From Frustration to Funding: Your Guide to Launching Your Dream App

Are you an entrepreneur leading a startup with a new business idea? Or a CEO looking to increase enterprise productivity with a mobile app idea? In either case, a top concern is the cost of app development.  Mobile apps are integral to everyday life. We can monitor health data, track finances, and show the weather by tapping a few buttons. Behind the scenes, though, the complexity of the code varies. Mobile app development costs reflect that.  In the sections that follow, we explain: Factors that influence the cost of developing a mobile application. Functionality and app features are heavy influencers on application development costs. But other factors like the development platforms, intended audience, and server and integration requirements need to be considered to determine the overall cost.  App development cost breakdown. App development costs begin at around $25,000 for a simple standalone app. Development costs increase to over $1 million for a complex app with numerous integrations and new features. We’ll break down the average costs by app type. Tips to protect your app development budget. Downloading a new app might set you back a few bucks. But this seemingly cheap accessibility can mask hidden costs. We want to bring those to light so you can develop your app on time and within budget. Factors That Influence the Cost of Designing a Mobile Application What determines the ballpark cost of building an app? Before digging into app development cost ranges, let’s review these factors. App Features & Complexity It makes sense that the more basic the app is, the lower the cost. Expenses start rising with additional functionality and app features that lengthen the app development process.  Logins, push notifications, payment processing, and rating functions all raise costs. Even though apps may use some similar features, the cost can vary based on the app’s complexity. A complex feature set:  Requires additional upfront work to understand user experience needs.  Increases complexity in UX design.  Takes additional time to code during the development process. Requires additional quality assurance tests. Development Platforms Simply put, more platforms mean higher mobile app development costs. Even with cross-platform development tools, Apple and Google apps will have unique requirements that require specialized development. Selecting an iOS app, an Android app, or a cross-platform app is a decision you shouldn’t base on cost alone. However, the cost will vary based on platform type. Android and iOS app development tools are more similar than ever. Still, Android apps are generally more expensive to create than iOS apps are for iPhones. If you opt for Android, an increase in app development cost of 20% to 25% isn’t out of the question. This increase is primarily due to ongoing changes in operating system versions and device form factors. Target Audience Consumer applications are developed for anyone who interacts with the application, regardless of their identity or organizational affiliation. In contrast, enterprise applications are tailored to meet the needs of individuals in a specific business or industry, who require specific functionalities to accomplish their tasks. The cost of developing an application may vary depending on the target audience. Consumer Apps A consumer app built for the general public must stand on its own more than an enterprise app. Consumer apps require users to download and use them without much guidance. They need extra care to develop an intuitive and polished user interface during app design. Consumer app creators should consider what it’ll take to market the app after building it and make sure they are preparing and allocating a budget for that as part of their costs. Enterprise Apps Internally oriented apps should also be high quality and easy to use. Still, in contrast to consumer apps, with enterprise apps, there are opportunities to help train and guide users directly. Apps that require fewer onboarding features have lower related development costs. They’re also less expensive because they have a less complicated UX design. Server & Integration Requirements Developing a mobile app requires careful consideration of server and integration requirements, which play a vital role in determining the app’s success. It takes a blend of technology, creativity, and collaboration to bring your vision to life, and development costs extend beyond coding hours.  Backend Servers Standalone apps either require no backend server or can function without network connectivity. The moment a backend server comes into play, a world of possibilities opens up. However, when a backend server is involved, you must consider its configuration, ongoing hosting, and maintenance. Seamless backend integration is essential to achieving scalability. While some standalone apps can operate independently, exchanging data with a backend server requires additional software development work and careful consideration of cost. API Data Flows Integrating application programming interfaces (APIs) is a vital step in enhancing the user experience by ensuring seamless data flow between the app and the backend server. For example, consider a weather app that not only displays forecasts but also integrates live data from weather services. This integration creatively enriches the app’s offerings, making it more valuable to users. However, providing data to apps requires its own set of coding using APIs. The ability to exchange data with the server requires additional software development work, requiring a higher level of investment. Third-Party Services Integrating various platforms and third-party services can significantly enrich your app’s functionality and user engagement. It’s important to acknowledge that such integrations come with their own cost implications, requiring their share of development effort. Team Collaboration Team integration is also a crucial factor that can