With 7.9 billion smartphone users, mobile applications have greatly transformed the technology. Business are relying on developing an app to engage with their customers

However, the high price tag of mobile apps is the hindrance for many SMEs. 

According to clutch, highly complex apps cost around $500,000 whereas the average mobile ranges up to $37,000 to $171,000.

But what are the factors that affect the cost of mobile app development? Does the selection of platforms affect the overall cost? Or is it influenced as a result of developer location? These questions are essential for understanding the economic dimensions of mobile app development.

So, before selecting your mobile app, step with me into this article to understand the factors that affect its cost.

1. Factors Affecting the Cost of Mobile App Development 

Launching a mobile app is an investment similar to that of starting a new company. Both are conditional on various variables. So, the following are some of the contributors to the cost of mobile app development:

1.1. App Features and Functionality

Application features and functionality play a vital role in the cost of development of an app. Applications with advanced features, such as complex algorithms, advanced APIs, etc., demand additional cost and time. 

Therefore, before stepping into the development process, it is vital to shortlist the essential features of the app. Remember that, the fewer and more necessary features the app contains, the lesser the cost will be, and vice versa.

1.2. Mobile Platform Choice

The user can develop the application across three different platforms: Android, iOS, and cross-platform. However, building the app solely for Android or iOS demands more cost than that of creating a cross-platform app. 

1.3. UI/ UX

Other factors that significantly impact cost of mobile app development include app design and user experience. A well-designed user interface (UI) with fluid animations and effects takes a lot of time and effort to create. Similarly, apps that rely on common UI elements for making changes rather than native controls require more advanced programming, thus impacting the cost.

1.4. Integration of Backend Services

Databases, APIs, verification mechanisms, and cloud storage also increase app development costs. These costs will vary depending on factors like integration complexity and the requirement for custom backend development.

1.5. Third-Party Integration

Integration of third-party services and external APIs to provide user functionality also affects cost of mobile app development. Expect expenses to exceed the budget if your mobile app heavily utilizes premium APIs or third-party service providers.

1.6. App Security

Ensuring security is an essential component of any eCommerce or enterprise software. Therefore, add in the cost of security when you calculate the total cost of designing a mobile app.

Remember that your app stores employee credentials, client information, transaction records, and payment details. So, most users look for applications that provide them with extreme security levels. You can achieve it by using robust security measures, but make sure that they demand extra cost.

1.7. Database and CMS

Can we expect user-generated content like photos, videos, reviews, and comments in your app? Will you be the one to make changes and add data to the app? You’ll need a CMS to handle app content and a database to store user-generated assets. Both of these things have the potential to raise the price of your app’s development significantly.

1.8. Maintenance of Application

Launching on the Google Play Store or Apple app store is simply one of several variables that raise cost of mobile app development. Your app, once released to the market, requires ongoing maintenance and updates.

Businesses must update features and app integrations in response to client demands. In addition, you’ll need the ongoing assistance of a professional development team to keep your app running smoothly. After that, the cost of creating a mobile app rises.

1.9. Choice of an App development company

Your choice of app development business is another component that impacts your app’s development cost. Reputable app development companies expedite the development process while providing top-notch services. Although it will increase the development cost, the standard of service they provide would be outstanding.

1.10. Project Management and Documentation

The key to a successful app development project is good project management, clear communication, and thorough documentation. However, documentation, communication tools, and project management software increase  overall costs.

1.11. Location 

Location of the development team is one thing that can have a big effect on the cost of mobile app development. A Clutch poll found that app development costs $70–$130 per hour in the US and $30–$50 in Ukraine and Poland. So, to give you a complete idea, here is the estimated market rate breakdown 

Location	Per-Hour Rate
US	$75 to $150
Western Europe	$60 to $200
Eastern Europe	$20 to $65
South America	$30 to $60
North America	$100 to $200
Latin America	$30 to $50
Australia	$100 to $150
Asia	$25 to $50

This location can affect the cost in the following ways:

• Cost of Labor: Labor costs range from country to country and area to region. Developers in the US and Australia earn more per hour than those in India and the Philippines.
• Infrastructure cost: Office space, power, and internet access are all examples of infrastructure costs. In some nations, they are high, and in others, they are low. Other countries may have cheaper utility and office space than Tokyo, San Francisco, and New York.

