An Ultimate Guide To Mobile App Development Cost Mobile App Development

Wondering how much it takes to build an app? Developing an app is an exciting yet crucial endeavor in today’s business world. How much money it takes to make an app is one of the most frequently asked questions and one of the top discussion points in boardrooms.
According to a recent study, the second quarter of 2022 witnessed Android users choosing apps, accounting for over 3.5 million, making Google Play the biggest platform for application availability. At the same time, Apple App Store positioned itself as the second-largest app store, with over 2 million available apps for iOS. These figures portray the dominance of apps in the global Digital World and promise steady growth future in the near times.
How Much Does It Cost to Develop an App?
With such growth, and increasing popularity of apps, across geographies, every business leader, irrespective of size and scale, is looking to develop an app for their business and leapfrog today’s digital transformation era. When building an app, a leader’s first search on the internet is precisely the cost of making an app. However, when it comes to investment in making an app, leaders often need help with the complexity of products and the density of their features.
Let’s make it a bit simpler and learn about various factors and processes of considerations that directly impact the cost of creating an app. Although several options exist for building an app, the most reliable one is to connect with an experienced developer.
Well-known platforms like Clutch and Good firms have reported that the average cost involved in building an app is between $ 5,000 and $ 500,000, depending on the functionality and features of the overall product and its developmental cycle.
In his recent Interview at the NASSCOM Technology Event, Sid Pandey, Founder and CEO of Successive Digital, said, “One of the major cost drivers for estimating the cost of an app is its features. How an app performs, how many clicks and buttons it has, various fields, and screen accumulates close to 60% – 70% of the app cost”.
Globally, the revenue of the app development market is projected to reach over $ 430 Billion by the end of 2022, targeting an annual CAGR of 9% from ( 2022 – 2026 ). As per a recent study, this popularity of the app development market is due to the increasing interest of business leaders in shifting from traditional mobile apps to much smarter and hyper-customized apps, thereby swelling the value and volume of this market.
Games apps have been the forerunner for many years and continue to do so for a longer future due to their higher demand in the western region and the multiple features developers put in to make applications more attractive and widely accepted by the young generation. However, the market is expected to see a rise in social networking and eCommerce apps due to a sudden shift in consumers building up socially connected communities for personal and professional lifestyles among a larger crowd.
How to Calculate the App Development Cost?
Wondering how an app development cost is calculated. Let us make it simple.
The answer to this question is relatively straightforward yet complex to understand. The cost of building an app depends on the number of hours a developer takes to complete every element of the app developmental cycle, adding to the developer’s cost as a resource.
Not all applications are the same, and they require different modules and functionalities to calculate the cost of elements developed for that app. Additionally, the inequality of apps depends not only on the platform for which it is created but also on the complexities in instrumenting certain features.
To help better understand the average app development cost, consider the cost table containing the type of app, its overall development time, and the associated cost.
For Android
Types of Applications | Development Time | Cost of App Development |
Simple | 3 to 5 months | $15,000 to $40,000 |
Medium | 6 to 10 months | $30,000 to $50,000 |
Complex | 10+ months | $60,000 to $1,20,000 |
For iOS
Types of Applications | Development Time | Cost of App Development |
Simple | 3 to 5 months | $10,000 to $15,000 |
Medium | 6 to 8 months | $20,000 to $40,000 |
Complex | 8 + months | $50,000 to $1,00,000 |
The region where the developer operates is also one of the critical factors for estimating the cost of app development. For instance, the average price of a developer in the U.S. is 4X more expensive than the cost of development in India.
North America is expected to be one of the most expensive regions for app development and holds one of the largest shares in this space. However, developers in Asia-Pacific, including India and China, have satisfactory billing without compromising the quality and final product value.
Region | iOS($/Hour) | Android($/Hour) |
North America | 150 | 150 |
Australia | 92 | 92 |
UK | 71 | 71 |
South America | 43 | 37 |
Central Europe | 40 | 40 |
India | 25 | 26 |
Indonesia | 35 | 35 |
Factors Influential for Affecting the Cost of Building an App
- Features & Complexities
- Category of App
- UI/ UX and Functionalities
- Number of Platforms
- Team Location and Structure
- Maintenance & Support
Features & Complexities That Determine the Cost of Mobile App Development
The question is, how much does it cost to make an app? It is driven by functionality and the number of complexities implemented to build an app. Let us understand in detail and look at the average development time and cost involved in making basic and complex features of an app.
