A mobile app like Tabby has become an essential part of our daily lives, and its development costs have increased with the rising demand for them. The Buy Now, Pay Later (BNPL) app is one of the most popular trends in online business. As online sales increase, more merchants are turning to BNPL as an alternative to cash-on-delivery.


In the MENA region, e-commerce businesses are adopting the Buy Now, Pay Later approach, which allows customers to make purchases without paying the full amount upfront. Customers can create an account with a financial institution and pay back the money within a set timeframe. Merchants aim to make the BNPL app more user-friendly with a simple process of selecting “buy now, pay later” after purchasing an item, paying a small fraction of the total amount owed, and then making direct payments via credit/debit card or bank account.


Tabby is the leading BNPL solution in the UAE and other parts of the MENA region, with 3 million customers, 800+ merchants, and a total funding of $185 million. It is an excellent example for entrepreneurs who want to develop a BNPL application.


Developing a BNPL app like Tabby can cost between $35,000 and $60,000 for a mid-level UI and technology set. For an app with multiple technology integrations and a high-end design system, the cost can exceed $150,000. This article will examine the various factors influencing the cost of developing a Buy Now, Pay Later app.


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What exactly is a Tabby app?

The Tabby app, a cutting-edge payment solution, has been gaining popularity since its inception in 2020. It offers a “buy now, pay later” service that enables customers to purchase goods and services at any store that accepts Tabby. Essentially, it’s a loan that customers can repay later, with the payment being reported to their credit score.


Using Tabby, customers can easily make purchases without cash or a credit card. It eliminates the need to wait for credit card payments to clear, which can be quite tedious. Furthermore, the app enables customers to manage their budgets more efficiently and keep track of their spending.


Tabby offers services to many stores, such as H&M, IKEA, Sheen, Ali Express, Namshi, etc. To use the app, customers can simply select the products they wish to purchase and then select the “pay later” option at the checkout page. After completing the transaction, they will receive an email with the payment due date. Once the payment is made, they will receive an email confirming the payment, and the transaction will be reported to their credit score.


With over 400,000 active users and 3000 daily downloads, Tabby has quickly become one of the most popular buy now, pay later services. Its seamless checkout process and easy payment options make it a go-to payment solution for millions of shoppers. Additionally, Tabby offers a rewards program where customers can earn points for every purchase made. You can use these points to get rebates on future purchases.


Overall, Tabby is a great app for anyone who wants to enjoy the convenience of buying now and paying later. It offers a secure and reliable way to shop online and pay later. Moreover, it offers data protection, flexible payment plans, payment reminders, and a rewards program.



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How does an app like Tabby work?

As a renowned fintech application, Tabby has gained immense popularity among users in Bahrain, Kuwait, Saudi Arabia, and the United Arab Emirates. This cutting-edge platform provides its customers with many benefits that make their shopping experience a breeze. From fashion to beauty, home décor, gifts, gadgets, and sports and gaming, the app boasts an extensive collection of products that cater to the diverse needs of the modern-day shopper.


The most prominent feature of Tabby is its “Buy Now, Pay Later” (BNPL) system. This innovative service enables users to pay for small-ticket purchases over a brief period, typically two to four months, with no interest charges whatsoever. However, if the buyer opts for a more extended payment plan, they may incur interest charges. For instance, suppose the total bill amounts to $100. In that case, the user can settle it by making four payments of $25 each without any additional costs. The BNPL model has been a game-changer in the traditional credit card sector.


Tabby does not levy any additional interest on the account. However, if the user fails to make timely payments, they may face hefty late fees. Despite this, Buy now, pay later (BNPL) transactions will account for approximately $438 billion, or 5.3%, of global e-commerce transaction value by 2025, up from 2.9%, or $157 billion, in 2021, owing to strong demand in key markets such as North America and Europe. Users find that BNPL apps help them manage their finances better, with the UK alone seeing BNPL services save £103 million, or $139 million, in credit card debt.


The Tabby app and its counterparts utilize sophisticated algorithms that gauge a user’s buying power, in contrast to the traditional credit score. This enables even those with low credit scores to access their services, leveling the playing field for consumers.


To avail of Tabby’s services, users must download the application, register, and provide their Emirates ID as proof of identity. After being approved, the user can make a transaction and choose Tabby as the beneficiary while checking out. Tabby then pays the full amount to the merchant after deducting their commission. The buyer can start paying the agreed-upon amount to Tabby monthly once all the formalities are completed.


All in all, Tabby is a user-friendly, intuitive online shopping platform incorporating the innovative BNPL system to make shopping a breeze while helping users better manage their finances. Its widespread adoption and popularity attest to its efficacy, as more and more shoppers flock to its services to make their lives easier.


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Must-Have Features for a Tabby-Type App

Must-Have Features for a Tabby-Type App


Online shopping has become commonplace in the current digital era, and e-commerce apps have made it easier for us to buy anything we want. One of these apps, Tabby, is a well-known platform that offers customers a straightforward purchasing experience. However, what sets Tabby apart from its competitors?


