How To Estimate The Mobile App Development Cost?

How To Estimate The Mobile App Development Cost?

Introducing how to reduce the mobile app development cost and maintenance costs that are often overlooked.

Many people ask- I want to develop an app, but how much does it cost?

In this article, in order to answer such a question, we will introduce the method of estimating the cost for application development and the market price. We will also explain the maintenance costs after the release of apps, which are often overlooked, and how to reduce development costs.

About The Cost Of Application Development

The cost of developing an app varies greatly depending on the “type of app” and “features to be installed”. Therefore, it is difficult to provide a specific cost for development. However, since there is a “development cost calculation method” for system development, it is possible to roughly calculate the cost itself. In the following, we will introduce how to calculate the estimate including application and system development.

Work Unit Price x Work Time + Fixed Cost = Development Cost

Using the above formula, you can get an approximate amount of money for app development.

Market price of development cost varies depending on the type of application and location of development-

Of course, there are differences in costs depending on the genre, and you can see that the costs can change by several million rupees even in the same genre. The reason for this is that the amount of money varies depending on the functions to be installed and the scale of development. The breakdown of the cost market introduced in the above table is labor cost + fixed cost.

  • Personnel Costs

Labor costs in app development are the work costs of engineers and programmers. In the system development industry, it is also called “monthly unit price”. For example, if a senior system engineer operates for one month, it will cost about 8 to 8.5 dollar. Fees vary depending on the level of the engineer, but this amount is called labor cost and accounts for about 80% of the development cost.

  • Fixed Costs

As introduced in the previous section, fixed costs refer to equipment and equipment costs other than labor costs. There are various items that correspond to fixed costs such as domain acquisition and server maintenance costs. By the way, the developed app is distributed to users through app stores such as “App Store” and “Google Play”, but the registration fee to this app store is also a fixed cost.

  • Costs For Outsourcing App Development

When thinking “I want to outsource application development”, what is worrisome is the cost of outsourcing. I mentioned that the cost of application development varies depending on the content of the project and labor costs, but the number of functions installed is also one of the factors that make a difference in cost. Below, we will give you an estimate of the cost of the function. Although there are differences depending on the mobile app development company and the scale of the project, there is a market price, so please refer to the estimate when outsourcing.

Functions to be installed Cost Market-

  • Login function (using email address) about 1,700- 3,400 United States Dollar
  • Payment system (including system construction) about2600-3500 United States Dollar
  • User member data management function about 4,000 to 8,000 United States Dollar
  • App design 900 to 8,000 United States Dollar
  • Data usage (new acquisition) 4000-4800 United States Dollar
  • Implementation of other companies’ tools About 500 United States Dollar

Based on the above points, if you outsource your mobile app development to mobile app development company in India then, it will cost you around $5000 to $10000 depending on the functions to be installed. Of course, when work such as “increasing the installed functions” or “adding data through the application” occurs, the cost will be added. The trick is to identify the minimum required functions in order to balance mobile app development cost and the convenience of the application.

For example, if you want to develop an “eCommerce application” that is useful for promoting sales of your own products, you will definitely need a “user data management function” and a “payment system function”. It’s true that the more versatile an app is, the easier it is to get great convenience. However, adding features that are difficult for users to use will make the app less user-friendly and wastefully increase development costs.

By the way, even in app development, keep in mind that native apps tend to increase in cost. Native apps are built individually for various operating system such as Android, iOS, and Windows. Since each OS has a different development environment and language, the development cost tends to increase because the application is developed separately.

How To Keep Your App Development Costs Down

As the number of people involved in the development period increases, the cost of developing the app will increase proportionally. Therefore, there are many people who want to create a high-quality application with the minimum cost. Below, we’ll show you how to keep your app development costs down.

  • Identify the parts that can be handled by your company

In the development process, app design is one of the tasks that is relatively easy to handle in-house. The price may change depending on whether you design it yourself or leave it to the requester. If the design is outsourced, the market price will be about $8,000. However, if you are in charge of designing in-house, the market price will be $1000 to $3000, and even if you compare it with outsourcing, you can cut costs significantly.

  • Create a web app

As mentioned in the section on outsourcing costs, the cost of “native apps” will be higher because we will develop two types of apps for iOS and Android. On the other hand, unlike native apps, web apps (apps that can be used by accessing a web browser) do not need to be developed multiple times, so development can be done at a low cost. Native apps have a higher app penetration rate, but if you want to focus on cost reduction first, we recommend that you consider it as one of your choices.


Basically, the cost of mobile app development depends on various factors. Various startups or companies calculate the mobile app development cost and then outsource their work to the mobile app development company. If you want to know more about app development costs then contact us as we are a leading mobile app development company in India that provides cost-effective and interactive mobile app development services.