Major universal bank HSBC recently announced it would shut down its Zing app a year after launch, potentially putting around 400 jobs at risk.
The Zing app, introduced in January 2024, was deployed to take on fintech rivals like Revolt And Wise By offering cheaper cross-border payment fees.
However, its short-lived run suggests that big banks like HSBC are struggling to match the speed and innovation of tech disruptors.
What is the Zing app?
Zing is a digital mobile platform designed to offer lower fees for cross-border payments and aims to provide a more modern and user-friendly experience for customers managing international transactions.
However, the app has struggled to gain traction in the market since the beginning. According to intelligence platform Data Apptopia, only 36,000 British customers downloaded the application. This was a far cry from Revolut, which was downloaded more than 15.6 million times in 2024 alone – making it the most downloaded Neobank app in the UK.
Now the bank has announced that it will shut down Zing just one year after its launch. Although it did not disclose the number of jobs lost as a result of the decision, it is assumed that 400 roles will be at risk.
In a statement, an HSBC spokesperson said: “Following a strategic review of zing within the HSBC Group and after careful consideration, we have taken the decision to close zing and integrate its platform -underlying technological form in HSBC, »
“HSBC is focused on increasing leadership and market share in areas where it has a clear competitive advantage and where it has the greatest opportunities to grow and support our customers.”
Why is Zing stopping?
HSBC did not provide a clear reason for Zing’s closure, but tough competition and a lack of customer adoption are the likely culprits for its demise.
Additionally, Ritesh Jain, former COO of HSBC, described the app as a “me-too product” in a Finextra blog post.
“Zing’s attempt to compete directly with Wise and Revolut was essentially a ‘me-too’ product, which struggled to carve out a unique value proposition,” Jain wrote. “In a market where customers expect speed, transparency and low-cost services, simply replicating existing offerings rarely works.”
Zing also faced some compliance hurdles shortly after its launch, while its fintech competitors managed to navigate this rapid adaptation. Despite partnering with AI technology company Silent Eight to strengthen its compliance operations, HSBC has still fallen behind in managing the rapidly changing rules.
100 FinTech Startups That Leave Traditional Banks Struggling to Keep Up
We saw an incredible Business FinTech Grace this year Startups 100 Index. This includes Atlantic Silver – A platform designed to simplify international money transfers by offering a flat fee of £3 per transaction.
Unlike many competitors who charge percentage-based fees, Atlantic Money offers clear and predictable pricing, making it a great option for anyone who wants to avoid surprise fees.
Beyond international payments, our other impressive participants include Yonder. Reach third place in this year’s index – and settle your rival Monzo – Yonder offers a Rewards credit card where customers can earn points and redeem them for experiences, flights, and dining options at popular restaurants.
With so many innovative fintechs shaking up the financial industry, it’s no surprise that traditional banks are struggling to keep up. These startups are changing the game with new ideas, transparent pricing and user-friendly technologies, pushing old-fashioned banks to rethink their strategies to stay relevant in an increasingly competitive market.