Guide

The Definitive
Chapter xx
Preface
1

Titel
Guide to
Super
00 Apps
Tekst

By BPC and Fincog

2022

1.1 Heading

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Chapter xx
Contents
2

Titel

02
0100
Tekst

03
1.1 Heading

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Text Chapter 01
Understanding Super Apps
Chapter 02
Super Apps market landscape and use cases
Chapter 03
Key trends across regions
Chapter 04
How to build a super app, opportunities &
success factors
Chapter xx
Preface
3

Titel

00
Super Apps are a growing trend that originated in to a buyer, making it possible for each user’s
Asia, achieving widespread diffusion and adoption experience to be multi-role.
thanks to the characteristic of comprising many
services in a single, convenient digital interface. In Besides their core services, many Super Apps
recent times, with a focused approach around specific have quickly expanded to embed financial
use cases, Super Apps have also been on the rise in services, keeping users within the app and
western countries. creating additional connections between buyers
and sellers to form a marketplace structure.
While originally, apps were designed for a single
use case, they have evolved to encompass multiple For banks, there are three main considerations
use cases with varying degrees of correlation. The that could make Super Apps a potential threat:
use of APIs in particular has allowed companies Super Apps are; (1) distancing banks from their
to rapidly scale the breadth of their offerings while customers; (2) leveraging their data richness
lowering development costs. This is partly thanks to enhance services and processes; and (3)
to partnerships with other external providers who building trust and reputation in financial services.
consolidate their services in an ecosystem that This could make Super Apps more appealing
contains the whole user journey, end-to-end, for banking in the eyes of users than incumbent
providing a consistent experience. banks and traditional institutions.
1.1 Heading
Super Apps are typically born from an initial single In order to stay relevant in the evolving market,
core
Text offering scaled with the addition of more established financial institutions could either
features and functionalities. This strategy aims to partner with Super Apps, providing the back
maintain high retention and engagement rates, end for all embedded financial services, or see
enabling Super Apps to attain very high usage rates, developing Super Apps as an opportunity to
a key feature that characterises them and is mainly improve customer engagement and retention.
driven by social features and use cases. Also, within Developing their own Super Apps could also
Super Apps, given the abundance of services, open opportunities for further growth and
the same party could switch from being a seller additional revenue streams.
Chapter 01
Understanding Super Apps

01

To set the stage and understand Super Apps, recall the slogan “there’s an app for that”
it is first worth looking at what makes them from Apple, back in 2009. Then, as companies
“super”, which has much to do with their started offering more services, some decided
features and functionalities. to develop separate apps focusing on different
use cases instead of packing all features into a
The initial idea of an app was that of being single app. Conversely, other companies went
standalone software on a mobile device for the integration path, leaning more toward the
that serves a specific purpose – you may Super App concept.
Chapter 01 5
Understanding Super Apps

Cases such as multiple apps for the Microsoft the same app, and adjusting the offer of features
Office suite were defined by venture capitalist and services accordingly.
Fred Wilson as “app constellations”. However, the
concept is much broader, referring to applications A recent Forbes’ article by Molly O’Brien makes a
that are connected with each other, eventually very effective comparison between Super Apps
sharing a single login, enabling a fluid experience and shopping centres. This helps to understand,
between them but essentially being separate and in a simple way, the rationale of the phenomenon
possibly independent. by looking at its similarity with a familiar setting
that people are more likely to have experienced
Super Apps, on the other hand, bring together in real life.
multiple functions within one single app. In a
Super App the customer journey is self-contained Presented as a convenient one-stop solution,
and the experience consistent, often including shopping centres collect a wide array of services
social features. One further expansion of the idea under a single roof that cater to the diverse
is external third parties contributing within the needs of customers, ranging from shopping to
Super App ecosystem by developing some in-app entertainment and often including banking. What
extensions via APIs, enabling users to tap into their then happens is that we end up spending more
services without leaving the App. than the necessary minimum amount of time in
shopping centres. They are purposely designed
Although Super Apps are mainly designed for their to keep us inside for longer while offering
consumer audience, the merchant side is just as opportunities for additional spending.
relevant. Many of them, in fact, involve to some
extent a marketplace structure, connecting both Similarly, Super Apps rely on the digital version of
parties and allowing them to easily interact and the same concept. They seamlessly integrate a
transact. They provide a simplified and consistent multitude of services in a single App with a unified
environment to buy and sell products and services. and consistent experience. Their aim is to capture
more of the user’s time with their comprehensive
In such an ecosystem it would very often be the offering, and each additional action performed
case that a party could switch from being a seller by the user within the Super App ecosystem can
to a buyer, especially considering the abundance generate incremental value.
of different services included as the Super App
grows.. This assumes that each user’s experience Moreover, where in a shopping center the
could be multi-role, and Super Apps need to customers’ wandering around converts into
account for that by enabling a convenient and additional value only if it results in actually entering
seamless transition from one role to another within a shop and making an extra purchase, Super
Chapter 01 6
Understanding Super Apps

1.1 Definition
Exhibit 1 | Overview of app ecosystems
highlighting key differences between The introduction of the term “Super App” can be
Traditional Apps and Super Apps credited to BlackBerry founder Mike Lazaridis, who
first used this expression in a speech at Mobile
World Congress in 2010. His definition of a Super
App relies on a few key elements, and could
Apps are capable of generating and extracting be summarized as follows: a closed ecosystem
even more value.The same ‘wandering’ becomes of many apps that people would use every day
valuable in itself as it produces precious data that because of the seamless, integrated, contextualised
can be collected and analysed to improve the and efficient experience.
App or inform strategic and commercial decisions
(e.g. revealing customer preferences or determine In his speech, however, the emphasis was on
pricing of adverts within the App), as well as sold to the interoperability of apps within the BlackBerry
third parties (where allowed by regulations). ecosystem, tying the concept to the device itself.
Chapter 01 7
Understanding Super Apps

Social features
Engagement and usage are driven by social use cases that
allow to broaden the audience due to network economies

