Have you ever wondered, “What does it take to develop an app like Tabby?” Buy Now Pay Later (BNPL) is a rapidly growing concept that allows users to purchase items immediately and pay later, either partially or full. This model has gained huge popularity because it gives shoppers financial flexibility while boosting sales for merchants.
One of the leading BNPL apps, Tabby, has over 3 million users and partners with 800+ merchants, making it a benchmark for entrepreneurs looking to create a BNPL app. If you’re planning to develop an app like Tabby, understanding the costs involved is one of the first steps.
In this blog, we’ll explore the factors, features, and complexities that determine the cost to build a mobile app like Tabby.
What is Tabby App?
Tabby is one of the most popular Buy Now, Pay Later (BNPL) apps in the UAE. It allows customers shop for their favorite brands and split their payments into four interest-free installments. No extra fees, no hidden charges.
The app also offers cashback deals, exclusive discounts, and thousands of products to explore. For customers, it provides financial freedom, while for businesses, it boosts sales and engagement.
That’s why many startups and entrepreneurs today want to develop an app like Tabby. It’s not only a smart fintech idea but also a profitable business model.
Market Overview for an App like Tabby
The Buy Now, Pay Later (BNPL) market is growing rapidly across the world, and apps like Tabby are at the center of this change. With changing consumer habits and increasing demand for flexible payment solutions, the market presents many opportunities for businesses planning to create a BNPL app like Tabby.
Key BNPL Market Statistics
- Global Growth: BNPL transactions are expected to rise by nearly $450 billion between 2021 and 2026, showing how fast this payment method is being adopted worldwide.
- E-commerce Expansion: In countries like Sweden and Germany, BNPL apps already account for a much larger share of domestic e-commerce payments compared to their global share. This highlights how local markets are leading the adoption trend.
- User Demand: A recent study found that 77% of Tabby shoppers plan to use BNPL financial services for purchases in 2024, proving that customer interest is only growing stronger.
- Tabby’s Success: The Tabby app alone has attracted over 2 million shoppers and generated 26 million clicks for retail partners, setting new records in user engagement. This shows the real-world success of BNPL apps in driving traffic and boosting merchant sales.
What This Means for Businesses
The data makes one thing clear: BNPL is not just a trend, it’s becoming a standard way for people to shop. With more users choosing apps like Tabby to manage payments, there is huge potential for businesses to develop a BNPL app like Tabby and tap into this fast-growing market.
So, if you are still wondering whether this is the right time to invest, the answer is yes. The BNPL industry is booming, and the opportunity to build an app like Tabby has never been greater.
Why Develop an App Like Tabby?
If you are a founder or entrepreneur, here are some reasons why building your own BNPL app can be a great idea for a successful business:
1. Boosts Customer Engagement
When you develop an app like Tabby, you give customers a smooth and flexible shopping experience. Adding rewards, discounts, or cashback on purchases can keep them engaged and loyal to your app.
2. Generates More Revenue
By developing a BNPL app like Tabby, you can earn from multiple sources. These include merchant fees, partnerships, in-app promotions, and even premium features. This makes it a strong revenue-generating business.
3. Improves Brand Awareness
When users see your app’s logo every time they shop, your brand becomes more familiar and trusted. Just like Tabby, you can build recognition in the finance and e-commerce markets.
4. Builds User Trust
People trust apps that make life easier. By offering a secure and interest-free payment option, your BNPL app can gain the same kind of trust as big names like PayPal or Google Pay.
Key Features to Add While Developing an App like Tabby
To develop an app like Tabby, you must include features that make it secure, simple, and useful for both customers and merchants. Here are the key features explained:
1. Merchant Integration
Your app should connect easily with e-commerce websites and physical retail stores. This way, merchants can accept BNPL payments without complications. A smooth integration makes more businesses willing to partner with your app.
2. Payment Gateway Integration
Different users prefer different payment methods like debit cards, credit cards, digital wallets, or even direct bank transfers. By supporting multiple payment gateway integration options, your app becomes flexible and more attractive to a larger customer base.
3. Push Notifications
Notifications play a big role in keeping customers engaged. They can remind users about upcoming payments, share discount deals, or notify them of special offers. This not only helps users stay updated but also reduces the chances of missed payments.
4. Advanced Security
Security is the backbone of any fintech app. Adding biometric login (like fingerprints or face recognition), strong encryption, and two-factor authentication keeps user data safe. These features build trust and make users feel confident about using your app.
