Impact of Financial Innovation on User Trust, Retention, and Loyalty in Fin-tech Platforms: Evidence from Nagpur City

Abstract

The trends of Fin-tech spaces gaining fast are remaking the manner in which people undertake monetary operations and are bringing novel methods that support convenience, productivity, and availability. This paper focuses on the effect of financial innovation on user trust, retention, and loyalty in Fin-tech platforms and considers Nagpur City, in particular. With the help of a descriptive research design, 200 active users Fin-tech received questionnaires to fill them in, and 180 valid replies were evaluated. The results identify that such innovative characteristics as improved security, personalized service, and easy-to-use interfaces can have a strong impact on user trust that, negatively, can affect user retention and loyalty. The paper notes that the initial attractiveness of innovation is followed by trust as a key to long-term continuity and commitment among the users. The findings can be of great help to Fin-tech companies aiming to deliver customer-oriented plans which may foster the aspect of trust, stimulating further usage, and developing loyalty, in the context of competent digital financial ecosystems.