Embedded finance
Embedding financial services allows to design journeys with
a consistent user experience without leaving the app

Marketplace
A marketplace connects buyers and sellers allowing them to
interact and transact in a simple and consistent environment

Ride hailing
A more specific kind of marketplace that connects private
drivers and passengers to provide a sort of taxi service

Delivery
Riders are available through the app to deliver food or
groceries but also medicine or other products

In 2015 renowned Venture Capitalist Andreessen

Horowitz used the term Super App in reference to
Exhibit 2 | Key characteristics and
WeChat, highlighting how it follows the Chinese
commonalities of Super Apps
apps trend of combining as many features as
possible into one application, in contrast to
Western apps, which instead lean towards
app constellations.
This is a major difference with the modern
concept of Super Apps in that these are now In their modern form Super Apps are typically
able to run independently of the hardware. They born from an initial single core offering that can
are, in fact, almost always available for all kinds be scaled with the addition of more features
of mobile devices, trying to reach the broadest and functionalities. This strategy aims to maintain
possible audience. high customer retention and engagement rates
plus increased customer loyalty, leading to very
As smartphones and the mobile app ecosystem high daily usage rates - a key characteristic of
evolved, the term became more mainstream. Super Apps.
Chapter 01 8
Understanding Super Apps

The high usage rate also means that Super Apps to become an indispensable part of everyday life
have more time to propose other services to for more than 1.1 billion users who actively use the
its customers, compared to normal apps, App for a variety of day-to-day activities.
effectively leveraging potential up-sell and
cross-sell opportunities. Tencent, the Chinese social media company
behind WeChat, launched the App with an
Engagement and usage are mainly driven by initial simple proposition based on its instant
social use cases, thus highlighting the additional messaging experience, and then progressively
value of reaching a broader customer base due added more features.
to the network economy effect. Besides core
services, payments is a complementary area where Through the years, the company has made some
many Super Apps have quickly expanded into. ambitious moves to develop its app with some
Embedding financial services into an App allows significant milestones. In 2013, WeChat saw the
journeys to be designed with a consistent user inception of its wallet, which enabled mobile
experience without leaving the App. It also allows payment capabilities. In 2014, Tencent invested in
the App’s reach to extend beyond consumers and formed a partnership with ride-hailing company
and their own social network, creating additional Didi, allowing it to offer its service through the app.
connections between them and merchants. In the same year, WeChat entered ecommerce,
enabling businesses to open in-app stores. In
Other services offered within the Super App, in 2017, the launch of Mini Programs allowed third-
addition to the core services provided by the party developers to create apps within the App,
company, don’t necessarily need to be fulfilled through APIs. In 2020, to keep up with emerging
by the company itself. By relying on APIs it can social media and user trends, a new function called
allow third parties to offer additional features and Channels was introduced to offer a form of short
functionalities such as financial services, media and video service. These were just some of the key
other content, gaming, booking and travel services upgrades in the App, which at present offers far
among others. more features and functionalities spanning across a
much broader range of applications.

1.2 A timeline for Super Apps The exceptional growth of WeChat positions it in a
unique spot that will be hard to replicate elsewhere.
The first example of a successful Super App that Its fortune has much to do with the timing of its
led to the global diffusion of the idea was China’s launch, which occurred at the same time mobile
WeChat. First released in 2011 and originally only a phone sales in China were growing exponentially.
messaging app, WeChat has expanded its offering
Chapter 01 9
Understanding Super Apps

Unlike in Europe and North America, where In the words of Asian tech writer Ryan Rodenbaugh:
consumers first accessed the web from their
desktop computers earlier in the ‘90s, consumers “Super Apps are mobile experiences,
in China, and more generally in emerging regions and most western countries are not
such as Asia and Africa, were often introduced to mobile-first countries.”
the world wide web when they got their first phone.
This means that mobiles served as most users’ Nowadays, the setting is much different; a more
gateway to the internet. mature market where smartphone penetration
is reaching saturation, especially in Europe and
This created a large greenfield opportunity in the US. In these Western countries, some also
those regions, with players starting from scratch estimate that the number of apps used has actively
and forming their propositions tailored not only to reached its peak, thus making it tighter and more
the new audience, but also to a different type of competitive to develop a successful Super App.
device. In such a setting, the most common play
has been achieving significant scale with one Depending on display size, a smartphone’s home
initial proposition, and then leveraging that existing screen has space for circa 30 apps. Yet there are
large customer base to expand and enter adjacent more than 2.2 million apps in Apple’s App Store and
sectors and product categories. around 2.39 million on Google Play competing for
Chapter 01 10
Understanding Super Apps

those slots – or less, if we consider that some are The rationale for these companies developing
typically taken by essentials like phone, camera, Super Apps goes well beyond the need to adapt
calendar, etc. to both an evolving market and the changing
needs and preferences of consumers. Expanding
The target for any App would be to make it to the their proposition to include more features, thus
prime real estate of the smartphone’s home screen, becoming digital shopping centers, enables them
followed by the even more ambitious goal of being to harvest consumer data which is valuable for
one of the nine apps, on average, that users launch several reasons. More in-depth knowledge of the
every day. customer base means better targeted advertising,
as well as the ability to capture potential up-sell and
In recent years some of the most popular players in cross-sell opportunities.
the tech industry have started to consider the idea
of becoming Super Apps, aiming not just to perform Consequently, regulators have recently had
additional sales, but also to collect valuable data. growing concerns over users’ privacy and data,
Meta has made significant progress, starting which has in turn put more pressure on tech
with the introduction of shopping capabilities companies, posing a significant challenge to current
to Facebook in 2020 with its marketplace, to business models. Additionally, restrictions like the
encourage users to use the social media platform ones introduced by Apple on app tracking of its
to make transactions as well as regular usage. users have put even more emphasis on the need to
The company has also been experimenting with collect and use proprietary first-party data.
banking features on WhatsApp in India and South
America to test peer-to-peer transactions. However, data is a delicate topic which companies
need to look carefully at. To varying degrees,
Around the same time, Snapchat also made its depending on jurisdiction, collection, storage, and
move toward becoming a Super App, rolling out use of customer data, companies need to adjust to
new developer tools and APIs aiming to enable comply with regulations.
new “social experiences” such as ecommerce,
augmented reality and other Minis – light
embedded third party apps – to further expand
its ecosystem.
Chapter 02
Super App Use Cases
and Market Landscape