impact development costs. While an in-house backend team may seem cost-effective, the facilitation required, and the complexity of integration could lead to an increase in overall cost. Remember, the cost of mobile app development goes beyond just the hours spent typing away at the keyboard. It’s about orchestrating a blend of technology, teamwork, and expertise to turn your vision into a tangible, impactful reality. App Development Cost Breakdown Our framework for estimating app development prices is based on the type of app. Standalone, basic apps are in the bottom cost bracket of mobile application development. Social media and ecommerce apps usually hit the middle of the average cost range. The most expensive apps pair with physical objects or enable control and interactions with remote objects. Cost To Develop an App With Zero or Limited Network Connectivity Standalone, simple apps do not access a server, require no authentication to work, and have a limited need for a network connection. This category includes apps with basic features like clocks, calculators, and weather apps.  Typical Cost Range per Platform: $25,000 to $50,000 Cost To Develop an App With User Authentication Most apps today require user authentication. This category includes apps that help with more complex tasks like managing a household, tracking fitness data, monitoring stock portfolios, or curating a wine list. User authentication implies user profiles or accounts. It means there will be a need for data storage to store and protect personal data and the ability to sync across devices or interact with data in other ways. Average costs rise because of these features. Typical Cost Range per Platform: $50,000 to $250,000 Cost To Develop a Social Networking or Ecommerce App Many apps include social features. At a minimum, social networking apps offer basic functionality. Features include user authentication, friend networks, and messaging. Social networking apps also interact with other users’ data, for example, through likes and comments. Apps in this category are prevalent. Many are heavily used—Twitter, Facebook, WhatsApp, and TikTok, to name a few. Ecommerce apps have social features, too. For example, the app may enable you to like or share a favored product. Ecommerce apps also require payment gateways and the ability to access a product database. For some of these functions, developers can use off-the-shelf platforms. The more customization each function requires, the more design, development time, and thus costs incurred. As a result, there’s quite a bit of cost variability.  Typical Cost Range per Platform: $75,000 to $800,000 Cost To Develop an App That Connects to a Smart Device Smart apps are considered part of a technology category called the Internet of Things (IoT). It’s a fancy name to convey the idea that the app communicates with objects in the real world. Objects include everything from garage door openers to thermostats to wheelchairs. This category has the highest upper-end cost. However, these apps don’t necessarily have complex features. They may just need low-level interaction with the firmware that controls the hardware. Those that are more feature-laden can drive costs up significantly.  Typical Cost Range per Platform: $50,000 to $1,000,000 Tips To Protect Your App Development Budget Hidden costs can impact your app development budget. To protect your app development project from scope creep, consider these questions: Do you need a cross-platform app? Unless your app is extremely simple, if you plan to make it available on multiple platforms, we still encourage you to build each native app sequentially—one platform after the other. Apps go through several iterations before they offer the desired user experience. And trying to manage learnings from those iterations across two platforms is cumbersome.  Instead, you can apply feedback and refinements from the first platform to speed development on the next—saving time and money. This approach enables you to efficiently apply learnings from your customers. It might be a good idea to focus on developing one platform first, release it, and then move on to the next phase. Stacy Griffin, Director of Operations at InspiringApps, notes, for example, “Let‘s say we do iOS and then have Android follow where we‘ve already learned everything we need to learn on one platform and then come in with the next platform if that‘s possible.” However, this approach may not always be feasible depending on the client’s requirements.  Do you need a clickable prototype? A clickable prototype is a design or wireframe with hot buttons that allow users to tap and advance through the screens. It emulates a functioning app to the user. Users can take your app for a test drive without having to build a fully functional car. The clickable prototype is an excellent tool for testing UI and UX. However, it’s challenging to introduce different workflows in the app using clickable prototypes, especially outside of the “happy path”—the default scenario with no exceptional or error conditions. Just because users love the prototype, it doesn’t mean they’ll love the app. Experimenting with clickable prototypes can be helpful, but they aren’t quite the same as using the app. The level of engagement is different. Nonetheless, clickable prototypes are still valuable, cost-effective tools. However, just because users love the prototype, it doesn’t guarantee that they’ll love the app. Most of InspiringApps’ customers act as product owners. In agile terms, that means you have a clear understanding of your users. At the same time, that level of understanding can vary. Sometimes, the app is a personal mission and hasn’t been tested in the wild. In this case, the MVP can aid in testing and refining the app. How will you market and maintain your app? App development costs reflect just that—creating the app. Once built, ongoing app maintenance costs and enhancements and optimization are almost always required. You’ll also need to market