According to Statista, the number of mobile phone users is expected to grow to 4.78 Billion in 2020. You have a great opportunity in tapping this 62% of the population by developing a mobile app for your business.
Most people are now spending more time on their phones as compared to watching TV. Emarket report forecast that the average time a person spends on TV is 3 hours 29 minutes while on the phone is 3 hours 49 minutes in 2020. The forecast shows that the time spent on mobile phones will continue increasing while that of TV will continue to decrease.
So, developing an app for your business is a great idea in 2020.
One question that you can ask yourself is, what will be the cost of developing a mobile app in 2020? In this article, we will give you a detailed overview of the cost of developing a mobile app, what factors determine the price and the most important part, how you can cut the cost of building a mobile app by over 51%.
How to calculate app development cost
You may have tried to search on Google terms such as “mobile app development cost,” “cost of a mobile app development,” “mobile app development cost breakdown,” ” mobile app development cost per hour,” “ cost of outsourcing mobile app development,” low-cost mobile app development,” ” business mobile app development cost,” ”mobile app development cost and time” and much more. Whatever may be the words, many people are looking for the cost of mobile app development. Hence, we decided to answer that question for once and all.
It is difficult to give a precise answer to the cost of mobile app development without understanding all the factors that affect the price.
Which Factors Affect App Development Cost?
1. Features and functionality
The features and functionality of an app make it simple or complex. The complexity of every function you need in your app will affect the number of hours taken to create it. For example, the complexity of the feature of user registration is different compared to a function of finding the nearest route and driver in a Taxi hailing app like Uber.
Simple features take less than 24 hours to develop while some sophisticated features can take even more than a month to complete.
The type of interaction by users also affects the complexity of an app. There is a significant difference if you need an app for your business, where your customers can request for a quote. With a social media app that enables users to post, comment, in-app purchases, and broadcast live videos. The social media app has more features that may require third party integration; thus, the cost will be high.
Clutch carried out a survey where they asked businesses to estimate the cost of certain features, including ratings and reviews, native integration push notifications, social media engagement, and web portal.
Simple features, such as push notifications, user ratings and reviews, and user login, tend to be cheaper. More complex features, such as payment systems, web portals, and integration with native features, increase your project’s final cost.
Cutting the cost
You can reduce the cost by creating MVP of your app. Here, you develop the basic app, yet complete, then later, you increase functionality to increase functionality and capability.
When you have an idea for an app, and you want to develop it, it is essential to outline all the features that will be needed for the app to function. Then you describe the most basic functionality. This will reduce the time required to develop the app and the required cost.
If we take an example of an on-demand app such as Taxi-hailing app like uber. We can first outline all the features need:
- Register as a user
- Search for a driver near you (On-demand booking)
- Vehicle tracking system (GPS)
- Scheduled bookings
- Automated e-receipts
- Feedback and rating
- Trip/Cab tracking
- Automatic fare calculation
- Multi-currency support
- Flexible vehicle options
- See estimated time of taxi arrival
- Notification to passengers
- Multi-language support
Second, you can shortlist the most essential features, and here you can remove features such as Multi-language support and Multi-currency. You can add these features later when you want to expand to other countries with different languages and currencies.
Starting with the basic functionality will enable you to cut costs and reduce the time you need to enter the market. When you enter the market, you will get an even better suggestion of the features from your app users.
2. App platform
This is the platform where the users will install your app. Will it be on Android, iOS, or Both? Before you answer, its good to know first the target market of the app that you are developing. According to statistics from Statista, the Android platform has 85% of the global market share while Apple has 15%. However, Apple has 40% of the U.S. audience, and this is a significant share in the American market.
But why choose one platform when you can have your app running on both platforms. There are different ways of doing this. Below are the ways:
- You can create native apps for both android and iOS.
- You can use Cross-platform app development- Cross-platform app development uses a native rendering engine. The codebase is coded in JS, which connects to native components via the so-called bridges. This enables the user experience to be cross to that of the native applications. It offers seamless functionality cost-effective production and easy implementation. But you do not expect outstanding performance as compared to native apps.