02

While the phenomenon of Super Apps originated period characterised by unbundling, separation and
in Asia, the West is now also moving in the same specialisation of services.
direction, although developing different approaches
and at a slower pace. Western consumers may not be calling specifically
for Super Apps – or even be aware of the concept
According to research from KPMG, an evolution in itself – but it is apparent that they would welcome
consumer preferences is helping to drive the shift the convenience and simplicity that Super Apps are
towards Super Apps in the West. There’s a reversal able to bring together in a comprehensive and all-
of the trend observed until recently that now sees round experience.
consumers leaning towards rebundling, after a long
Chapter 02 12
Super App Use Cases and Market Landscape

Besides shifting consumer preferences and customer base to offer lending solutions or
changing behaviours, companies have other deliver other financial products.
motives for exploring the development of Super
Apps. One reason is competition, where companies However, one notable side effect of the shift to the
try to avoid being disintermediated by other players Super App paradigm is the tightening competition.
adding competing services to their apps. More players that traditionally operate in other
sectors are entering new markets as competitors,
Another reason is to avoid lock-in with third party with the addition of their range of services.
providers and dependency from their services,
by building their own or embedding them into an
integrated proposition. 2.1 Use cases

Lastly, the blurring of boundaries between adjacent Government intervention was a relevant factor
sectors and complementary use cases, paired with shaping the market landscape for Chinese
the eagerness of tech companies to explore the companies, artificially reducing competition
road of integration, is further supporting the rise of and thus incentivising the creation of de facto
Super Apps in western countries. tech monopolies. In such a context, companies
were able to grow their apps horizontally – i.e.,
One of the key integration trends that is expanding their reach and offering a variety of
independent of the sector(s) companies operate services across different use cases.
in is that of embedding, to some extent, financial
services within the proposition. This offers a Conversely, in Western countries, companies have
coherent customer experience and possibly an developed their apps focusing on vertical growth
end-to-end journey all the way to the completion – i.e., offering the same service catering to a single
of the purchase of any product or service. With use case and expanding their customer base –
the development of the fintech sector, many white which is better suited for apps serving a specific
label products and digital banking solutions have purpose aiming to achieve scale.
become available that allow companies to move in
this direction. With evidence of the impressive results achieved
by Super Apps in China and other Asian countries,
Moreover, several Super Apps, which are in a the effectiveness of mere vertical growth has
more advanced stage, have started tapping into been seriously challenged, raising questions from
their data richness to develop more complex companies that had adopted such apps about
fintech propositions, leveraging their wide whether a change in their business model could
lead to even better results.
Chapter 02 13
Super App Use Cases and Market Landscape

years, respectively, to expand beyond their initial

Exhibit 3 | Differences between sector and start addressing other markets that
Super Apps in western countries could leverage their vast user bases.
and Asian countries
The different evolution of markets has also exposed
substantial differences in consumer attitudes in
emerging markets, vis-à-vis western countries.
Traditionally, US companies such as Meta had One key factor being tolerance. Consumers in
to move fast in an emerging and competitive China, India and other developing regions prefer
environment to succeed as the market developed the convenience of using just one single App
vertically (e.g., social media, in the case of Meta). to carry out most – if not all – of their online
This competitive pressure resulted in a growth activities, even if this comes with the cost of longer
strategy calling for a focused effort around well- loading times, a less intuitive user interface or less
defined propositions, which in turn constrained pleasant user experience. In Europe and North
these companies into narrower and more confined America,consumers instead turn to multiple lighter
markets. Thus, Meta and Google took 10 and 20 and faster specialised apps for different activities,
Chapter 02 14
Super App Use Cases and Market Landscape

praising speed and experience, with the The following is a selection of case studies looking
slightest inconvenience having a significant at some companies that were successful in evolving
impact on conversion. their proposition into Super Apps across different
regions. We will summarise their stories and
Therefore, European and American players cannot highlighting key characteristics and strategies as
follow the same path that led Asian Super Apps well as their ties with the financial services space.
to their success. Instead they need to tailor their
approach, adapting a strategy for a different type Grab
of market and audience. The Super Apps that have Originally launched in Malaysia in 2012 as an
been able to gain traction in Western countries online taxi booking service, Grab has been able to
were able to grow with the progressive addition quickly widen its footprint across Southeast Asia
of new and complementary services within one and expand its proposition to become a Super App,
specific sector. adding other services such as deliveries, mobility,
financial services and others. The proposition
Some examples are Uber, Glovo, Bolt, Getir and is currently so wide that it caters and connects
Gorillas - all brands that are building, or could be consumers, merchants, entrepreneurs and
regarded as, Super Apps for transport, delivery and enterprises alike, responding to their diverse needs
logistics. Revolut, PayPal and Affirm are growing and aiming to provide a delightful experience.
to become Super Apps in the financial services
space. Spotify could become a Super App for Currently, Grab is active in 6 countries and serves
audio thanks to the addition of podcasts and live more than 24 million active users per month.
voice chat rooms to complement its core music The company listed in the US at the end of 2021,
streaming business, and Netflix could become making its debut on the NASDAQ at a valuation
an entertainment Super App with its ambition to of USD 40 billion.
expand past video streaming into gaming.
Grab has followed Chinese-style play to become
a Super App, building on its wide customer base
2.2 Market landscape and progressively expanding its offering with the
addition of new services spanning across different
The market landscape presents variety across sectors. The company was also able to benefit
different geographic regions and demonstrates from Chinese investors, among which the ride-
how many different factors determine the fortunes hailing app Didi and tech giant Tencent provided
of Super Apps. not only financing but also expertise in further
scaling their business.
Chapter 02 15
Super App Use Cases and Market Landscape