Discover what other significant features like APIs, advanced technologies, and accessibilities put an extra burden on the cost of an app.
Breakdown by Basic Features
Features | Description | Average Time | Average Cost |
User Login |
|
30-40 Hours | $500 – $1,500 |
Profile Set-up |
|
20 – 30 Hours | $800 – $1,200 |
Data Upload |
|
20 – 30 Hours | $800 – $1,200 |
Message/ Notification |
|
30-40 Hours | $3,000 – $5,000 |
Payment System |
|
25 – 45 Hours | $900 – $1,500 |
Admin Management |
|
60 – 80 Hours | $2,400 – $3,800 |
Breakdown by Complex Features
Features | Description | Average Time | Average Cost |
Maps/ Location |
|
70-90 Hours | $3,000 – $4,500 |
Payment Management |
|
60 – 80 Hours | $2,400 – $3,000 |
Calls/ Communication |
|
250 – 400 Hours | $12,000 – $15,000 |
App Development Cost For Different App Category
Now to make it simpler to calculate the cost of building an app, let’s break down the application by type. The cost of app development largely depends on the category to category. For instance, shifting from a basic standalone app to a social networking app will alter the cost of making an app due to changes in functionalities, the time to build an app, and much more.
-
Basic/ Native
Essential apps are calculators, utilities, and miniature games that do not require a network to operate or run any feature. The development usually takes 400 – 600 hours and is one of the cheapest app categories. The cost is around $5,000 – $12,000
Examples: Compass and Notes
-
Data Driven
These apps receive a lot of information and exchange data over a network. Such apps include maps and weather forecasts. Such apps are gradually losing their market as they are now coupled up as a by-product of the comprehensive applications in intelligent devices. The cost is around $10,000 – $15,000
Examples: Calendar and QR Scanner
-
Social Networking
One of the most prominent apps of the era, social networking apps like Facebook, Instagram, and others usually handle millions of conversations and loads of data at one time. These apps require a robust back-end infrastructure, complex functionalities like media management, and real-time data sync.
These apps require more significant investment and come with in-app purchase features. The cost is around $50,000 – $300,000 and more.
Examples: LinkedIn and WhatsApp
-
eCommerce/ Marketplace
These types of apps are trendy and needed in the digital world in current times. Applications like Amazon and MakeMyTrip extend a massive list of features to connect the vendor with the end user and extend unparalleled customer experience by serving their immediate needs on finding a product online or booking a hotel by comparing prices online. The cost is around $62,000 – $400,000 and more.
Examples: eBay and Alibaba
-
As-a-Service/ On-Demand
These types of apps serve three users, the person who needs the service, the person who deliver the service, and the businessman in the middle. The UI and Flow of such apps are very different from all other apps. Apps like Uber cater to the immediate need of a user to book a cab and commute from one place to another.
On-demand apps require significant funding and multiple stakeholders to handle complex back-end operations and front-end services. The cost is around $80,000 – $200,000 and more.
Examples: Zomato and Airbnb
Also Read: The Ultimate Guide to iOS App Development
Popular Apps and Their Cost Estimation
One of the most widely used instant messaging apps, with a fast, simple, and internationally available phone and video calling platform.
The cost of developing a WhatsApp like app ranges from $40,000 – $90,000+ depending on the complexities of the app, its features, and its functionalities.
Uber
One of the popular ride-sharing apps connects drivers and riders to each other. The module has a passenger app, a driver app, an admin control panel, and data analytics.
The cost of developing an Uber-like app ranges from $30,000 – $80,000+ depending on the complexities of the app, its features, and its functionalities.
Tinder
An online dating and geosocial app for networking that creates a user profile and allows them to match profiles of similar interest over the internet.
The cost of developing a Tinder-like app ranges from $35,000 – $90,000+ depending on the complexities of the app, its features, and its functionalities.
Netflix
One of the leading subscription-based media streaming applications allows subscribers to watch TV shows and movies on an internet-connected device at their convenience.
The cost of developing a Netflix-like app ranges from $40,000 – $150,000+ depending on the complexities of the app, its features, and its functionalities.
Udemy
A popular e-learning app that allows learners to access thousands of courses and skills online connects faculties and students with each other via video and also provides distance-learning courses.
