Estimating the Cost of Creating an App Like Tabby

Buy Now Pay Later (BNPL) is an incredible concept recently gaining much attention. Why? It allows users to create an account at a financial business willing to purchase the items on the customer’s behalf. However, the user must return the funds within a specified time. In the process, several businesses are searching for methods that will allow their customers to fulfill what the technology promises in full purchase immediately and pay later.

One of the most popular BNPLs is Tabby. This app benefits people who want to spend only some of the cost upfront but must purchase due to the nature of e-commerce apps. However, the Tabby app understands this and lets users buy items with no or partial cost. The app boasts 3 million users and 800+ merchants. It has become the ideal platform to take inspiration for young entrepreneurs who want to create the buy now, pay later application.

If you’re thinking of creating a mobile application similar to Tabby, one of the initial concerns that will come to mind is, “What will it cost to build an app like Tabby?” In this blog post, we’ll look at the complexities of estimating the costs of developing a mobile app as popular as Tabby. 

What Is a Tabby App?

Tabby is a BNPL mobile application that permits its customers to buy items online or in stores and pay for them in four monthly installments, with no charges for interest or other hidden costs. Tabby’s apps are integrated with various stores to let customers shop online or in-store and break their payments into manageable segments. 

Customers may appreciate quick access to items or services while spreading the costs across several weeks or months. Apps such as Tabby are now well-known as payment options and a method to control expenditures and budgets. Users of the Tabby app can divide their payment into 4 installments with no interest. Tabby, the Buy Now Pay Later mobile application, is a hit in the e-commerce market in the UAE. 

How Tabby Works?

With its renowned fintech applications, Tabby has gained immense acceptance among its users in Saudi Arabia. The cutting-edge platform offers its users a variety of benefits to allow them to shop effortlessly. From beauty to fashion, gift ideas, home decor, and gadgets, the application has a broad selection of items that meet all the requirements of today’s savvy shoppers.

One of the most notable features of Tabby is the “Buy Now, Pay Later” (BNPL) system. The innovative system allows users to purchase small purchases for a limited period, usually between two and four months, without any fees for interest whatsoever. But, if a buyer chooses a longer arrangement, they might be charged interest. In this instance, the bill totals $100. In this situation, the consumer could settle the bill by making four installments of $25 each with no additional charges. The BNPL model is an innovation in the conventional credit card market.

Tabby doesn’t charge any additional interest to the account. But, if a customer does not pay on time and cannot pay the penalties for late payments. Despite this, Buy Now and Make Payment After transactions are projected to make up approximately $438 billion, 5.3% of the global value of transactions made through e-commerce by 2025.

To use Tabby’s services, users must download the app, sign up, register, and present their Emirates ID for proof of authenticity. Once approved, the user can make an online transaction and select Tabby as their beneficiary when making payment. Tabby can then pay the total amount to the merchant after subtracting the commission. Buyers can begin paying the stipulated amount to Tabby every month after completing all formalities.

Also Read : Creating an App Like Tamara For User-Friendly Split-Payment Solution

Cost To Develop a Mobile App Like Tabby

The cost of developing a BNPL app like Tabby that allows you to buy now and pay later depends on various aspects. Your company choice can also impact the amount that a Tabby application costs. The features, mobile app development company in UAE expertise, and app size are just a few of the factors influencing the costs of creating Fintech apps. Suppose you opt for a middle degree of sophistication; an Android and iOS mobile application similar to Tabby costs between $30,000 and $60,000. A fully-featured, comprehensive application will cost a little more developing projects, costing about $150,000.

It is important to know that app development expenses are not just for the first phase. The app needs ongoing development, hosting, and maintenance. The costs increase if you wish to add other features, such as location tracking and chat-in-app features. Before beginning the development process, you should discuss the development cost with the mobile app development company.

Factors That Affect The Cost Of Tabby Like App Development

In theory, the concept behind the Tabby application allows customers to purchase items via the app or through an e-commerce platform and pay in four equal installments. Nevertheless, the various elements involved make Tabby among the most sought-after applications within the UAE. These are the various elements that influence the total cost to build a mobile app in the UAE such as Tabby, some of them are:

1. App Design

One of the most significant advantages of Tabby-like apps is its simple design layout. Tabby is split into four different screens: Shopping, Payments cashback, Profile, and Shop. Each screen has its user journey illustrated by minimalist lines, simple product pictures, and an easy-to-use user journey map. When creating an app like Tabby, make a point of simplicity to avoid overcrowding of information and other visual elements. Consider the journey users will take through each aspect and design how to lead users to where they want to go.