the App, and currently offers a comprehensive suite

Exhibit 4 | User Interface of Grab of financial services that includes insurance, retail
showing different services available wealth management and financing.
in the app
Moreover, with GrabFinance, the company aims
to cater to the needs of SMEs across Southeast
Asia providing funding with a range of products
The company is also active in promoting the such as Cash Loan for drivers, and Quick Cash and
sustainable economic empowerment of southeast Business Loan for merchants. The key advantage
Asia, aiming to have a positive social impact and of these products is their fast application and
driving financial inclusion. customisation, which leverage the data that the
company already has on the business, paired with
The entrance of Grab into the financial services convenient interest rates and fees.
space was with its GrabPay service in 2016, initially
only offering digital payment capabilities to enable To sustain its growth in the financial services space,
consumers to make seamless payments within the Grab was awarded digital banking licenses from
app ecosystem for rides and food delivery services. Singapore in December 2020 and in Malaysia in
GrabPay has since grown and extended its offering April 2022, but analysts point at regulation as a key
to include digital payments for merchants outside of concern for further growth in this sector.
Chapter 02 16
Super App Use Cases and Market Landscape

In its current form, Rappi offers users throughout

Exhibit 5 | User Interface of Rappi Latin American rapid delivery of items ranging
showing different services available from food to medicine and clothes, a platform for
in the app booking experiences from travel to concerts and
hotel stays, and a suite of financial services.

The company’s product evolution has been similar

Rappi to that of Asian Super Apps, starting with grocery
Rappi originally launched in 2015 in Colombia and food delivery as a core business which allowed
as a food and grocery delivery platform, but it to build a strong logistical network and solid
quickly evolved its offering to a broad range customer base. With this infrastructure in place
of complementary services for its users, thus Rappi was able to leverage its user base and start
becoming a Super App. Its strategy has been to offering new services. The new services were
expand the product offering as the user base was ones that could be fulfilled by its existing network
scaling, allowing it to leverage loyalty and increase of drivers with little additional cost to the business
customer engagement and retention, becoming the such as delivery of medicines, alcohol and more.
go-to app for many of its customers’ needs. To further capitalise on its growing customer
Chapter 02 17
Super App Use Cases and Market Landscape

base and in-app spending, the next move that futuristic digital credit card that came with the
Rappi envisioned was the expansion into option of also receiving the physical card, thus
financial services. closing the gap with the physical world. The whole
process, from application to KYC and onboarding, is
Currently the App has around 10 million monthly carried out through the App and users instantly get
active users and is live in 9 countries in Latin the digital card, which is also stored in the App itself
America. Since its launch it has built a notable so they can start using it immediately.
funding history, starting from a seed round in 2016
from famous accelerator Y Combinator, followed Rappi is still early in its expansion into financial
by a USD 9 million Series A led by Andreessen services and, unlike other Super Apps, does not
Horowitz and USD 52.8 million Series B from yet have a full digital banking license. However,
Sequoia Capital in the same year. Later, in 2018, it as part of its growth strategy it will likely pursue
also raised USD 130 million Series C from Delivery such licensing and has planned to get regulatory
Hero and USD 200 million Series D led by DST approval to operate as a digital bank in Colombia in
Global. Then, in 2019, it received a massive USD the near future.
1 billion Series E led by SoftBank Vision Fund,
bringing total financing over USD 2 billion. Uber
Uber is the world’s largest ride-sharing company
Looking at further growth in the coming years, with a global footprint. Founded in 2009, the
Rappi has potentially two main strategies that it company quickly grew to become the world’s most
can tap into: expanding its geographic scope and valuable startup.
building a fully-fledged digital banking proposition.
The concept for Uber was born one winter night of
Rappi decided to start offering financial services December 2008 when the founders Travis Kalanick
in order to streamline one of the most important and Garrett Camp were attending LeWeb, a tech
steps in the customer journey: payment. Cash is, conference in Paris, and were unable to get a cab,
in fact, a predominant payment method in most of provoking the simple but powerful idea: “What if
Latin America, especially in Colombia, Rappi’s home you could request a ride from your phone?”.
country, but it is hardly compatible with the digital
business model of a Super App. Besides being the original transportation and
ride sharing service, Uber expanded to connect
The company’s forward thinking meant leveraging consumers and restaurants, grocers and other
technology in the financial services space to merchants with its UberEats service. Users can buy
provide faster, cheaper and more reliable solutions and sell meals, groceries and other items within the
compared to traditional ones. Rappi launched a platform, which also takes care of delivery.
Chapter 02 18
Super App Use Cases and Market Landscape

experimental but unprofitable and cash-burning

Exhibit 6 | User Interface of Uber self-driving car division in 2020.
showing different services available
in the app Unlike Asian companies, which have been
broadening their offerings across various sectors
as their customer bases have grown, Uber’s
strategy to become a Super App has been directed
The company went public ten years after its toward a narrower scope, with a limited well-
foundation on 9 May 2019, and its IPO was one defined set of use cases. The company has been
of the most highly anticipated of the year with the transparent in affirming its ambition to become
company valued as high as USD 120 billion. a travel Super App, and has been building and
evolving its offering accordingly.
Since going public, Uber has made a priority of
becoming profitable and has completed some More recent developments of Uber’s strategy have
strategic high-profile acquisitions of companies been centred around the addition of new features
including JUMP, Postmates and Drizly, as well as aiming to increase user engagement and use
sealing a partnership deal with e-scooter provider cases, which in turn can result in more revenue.
Lime. Another cost-cutting measure was selling its
Chapter 02 19
Super App Use Cases and Market Landscape

In March 2022 the company launched Uber As the range of services offered by Uber expands,
Explore, a new product in the Uber app allowing it is reasonable to expect that Uber Cash could
customers to browse and book experiences such potentially grow in popularity and eventually make
as dinner reservations, live events and other up a solid case for the company to further explore
entertainment activities. The move shows Uber’s the financial services space.
aim to diversify its offerings to improve long-
term profitability and recover from the pandemic. Union nxt
Moreover, the company can count on its leader’s Union nxt is the new mobile banking app of the
experience in the travel space, as its CEO Dara Union Bank of India. Launched in April 2022, it has
Khosrowshahi has spent 12 years as CEO of been designed as a Super App where customers
Expedia Group. are able to enjoy a variety of different services.

