This is another thing to ascertain before developing a mobile app. The sole purpose of any business is to make money. Speaking of app development, your business can charge for app download and make money from it. But will the users download the app if it is chargeable? Research says that most of them prefer to use it for free. The fact is over 98% of global revenue comes from free apps. And 90% of apps on the market are free.

 

Deciding to sell your app can be a challenging task. Several options are available, including free apps vs. paid apps, in-app ads, in-app purchases, and freemium models. All you need to do is choose the right model that suits your business and solves the purpose.

– Advertising: interstitial ads, banner ads, in-app video ads, native ads, and rewarded apps.

– Subscriptions

– Selling merchandise

– In-app purchases

– Sponsorship

– Referral marketing: Cost per action, cost per click, cost per view, and cost per install.

– Gathering and selling data

– Freemium upsell

– Physical purchases

– Transaction fees

– Crowdfunding

You must understand the app type before deciding the monetization models. Once you know your purpose, you can choose the best monetization method for your app on the app store—for instance, the subscription method for content & service apps.

The competitor analysis is for functionalities, features, and design of an app. You can easily discover the monetization methods for your app with a thorough study of your industry. Question yourself, like how competitors are earning money? Is there any drawback that can become your strength?

You need to deeply study your target audience to gain revenue from app monetization techniques successfully. For example, who are they? What do they demand? What are they ready to pay? Users must know the real value to make purchases.

 

These are some points you need to consider before choosing your app monetization strategy.

 

Now, after looking at the mobile app’s ample benefits, the right platform to develop your app, and the best app monetization strategies, we are finally at the stage to discuss the cost of mobile app development in 2020.

Before moving forward, it is essential to note that there are stages to assess development cost.

 

– Pre-development Stage (Research)

– Development & Design Stage

– Testing Stage

– Post-development Stage (Marketing & Maintenance)

Conducting market research is vital to know whether to develop the app or not, get good ideas on app development, know your TA, competitor analysis, SWOT analysis, and finally build a business plan.

Total development time * Hourly rate = cost

 

The approx cost here ranges from $8k – $20k. This cost applies to the project that lasts for 4-6 months, and the development & design stage is considered 3-4 weeks.

 

The cost may vary based on the complexity of the project.

 

 

Design is a vital part of a mobile app development process to increase user engagement and motivate them to take action.

 

Before going to the app development stage, it is essential to complete the designing part to ensure the app functions smoothly with the different design elements.

 

For app design costs, it starts at $8k for 13-20 screens. The app design prices differ as per the no. of app screens, design complexity, and the use of using visual elements.

 

 

This is the most crucial phase of the app development process, where cost estimation is a challenging task. Because as the project continues, the client demands to develop & integrate more advanced features. The more complex the features, the more budget is required to create the app. The app concept and app type also play a significant role in determining the app cost.

 

Following are the most common features of the mobile app:

 

– Login/Logout

– In-app Search

– One-to-one Chat 

– Push Notifications, etc.

 

This is a simple app type. Now talking about the complex app functionalities requires smooth audio & video streaming, a robust connection with the admin panel, and more. Complex features are costly but are investment-worthy.

 

 

 

Depending on the app’s complexity and requirements, your app development team will include recruiting a business analyst, UI/UX designer, one or several developers, a project manager, and a quality assurance engineer.

 

 

The mobile app development cost is not determined based on only the developers and hourly rate; the technical complexity also plays a significant role. In a nutshell, more complex features consume more time and hence more number of developers to develop it.

 

Let’s see the different complexity divided into 3 broad categories:

 

Basic Apps: These apps do not need remote data servers. Such apps include diet planners, calendar apps, and the cost ranges somewhere between $5k – $10k

Mobile apps with web servers: These apps save data on remote servers and need more sophisticated programming. The app development cost here ranges between $10k to $50k

Gaming Apps: It is tough to define these apps’ prices because they include apps with simple features up to those that use complex virtual reality. A wide estimate of the cost of such apps would be somewhere between $10k to $250k or higher.

 

 

This is another factor that influences the mobile app development cost. Launching a dynamic app requires exchanging massive data in real-time and synchronizing all the platforms alongside cloud updates. In such a scenario, you need a backend solution to handle significant data and work flawlessly in any condition. This means you need more time to develop and design a complex app infrastructure. You even require multiple programming languages to form your mobile app’s backend development. This means you must pay a considerable amount of price to engage with a team of experts.