2. App Development

There are two options for investing in the pay later application. You can keep it unique to your site by creating an API/SDK so that it is easier to integrate with other retailers. Based on your select business model, you can pay now or shop later on the app. Development efforts are used to create the front, back, and entire aspects (or further) of the app, and advanced technologies (like VR) are used to give users a chance to experience products and AI to help with predictive analytics. The app must be created in two variants based on the type of model you choose.

Also Read : Building the Backbone of Modern Business With Enterprise Application Development

3. Development Team

Another aspect that creates an incredibly different cost of developing the app Tabby is the people working on the project. It is a matter of two factors, depending on the size of the team and the location in which they work. In general, when a mobile app development company in Saudi Arabia develops an app, they hire specialists from research platforms and developers specializing in platform, design, backend, and QA. However, the area where the group is located significantly impacts the costs of constructing a buy-now-pay-later app.

4. Compliances

Because apps that allow after-pay are relatively new concepts, the global regulatory environment is evolving. Tabby complies with the Saudi Central Bank’s Regulatory Sandbox Environment and has PCI DSS accreditation. Before launching an app, you must be registered with regulatory agencies. Additionally, you must be sure to keep your credit bureau updated. This will be closely connected to compliance concerns. When a client purchases something using a credit card, their credit score will be affected based on the amount they pay back. Every week, you inform the compliance bureau of the client’s status and whether they have made the EMI payment.

5. Backend Infrastructure

The backend infrastructure for an app, such as databases, servers, and APIs, can impact development expenses. Applications that need complex data management, a large amount of processing on the server side, and a large-scale infrastructure incur more expenses. Additionally, integrating third-party providers and designing specific APIs could raise the overall price.

6. Testing And Quality Assurance

The quality and reliability of an application are crucial to an effective launch. Testing and quality assurance entail identifying and solving the root of bugs, improving efficiency, and ensuring that the application is compatible with platforms. This requires dedicated time and funds and can be a significant part of the overall costs of developing apps.

Also Read : Mastering eCommerce Success: The Comprehensive Guide to Developing an E-commerce App Like Adidas

Cost Breakdown Of Developing An App Like Tabby

To help you better understand the cost to develop a mobile app in Saudi Arabia, let’s break down the cost in different development phases.

1. Conceptualization And Planning

The beginning of app development involves design and development, during which the idea behind the app’s design is determined, the features are selected, and the user experience (UX) and user interface (UI) plans are designed. Based on the degree of complexity and the participation of developers and experts, this stage could cost anywhere from $5,000 to $15,000.

2. UI/UX Design

Designing an intuitive and pleasant user interface and experience is crucial to the overall success of an app. Designing UI and UX for a budget could range from $35,000 to $60,000 according to the size of an application, its number of display screens, and the degree of customization needed.

3. Front-End And Back-End Development

Creating components’ front-end and back-end is at the heart of developing an application. Front-end development involves designing components that are visible to the user, including buttons, screens, and animations. Back-end development is focused on server-side functionality and database management. Depending on the app’s complexity, it could cost anything from $10,000 to $100,000 or even more.

4. Integration Of Third-Party APIs

Various applications use third-party APIs (Application Programming Interfaces) to enhance functionality and provide other services. The price of integrating payment gateways, sharing social media, mapping, and other APIs can range between $5000 and $20,000, taking into account the volume and complexity.

5. Quality Assurance And Testing

Comprehensive testing is vital to ensure the application functions properly and is compatible with its intended users’ requirements. Depending on the complexity of the application, the number of platforms supported (iOS, Android, etc.), and the test range required, quality assurance and testing costs could range from $5,000 to $20,000.

6. Deployment And App Store Submission

When the app is created, it is released to each app store. Based on the costs for the developer account, app reviews, and the required certificates, the deployment process and store registration can range from $500 to $3,000.

