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How Much Does It Cost to Make an App in 2020?

04.09.2020

#App Development
One of the top often-asked questions in an IT industry during the last decade is the following one: How will it cost me to develop an app? This question also has been remaining at the top among our customers for almost 16 years, which means since Magnise operation.

The relevance of the app development is certainly determined by the definition of a mobile application as a necessary element of business in almost all areas due to the very fast-growing world economy and of course, lovely by us computer technologies. And, as we are well aware of it, we always try to do the best for our clients to help with the solution.

We develop apps your business needs – to work with any operating system, on any device type. We develop user-centric apps to make your customer happy and your business successful.

We know that nowadays relatively low price and high quality are those that every startup or established business are looking for. So, we are ready to investigate the conformity of quality to the price and actually to define the price of development of much necessary application.

What factors affect the cost of app development?

The development price usually determines according to the following formula:

H * R = Price

H – The number of hours spent on development;
R – An hourly rate determined by the developer company (*which is normally stable during the whole development process).

Hence, it is important to understand that it is the price variation depends on the number of hours spent. That in turn depends on a number of key factors, the clarifying of which truly helps to determine the approximate cost of required app development. The before-mentioned factors directly related to the project’s complexity, and are defined primarily by:

  • The number of required features for an app, its functionality;
  • Back-end infrastructure and API and third-party service integration;
  • Determination of application type (native, mobile web, hybrid, etc);
  • The platforms’ quantity clarification (iOS, Android, web, etc);
  • Specification of UI/UX design (native or custom);
  • Defining app infrastructure services (including servers, domains, hosting);
  • App administration (complex web portals or CMS for app management);
  • Databases specification;
  • Post-delivery support;
  • Numerous other points that affect the final price of the wanted app building.

Get you rough app estimate for free

App development team

Defining and forming a team for a mobile application creation is primarily based on pre-established requirements and technical description of the application. The composition of the team certainly depends on the selected programming languages, frameworks, and all the other above-mentioned elements.

In addition, no less important factor in team formation is the deadlines for development, ie the approximate release date of the application. Due to that, the size and composition of the team may vary.

Typically, an app development team includes:

  • Business Analyst and a Solution Architect which are necessary and are strongly required at the pre-development stage of app making. As both of them will help you to convert your idea into the greatest tech solution; properly make it described without missing important details and meet your business expectation to the full;
  • UI/UX designer (could be on part-time working conditions);
  • Minimum one front-end developer;
  • One back-end developer *(min one full-stack developer which will change front-and back-end specialists);
  • Project manager (part-time is acceptable as well);
  • Quality assurance specialist.

In case of a very short deadline the required team might be expanded, usually by involving more front and back-end engineers.

Technical complexity

The previously mentioned factors that influence the price of the project are also determinants that define its complexity. Hence the effect of directly proportional dependence. Most importantly, these determinants are only part of all possible, because the number of features that might be added can be hardly accountable.

After all, even small details sometimes become viable for the aggregate product.

For example, we have made a portal for a cold-chain logistics company. It has both web and mobile-based applications. This logistic solution is for cold chain distribution services and the requested platform looks after every stage of the cold chain process from the manufacturer to all sequences of temperature-controlled environments. Intelligent software identifies spare storage in the warehouses of different countries, transport, and VAS capacity in a constantly fluctuating global logistics network.

Everything seems clear and simple, but think a bit about the scale of it. Seems to be considerable, right? Summarizing, more feature-more hours should be spent- higher price.

Backend development

When developing mobile applications, the back-end part acts as a configurable component that enables the exchange of data between the application and the database via API keys, in addition, this operating system, thanks to the admin panel permits you to evaluate some essential components, namely: application performance and users’ activity tracking. The built-in tool allows us to convert this data into a statistical form. Besides, working with the back-end provides the functioning of a number of other significant components. That is why, depending on the quantity of required elements and parameters, the price varies.

Third-party integrations existing

If you are planning third-party integration, it is best to notify in advance. After all, not only our experience shows its difficulty that covert into excess time spending hence the increasing cost of the whole development. That exists particularly when it comes to niche third-party integrations, the implementation of which demands complex documentation.

Nevertheless, we understand the significance of making them and we are always ready to go through the difficulties to accomplish the desired.