 

 

Due to the fast-paced technological evolution, there are numerous third-party integrations available to choose from.

 

Although such third-party integrations can help accelerate the development process, several third-party tools come with intricate documentation. This can result in extra time to learn to integrate into your app.

 

Most premium 3rd-party integrations are paid; therefore, you’ll have to pay for its services regularly.

 

 

If you choose to go for iPhone app development, then your app must be compatible with the recent and latest versions of iPhone like iPhone 6S or X. It should also support the recent and latest iOS versions, including iOS 10 to 13.

 

If you’re choosing android app development, then there are 3 primary factors you must consider to target the maximum android user base.

 

– Well-known devices in the market

– Market share size of each android mobile manufacturer

– Android OS versions

 

Therefore, comparing the development cost factor for iOS and android, developing an android app will take longer and cost higher due to the huge segmentation in the android market.

 

 

UI is a critical aspect of a mobile app and plays a significant role in a mobile app’s success. The UI defines the look and feel of a mobile app. And if you want your app to be liked by your target users, it is crucial to deliver a delightful user experience.

 

Including images, custom graphics, animations, and several other things can eventually add up a considerable amount of mobile app development hours, impacting the overall cost to develop your mobile app.

After the app development process, the testing phase is the most crucial. It is essential to test your app before launching it in the market to know whether it works properly and has a good user response. Several types of testing can be conducted; it depends on your willingness to spend and the time-duration to launch the app. Well, it is always good to go to such lengths because in the end, if your app is a failure, you lose a lot of money.

 

Mobile app testing ensures that your app will work seamlessly for the users. Front-end app testing accounts for 30% of the app cost, while the admin panel front-end testing costs below 15%. The approx price you can expect is between $5k – $10k.

 

Another great part is that it saves you money in the long run. You can launch your app with confidence and assurance that it will undoubtedly offer a great user experience.

 

Well, it can take massive investment when it comes to spending on marketing and promotion expenses. All that depends on your budget. You can make less marketing expenses if your budget is less and still do a great job if you enter into the market at the right timing. After all, the right timing matters; throwing money alone is not enough.

 

You can market your app in several ways like:

 

– Social Media Platforms

– Launch Events

– Promotional Messages

– Video Marketing

– Email Marketing

– Offering Great Offers & Discounts

– Blogs, etc.

 

Investing some amount in marketing is beneficial for your mobile app. Because only if people know about your app, they will install it and use it. Otherwise, it will lead to a terrible failure.

 

 

Once you have developed and launched your app, you are not done. Your work has just begun. You have to ensure that you retain your users; otherwise, they will uninstall your app, and your app will get doomed.

 

Just like a business comes with its maintenance costs, the same is with the mobile app. You need to incur several post-launch expenses to meet user demands, such as bug fixes, updation, server maintenance, user support, and legal support.

 

Research suggests that app maintenance can cost you around $5k to $10k after 1 year of launch. On average, it can cost you close to 20% of the original cost of your app.

 

Here we discussed the cost of mobile app development in general. Now, let’s dive into the cost of different types of mobile app development in brief.

There are different types of mobile apps available in the market. We are going to talk through the estimated costs of the most common app types.

 

Let’s begin!

 

 

They are usually very concise. Users don’t need web connectivity to use such apps. These apps are much demanded these days as users prefer to use apps that consume a lot of information online. Such apps typically have 6-8 screens and no back-end.

 

Duration: 1-1.5 months

Approx cost: $10k – $12k

Examples: Clock, calculator, local games, local audio or video player, camera, SMS app, etc.

 

 

This app requires the user to login to access the full functionality. You can include many subordinate features to raise the cost.

 

Users prefer to login through their social media accounts like Twitter, Facebook, etc. This is a one-step process for users to access the Authentication app.

 

Duration: 5-7 months

Approx cost: $30k – $60k

Examples: Google Drive

 

 

The primary goal of such apps is to promote and sell the products via a mobile store. It includes all the regular features such as login/logout, user registration, push notification, social media, user account, etc.

 

The following features make eCommerce apps different from others:

 

– Secure payment gateway integration

– Separate product pages

– Detailed product catalogs

– Reliable check-out process

– More

 

The development of such apps is complex. It needs a well-planned admin panel and back-end to manage products, inventory, payments, users, orders, and more.

 

– Duration: 6-12 months

– Approx cost: $15k – 18k

– Examples: Amazon, Myntra, etc.