Also Read : Understanding the Challenges & Costs of Hiring iOS App Developers in the Middle East

Must-Have Features Of Tabby Like App

It is very important to understand that the features you integrate into your app, also greatly influence the overall development cost. So, let’s have a look at the features of a Tabby-like app that an ecommerce app development company should incorporate.

1. Login And Verification

An efficient and secure registration procedure is among the most essential components. Users should be able to register seamlessly with their mobile numbers and then complete the registration with a National identification number to verify. The security and protection of the user’s information are vital for the app to utilize robust methods to authenticate users and protect their personal information.

2. Advanced Payment

A more advanced payment method is a different feature worth applying to an application such as Tabby. This method lets users pay their installments before the deadline, which is vital in making the app extremely user-friendly.

3. Automatic Deductions

Automatic deduction is yet another crucial feature that is unlocking its full potential. The feature allows customers to authorize the application to take out charges on their chosen card. In addition, customers can easily handle multiple cards and change between them when needed. This flexibility function ensures an easy and enjoyable experience for the customers.

4. Security

An increase of 30% was seen in fraudulent online acts. However, the sales from e-commerce saw an increase of 16%. These figures highlight the significance of introducing security measures in eCommerce platforms, particularly for secure transactions. Integrating strong and convincing security measures into the mobile application is crucial to protect your app from data loss and cyberattacks. Implement security measures like two-factor authentication, data encryption, and regulations for creating a safe and secure Buy Now Pay Later app.

5. Guest Feature

Tabby was able to attract a large number of people because of its easy-to-use functions. Guest is one feature. This amazing feature enables users to use the Tabby like app without an account. They can finish the sign-up process to make payments.

6. Shop

Apps that pay after purchase, such as Tabby, include a Shop function that lets you build sections based on brands, stores, and discounts. It functions like an online shop where users can browse product details, prices, and special deals.The UI aspect, the layout that the app for paying later maintains, is minimalist. It uses a grid-like view of shops and products separated into distinct parts on the same window. Do you want to learn more about the advantages of a simple layout? Take a look at this guide for creating minimalist apps. After purchase, this Tabby-like app allows customers to keep track of their purchases and receive real-time information on where the order is within the delivery process.

Also Read : Unveiling the Factors to Develop Shopping Apps Like Temu

7. Split Payments

The installment amount is unique to the Tabby application but is the main feature of all after-pay applications. The app allows users to purchase an item and then enter their credit card details into Tabby to make the four divided payments once per month. The only thing they must do is pay the first installment when they make the purchase.

8. Account Management

Account management permits users to manage the information on their accounts, including the address for shipping, payment method, and order history. This allows businesses to tailor their promotions and suggestions to customers.

9. Cashback

Cashback is another feature that could make an e-commerce platform like Tabby more appealing to potential customers. Companies can offer customers cashback for purchases due to this option. This can increase the loyalty of customers and increase retention.

10. AI-Based Virtual Assistance

An AI-powered virtual assistant is among the most powerful features you can add to a Shop Now Pay Later application such as Tabby. The virtual assistant will use machine learning and neural language processing techniques to understand customer questions and needs, allowing users to quickly determine what products they’re looking for or get suggestions for products.

Also Read : How to Develop Successful Shopping Apps Like Shein: A Comprehensive Guide for 2025

How To Build An App Like Tabby?

If you are looking for an application similar to Tabby and aren’t sure what to do that can truly fulfill its goal and be a threat to your competitors, here’s an approach to consider now:

1. Market Research

The very first step when building an application such as Tabby is to look at your competition and the market. When constructing the Shop Now Pay Later app, it is essential to study the market and see if alternatives to similar apps are out there. This can give users an understanding of the capabilities already available and help you identify any gaps that you could fill.

2. Choose The Right Technology Stack

Selecting the right technology stack is essential to create the success of your app. A variety of factors influence the correct mobile app tech stack. How well your app performs and is scalable enough to support multiple versions of operating systems depends on the combination of technologies you select for development. Any sudden or precise in-depth decision regarding selecting anything other than the most advanced technology stack could negatively affect current efficiency and future growth prospects.

3. Choose Trusted Mobile App Development Company 

A crucial aspect of creating an app similar to Tabby is finding a mobile app development company in UAE. Competition has significantly increased in the past couple of years. Therefore, recruiting mobile app developers with experience in the latest technologies and trends is essential.