1.12. Marketing and Promotion

Marketing and promotion are essential to the launch of a successful app. Allotting funds for promotional efforts, app store optimization, and marketing techniques affect the total cost. Therefore, create a solid market plan for application before launching it. Because each step from development to promotion demands the cost. 

1.13. Application Testing and Quality Assurance

Finding and fixing problems requires thorough testing. A seamless user experience is a result of quality assurance (QA) procedures that test across different platforms and devices. Preventing post-launch problems and possibly higher costs requires allocating sufficient resources to testing.

1.14. Experience of  Development Team

The development team’s level of experience and skill has a direct impact on the overall cost. Skilled developers may have a more significant price tag, but they’re able to get the job done faster and better and vice versa.

Find out more about How Much Does It Cost To Develop An App in 2024

2. Ways to Reduce Cost of Mobile Application Development

In the app development process, many companies aim to reduce costs without sacrificing quality. Developing an app doesn’t have to break the bank if you follow these pointers.

2.1. Defined Project Goals

Set clear goals for the project’s features, functions, and scale right from the start. Changing needs during development can affect time and resources. So, have a clear development plan right from the beginning. 

2.2. Make Features a Priority

Prioritize the features that are necessary for the first release. Later updates can always include more functionality. This technique is useful for saving time and money during the early stages of development.

2.3. Pick the Appropriate Method for Development

Think about using a cross-platform or hybrid framework, depending on your requirements. These methods make it possible to reuse code across many platforms, which could save on development expenses and time.

2.4. Outsourcing

Think about outsourcing development employment to a place where the cost of development is cheaper. Development agencies from these areas are able to provide affordable rates without sacrificing quality.

2.5. Free and Open Source Software

Making use of open-source frameworks and technologies help you reduce your expenses. You can find affordable solutions with open-source products that have a strong community behind them.

2.6. Developing a Prototype and an MVP

To gauge consumer interest, begin with an MVP. By taking this route, you may get people’s opinions, check your ideas, and save money on features that might not be necessary.

2.7. Principles of Agile Software Development

Encourage teamwork, changes, and quick thinking by adopting an agile development approach. Better cost management and more streamlined development procedures brings possible outcomes.

2.8. Ongoing Evaluation

To find and fix problems early on, implement continuous testing throughout the development process. As a result, development goes more smoothly, and expensive rework is less likely to occur.

2.9. Planning for App Maintenance

Consider the expense of regular maintenance right from the start. Remember, updating and correcting issues regularly requires a proper maintenance plan.  

Conclusion 

So, in a nutshell, the cost of mobile app development entirely depend on the understanding. Developers who start without an objective or budget will suffer the price. 

Therefore, Outsourcing is the best option that  helps you produce a user-friendly app without breaking the bank. It not only helps you in getting your project on time but also proves to be friendly to your budget. Therefore, consider Onyxtec as your outsource partner. 

We are the world’s fastest-growing mobile app development business. We work with startups as well as small and medium-sized companies. Our clients make the most of our affordable costs for excellent services.

We consult with clients to understand business goals and create scalable, reliable, and affordable mobile solutions.

Reach out to us for all your mobile project information for app development. 

FAQ

a. Can I build an application for free? 

Yes, you can build your application for free through Google App Sheets. This platform helps you to create code using AI. It allows you to create custom code without writing any single code of your own. 

b. Do small applications make money?

Yes, the simplest app can earn money but  with the right money making scheme.

c. Do applications charge a monthly fee? 

Most apps offer annual or bi-annual subscriptions for less each month. Lifetime subscriptions are also available for some apps, and they cost about twice as much as a yearly subscription.