How Much Does It Cost to Build an App: Essential Insights for Startups and Businesses

October 21, 2024 | 3 minutes read


Editorial Team

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Startups and smaller companies are in the situation where their business fades if they refuse to go digital. At this point, many of them consider developing mobile apps. The problem is that over 70% of startups misjudge the initial app development costs. Therefore, it leads to financial strains or compromised app quality.


This article aims to demystify the app development cost. We explore what factors influence the costs in detail. With this knowledge, businesses can manipulate their budget and save thousands in development costs.


How Much Does It Cost to Make an App?


The cost of developing an app varies widely. Usually, it depends on its type and complexity. We’ve prepared a table that breaks down these factors.


Cost to Make an App?

What Factors Influence the App Development Cost?


The cost to make an app is hard to predict because several factors come into play. However, understanding these factors can help businesses tailor their budgets in advance.


App Platform


The app development platform affects the reach and functionality of an app. It also significantly impacts the cost.



Developer Location and Expertise


The geographical location of your development team influences the overall cost of app development. Costs can vary significantly across different regions due to the local economic environment.


Developer Location and Expertise

Feature Set and Functionality


The complexity of the features is a major determinant of app development cost. Generally, apps can be categorized into two groups. Below is a comparison of what each category typically includes.


Feature Set and Functionality

Design and User Experience


The design of an app is the first thing that users meet as they open an app. They have a direct impact on user retention and overall functionality. The choice between custom designs and templates influences both the development cost and the final user experience. Here’s a comparison of the two approaches.


Design and User Experience


How to Estimate Mobile Application Development Cost?


Many businesses believe that only app development agencies can properly estimate the final cost to build an app. And as a general rule, it’s a paid service. Nevertheless, there are several approaches that allow you to estimate the costs accurately for free.


Use a Formula


You can estimate app design cost by using a formula.


Cost=(Number of Screens)×(Complexity Factor)×(Designer’s Hourly Rate)

  • Number of screens. Total number of screens or pages the app will have.
  • Complexity factor. A multiplier that reflects the complexity of the design. 1.5 for medium complexity, 2 for high complexity.
  • Designer’s hourly rate. Average hourly rate for designers in the region or market you are targeting.

This formula gives a ballpark figure that helps in the early stages of planning and discussions.


Utilize Online Calculators


Many websites and platforms offer online calculators that can provide a more detailed estimate based on specific inputs about your app. These calculators often require you to answer questions about:

  • The number of user interfaces needed.
  • Customization of visual elements.
  • Integration with existing systems.
  • Use of standard or custom animations.
  • Expected level of interactivity.

By filling in these details, you can receive an automated estimate that considers current industry standards and pricing models.


Request Quotes from Mobile App Development Agencies


For the most accurate estimation, reaching out to professional mobile app development agencies for quotes is advisable. There are companies that provide free estimates. This process typically involves:

  1. Briefing the agency. Provide a detailed brief about your app. Tell about desired features and examples of similar apps.
  2. Consultation. Many agencies offer a free consultation to discuss your needs and clarify details.
  3. Proposal. After understanding your requirements, the agency will prepare a detailed proposal. It will include a breakdown of costs for design and development.

You can request quotes from multiple agencies. It allows you to compare prices and services to find the best match.

Each of these methods can be used at different stages of the app development. If it’s only an idea of an application, you can use a formula or online calculator. If you’ve already compiled a concept of an actual app, it’s time to apply to an agency.


The Bottom Line


Every year, the cost to build an app becomes higher. At the same time, businesses struggle to increase revenue without powerful tools. It’s like a vicious circle you can’t break out of. We created this guide to help startups and small businesses break the cycle and show them the steps to do it.


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