How Much Does It Cost To Make An App For Your Business?

Did you know that we spend around 90% of our time on the phone on apps? That means just 10% of the time is dedicated to other things like making calls, the primary reason phones were invented in the first place.

Such is the power of apps in the modern-day scenario. From helping us get groceries delivered at our doorsteps to killing time catching imaginary creatures, apps allow us to do them all. There are apps for productivity, entertainment, online shopping, self-help, gaming and more and there are new genres and crossovers popping up each day.

For those of you who didn’t know, there are around 2.8mn and 2.2mn apps on Google Play Store and Apple App Store respectively. Our dependence on apps has grown to such an extent that we resort to apps to execute even some of the most basic tasks. And it is this dependency that is about to make the smartphone application industry worth $189bn by the end of 2020.

Apart from helping people accomplish things, apps are also ideal sources of revenues. All game-changing ideas are rolled out into the market in the form of apps. They are easy to monetize, reach our intended target audience and scale our business as well.

So, at any given point of time, if you ever used Netflix or UpWork and wondered how much does it cost to develop a mobile application, we have the answer.

8 Reasons Your Business Needs A Mobile App

To future-proof your business – with the onset of sudden and contagious diseases, businesses are increasingly looking to make theirfuture-proof and keep their ventures afloat despite lockdown restrictions in place.
To reach out to your target audience and genuinely solve their concerns.
To consistently engage with them through push notifications and pave the way for more acquisitions and retention.
To supercharge your website traffic.
To stand out from the clutter in the market.
To offer advanced solutions for your users through updates and patches.
To offer value to your customers.
To generate an avenue for consistent income/profits.

Now that you know what difference an app can bring to your offline business, let’s dive deeper and understand what business model you implement to further find out how much does it cost to develop a mobile application. This will further give an idea on selecting the right type of app for development.

What Is Your Business Model?

Your business model is decisive in the fact that it helps your business make money. Depending on the niche you operate in and your market segment, you need to zero in on a business model that is most appropriate. And the cost of your app development depends on this factor, too.

For those of you who are new to this, there are several business models in the market available. These include:

To answer the question on how much does it cost to develop a mobile application, you need to understand that it depends on your business model. Now each model we have mentioned comes with its own set or challenges, solutions, requirements and workflows. That’s why we recommend custom-developed applications based on your business model and business.

Factors That Influence the Cost of App Development

To precisely give you an idea on how much does it cost to develop a mobile application, you also need to consider some more factors that influence the cost of development. Let’s look at some of them.

Your app idea – the cost to develop a fintech app is different from the cost to develop an on-demand app.
The number of features and functionalities you intend to include in your app
The design and aesthetic appeal of your app
App security
Type of app – hybrid or native
Location of your development team
The estimated number of hours to develop your app
Expenses involved in the maintenance of your app
The tech stack
Advanced features such as artificial intelligence, machine learning and other algorithms incorporation and more

The business model of Grubhub depends on charging restaurants for every request commission that is essentially percentage-based. In certain business sectors, Grubhub gives the facility to restaurants to deliver their food-dishes on its platform. The Company likewise produces incomes when diner orders put in a request on its platforms. If you wonder how a Food Delivery App makes Money? and What Additional features to explore to build a Unique and trending food delivery application.

Did you ever purchase any kind of subscription on any platform? Netflix is one of the big fish in the Entertainment Industry. Netflix owns a subscription-based business model that provides access to digital media like stream series, movies, and shows. it has three plans: Basic, Standard, and premium. They segmented their business based on Domestic and International Streaming. Initially, Netflix is also one of the start-ups. They started as a giving a DVD on a rental basis. If you would like to build a mobile application like Netflix and like to know how does Netflix earns profits? What features you should add in your entertainment app. and How much will it cost to develop a video streaming app like Netflix?

In the digital era, everyone knows on-demand services are a trendsetter. Consumer generates demands, and related services are also delivered instantly. Glamsquad is an on-demand home beauty services platform that connects customers to stylists. Also, they launched their beauty products as well. How Much Will It Cost To Develop A Mobile Application Like UrbanClap or GlamSquad? What are the key features should be present in on- Demand apps? and what are the process to develop a such apps.

If you have your property and you also can make money by giving them on rent for a daily basis? How does it sound? Yes, it sounds like Airbnb. It is a marketplace that's core value proposition is an essential information-based offering. It does not own any of the properties nor have to worry about real estates. It contains information about people who have something to offer with others who need what they have. Would you like to build an app for Hospitality Industry and would like to know How Much Does It Cost To Develop A Mobile Application Like AirBnB? and know what features you should include in your app.

Upwork is an online marketplace. Which business model is based on charging a fee for a successful job company promotes on its platform. They charged freelancers with a fee ranging between 5 to 20 percent. know in detail what revenue model it carries? How does the marketplace make money? How Much Will It Cost To Develop A Mobile Application Like UpWork?

In today's digital era, a streaming app like Spotify engaging artists and music fans with a two-sided marketplace. It has offered a free ad-supported service and a paid membership. Spotify is following the freemium business model. Know in detail how does Spotify earns money with the freemium business model. How Much Will It Cost To Develop A Mobile Application Like Spotify?

How Do Apps Make Money?

There are several ways applications make money. Most of the apps nowadays follow the freemium business model, where they are made available to users for free downloads and charge them to use advanced features.

An app also makes revenue through subscriptions that are applicable for businesses like Netflix and Spotify. On-demand apps like UpWork, Amazon, eBay and more have a different revenue generation system, where they take a cut from the sales happening in their marketplaces – from vendors and customers.

Besides these, apps also offer in-app purchases, where people can unlock specific portions of the app by paying a small amount. Advertising and sponsored content are also a major part of app revenue generation.

Wrapping Up

We believe those of you asking how much does it cost to develop a mobile application like GlamSquad now have an answer. It depends on the factors we mentioned and your intentions with the app.

Regardless, this is the most ideal time to get started with app development and launch your business in the market as digitization is defining our times today. Your wise decision is the source of serious profits tomorrow.

Get in touch with us to get an app developed for your idea.

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