Outsourcing App Development Cost: Creating Software with an External Team

Surely, you have heard "you get what you pay for" cliché. As the world becomes increasingly dependent on mobile devices, companies quickly seized the opportunity to move customer contact to the mobile area. Companies that do not have the financial capacity to invest in the development of internal applications, choose outsourcing, which is usually outsourced with foreign app design firms.

Offshore Outsourcing Software

This may seem like a good choice at first, but in the long run, this decision can turn into a big problem. The cost of outsourced app development can range from $ 3,000 to $ 300,000, which is very broad in a range that will not help in calculating future budgets for applications. All developers charge their debuggers. We'll tell you about the risk of offshore outsourcing for app development so you understand the potential problems - after all, the early warning is a precursor.

Risk of outsourcing app development

First, when you provide foreign residents to participate in determining your company's future key solutions, you will face the risk of facing cultural barriers. Outsourcing software to foreign software development agencies means that cultural and technical visions of aesthetics may differ, and as software development is outsourced primarily to third-world countries, standards used by foreign developers may not be compatible modernized countries. Another problem is that they may need more time to understand the details of your outsourcing project, which can lead to less time and cost efficiency.


Communication problem

The division of language is a major disadvantage. It is really difficult to convey all your ideas to a person who can not speak your language completely, which can lead to miscommunication. In addition, you can route the outsourcing project thousands of miles away and sit in front of the computer's camera, which can be accompanied by poor connectivity to the Internet and poor communication quality. And you now, no doubt, app development is a complex process where participants share their complex ideas and use well-designed IT terminology.


What is the rate of the developer?

But back to the topic, many companies choose outsourcing is the main reason of the cost. Yes, a foreign third-party outsourcing company can charge an attractive revenue of $ 15 for an hour, but will the investment itself be paid for a long period of time? An outsourced software developer experienced at $ 115 per hour can provide more valuable value than thirty junior developers working overseas. Even if you have signed an open agreement, you will also disclose precautions such as valuable information about your business and court settings.


Security risks

Security issues and data leaks are also common partners in overseas development. Statistics show that outsourcing design experiences data leakage and loss of corporate intellectual property than in domestic or domestic applications to build businesses more than 30%. Even if you have signed an open agreement, you will also disclose precautions such as valuable information about your business and court settings.

Alarm signal to watch out

It is absolutely understandable that even knowing the possible risks, sometimes outsourcing is the only option. If you decide to hire a foreign app developer to create your business app, select the alert signal when selecting an agency from the list below:

  • Very low cost

    The price of tires for developers who spend $ 75 per hour is the average cost of low cost. If you buy a developer from $ 5 to 5 per hour for software design services, you should pay attention in advance that the quality of the product may be low.

  • Insufficient contact information

    Contact the developer for contact information. Overseas development agencies often purchase regional codes in the UK or US or use temporary addresses to contact domestic customers. Modern technology makes these things easier to implement, and some companies and freelancers will use it as a positive strategy to increase sales. Such developers typically remove these contacts after the product has been delivered to prevent new communications when the app has a problem. To save yourself against the problem, thoroughly investigate the recruiters and check the local or office numbers you provided for you.

  • Unsafe electronic transfer

    The telegraphic transfer is not as safe as the credit card transfer. When the developer requests bank transfer instead of a credit card, please on the clock. Reputable digital agencies will accept secure payments and minimize opportunities for fraud and legal issues.


How effectivelly plan development costs

A trusted developer will always help you find ways to reduce costs without affecting quality. In software development, a project's budget depends primarily on the type of app the client wants to create. For example, the cost of a simple corporate system is much less than a complex solution with many integrated features and complicated design-options. Human resources are another important factor in determining project budgets. When you hire a freelancer to work alone on your app, you need to provide from your side the ready designs, and to implement overall management and code review. And the total costs will be lower if you work with the team of designers, programmers, managers, testers, etc.

Calculation of the average price

Keep in mind that in addition to the hardware required for the development process, you also need to pay for hosting and domain names. Many digital companies also charge developer fees, all of which can be repeated once a month. The price of app development can range from $ 25 to $ 250 per hour from one developer to another. The price may also vary according to the complexity of the app. Whether the app is feature rich or requires many integrated services, real-time app payments, developers can spend more money. The cost of building a simple program can range from $ 5,000 to $ 50,000. At the same time, the cost of developing complex solutions can reach $ 100 million. Of course, there are reasons to drive cost increases, such as regularly updating software, supporting user issues, tracking customer ratings, and so on.

Cost evaluation

If you know exactly which features you want the program to have and explicitly disclose those requirements to the developer, you can reduce the cost. On the contrary, if you do not have a clear picture of a future app, you can increase the cost. It's a good practice to create a functional map that you want and develop a comprehensive mobile strategy before you actually do it. Negotiate costs with developers and ask them to provide you with cost estimates. After all, you want your investment to be rewarding in the long run.

Internal app development

Some companies like to build smartphone applications internally because they think it's cheaper, faster, more manageable, easier and more effective. Do you want to create software internally? So you should be aware of the top three challenges your company often likes to develop applications:

  • Employee Experience Problems. According to recent research, even if there are ten experienced team developers, according to recent research, more than 90% of companies lack the skills needed to complete the internal team of the project.
  • Internal development costs are smaller and longer. Key members of the development team include a designer, some developers, a project manager, and a quality assurance manager who may take several weeks to find the person with the right skills to hire them.
  • Internal design applications involve a lot of risk. If you are unfamiliar with software development, your digital specialist may not have a high level of expertise. Scalability and accountability can also cause problems because you will not have enough employees if the project expands or causes problems with the control process.

Development with Professionals

Our highly motivated programmers, designers and managers are happy to help you develop the perfect solution for your business by bringing value and generating sales. You just need to share your thoughts with us and we'll take care of the planning, coding, design, deployment and maintenance of your product. Our specially trained specialists will research your business to determine your weaknesses and strengths to optimize your workflow and increase productivity. If you think you have some ideas or questions about app development, drop us a line immediately. We are glad to hear from you.