 

 

A perfect marketplace app includes features of an eCommerce app and on-demand service app. It’s an extensive version of both these apps.

 

These apps permit users to place orders and companies to deliver the products at the user’s doorstep. Therefore, marketplace apps deal with both ends of the economy – demand & supply.

 

The cost of such apps is higher as it demands substantial time and effort.

 

– Duration: Over 12 months

– Approx cost: 18k

– Examples: MakeMyTrip, Booking.com, etc.

 

 

These apps are booming in the past few years, especially in the light of Covid-19. The reason for its demand is it fulfills the user’s needs and wants.

 

On-demand apps function like social apps that include login and communication elements such as chat, call, etc. It also has eCommerce features like delivery, payment, product/service orders, etc.

 

– Duration: 10-12 months

– Approx Cost: $20k – $25k

– Examples: Zomato, Uber, etc.

 

 

Such apps consume and process only accurate information. Data-driven apps do not have a high demand.

 

These apps include extra features or an expansion of a larger software. Such apps cost you a bit more since they need some back-end work.

 

– Duration: 2-3 months

– Approx cost: $10k – $15k

– Examples: Calendar, stocks, weather, etc.

 

 

The primary purpose here is to enhance the social interactions of users with others. These apps let users share information and chats.

 

There are several social apps like media sharing, blogs, communities, dating apps, interest-based networks, customer review apps, and more.

 

Cloning famous apps such as LinkedIn, Facebook, etc., won’t get you success. These apps have been in the market for years and include a lot of functionalities and features.

 

All these brands first began with MVP or a basic version with restricted but essential features. This is the main reason behind the tremendous success of such apps.

 

– Duration: 6-10 Months

– Approx cost: $30k – 50k

– Examples: Instagram, Facebook, etc.

 

 

Games can be simple as well as advanced. A complex gaming app can cost you more, as you might already know. A game development cost depends on factors like AR support, social media integration, 3D graphics, global ratings, etc.

 

– Duration: 6-12 months

– Approx cost: $50k – $200k

– Examples: Angry Birds, Temple Run, etc.

 

 

IoT enables users to connect the app with any equipment & physical object. All the objects, devices, or equipment associated with IoT are considered smart.

 

These apps are connected with devices via Bluetooth technology or WiFi to send requests or receive data.

 

You require to install hardware in the object to connect it with IoT. You can also use ready-made hardware or build custom hardware as you need.

 

Therefore, before planning to build an IoT app, you must be ready to invest in hardware. It increases the overall cost of your app.

 

– Duration: 6-12 months

– Approx cost: $50k – 300k

– Examples: Beacons, Amazon Dash Button, etc.

These are the 3 options when it comes to developing an app:

 

– In-house Staff

– Freelancers

– Mobile App Development Company

 

 

This involves recruiting a full-time employee to build an app. The idea to have a full-time available person for your app looks beneficial on the outer side, but this is 100% unnecessary. This will add to redundant costs like infrastructure, internet, utility bills, salary, etc.

 

 

This is the most cost-effective hiring option but not the smartest option after-all. Suppose you’ve decided to recruit freelancers to develop your mobile app; the first thing you’ll need is to find the right talent in the market, which is challenging since you’ll not know to recognize the right mobile app developer.

 

And suppose you found the right person, you still have to manage them individually. This will consume your ample time that could have been utilized on things such as planning & executing app marketing & promotion campaigns.

 

 

This is the first choice of entrepreneurs, companies, and startups. This is that middle spot between in-house staff and freelancers. Hiring an app development company helps you develop a mobile app on a limited budget and focus on things like app promotion.

 

In this recruitment option, you share your app requirements, and the rest is taken care of by the company, from wireframing design to app publishing on the App Store.

The development cost per hour varies as per the region. So, the location of the mobile app developer will determine the value of your app.

 

Let’s take examples:

 

 

Now you know that location plays a massive role in the app development cost. And the higher price doesn’t necessarily mean assured success or superior quality.

 

 

Hopefully, coming to the end of this blog, you’ve got an idea of how much detailing requires while determining the cost of the mobile app.

 

The cost of app development depends on many factors like who develops the app, time-taken, platform, app type, etc. We have tried to accommodate most information necessary.

 

Now that you know the approximate cost to develop a mobile app in 2021, you can contact our team, and they will give you the best advice on how to begin, followed by unique ideas.