It is crucial to note that hybrid and cross-platform apps are not the same. Maybe, the only common thing between them is that the code shareability. Due to this it takes less time to develop them.
Cutting the cost
If you are looking at reducing the cost, hybrid, and cross-platform app development will not only decrease the price, they will also lower the time needed to complete the app development. The other side of the coin is that the performance can be slow, and the UX may be suboptimal. Also, there can be some functionality issues so it’s important to know if the features you need in your app, can be achieved in hybrid and cross-platform app development.
3. Inhouse or outsourced development
In-house mobile app development means using company resources (in-house team) to develop an app according to your requirements.
If you go for an in-house team, you will not only need to look for skilled and experienced programmers; you will also need to pay their salary and bills. There is also an overhead cost as you add more employees.
Outsourcing involves an agreement made by a business to hire a third party software development company to do the software related work instead of doing it in-house.
With outsourcing, when you are careful about where you are investing your money, it works in your favour. With an efficient mobile app development company, you will get a strong technical backing, clean, and efficiently coded apps.
Costing the cost
If you are on a budget, outsourcing is the way to go. When outsourcing, you don’t have to worry about overhead costs or worry about the management of the employees. All you need is to outline clearly all the requirements you need for the app development and relax.
The cost further reduces as there is a considerable difference in wages in developed and developing countries. And also, a hefty amount of money in the form of employee salary and benefits gets saved.
Outsourcing also means faster time to market as you can give a directive of the timelines in accordance with your schedule and your software company will have dedicated developers at your service accordingly.
5. The country where you outsource your mobile app development
The cost of living is rising fast, and for example, in the United States, it is averaging at $170 daily in 2018 according to data from the U. S. Bureau of Labor Statistics. Hence, the people living there need a higher amount of pay to survive. In turn, hourly wages will be higher in comparison. This situation applies to all countries across the world, such as China, Germany, Italy, Spain, Canada U.K, and Australia, amongst others. Hence, if you opt for one of these countries, it is but natural that your cost to develop an app will rise.
However, there are other developing countries such as India and Kenya, with a good talent pool. Many large, medium, and small businesses are outsourcing their software development projects to these countries. Since these nations are still in the category of developing countries, the per capita income is comparatively lower. This reduces your cost per hour and the overall app development cost as well, resulting in savings.
App Development Rates of Local Agencies
According to Clutch, the hourly rates of mobile app developers are:
|Country||Rate per Hour|
|USA||$100 – $199|
|United Kingdom||$100 – $149|
|Canada||$50 – $149|
|Germany||$150 – $199|
|Spain||$100 – $149|
|Denmark||$100 – $149|
|Finland||$100 – $149|
|Sweden||$100 – $149|
|Australia||$100 – $149|
|Hungary||$50 – $99|
|Poland||$25 – $99|
|Austria||$50 – $149|
|Belgium||$50 – $149|
|Israel||$150 – $199|
|Ukraine||$25 – $99|
|Russia||$50 – $99|
You can see that getting a mobile app development company in Kenya will cut the cost of mobile app development without affecting the quality and usability of your app.
By considering Hudutech Ventures for your mobile app development, you will be able to stick to your app development budget and also get professional mobile app development services in return.
4. The company you hire
There are many mobile app development companies all over the world; choosing the one that will develop your app can be a task.
A company with a great team, excellent communication and years of experience are some of the factors that you should consider. Such companies offer multiple benefits to every client that works with them.
You can also ask for a recommendation from your friends and colleagues.
From the recommendation you get you can talk with the company clients and ask the experience they had when they had outsourced the company.
Cutting the cost
By hiring us you cut your budget by more than a half.
Most of our clients say we are affordable, it’s easy to communicate with us and that we offer quality and bespoke mobile apps. Besides, we have six years of experience developing many mobile apps. So you expect professionalism and efficiency from us.
These are some of the factors that affect the price of mobile app development. We hope this resource helps you in getting the app you need at an affordable price. What other ideas can you add to this list that I may have not mentioned?