4. Design The User Interface

Are you aware of the two main aspects that make your app successful? These are the User Interface (UI) and the user experiences (UX). In this case, UX designers must collaborate with product and business analyst managers to understand the specifications. In contrast, UI designers must collaborate with front-end developers to ensure the design is appealing once implemented. Both are crucial; therefore, it is impossible to ignore either.

Also Read : How Much Will Mobile App Development Cost in 2025?

5. Develop The Backend

The backend of your mobile application manages the functions and logic. It is responsible for handling the user’s accounts, keeping data, and handling transactions. So, creating a flexible back-end system that handles various transactions and safeguards users’ personal information is essential. When you employ the mobile application developers of a reputable firm, you do not have to be concerned about your back-end.

6. Develop The Frontend

Your application’s interface is the interface that users interact with, and it should be responsive and user-friendly. It is important to design forms, screens, and buttons that enable users to navigate easily and conduct transactions. It is also essential to evaluate the various platforms for which your app is available and ensure that the application functions seamlessly across every device.

7. Incorporate Payment Gateways

Payment gateways are essential in Shop Now Pay Later applications. They must be connected to popular payment platforms like PayPal or Stripe to allow users to make payments using their preferred methods. The verification process must ensure that your application complies with the security requirements of payment gateway providers.

8. Test The App

When the app has been built, it is crucial that fintech app development company test it thoroughly to make sure that it functions properly. This includes tests to ensure that the features are working as expected and that your app will handle large transactions. It’s crucial to spot flaws and rectify them before releasing your app.

9. Launch The App

The app will be launched after the test is completed. An advertising strategy is essential to attract customers and improve your mobile application’s store visibility. In addition, consider collecting user feedback to enhance your application’s user experience and performance.

10. Monitor And Iterate

Once your app has been launched, you should review user feedback and make changes to make it more functional. This includes adjusting to correct bugs, adding new features, and improving your app’s efficiency. It is also important to keep track of your app’s statistics to monitor its use and find areas that could be improved.

Also Read : Why is mobile app maintenance crucial for your mobile strategy?

How Do BNPL Applications Like Tabby Earn Money?

Some people believe that awareness of the buy now pay later application creation is enough. However, the challenge lies in figuring out how to profit from these platforms. There are many ways to earn money from the apps, a few of which are given below:

1. Commission Model

Earning a percentage of every purchase that a user makes is the ideal way to earn money using the app Tabby. Depending on the brand or product, the commission range can be anywhere from 5% to 10% and as high as 15%.

2. Interest Charges

Tabby’s next strategy for success is offering interest to customers for every unpaid installment. This allows Tabby to earn vast sums monthly while enticing customers to pay on time.

3. Displaying Products

The platforms can also earn money by charging retailers a fee to display their goods on their applications. Many emerging companies pay massive sums to feature their goods on these applications.

Final Thoughts

The increasing use of smartphones and their integration into technological advancements has increased interest in internet-based shopping among those who recognize its benefits. In recent times, sales on e-commerce have exceeded the threshold of $5.2 trillion, and they are likely to increase over time. Therefore, now is the perfect moment to create a BNPL application like Tabby.

Making a mobile application like Tabby could be an enticing business. However, it’s essential to know the cost involved. Shopping online has become increasingly commonplace since the advent of smartphones. The e-commerce sales in the last few years have surpassed $5,2 trillion. It is expected to continue growing. Based on past numbers, we believe that BNPL can assist in bringing e-commerce to the next level. Collaborating with a leading mobile app development company in Dubai that creates an app for mobile devices is the perfect step to develop a BNPL app like Tabby.

Techugo, a renowned mobile app development company, is the perfect partner to bring your BNPL app vision to life. With a proven track record of delivering innovative and scalable solutions, Techugo’s team of experienced developers and designers possess the expertise to create a robust and user-friendly app. Their deep understanding of the fintech industry, combined with their commitment to excellence, ensures that your BNPL app will stand out in the competitive market. By partnering with Techugo, you can leverage their cutting-edge technology and industry insights to build a successful and profitable BNPL app.

Get in touch with Techugo now!