How Much Does It Cost to Make an App?

How Much Does It Cost to Make an App? A Frequently Asked Question!

CodeBright has created more than 300 apps and established thought leadership in the platform. Throughout this journey, I’ve gained valuable insights into finding the ideal app developer at the right price. One thing you need to know is how much does it cost to make an app.

The main factor influencing the cost of building an app is labor. For instance, hiring offshore developers will be considerably cheaper than hiring domestic developers, and an established firm will cost more than a freelance hire. However, the initial price quoted doesn’t provide the complete picture. App development is complex, with numerous variables affecting the process. So, how much does it cost to make an app?

Given the many variables, the cost of a mobile app could range from $5,000 to $500,000. Typically, the price range falls between $100,000 and $300,000, with the entire development process taking 12-20 weeks. Building an app is indeed a substantial investment in terms of time and money. What determines where your app falls within this cost range? Read on to discover how much does it cost to make an app.

How Much Does It Cost to Make an App? Consider These Five Factors

Here are five key factors to consider when determining the appropriate mobile app development budget:

Your App Development Priorities: Quality, Cost, and Speed

It’s essential to be honest with yourself and your priorities. A golden rule of software development is the “good, fast, and cheap principle.” You can choose any two attributes for your project, but you can’t have all three. How much does it cost to make an app will depend on your chosen priorities.

Be wary of development firms that claim they can create a high-quality app quickly and inexpensively. You get what you pay for, and if it seems too good to be true, it probably is.

Assuming you want a quality app, you’ll need to choose between a larger budget with a shorter development timeline or a smaller budget with a longer timeline. I recommend a development timeframe of no more than 12 weeks. Keep in mind that you’ll also need time upfront for design and product definition. If you decide to use offshore resources to lower the price, expect an additional 6-12 weeks added to your development timeline.

In-house vs Offshore App Development

Hiring a developer means trusting their ability to execute well. They can only build a core competency in programming software if they have in-house resources. However, some firms may claim to have all their developers in-house when that’s not the case.

Ask who the specific team members would be on the project and request to see past apps they’ve worked on. You can also ask to speak with the resources to assess their communication skills.

While offshore development is significantly cheaper, hiring in-house engineers will greatly benefit your design phase. It also saves time and money down the road by incorporating technical knowledge into product planning.

Waterfall vs Agile Development Processes

Waterfall and agile development are the two most prominent methods for app development, and they differ significantly. Waterfall development relies on clear documentation upfront before development begins, while agile development involves minimal documentation and developers working in 1- or 2-week sprints, figuring out the code as they go.

Agile development can help you get to market faster, and “iterative development” is a hybrid approach. It includes some upfront documentation like wireframes and mockups for key screens and functionality, but leaves specific details and aspects to be determined during development.

Waterfall development provides less flexibility, but you know precisely what you’re getting and how much it will cost. Moreover, detailed record-keeping in a structured project makes it easier to refine the process in the future. However, it can be challenging to know every detail from the beginning, especially for larger or more complex projects, leading to longer timelines. In general, the industry is shifting toward agile development.

Agile development may initially be more expensive due to its lack of structure, but it offers greater flexibility to adjust the product and accommodate feedback and changes. With agile development, you can have incremental releases at the end of each development cycle, making it more likely that you’ll meet your launch date and reach the market faster.

Fixed-Fee vs. Time-and-Materials Costs

In a waterfall structure, you can often set up a fixed fee for the work. However, changes and additional work will incur extra charges. With agile or iterative structures, you’re billed for the amount of work effort performed. The firm will provide an estimate of the rates you’ll be billed.

While a fixed-fee structure may seem to limit your risk, exercise caution. The “locked-in” price can be misleading when considering the total cost, including future work orders and a longer time to market. Remember, the best developers typically prefer to work in agile, and the quality and caliber of developers working in a fixed-fee structure can sometimes be compromised.

Estimate Creation

The process of estimate creation can significantly impact the cost of your app. Consider the following questions: Who made the estimate? Do they have a thorough understanding of your project? Have you talked to them? Have they worked on similar apps or used similar technologies?

If the technologies are unfamiliar to them, they may misestimate the time or cost required. Investigate how actual costs have compared to initial estimates historically to avoid misestimations. To be safe, assume your developer will go 20% over budget, which is an unfortunate reality of the industry.

Paying close attention to these five factors will help you get a better idea of what your app development budget should look like. Assess all potential development partners based on these factors, and note that some may score better in certain areas than others.

Lastly, remember that the sticker price can be misleading, especially with cheaper, low-end development partners. The right app development partner may not be cheap, but the investment will be well worth the cost.

Conclusion

In summary, how much does it cost to make an app depends on various factors, including your priorities, choice of in-house or offshore developers, development processes, cost structures, and estimate creation. By considering these factors, you can determine the appropriate budget for your app development project and find a partner that meets your needs.

Ultimately, the cost of making an app is influenced by the specific requirements and features of your app. To get the best value for your investment, it’s essential to have a clear vision of your app’s objectives and target audience. By understanding your app’s purpose and the problems it aims to solve, you can prioritize features and functionalities accordingly. This will help you strike a balance between quality, cost, and speed, ensuring that your app delivers the desired user experience and meets your business goals.

When searching for the right app development partner, don’t just focus on the cost. Consider their expertise, portfolio, and track record of successful projects. Additionally, look for a development team that is willing to collaborate with you throughout the development process. A good development partner will listen to your ideas, provide valuable feedback, and help you refine your app concept.

It’s also crucial to establish a solid communication plan with your development partner. This includes setting expectations, defining milestones, and having regular check-ins to monitor progress. By maintaining open communication channels, you can address any issues or changes promptly and ensure that the project stays on track.

As you weigh your options, don’t forget to factor in post-launch costs. These may include app maintenance, updates, and marketing efforts to promote your app and attract users. Allocating resources for these post-launch activities will help you maximize your app’s potential and achieve long-term success.

In conclusion, determining how much does it cost to make an app requires careful consideration of several factors. By evaluating your priorities, understanding the development process, and partnering with the right development team, you can create a successful app that delivers value to your users and meets your business objectives.