When we hear the term digitalization, we can think of a few popular industries. But there are high-risk industries too that are going digital. One of the best examples is the investment sector.
Stock trading apps allow you to manage your investments in a few clicks. Robin hood’s investment app is a prime example of a stock market application.
As more and more people prefer trading online, there is a rise in demand for trading apps like Robinhood.
There are so many times we come across the question, “How to build a stock app like Robinhood?”. This blog is an answer to this question.
Keep in mind that this blog is just an overview of how things work. It is best to consult a mobile app development company for properly implementing your idea.
Let’s start with understanding the Robinhood app first!
How to Use the Robinhood App?
The stock trading app Robinhood follows a single rule. The users can trade stocks without paying any fees. The app is so simple and stylish that it has won an Apple Design Award.
To start using the app, you need to link your bank account first. A one-time transfer will take 3 days to process. There is also an option to set periodic deposits if you want to invest money soon.
The home screen of the app will show your total money in the center. You can also see your profits/losses for the day. To start trading a specific stock, search for it.
The search results will show you the current value of the stock. You can also read news about the stock in question at the bottom of the page.
Clicking on the buy button will redirect you to the Market Buy page. Then you can review your order and submit your trade.
The best part is that the app allows you to buy the stock even before the market opens. It will complete the transaction when the market is open.
Now, this seems quite simple, right? Trading platforms like Robinhood make it easy for everyone to start dealing in stocks. Take some inspiration guys!
Let’s come to the primary question of this blog – How to build a trading platform?
How to Build a Trading App like Robinhood?
Creating a share trading app is not a cakewalk. You need to take some important decisions before starting the development process.
Also, a little bit of knowledge of the development process will be great.
Here are some things you need to understand:
#1. Know Your Target Audience
The first step to building a trading app like Robinhood is to understand your potential users. Why? Because you will decide other things about your app on the basis of your audience’s preferences.
Free stock trading apps are popular but the number of users also varies depending on the country.
So, we recommend researching these aspects first. The country/state/city where a substantial number of people trade online, can start there.
Then you can expand to other areas or countries.
#2. Select A Platform
After you know the basics of your target audience, the next step is the platform. You can conduct a general survey of your competitor’s users.
For instance, what percentage of total users are Android or iOS users? On the basis of that, you will get an idea of which platform will be suitable for you.
If you start out with one platform, you get a better idea of where to improve. Later on, you can get the online stock trading app for the other platform.
Hire an iPhone app developer or an Android one after deciding. There is also an option for cross-platform development if you don’t want to get two separate apps.
#3. Features
The third step in the development of stock trading apps like Robinhood is the features. Features will make you stand out from your competitors.
Following are some of the primary features that you can include:
✍ Investment Management
Your users can create an investment portfolio. They can use the algorithm to easily trade their shares.
✍ Real-time Data
This feature will show the user’s data in real time. The user will be able to see the changes in portfolio value. This data will help him make transactions more precisely.
✍ Smart Notifications
The users will get real-time notifications about their current investments or any upcoming events.
✍ Free Stock Trading
Do you want to attract more users? Then develop one of those stock market trading apps that have no requirement of minimum down payment.
✍ Data Protection
This is not something you can ignore. Protect the crucial data of your users by using encryption functionality.
✍ Fund Transfer
Users will be able to transfer money from their bank account to the stock trading app for Android/iOS.
✍ Dashboard
Here, users will be able to see all the necessary information. For instance, balances, stocks on the watchlist, holdings, etc. The dashboard is a must-have for any trading app like Robinhood.
✍ Watchlist
Your user can add a particular stock to the watchlist. He/she can track its performance to decide whether to buy or sell it.
#4. Choose a Business Model
Now, you are done deciding the features, the next step is to find the appropriate monetization model. A monetization model will help you generate revenue.
It is important to choose a business model that will align with your needs and wants. You can start by launching a freemium version of your trading app like Robinhood.
A freemium version is where the users have access to the basic features. But the advanced features of the app will be paid for.
The freemium version of apps usually earns more profits.
#5. UI/UX is Important Too
User experience and app design are the first impressions of your app. While many people ignore this aspect of development, it is actually important.
When UI/UX is not paid enough attention, there are high chances of the app failing in the market. A good UI/UX will improve the overall customer experience.
As a result, they will keep coming back and probably recommend your app to others too.
#6. Hire the Right Team
The development team can make or break your app. They are the ones who do everything – right from design to testing. So, we recommend that you hire an Android app developer or iOS developer after careful consideration.
Not everyone can have an in-house team of developers. For most people outsourcing the work is the best alternative. However, read up in advance about things to consider before hiring a developer.
It will help you in partnering with the right team and save you some trouble in the later stages of the project.
#7. Testing & Deployment
The final stage of the development process is testing and deployment. The team will run quality tests to ensure that all the functionalities are running properly.
Once done, it is on you to market the product. Of course, there are professional marketing services available too.
It is completely on you to choose between marketing in-house or partnering with professionals. Use social media platforms to reach a larger audience.
How Much Does it Cost to Develop an App like the Robinhood Stock Broker App?
The following are the factors that will have an impact on the total cost of development:
# App Design
In terms of design, it is necessary that your app is user-friendly. An app design like that of Robinhood will not require a lot of time and money.
# Backend & Frontend Development
While developing an app like the Robin investment app, the majority of the investment will go in the frontend and the backend. However, the cost will depend on the technologies, frameworks, and tools used to build your app.
# Testing
Testing is crucial in apps where the personal details of the user are involved. You need to test multiple things before the official release of your application. For instance, app performance, and how well it syncs information between devices.
# Choice of Platform
For investment apps, having a mobile app and a desktop version is the ideal choice. But creating both will require more time and the final cost will increase too. A native app for a single platform can cost less.
# Development Team
The development team will have a direct impact on the total cost. Larger the team, the higher the expenses. It is not a single person’s job so you will require a team.
Wrapping Up!
Investment companies need to keep up with consumer demand. For the time being, the primary requirement is that they go online.
Here, in this blog, we have tried to discuss all aspects of the development of a trading app like Robinhood. We sincerely hope that now you have a better idea of things to consider before getting such an app.
Gain some technical know-how before the development starts, hire the right development partner, and test the app thoroughly before going live.
Following these basic rules will help you launch a successful app in no time.
Are you still unsure about getting a trading app developed? Is security your main concern? Talk to our development experts at [email protected]! They will resolve all your queries.