In its ambition to become a travel Super App, As part of its digital transformation project SMBHAV,
Uber has also announced plans to integrate trains, Union Bank of India has committed a budget of INR
buses, planes and car rentals into its app. This will 10 billion (USD 132 million) to build and upgrade
be piloted in the UK and will be extended to other its technology stack, with a large part of the
countries if it succeeds. investment being allocated to the development
and implementation of an open and modular
Uber won’t be providing this new range of travel architecture. Other key areas of investment include
services directly, but users will still be able to book building a digital lending platform, updating the
them from the Uber app thanks to APIs and other existing mobile platform and empowering data
software integrations with third-party providers. analytics capabilities.
Uber will announce different partnerships to
activate the service, in the hope that these new The ambitious plan also envisions partnerships with
features and integrations will be able to boost app other fintech providers to complement the bank’s
usage among its users. own offering and enhance its portfolio of digital
products. As a result, overall, the bank expects in
Uber has not yet made significant or ambitious the longer term to achieve business origination
progress in the financial services space. Besides from the digital channel to reach 50% by 2025
integrating seamless payments, the App offers (up from the current 15%) and in shorter term to
users the possibility to prepay for their upcoming increment its current 16.5 million users to 20 million
trips with a function called Uber Cash, which is a by the end of 2022.
wallet that allows users to add funds and use it to
pay in a simple way for all of Uber’s services. The current offering comprises basic banking
services that were already available via the mobile
Chapter 02 20
Super App Use Cases and Market Landscape

being able to do everythings that would normally

Exhibit 7 | User Interface of Union be done in a physical branch via the app.
nxt showing different services
available in the app Moreover, the bank has joined forces with over a
dozen partners to develop additional applications
and services. In the next phase, to fully implement
its Super App ambition, the bank will include in
app, with the additional development of enhanced its app a marketplace that lets users purchase
digital offerings for liabilities, loans and wealth products and services. This will add to other
management. Some of the most notable products banking services such as payments, online
are pre-approved personal loans and pension loans shopping, bill payments, recharges, investment,
for retail customers and MSME loans and farmer loans and fund transfers on a single platform.
loans with auto-renewal services for business
customers. In the future, the bank envisions users
Chapter 03
Key Trends
Across Regions

03

In different ways, established digital players in From the standpoint of regulators, concerns
Europe and the United States are applying the have been growing over the more entrenched
same growth strategies that led to the explosive connection that Super Apps develop with their
growth of Super Apps in Asia. Fascinated by users. In regions such as Europe and the United
the extraordinary success of Super Apps in that States, where authorities are more wary of the
region, many Western tech companies have been sensitive topic of data privacy, implications of
exploring the idea and have ambitions to evolve the power that tech companies could exert
their propositions into Super Apps. thanks to their extensive richness of data is
being closely examined and debated. In these
Tiahn Wetzler, Senior Manager of Content & regions, Super Apps can reasonably expect to
Editorial at Adjust, suggests that the development be subject to tighter and more critical scrutiny
of Super Apps offers an interesting line of historical in the near future.
thought, as one of the first times in the digital
economy that the West is following in the
footsteps of the East.
Chapter 03 22
Key Trends Across Regions

3.1 Global trends able to file a tax return on the same platform where
apple pies are available for purchase is what
Currently, Super Apps are a sizable phenomenon consumers actually want.
mainly in South and East Asia. They first grew in
popularity in China and India, where the demand This highlights multiple challenges to the success of
for such kinds of apps is significantly higher. Also, Super Apps in regions such as Europe or the United
they originated in this region and enjoy a market States. One aspect is the cognitive dissonance of
environment where their development is protected engaging with the same app to perform these very
and encouraged by local authorities. different tasks, which could be somewhat confusing
compared to “the norm”. Another point would be
With their more recent updates, Asian Super the difficulty of convincing consumers that one
Apps such as WeChat and Alipay have started single Super App could be more convenient than
opening their ecosystems to reach a higher level several apps that are purposefully designed to
of sophistication, allowing third parties to offer do just one task. Other potential issues would be
mini apps within their apps. The response from around consumers’ trust and the risk of potentially
external developers and service providers has creating exhaustion out of the monotony of
been immediate and enthusiastic as they quickly conducting so many different tasks in one single
recognised the opportunity of joining the prevailing place – as opposed to the current habit of switching
and thus-far closed ecosystems. There are in fact through multiple apps.
about 4.3 million Mini Programs in WeChat and
about 1 million similar applets in Alipay, the second So far, Western companies have been able to cope
most popular Super App in China. with these challenges by altering Super App play
developed by Asian companies. Narrowing the
The Super App model has proven effective in scope of growth and expansion within one specific
China and other Asian countries, where users have sector – at least for the moment – has thus far
gravitated towards these apps and made them emerged as the most effective strategy in Europe
part of their everyday life, enabling the growth and the United States.
of a customer base with an impressive mass.
The question is if the same concept will be able As argued, among the main determinants for the
to succeed in other regions where people have fortune of Super Apps in different regions, much
already formed the habit of using multiple apps for has to do with the users and their habits. In China,
different purposes. WeChat emerged in a favourable environment with
the authorities’ blessing and at a time when the
Molly O’Brien, in her Forbes article, questions adoption of smartphones was booming. It meant
whether in Western countries the idea of being being able to develop a solid mobile proposition
Chapter 03 23
Key Trends Across Regions

and attracting many new digital users that were desktop computers and websites as opposed to
often only introduced to the internet when they got smartphones and apps.
their first mobile phone.
New generations are progressively changing the
Conversely, in Western countries, users first user base that apps cater to, with a greater mobile-
accessed the internet early on but from their first sentiment. It could therefore be possible that
desktop computers. Then, when smartphones the apps popular among these young users, such
became mainstream, they had already formed as TikTok, could successfully execute the Asian play
new digital habits for all kinds of services around to become Super Apps, transcending their original
their favourite websites, which later launched their sectors and use cases.
apps entering the mobile market. Therefore, these
users are not mobile-first and when using apps
are accustomed to tapping into different ones for 3.2 Different approaches
different services. from regulators