Because of the variety of product categories, user-friendly layout, distinctive payment methods, and other unique features offered by Tabby, it stands out among its competitors. Here are a few features that must be in a mobile app like Tabby. We’ll examine a few of them now:


  1. Sign-up and Login Feature

First and foremost, you must have a user-friendly and straightforward sign-up and login option. You may even consider integrating social media logins to simplify things for you and your consumers. Also, this will assist you in learning more about your users.


  1. Shop Functionality

The shop functionality is the key component of every e-commerce app. Users should be able to quickly explore and filter their search results using this feature according to criteria like price, category, and availability. To make purchases simple, it should also be integrated with a payment gateway.


  1. Advanced Payment Options

Another crucial component is the availability of advanced payments for consumers who prefer to pay in advance and avoid waiting for their products to be delivered. Additionally, it can support businesses in enhancing cash flow management.


  1. Split Payment Functionality

The capability of split payments is another crucial component of an e-commerce app like Tabby. Customers can use this option to divide their payments across various payment methods, including credit cards, debit cards, e-wallets, etc. This tool will greatly benefit customers who want to manage their funds more effectively.


  1. Automated Deductions

By enabling automatic withdrawals from consumer accounts, automated deductions can improve how well businesses manage their cash flow. Reduced payment conflicts may result from this.


  1. Robust Security Measures

Each e-commerce app must prioritize security above all else. Users’ sensitive information, such as credit card numbers and login passwords, can be safeguarded using SSL encryption, two-factor authentication, and other security features.


  1. Guest Appearance

Another feature that makes your app more user-friendly by enabling users to make purchases without creating an account is a guest appearance. Those not wishing to expose their private information can benefit from this.


  1. Accounts Management

Through account management, users can manage their account information, including shipping addresses, payment options, and order history. Businesses can utilize this feature to provide their customers with customized recommendations and promotions.


  1. Reminder Notifications

Reminder notifications can decrease the frequency of payment disputes and increase customer engagement by reminding users about their outstanding orders and payments.


  1. Featured Trader Section

Businesses can highlight their best traders in a “featured trader” area that appears on the app’s home page. As a result, users may find it simpler to locate new products and traders.


  1. Cashback Rewards

Cashback is another feature that can make an e-commerce app like Tabby more attractive to users. This feature allows businesses to offer cashback to users on their purchases. This feature can help improve customer loyalty and retention.


  1. Merchant Analytics

Users are able to view their spending patterns across various merchants thanks to merchant analytics. Tracking spending patterns and looking for methods to save money can be extremely useful.


  1. Payment Links

Payment links are becoming increasingly popular and for a good reason. They allow users to make payments quickly and easily without needing a bank.


  1. Dispute Resolution Tab

In case of any dispute, there should be a dedicated tab where users can raise and resolve their concerns. This will help build trust and confidence in your app among users.


In conclusion, incorporating the key elements covered will greatly improve the user experience of an e-commerce app like Tabby. Businesses may get and keep more clients in today’s competitive market by focusing on features like simple payment methods, strong security measures, and guest appearances. 

Constantly upgrading and enhancing these features can further guarantee that users are delighted with the app and remain engaged, resulting in long-term growth and profitability for the company.



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What Features of the App, Like Tabby, Do Users Like the Most?

Features of Tabby like App that Users like the Most


Tabby has grown in popularity due to its capability to assist users in spreading out the expense of purchases over time. Users have found the app to be a convenient and efficient way to manage their finances. Here are the main reasons for the app’s success and why users like it most:


  1. Credit Without Interest

One of the main draws of an app like Tabby is obtaining credit without interest. This is the reason why users prefer apps like Tabby.


  1. Quick Access to Funds

Customers who choose pay-later alternatives have instant access to funds, even if their bank accounts are empty. It also brings in money for the app because it improves subscribers’ purchasing power.


  1. Simple Repayment

By automating deductions and providing payment links, app like Tabby make it simple to make payments, giving consumers peace of mind before, during, and after purchases.


  1. Monthly Expense Management

People enjoy cash advance apps in the digital world because they make it simple for consumers to manage their monthly expenses. 


Overall, users appreciate the convenience and flexibility of apps like Tabby, making shopping and managing finances easier. With features like interest-free credit and instant fund availability, such apps are becoming increasingly popular for online payments.


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Factors that Affect the Cost of Creating an App Like Tabby

Mobile apps have become essential in the modern world, and usage is only rising. As a result, many business owners and entrepreneurs are looking at the possibilities of developing apps that are comparable to Tabby. Yet, building an app from scratch can be expensive, so it’s important to understand the numerous aspects that affect its price. 


Here are various factors that can influence the expenditure of crafting an app similar to Tabby, a platform that offers a buy now, pay later (BNPL) service.


Factors Affecting the Cost of Creating an App Like Tabby


  1. Features and Complexity of the App

Mobile application development becomes more complicated as you include more features and functionalities. For example, including characteristics such as transaction history, payment reminders, and loyalty programs requires more development effort and time, eventually increasing costs.


  1. Compatibility with Different Platforms and Devices

Developing an app that is compatible with multiple platforms like iOS and Android or different devices like smartphones and tablets can also inflate the total cost. Compatibility with various platforms requires additional development effort, increasing the cost.