The cost of developing a Netflix like app ranges from $35,000 – $1,20,000+, depending on the complexities of the app, its features, and its functionalities.
Estimating the Cost of Mobile App Design
An essential factor in estimating the overall cost of an app development is its design. A great app demands a great design that entices users with its first-hand experience. Most app developers have two options for an app design: the Standard UI and The Hyper Customized UI.
Customized UI is one of the trending demands from customers. However, it comes with cost and time to build up.
Mobile App Development Cost Based on App Types
Most leaders often think of which platform to choose while developing an app. However, this decision depends on the platform’s price, the market share, the number of users, and the prevalence of the app on an individual platform. iOS and Android (Native Platforms) take over the entire internet, with millions of apps running on both platforms.
Native Apps (Android & iOS) – With no cost difference, this category is one of the most preferred with not much discrepancy in cost of creating an app for Android and iOS.
Technology Used: Coded in a variety of programming languages, including Java, Kotlin, Python, Swift, Objective-C, C++, and React.
Average cost: $40,000 – $100,000 +
Web Apps – This category behaves similarly to native apps but is accessible via an internet browser on intelligent devices. Such apps are responsive web applications that usually adapt to the interface they are running on.
Technology Used: Coded in HTML5, CSS, JavaScript, Ruby, and similar programming languages used for web work.
Average cost: $12,000 – $55,000 +
Also Related: Mobile App vs Web App: Which Is Better for Your Business?
Hybrid Apps – Such apps have the look and feel of a native one but might have a responsive design, better performance, and functioning that can be done offline. In simple words, web apps are made to look native.
Technology Used: A mix of web technologies and native APIs developed on Ionic, Objective C, Swift, HTML5, and others.
Average cost: $10,000 – $140,000 +
How Much Does It Cost to Maintain and Support an App?
The app development cycle is undeniably an ongoing process and continues after the release of its first version. Redevelopment, bug fixes, and design changes are an inevitable part of the entire lifecycle of an app building process.
App maintenance charges are generally calculated annually at the valuation of 15% – 25% of the entire app development cost, depending on the SLAs and frequency of version release.
In-House or outsourcing, which is Best?
One of the crucial elements to consider while making pricing strategy for your mobile app is choosing an in-house/ local or outsourced/ third-party development. This largely influences the overall budget of the app development and is also significant for product maintenance.
The critical advantage of in-house or local development is that the work is carried out within a specified proximity and is commanded by experienced staff for faster development and delivery. However, it requires adequate infrastructure and a skilled workforce.
On the other hand, outsourcing comes with a great talent pool and experts from various successful projects. This development requires little in-house infrastructure and investment in the skilled workforce.
App Development Cost Based on the Team as Per Region:
Employee Title | United States | Eastern Europe | Asia |
Business Analyst | $110-$205 | $40-$63 | $30-$42 |
Project Manager | $133-$233 | $45-$70 | $35-$48 |
Jr. Developer | $105-$111 | $25-$42 | $18-$24 |
Sr. Developer | $154-$163 | $45-70 | $30-$42 |
Lead Developer | $176-$187 | $45-70 | $30-$42 |
Jr. QA | $77-$81 | $25-42 | $15-$24 |
Sr. QA | $143-$169 | $40-63 | $25-$37 |
Graphic Designer | $79-$163 | $35-56 | $25-$36 |
The process of estimating the Total Cost of App Development
- Conduct thorough research and find the target market
- Get a clear understanding of the current and future market dynamics
- Reviews and Feedback of Similar types of app already existing in the market
- Choose the platform to make your product available
- Hire a reputed and trusted developer.
Build an MVP
MVP is one of the critical elements in estimating the cost of building an app. Successful MVP creation saves a lot of money on unwanted features and functionalities which might not be required for an app at the first release. It is also an ideal model to check the basic functionality of the product without investing much in complex design and deep architecture.
- Check the app performance and identify the bugs.
- Focus on customer experience to get better results for the product.
- Submit the app to the app store to push it out in public.
- Make the app available to the user and release the final version.
Final Thoughts
You now understand there is no set cost for developing a mobile app. The factors discussed above may have assisted you in determining the approximate cost of a mobile application.
If you want to know exactly how much it costs to create an app, you can seek assistance from a reputable mobile app development company and take advantage of its high-quality app services.