The generational shift in Western countries has During their development, Super Apps in China
seen the growth of new digital native generations have enjoyed an especially favorable regulatory
determining a turnover from previous ones, environment, being encouraged in their growth by
which had originally formed their habits around the authorities. Lately, the same authorities have
Chapter 03 24
Key Trends Across Regions

come to realise that the growth they had been defined uniformly across different jurisdictions,
promoting has pushed Super Apps beyond a personal data – data that can be related to one
size that could be easily and effectively regulated. specific and identifiable individual – should be
Therefore, to some extent, a reversal of the regarded as remaining within the ownership of
trend has started. customers, while data generated with the usage of
the app typically is owned by the company
The measures targeting Super Apps enacted by and could be used more easily.
the Chinese government have resulted in their
platforms and traditionally closed ecosystems Guarding and protecting personal data, however,
being opened to third parties – and possibly rivals. is an obligation and failing to do so can cause
Other actions have the aim of disentangling the unfortunate accidents such as what happened
financial, social and commercial aspects within in February 2021 to French bank CLC. Due to a
Super Apps. The rationale is that, with some software error, users who accessed the bank’s
degree of separation, they could be regulated more website with their own credentials would be logged
easily and more easily and effectively adhere to into another user’s account. Although the issue did
state guidelines. not lead to any losses or damage and was promptly
resolved, it still caused embarrassment for the
On the other hand, regulators in regions bank as it exposed private account information to
such as Europe and the United States have unauthorised users.
traditionally been particularly concerned around
the accumulation of power and the rise of the The European Union, which has been on the
tech industry. This has resulted in a more critical forefront of consumer protection, along with
approach towards the development of Super other regulators around the world, has been
Apps within their jurisdictions. contemplating measures that would restrict
sharing, selling and leveraging user data
Concerns around Super Apps mainly regard the between different companies.
use of the extensive amount of personal and
sensitive consumer data that they would be able This intention from regulators is pushing companies
to gather, such as financial, health or other private to rely mainly or solely on the data that they can
information. Data that could potentially be abused acquire from their customers, without buying from
for commercial and advertising purposes. or selling to third parties. One strategy would be
to increase the amount of time that users spend
Consumer data isa delicate topic that companies within the apps as well as the number of activities
need to treat carefully, as it may expose them to performed therein, enabling companies to collect
potential liability. While ownership of data is not more information and valuable data.
Chapter 03 25
Key Trends Across Regions

One relevant aspect to consider for companies PYMENTS mentioned the belief that it is time for a
aiming to become a Super App would be the Super App with banking at its core.
increasing scrutiny over the tech industry, as
regulators are growing more critical of large Quoting Cyril Chiche, CEO of the French FinTech
internet platforms. Lydia, PYMENTS reports: “What [consumers] want
is something that is on par with Spotify and Airbnb
and all these major category defining companies in
3.3 The potential to disrupt other sectors for banks. […] We don’t have this for
traditional banking banks, and we need one.”

In the Asian landscape the user base has typically According to KPMG insights, there are three
grown as mobile-first, meaning that local Super main considerations that could make Super Apps
Apps did not face competition from websites or a potential threat to established players in the
desktop applications. When considering financial banking sector.
services, this has made possible for users to
leapfrog from the use of cash directly to I – Super Apps are distancing banks from
mobile payments. their customers
Super Apps that have entered the financial services
Tiahn Wetzler notes that Super Apps have space, like WeChat and Alipay in China, still only
functioned as disruptors to the informal economies offer a range of basic products in this sector.
in place in these markets, where they have enabled Currently, the lack of relevant and necessary
the digitalisation of corner shops, street food licenses has made it necessary for these products
ventures and bike-taxis. to be originated and underwritten by traditional
financial institutions in the background.
Another region that is developing quickly in mobile
use case is Africa, where there is a flourishing Some more innovative licensed fintech players
growth of new players aiming to establish and grow have purposely developed white label or Banking
from services such as payment, delivery and ride- as a Service (“BaaS”) propositions to serve these
hailing to creating an infrastructure. Then,achieving use cases, while traditional financial institutions –
a sufficient customer base from which they can even those offering these kinds of solutions – are
potentially evolve into a Super App. being distanced from end customers.

Besides the use cases that have originated from In this sense, financial institutions could see their
most Super Apps across different regions, namely role shift more towards the back office, where
social media, e-commerce, ride hailing and delivery, they would still perform the regulated activities,
Chapter 03 26
Key Trends Across Regions

while Super Apps would take over the front-end, On the other hand, traditional banks (particularly
retaining and expanding the customer experience those that have not yet embraced digital
and relationship. transformation), find themselves at a disadvantage
due to the siloed data architecture and legacy
II – Super Apps are leveraging their technology estates. These banks are sticking to
data richness to enhance services and traditional selling strategies and struggling to get
processes a better understanding of customers and their
One of the superpowers of Super Apps is that they specific needs.
can get significantly greater knowledge around
their users compared to standard apps, thanks to III – Super Apps are building trust and
the extensive collection of customer data. Their reputation in financial services
strength is then being able to use this data to refine One of the most frequent financial services
their propositions and deliver a superior customer features that is embedded into Super Apps out of
experience. convenience is in-app payments. A core part of
the Super App concept, payment services are the
The use of data collected, however, is not just foundation of marketplaces and could also enable
limited to improving the front end and customer peer-to-peer transfers if paired with a wallet.
experience, but also to enhance and fine-tune
operations and processes. Whereas currently most financial services, such
as payments, are still flowing through traditional
Considering applications in the financial services banking and card infrastructure, Super Apps are
space, one example would be the use of embedding them into their convenient, consistent
information from social media (along with other and carefully designed user experience, allowing
transactional data) to perform the risk-assessment them to build trust and a reputation also in the
of loan applications. As well as that, effective financial services space.
Business Intelligence functions can use data to
refine targeting strategies for financial products.
Chapter 04
Opportunities &
Success Factors

04
Chapter 04 28
Opportunities & Success Factors

It is important to note, however, that the Super Apps

Exhibit 8 | Graph of survey results that turned to financial services had first built a
showing varying degrees of interest strong proposition of their own.On the other hand,
from U.S. consumers in having a Super fintechs aiming to become Super Apps, such as
App to manage their digital activities Revolut or Affirm, have raised their ambition
only after consolidating their existing offering
and products.