  1. Design and User Experience

An app’s design and user experience are essential components of its success. Investing in a superior quality design and user experience may lead to better user engagement and retention. However, such an investment comes at a higher development cost.


  1. Integration with Third-Party Services or Software

Third-party integrations can add to the app development cost if you plan to integrate your app with third-party services like payment gateways, social media platforms, or marketing automation tools. These integrations might require additional development effort and may also involve licensing fees, thus increasing the overall cost of developing a mobile app.


  1. Size and Location of the Development Team

The development team size and location can also impact the cost of developing a mobile app. Hiring a larger team for the development process increases the cost while outsourcing to a country with a lower cost of living can reduce the cost.


  1. Testing and Quality Assurance Processes

Proper testing and quality assurance are necessary to ensure that the app is bug-free and user-friendly. Testing and quality assurance may increase the cost of developing a mobile app, but they are critical to delivering an excellent app that meets user expectations.


  1. Localization for Different Languages and Regions

Localization for different languages and regions can also increase development cost. Additional resources may be required to translate and adapt the app for different markets.


  1. Ongoing Maintenance and Updates

Ongoing maintenance and updates are necessary to keep the app running smoothly and up-to-date with new technology trends. These ongoing costs should be factored into the overall development cost.


  1. Ensuring security and data privacy for users

Security and data privacy are crucial for any app, and ensuring these built-in features can add additional cost to the development process.


In conclusion, the cost of building an app like Tabby’s varies significantly, depending on the project’s scope and specific requirements. Working with a skilled development team and allocating a budget accordingly is crucial to ensuring a successful app launch.


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How to Make Money with an App Like Tabby?

There are a few different strategies you may employ if you want to make money with a buy now pay later app like Tabby.


  • Every time a customer makes a purchase through the app, the app receives a commission. The product category and the terms of the contract with the merchant may affect the commission rate.
  • Customers using the app are charged interest on their installment payments. The interest rate may be fixed or variable depending on the amount due.
  • The app may give clients premium benefits like early access to sales or exclusive discounts for a certain monthly or yearly charge.
  • The app can broadcast adverts and can charge businesses to list their goods. The merchant’s sales and visibility grow as a result.
  • The app may collaborate with financial institutions or credit businesses to provide clients with financing choices. The amount of interest that the lending institution or creditor charges on the loan amount is how much money the app makes.
  • The app can offer itself to merchants or retailers as a tailored solution. The app may levy a one-time or ongoing fee for unique branding and functionality.
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How do you succeed in the BNPL market?

Companies must be innovative and strategic to succeed in the competitive world of buy now pay later (BNPL) services. To increase exposure and credibility with customers, one important tactic is to collaborate with reputable banks. This can build confidence and offer a more secure payment method, which is crucial in this sector.


Expanding outside of e-commerce into different sectors like insurance, e-learning, and business software systems is another strategy to stay ahead of the competition. Companies can reach more clients and increase their income by expanding.


Using credit checks with cutting-edge technologies like blockchain smart contracts and predictive analytics is essential to ensuring the company’s financial health. This can help to ensure that only customers who are financially capable of paying back their installments are approved, reducing the risk of defaults and potential losses.


By implementing these strategies and staying ahead of the competition, companies like Tabby can continue to grow and succeed in the dynamic BNPL market.  


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Estimated Cost of Creating An App Like To Tabby

The cost of developing fintech applications varies depending on the application. It also depends on who you choose to create the app. Compared to hiring unskilled individuals, hiring a professional development team could be more expensive. Be prepared to spend more if you’re designing a comprehensive app with loads of extra features. Generally speaking, the size of your mobile app, the features you include in it, and, most importantly, the company you select for the project all greatly impact the entire cost of app development.


An Android and iOS mobile app similar to Tabby will cost you between $5,000 and $30,000. This assumes that you maintain the mid-level complexity of the app. On the other hand, a fully featured or complete mobile app will be somewhat expensive. The estimated cost of the development project is $10,000. A fee is associated with features like location tracking, chatting, and more. It’s crucial to have a price discussion with the mobile app development company in advance so that you are aware of the full development cost. Remember that the cost also depends on the platform you select for the app’s launch. You can create an app exclusively targeted at Android users or cross-platform software that works on both iOS and Android devices.


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The rise of e-commerce and the emergence of mobile commerce are both results of the digital revolution, which has altered how customers shop. As a result, mobile applications that offer seamless shopping experiences are more important to the business.


The “Buy Now, Pay Later” (BNPL) concept is one such solution that is growing in acceptance. Those who want to spread out their payments may find it handy to use BNPL apps, which let customers make purchases and pay for them over time in installments.


To learn more about creating BNPL apps, get in touch with us. We can assist you in developing a dedicated and scalable app that satisfies your unique needs. So, what are you waiting for? Contact Us now!


Experts anticipate that the global BNPL market will continue to expand and will top $20.4 billion by 2028. Also, by 2025, it is anticipated that the gross merchandise volume (GMV) of BNPL transactions will surpass $1 trillion, underscoring the market’s significant potential.