your app to your target audience on Google Play or the App Store and respond to user feedback. We encourage you to learn about mobile app marketing and user retention before you begin the development stage if you’re unfamiliar with these concepts. What do you need from your developer? An individual or small developer shop can do stellar coding work. However, outsourcing your project to a larger app development company may offer additional services you need to succeed. These development services range from UX design and specialized Java or other programming language skills to mobile app strategy, project management, and marketing expertise. A higher price tag might be more than worth it to gain assistance from an experienced app development team in areas critical to market success. Experienced developers are more efficient and can avoid problems upfront, which saves time and money in the long run. According to InspiringApps CEO, Brad Weber, “There is a significant difference—more than people imagine—in the quality, throughput, and efficiency of an experienced developer over somebody who is new. An experienced developer knows the problems to avoid upfront. It may feel like it‘s more expensive in the beginning, but if an experienced team or experienced developer is able to lead you down the right path so that you‘re not having to redo work—that’s something that, in my experience, really saves in the long run.” What does your developer need from you? AVAILABILITY. Availability is the most crucial factor in a successful client-developer relationship. If a client is available to discuss and work through their requirements, it helps the developers create a better product, faster. Both sides being very available for each other makes for a much better product in the end. COMMUNICATION. Transparent communication, collaboration, and support between both parties are also vital to the success of the project. It’s essential for a client to speak up if something doesn’t feel right. Waiting until the end to voice concerns often results in a subpar product. CLARITY & CONSISTENCY. It’s also important for the client to maintain a consistent vision throughout the project. Switching gears too often can hinder progress and lead to delays. Having clear requirements and spending time upfront to refine them can save time and resources in the long run.  What is your developer’s pricing strategy? A freelancer’s cost structure differs from that of a large mobile app development company. Common pricing structures include: Hourly Rates: With hourly pricing, the development agency charges a rate for each hour worked. The developer tracks the number of hours spent on your project. They estimate how many hours they believe the project will take in a proposal or statement of work. But they charge for every hour worked, whether that total time is below or above the approximation, in the final cost. Fixed Cost: In a fixed-price project, the developer will provide you with the project’s total cost and (hopefully) stick with that number. When work above and beyond the original scope is necessary, the developer should tell you how much extra work will cost before moving ahead. ONSHORE VS. OFFSHORE Many potential customers talk to offshore companies or developers to cut costs. However, using a less experienced team or one that faces logistical issues doesn’t always result in lower costs. In fact, there have been instances where we bid much lower than offshore companies because we build faster, even though our hourly rate may be higher. When people ask about rates, there are more things to consider than just the numbers. What is your budget? It’s easy to get sidetracked and lose focus on what you really want to achieve when building an app. Sometimes, you might end up focusing on minor details that don’t add much value or prioritizing the wrong things. To avoid this, it’s crucial to define a realistic budget. We work closely with our clients to help them come up with a budget that makes sense for their needs. We have several options that can help them meet their goals without compromising on quality.  While some software development companies offer app cost calculators, we believe that app development cost estimation is a complex process that requires a more personalized approach. By talking to our clients and understanding their needs, we can provide a more accurate projection of the app development cost. Can we use an iterative approach? When building a complex app with numerous features and intricate design, the cost can increase significantly. To mitigate this, it’s common to start with the core use cases and focus on solving the main issues first. This allows for early user feedback that can drive the app’s direction. Sometimes, the design team may want to build out every component, but it’s important to scale back and think about things in smaller chunks.  Agile methodology has been instrumental in moving away from waterfall development, where everything is designed upfront. Clients want to know the cost of their full vision, but an iterative approach allows us to build something early and incrementally, while still meeting their needs. Are any guarantees offered? You want to be able to plan your time and budget for the project’s length. Ensure the app development company provides a written app development cost estimate to agree on the expectations. It happens more often than you think—you’re midstream in the mobile app development process, and the project stalls. For that reason, we offer a specific guarantee: finish line, every time, and every project. Concluding Thoughts: The Cost To Develop Your App App development costs are a significant investment. But that investment is usually worth it. Millions of people use their mobile devices daily. There’s enormous potential for mobile app monetization (whether you’re using a freemium or app purchase model). In the case of enterprise apps, business productivity provides ROI. Eager for a quote? Book a free consultation.