Depending on their audience, Super Apps have This should warn newcomers and smaller fintechs
been successful in either a specific sector or, as with the idea of building a fully-fledged financial
happened in Asia with a more transversal approach, Super App that incorporating more sophisticated
throughout multiple use cases. They often have businesses such as lending on top of a basic wallet
integrated financial services, to some extent, in proposition involves a significant risk. In fact, it can
order to offer a comprehensive experience to users be seen as a highly cash-burning strategy. Relying
and keep their journeys within the App. solely on revenue from financial services may not
Chapter 04
Opportunities & Success Factors

suffice in terms of establishing a sustainable or The most common areas that 20% of consumers
financially viable business model. want to consolidate are shopping, travel and
entertainment, striving for the convenience of
Conversely, established financial institutions aggregating the broad amount of information
that have grown their customer base and brand around them and being able to make better
reputation through the years, could see becoming integrated decisions. These consumers have
Super Apps as an opportunity to improve customer been classified as “information seekers”.
engagement and retention, as well as giving them
opportunities for further growth and additional The second largest group of consumers that strive
revenue streams. for convenience and desire a single place to access
and manage their money is defined as “financial
Banks could tap into the significant amount of wellness seekers”, accounting for 18% of the adult
customer data that they possess, but privacy population – or 47 million U.S. consumers.
concerns – both internal and from regulators –
could prevent the possibility of extracting the The most enthusiastic 11% of consumers would use
full value. In some instances, traditional banking a Super App to manage their entire digital lives
institutions have been slower in the exploration of in a convenient way and have been classified as
new digital ventures as they prioritise their core “convenience seekers”.
business and deem digital opportunities distracting.

Super Apps are becoming a more attractive player 4.1 Opportunities

in Western countries and to a broader set of
players, including banks, as more consumers start From a geographical standpoint, CPP Investments
looking more positively at them. More people than insights suggest that Super Apps will be able to
ever appear willing to embrace the idea of a single scale materially in the coming years across Africa,
app for their digital needs. India and Latin America. This is similar to what has
been observed in Southeast Asia, while consumer
According to a study on the U.S. population by and regulatory factors could slow growth potential
PYMNTS, 67% of consumers – or 173 million in Europe and North America.
people – would be interested in integrating at least
two areas of their digital lives into a single app, Regulatory factors, as argued before, centre around
providing them with a centralised hub to manage a privacy and data protection concerns, while from
broader range of their digital activities. the consumers’ side the main point would be
cognitive dissonance, or the perplexity arising from
Chapter 04 30
Opportunities & Success Factors

their core offering will be to the existing customer

Exhibit 9 | The advantages of a Super base in order to anticipate the impact on both
App from the consumer’s perspective engagement and retention.

The Super App proposition offers advantages to

both consumers and businesses. For consumers,
the unfamiliar action of turning to a company for the key advantages of Super Apps are a superior,
something that is perceived outside of the scope of unified and consistent user experience, which
its core business. makes them simple and more convenient to use,
reducing “app fatigue”. Moreover, the data collected
Therefore, companies in these regions need to be by Super Apps allow them to offer a customised
more prudent around regulatory developments experience where they can tailor their services
in order to best seize the opportunity. They also to the specific needs of consumers as well as
need to consider how reputable the expansion of proposing more relevant solutions.
Chapter 04 31
Opportunities & Success Factors

on each transaction that is conducted or facilitated

Exhibit 10 | The advantages of a Super within the App, as in the case of marketplaces.
App from the business perspective Moreover, partnering with merchants or other
service providers could also be similarly monetised.

On the cost side, when third parties are allowed

For companies, entering the Super App space to build applets (i.e., apps within the app) this
unlocks some additional opportunities and enables expands the offering while at the same time
them to tap into new revenue streams. Firstly, lowering product ownership and development
the data richness can be leveraged to increase costs. Lastly, companies can explore new markets
sales through up-selling and cross-selling, as well and geographies aiming at a larger target
as improving advertising. Secondly, the ability to addressable user base thanks to a wider and more
create a lively ecosystem where users and possibly comprehensive proposition.
merchants can interact allows them to earn revenue
Chapter 04 32
Opportunities & Success Factors

4.2 Success factors

Exhibit 11 | Graph of poll results
showing if and how banks, telecom Critical external factors at the foundation of
companies and large conglomerates a successful Super App venture are market
should look at Super Apps as a digital characteristics such as internet and smartphone
growth strategy penetration rates, paired with the prevailing
consumer attitude.