5. Reports & Analytics
Merchants need insights to grow their businesses. With in-app dashboards, they can track sales, customer buying behavior, and payment trends. This data helps them make smarter decisions and strengthen their partnership with your app.
6. APIs & Webhooks
APIs and webhooks help your app communicate smoothly with other systems, like merchant websites and payment gateways. They allow quick sharing of data, such as payment confirmations, making the entire shopping and payment process seamless.
7. Instant Credit Check
Customers don’t want long approvals when shopping. An instant credit check system lets them know within seconds if they qualify for BNPL services. This fast approval process creates a better user experience and encourages more purchases.
8. 24/7 Customer Support
Users should always have help available whenever they face a problem. Offering live chat, email, or phone support around the clock builds trust and reliability. Good customer service ensures users continue using your app without frustration.
How to Develop an App Like Tabby?
If you are planning to develop a BNPL (Buy Now, Pay Later) app like Tabby, you need a clear step-by-step process. Developing such a fintech app requires careful planning, the right technology, and a strong focus on user experience. From research to launch, every stage plays a key role in making your app successful.
Below, we have explained to you the main steps you need to follow.
1. Market Research
The first step is to understand your users, competitors, and the BNPL industry. Research helps you find what people need, what other apps are offering, and what gaps you can fill. This way, your app will stand out in the market.
2. App Design (UI/UX)
A BNPL app should look clean and be easy to use. The design must guide users smoothly from shopping to payment without confusion. Simple colors, clear buttons, and user-friendly layouts are key to keeping customers engaged.
3. Choose the Tech Stack
Your app required the right technology to work fast and stay secure. The tech stack should support instant payments, data protection, and scalability so your app can handle thousands of users as it grows.
4. Build the App
This is where development starts. You’ll need to build both the front end (what users see) and the back end (the server and database). Decide whether you want to launch on Android, iOS, or both, depending on your target market.
5. Test the App
Testing makes sure your app runs smoothly on all devices. It helps you find errors in payment flow, design, or performance before launch. A well-tested app increases user trust and reduces complaints after release.
6. Launch & Maintain
Once everything is ready, launch your app in the market and promote it to attract users. But the work doesn’t stop there, regular updates, bug fixes, and new features are necessary to keep your app competitive and reliable.
How Much Does It Cost to Develop an App like Tabby?
The cost to develop an app like Tabby depends on multiple factors, such as app design, features, platform choice, developer expertise, compliance needs, and ongoing maintenance.
A basic BNPL app may cost between $30,000 – $60,000, while a feature-rich and fully scalable SNPL app like Tabby can cost $150,000 or more.
Below are the cost details mentioned to help you understand the pricing better.
| Type of App | Details | Estimated Cost (USD) |
|---|---|---|
| Basic Version | Simple design, core BNPL features (buy now, pay later, user login, payments), Android + iOS support. | $30,000 - $60,000 |
| Mid-Level App | Better UI/UX, merchant integration, secure backend, basic analytics, notifications, and compliance setup. | $60,000 - $100,000 |
| Advanced / Fully-Featured App | Custom design, AI-based credit scoring, AR/VR product previews, advanced analytics, multiple payment gateways, strong security & scalability. | $100,000 - $150,000+ |
| Ongoing Costs | App maintenance, cloud hosting, feature updates, bug fixes, compliance updates. | $5,000 - $15,000 per year |
This table gives readers a quick idea of the cost to develop a BNPL app like Tabby, from basic to advanced versions, along with the yearly expenses they should expect.
What factors affect the cost of building a buy now, pay later app like Tabby?
The cost to develop an app like Tabby is not fixed, it changes based on several important factors. Each stage of app creation, from design to testing, adds to the overall expense.
Below are some major factors mentioned that affect the cost:
1. App Design
The design of your BNPL app is very important. Tabby is simple and easy to use with screens like Shopping, Payments, Cashback, and Profile. If you keep the design clean and user-friendly, people will enjoy using it. A simple design also lowers the overall cost.
2. App Development
There are two ways to create an app like Tabby. You can build your own system or integrate with retailers using APIs. Adding advanced features like AI for predictions or AR/VR for product previews can increase costs. The more complex your features, the higher the price.
3. Development Team
The cost also depends on who is developing your app. A mobile app development company in Dubai or Saudi Arabia may have different pricing than companies in India or Europe. Hiring skilled developers, designers, and testers will affect the total cost of the BNPL app like Tabby.
