app development cost
The features and security standards that a Venmo like application needs put it in the kind of a high complexity app. There are many things that you need to consider while you decide to develop an app like Venmo. The complexity needs, the rate of profits is considerably more expensive. Particularly when you keep Venmo’s monetization model into consideration.
» How Does Venmo App Make Money?
There are many ways through which Venmo makes money. This means that the brand is going to use more widely since it is not immediately in a high-profit state.
» Here are some features which you can include in your app like Venmo:
← Credit card payment charges:
The Venmo app charges a 3% transaction fee when payment is done by credit card instead of a debit card transaction. By including this monetization model in the P2P payment app it can provide you a steady income. But would also be able to lessen the losses that one might face when the credit card payment doesn’t go through.
← Faster money transfer:
A fixed amount is charged to all app user who wishes to avail the fast money transfer facility. Normally, Venmo takes two or three days to transfer money to the users’ bank account. But when the user consents to pay an additional amount to facilitate the transfer the money transfer the app takes lesser time.
← Merchant Charges
Venmo earns money from its merchant partners to a vast expanse.
The company is working on improving the customers to business transactions on the platform. In this plan, Venmo takes a percent cut around 2.9% of the transaction charges.
Now, that you are aware of the business model and how to earn profits by developing a P2P payments app like Venmo, Coruscate can help you out to find out the features that are necessary for your own P2P payment app and how you can proceed with the business model. The in-depth understanding of the features and the time required to build your app together decide the cost of development.
A basic chart for P2P payments app development cost is as follows:
FAQs About Cost to Develop P2P Payment App Like Venmo
- How do I make a Venmo like P2P payment app?
- How does peer to peer payments work in Venmo?
- How does Venmo make money?
Get in touch with one of our team member to get the quick answer for above questions.
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