For the latter, depending on the region, how

Regarding how to leverage the opportunity to smooth the user experience is can be perceived
build a Super App, Twimbit has conducted a poll, differently. In Eastern countries, people are more
from which it has emerged that banks, telecom tolerant of slow-loading apps and some degree
companies and large conglomerates should look at of friction, while in Western countries, users are
Super Apps as a potential digital growth strategy. more impatient and much more sensitive to
The research also suggests that the best course of speed and user experience. Both of these things
action would be through partnerships, rather than that need to be maximised and spotless in order
with the development of end-to-end propositions. to grant success.
Chapter 04 33
Opportunities & Success Factors

in the loading speed of a mobile ecommerce site

Exhibit 12 | Key success factors to build can improve conversions by more than 8% and
a Super App based on evidence from increase average order value by 9%.
existing players
To enable a successful evolution from a simple app
to a Super App, another key element is the user
base, which needs to be both sizeable and active.
As opposed to standalone single-purpose apps, This is a relevant aspect that can then be leveraged
which are usually faster and more simple to use, when adding new services to create an ecosystem
Super Apps comprising multiple services could catering to multiple needs of the user base.
easily risk ending up being bloated and slow. On
mobile, speed and responsiveness are paramount. This implies that players that have already
To understand the importance of developing a established a large and solid (loyal) customer base
Super App that is as fast and effective as possible, a such as social media, ecommerce operators, banks
Deloitte study found that a 0.1 second improvement and fintechs, media and entertainment companies,
Chapter 04 34
Opportunities & Success Factors

etc. are in a much better position to build successful The first is inclusiveness, meaning that Super Apps
Super Apps. should aim to be constantly accessible to everyone.
Removing all barriers to inclusion is deemed a key
Looking at evidence from existing Super Apps, aspect in improving overall user experience and
there are some commonalities that can be regarded is especially well perceived by both current and
as key factors in their success. The first is having a prospective customers.
strong core product or service as a starting point,
driving engagement and possibly transferring it The second is social responsibility; as consumers
also to new products and services. Secondly, the grow concerned about the quality of life,
ability to understand the evolving needs of the user considerations and effective communication of
base and prospect customers to shape growth the impact of products and services offered by
driving the expansion into the right additional the Super App can determine the perception
use cases. Regarding operations, having supply- from current and prospective customers and drive
side economies of scale is what propels growth, engagement accordingly.
capitalising on momentum and keeping customers
served effectively as volume increases. Lastly, The third point is user data security, which is a
building strategic partnerships with third parties sensitive topic, especially in Europe and North
and external service providers eases the creation America where legislation aiming to protect users
of a wider ecosystem reducing effort and and the use of their data is stricter. As data is a
development costs. critical asset for Super Apps, it is therefore key to
have solid processes in place to prevent attacks
Additional factors in the success of Super Apps are and other threats to users’ privacy, which could
their ability to adapt to evolving market trends and hinder reputational risk.
stay relevant developing and implementing at the
right time the characteristics that users expect. In
this sense, software developing company
Geniusee highlights 3 points.
Chapter xx
About the guide
35

Titel
The Definitive Guide to Super Apps has been

00
developed in collaboration by BPC and Fincog. We
remain at your disposal for any further information and
to guide you in the wonderful world of digital banking.

About BPC About Fincog

Founded in 1996, BPC has transformed over The Fintech Consultancy Group (Fincog) was
the years to deliver innovative and best in class established in 2017 to help clients stay ahead
proven solutions which fit with today’s consumer of the curve and create better, more cost efficient
lifestyle when banking, shopping or moving in and inclusive financial services. Fincog supports
both urban and rural areas, bridging real life and clients to define their strategy, optimize operations
the digital world. With 350 customers across and guide implementation so that clients can
100 countries globally, BPC collaborates with all capitalize on financial innovation. Our team offers
ecosystem players ranging from tier one banks a global network of senior industry experts
to neobanks, Payment Service Providers (PSPs) covering all key challenges for leaders in the
to large processors, ecommerce giants to start- financial services industry. Discover how Fincog
up merchants, and government bodies to local is shaping the future, visit www.fincog.nl
1.1 Heading
hail riding companies. BPC’s SmartVista suite
comprises cutting-edge banking, commerce and
mobility
Text solutions including digital banking, ATM
& switching, payments processing, card and fraud
management, financial inclusion, merchant portals,
transport and smart cities solutions.
www.bpcbt.com
Contributors
36

Jeroen de Bel Marco Ostillio Benjamin Kral

Founder Strategy Consultant Strategy Consultant
Fincog Fincog Fincog

Oleg Patsiansky Imran Vilcassim Mariflor Alice

Head of Digital Banking Digital Banking Consultant Head of Products Americas
BPC BPC BPC

Alberto Sobalvarro Nadia Benaissa

Head of Digital & Global Marketing Director
Marketplaces America BPC
BPC
About the authors
37

Naam - Functie Naam - Functie

Jeroen is the Founder and Director of Fincog. Jeroen can build Jeroen is the Founder and Director of Fincog. Jeroen can build
upon vast international banking and fintech experience. Prior upon vast international banking and fintech experience. Prior
to establishing Fincog, Jeroen worked as a corporate strategy to establishing Fincog, Jeroen worked as a corporate strategy
advisor at De Volksbank, retail banking & payments senior analyst advisor at De Volksbank, retail banking & payments senior
at The Boston Consulting Group (BCG), senior consultant at PWC analyst at The Boston Consulting Group (BCG), senior consultant
and payments consultant at Innopay. Jeroen has strong domain at PWC and payments consultant at Innopay. Jeroen has strong
expertise and is a thought-leader on the future of banking and domain expertise and is a thought-leader on the future of
neo banks. email@fincog.nl banking and neo banks. email@fincog.nl

Naam - Functie Naam - Functie

Jeroen is the Founder and Director of Fincog. Jeroen can build Jeroen is the Founder and Director of Fincog. Jeroen can build
upon vast international banking and fintech experience. Prior upon vast international banking and fintech experience. Prior
to establishing Fincog, Jeroen worked as a corporate strategy to establishing Fincog, Jeroen worked as a corporate strategy
advisor at De Volksbank, retail banking & payments senior analyst advisor at De Volksbank, retail banking & payments senior
at The Boston Consulting Group (BCG), senior consultant at PWC analyst at The Boston Consulting Group (BCG), senior consultant
and payments consultant at Innopay. Jeroen has strong domain at PWC and payments consultant at Innopay. Jeroen has strong
expertise and is a thought-leader on the future of banking and domain expertise and is a thought-leader on the future of
neo banks. email@fincog.nl banking and neo banks. email@fincog.nl

Additional contributors include: Angelo Bertini, Ilyas Berrajaa, Daniel Paltrinieri, Newraj Burton, Wilfred Waiganjo,
Oleg Patsiansky and Nadia Benaissa