Hardware elements & In-app purchases

While planning to use such hardware elements as IoT or ELD devices or to have different payment options for in-app purchases via various channels, please include these costs to the final price as well.

As extra expenditures for IoT or ELD devices usage can be buying or renting them. If speaking about in-app purchases, then supplementary costs will be spent as a fee of the used payment services.

Take a look: Magnise customer’s reliable feedbacks on Clutch platform!

Design

Design creation is no less complex than the development process, primarily when it comes to the user interface.

In general, the complexity of the design solution is defined directly by the complication of the overall tasks.

Collection and constant coordination of details until the design of the final touches is an integral characteristic during the design phase of the application development.

Ongoing support& Maintenance expenses

The last thing to remember is how much expenses you need to support an app. It’s a commonplace practice to allocate from 15% to 20% of the initial app development value on maintenance each year. Maintenance costs for software typically include bug fixing, getting ready for a new OS update, adding features, and so on. It also depends on what number of features you want to add every year and how complex they are.

App maintenance is a must-have service even though you have no plans to scale up and add new functionality to your program. These expenses can increase over time because the software program turns into more complex.

Maintenance shall contain the following:

  • Continuous bug fixing
  • Improving stability and performance
  • Code optimization
  • Adding support for latest OS versions
  • Developing new features
  • Supporting the latest versions of third-party services

That’s why the cooperation with your tech partner or development team doesn’t stop right after the product readiness. It’s a continuous process, and every software development company has its terms of post-release support.

What hourly rate might be charged to develop an app?

Due to the fact that Ukraine rank as the number one IT service exporter country and is the widely known as the greatest and fast-growing IT providers’ region with around 200,000 developers working in 4000 officially operating IT companies, with the average hourly rate of 35 USD – Cooperation with one of the software development company is the necessity if you want to come up with a great quality product, in addition to an affordable price. Another one guarantee of that fact is the following hourly rate rating around the globe.

  •       France: $82
  •       United Kingdom: $71
  •       Sweden: $67
  •       Netherlands: $60
  •       California: $57.07
  •       Germany: $56
  •       Poland: $40
  •       Hungary: $39

Magnise middle hourly rate is 33 USD.

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Finally, how much will it cost me to build an app?

We need to understand that almost all mobile apps for iOS and Android are different. Not only in the operating system that it is developed for but also in the time needed to implement specific app features. Let’s take a look at the classification based on time costs.

A basic iOS or Android app with simple functionality requires from 300 to 600 hundred hours on development.

A medium app with more advanced functionality requires approximately from 600 to 1000 hours.

A large application with unique complex functionality can exceed 1000 hours on development.

How do we estimate your request for application development?

In order to assess the cost of development, we encourage our customers to discuss the principal idea of ​​the project, its central objectives; the target audience; the fundamental requirements, and essential details of the project during the live call mode with our manager.

Significant support at this stage would be obtained by receiving the abovementioned information in a writing form. Getting WhitePaper will be very valuable for us.

After collecting and discussing the basic data and understanding of the project, our Business Analyst will produce a list of questions that will help us to understand and highlight all possible details of the app creation, ie the desired functionality and app features.

Based on the answers, we will provide an approximate estimate plus the recommended solution, which in our opinion will best aid to perform all business goals you want to achieve with this software product for Free.

After the proposal discussion and receiving the confirmation about further cooperation, we will be happy to involve our System Architect for more in-depth research and your request investigation to gain the most precise development cost.

The involvement of the System Architect will allow forming the comprehensive technical project’s description which will contain the determination of the requested software system structure; key functional requirements; description of possible features added in the future; description of the foremost ways to ensure safety, maintainability, interoperability, and performance.

In addition, the produced document will comprise a representation of key tasks for each development stage for each team member with the time consumption for tasks’ accomplishment.

Based on that, our manager will provide you a formed estimate with precisely defined hours duration and stable hourly rates for each member of the team.

We are for clarity, certainty, and transparency, so we always try to determine the possible final price as clearly as possible, taking into account potential changes, that believe me will definitely appear 🙂

After the presentation of the above document, its investigation, and the coordination of probable subtleties about all development stages, we are READY to CREATE!

Want to know how much it will cost to build your application?
Contact our team and we will estimate your app development cost.

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Remember: We are a full-cycle development company, so the app’s cost includes each service associated with product development and its managing!

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