4. Compliance
BNPL apps must follow strict financial regulations. Tabby, for example, complies with Saudi Central Bank guidelines. You will also need PCI DSS certification and reporting systems for credit bureaus. Meeting these compliance rules adds extra cost but builds trust with users.
5. Backend Infrastructure
Your app needs strong servers, databases, and APIs to handle large user data and payments. If you want fast performance and secure systems, you must invest more in backend technology. The cost also rises when you integrate third-party services.
6. Testing and Quality Assurance
Testing makes sure your app is free of bugs and works smoothly across devices. Quality assurance (QA) is a key step that can take time and money, but it ensures a perfect launch. A Fintech app development company will always include QA in its process.
How to Monetize an App Like Tabby?
Building a BNPL app is not just about spending money, it’s also about making your platform profitable.
Here are the most effective ways to earn revenue with an app like Tabby:
1. In-App Advertising
One of the simplest ways to make money is by showing ads from other brands inside your app. For example, you can display special deals or product banners from partner companies. Every time users view or click on these ads, you earn income. This makes sure a steady cash flow as long as your app has an active user base.
2. Data Monetization
With user permission, you can use purchase behavior data to create insights and reports. These reports are valuable for businesses that want to understand customer habits and trends. You can sell this data (safely and anonymously) to merchants or research firms. This creates an extra income stream without disturbing the user experience.
3. Merchant Fee
BNPL apps like Tabby often charge merchants a small commission on each transaction. For example, if a customer buys from a store using your app, the merchant pays you a small percentage as a fee. This works like a game-changer, merchants get more sales, and you earn a share for every purchase.
4. Late Fees or Penalties
When users miss their payment deadlines, you can charge them a small late fee or penalty. This encourages customers to pay on time while also creating an additional source of income. Even though BNPL apps usually offer “interest-free” payments, late charges help cover risks.
5. Cross-Selling
Your app collects useful data about user preferences and shopping behavior. You can use this data to suggest other services or products, like insurance, credit cards, or partner brand offers. By cross-selling, you not only increase revenue but also give users more value and options.
How Developer Bazaar Technologies Can Help in Creating an App Like Tabby?
If you want to develop an app like Tabby, working with experts makes a big difference. Developer Bazaar Technologies is a trusted Fintech app development company with experience in building scalable BNPL apps.
- We offer complete services, from design to development and compliance.
- Our team utilizes the latest technologies to make sure simple payment gateways and a user-friendly design.
- As a leading mobile app development company in Dubai, we understand the local market and global standards.
With our help, you can develop a BNPL app like Tabby that is secure, compliant, and poised for success.
Conclusion
Developing an app like Tabby is a smart idea for entrepreneurs who want to enter the BNPL market. The cost depends on features, design, platform choice, development team, and compliance needs. A simple version may cost around $30,000 – $60,000, while a fully-featured BNPL app can go beyond $150,000.
By choosing the right features, planning carefully, and working with an experienced Fintech app development company, Developer Bazaar Technologies, you can develop an app like Tabby that is secure, user-friendly, and profitable. With proper maintenance and updates, your app can compete successfully in the growing BNPL market.
FAQs
Q1. How long does it take to develop a BNPL app like Tabby?
Building a Tabby-style BNPL app usually takes 4 to 12 months. A basic app with core features takes less time, while a complex app with AI recommendation, analytics, and multi-platform support may take longer. The timeline depends on the features and development resources.
Q2. How do AI and Machine Learning help in a BNPL app?
AI and machine learning make the app smarter and safer. They can assess credit risk, detect fraud, personalize user experiences, and automate decisions like loan approvals. This improves efficiency and builds trust with users.
Q3. Can I launch a BNPL app like Tabby in UAE or KSA?
Yes, you can launch in UAE or KSA with proper compliance. You must follow regulations from CBUAE (UAE) or SAMA (KSA), implement AML/KYC protocols, protect user data, and consider Sharia-compliant financing options.
Q4. What is the best tech stack for a BNPL app like Tabby?
A strong tech stack ensures scalability and performance. Common choices are Flutter/React Native for frontend, Node.js/Python for backend, AWS/Azure for cloud, and MongoDB/PostgreSQL for databases. Arabic support and local data rules are also important for UAE/KSA.
Q5. What features can make my BNPL app stand out?
To differentiate, include real-time credit scoring, merchant integration APIs, AI-driven risk management, and a smooth user experience (UX). These features attract users, build trust, and help your app compete in the BNPL market.
RM Mishra
Co-Founder
Developer Bazaar technologies
