Ever heard about “There’s an App for That”? As predicted by Statista mobile app industry annual revenue is projected to exceed $189 billion by 2020. To Build an application major question is that, what does the app development cost? Here are the facts and figures we have come through…
The mobile apps have dominated the internet market completely. Nowadays, if a business doesn’t have an app, it may as well be losing significant traffic. An app is a much better alternative to the mobile website to grab the attention of the existing and potential customers.
As the app market grows, so does the demand for good app developers. This is the reason why app development companies are becoming so popular these days. One of the most crucial factors that affect the development of an app is the cost.
So, how much does it cost to make a mobile app? What will be the average cost for app development? This is a complex question and the answer is even more complex.
The development cost of an app depends on a number of factors, such as the features of the app, graphics, complexity, number of hours, the price of developer or development company, the method of development, and the development framework (Android, iOS, etc.).
Check out what should be important hire mobile app developer or learn code?
In this article, we will discuss these things in detail along with the estimated cost of app development in 2017 and coming years.
Fact & Figures on App Development Cost
Let’s take a look at some amazing figures and facts about app development cost in recent years.
App Development Cost Analysis of the top apps
The following are the top 10 apps in the world according to the number of downloads.
2. Messenger by Facebook
The list might look somewhat different depending on the location of the search. The reason why we are talking about this list is that most of the new applications are inspired by the features available in these top apps, like chatbot, video calling, GPS and geotagging, social sign-in, etc.
Also, these top apps have almost everything we can expect in our own app and so, it may give you a good idea of how much will it cost to create your own app.
The actual cost of development of these apps is not known so we will work on estimated numbers here. Let’s see how much will it cost if we decide to clone these top apps.
Don’t forget to check out latest mobile application development trends of 2017.
The mobile app development cost mainly depends on the development time (which in turn depends on the complexity and features of the app) and hourly rate. The average hourly rate of app developers and development companies ranges from $10 to $150 depending on the location.
The statistics given here have been collected from various reputed sources like djangostar, CodementorX, TheAppSolutions and many others around the internet.
Note: These data are for global level; the cost may significantly increase or decrease depending on the location. For example, the cost of an average app developer in India is about 10 times lower than that of a developer in the U.S.
If we try to build a clone of this popular instant messaging app, it would roughly take about 1,100-1,500 hours to develop the features, design, and application, and the cost of development would be between $1,50,000 and $2,50,000.
How much does it cost to build WhatsApp–
The development time of Facebook would be around 3,000 hours since it is a complex app with too many features. It will cost you around $4,50,000 to develop a Facebook-like app.
How much does it cost to make an app like Facebook?
The complexity of the app will definitely add to its development time, which should be close to 1000 hours, and the development cost should be around $1,50,000.
How much does it cost to make an app like Instagram?
Uber has a different kind of complexity in the form of double interfaces: one for the passengers and one for the drivers. So, it will require separate development time for the two, which would be over 1,100 hours in total, so the development cost should be around $1,60,000. get taxi application like Uber today.
Cost To Develop An App Like Uber
For Uber Driver App-
So, now you have an idea of how much your app will cost if it has the features similar to the top apps mentioned above.
Now, the real question is how much will it cost to get a mobile app developed now, from scratch. Take a look at the stats below to get a better idea.
Custom Mobile App Development Cost – Figures
The surveys conducted by various companies show that the price of developing a business mobile app is usually between $1,00,000 to $5,00,000.
VDC survey – the average cost of the mobile app is $1,40,000.
Kinvey app cost survey – CIOs of major companies suggest an average cost of $270,000 per app.
According to major app cost calculators, the average cost of a feature-rich app is between $267,000 and $360,000.
Clutch survey – The average cost of app development companies is $171,450 per app.
EMM survey – The mobile app budget of 75% enterprises is around $2,50,000 and for the rest 25%, it is over $1.5 million.
The cost data by some of the famous app development cost calculators like Otreva, Imason, etc. is shown below. These calculators analyze and show the cost of development based on the features, complexity and company cost.
- Otreva Calculator – the development cost is around $3,60,000 for an Android or iOS mobile app with basic features.
- Tusnua Designs calculator – €215,000
- imason calculator – $267,000
- Kinvey calculator – $321,000
In addition to the development cost, one should also consider the other costs after app development, such as app deployment cost, app maintenance and updating cost, marketing cost, etc. In some cases, the after-cost may go higher than the actual development cost of the application.
Factors affecting the Cost of Mobile App Development
Now that you have an idea of how much it costs to create an app, let’s try understanding the things that affect this figure.
Complexity and Features of the App
The more complex an app, the higher it’s development cost. The apps without web servers or remote server feature are likely to cost less as compared to the ones with web servers. Apps like calendar, notes, planner, email, etc. fall into this category. The development of such apps will cost you around $1,000- $4,000, again depending on the location and features. The apps having features like remote web servers usually cost more, somewhere between $8,000 and $50,000.
The development of gaming apps may cost anywhere between $1,000 to $3,00,000 or even more, depending on the complexity of the app. For example, the racing games cost more than the card games.
Some other features like hardware components such as GPS, Bluetooth, etc., admin dashboard, rich graphics, third-party integrations, chatbot etc. will further increase the technical complexity of the app, resulting in an increase in the price.
The human resource is another important and the costliest part of the app development process. You have three basic options here, hire an in-house developer, outsource to a development agency, or hire a freelance app developer. All the three options have their pros and cons.
If you are planning to hire an in-house app developer, know that this may be a very time-consuming and even expensive process. You may need to build a team of developers and designers if you are creating a complex app. Also, there is no guarantee that the team or the person you hire will actually prove useful.
Another more suitable option is to hire a reputed app development agency. You can hire a small or big development company depending on your budget and requirements. With a company, you get access to a team of developers, designers, managers and what not. So, you need not hire each team member separately. Also, you get developers with much more experience than any irregular app developer. The only downside is the cost, which is probably the highest amongst the available options.
Whats best freelancers or app development company?
The most cost-effective app development option is to hire a freelance developer. The websites like Up work, freelancer.com etc can help you with that. The freelancer app developers are highly affordable, and if you are fortunate enough, you might even find someone with great experience and knowledge in app development. However, this option also has its cons, such as unqualified or fake freelancers, difficult and time-consuming process, lack of management, middle-man scenario and more.
The average app development cost depending on the human resource (developer/company).
- Big app companies – between $500,000 to $1,000,000
- Agencies – $150,000 to $450,000
- Smaller app development firms – $50,000 to $100,000
- Freelance developers – $5,000 to $50,000
The cost of app developers, especially freelancers will be affected greatly by their location, as you can find cheaper developers in many countries.
The development environment, like Android or iOS, also affects the cost of development of an app. The Android apps usually cost more than the iOS versions of the mobile apps, mainly due to increased design and development cost because of the wider variety of Android screen sizes and devices.
However, the average hourly rate of development is almost same for iOS and Android apps. It’s just that the development of the Android version of an app usually takes 2-3 times longer than the iOS version.
By now, you must have understood that it is not literally possible to figure out the exact cost of an app before its development. There are usually too many factors to consider and different kinds of apps. The best thing is to find and consult with a reliable app development company. You can shop around until you find the perfect app developer or company that fits your budget. Good luck!