The cost of creating an app: Simpalm’s universal formula

Thought Leadership on Mobile App and Responsive Web Development presented by Simpalm.

Anytime you want to work on an app idea, it’s important to know the cost you can expect to turn your idea into reality. There are currently three million apps in various app stores, and they all have been developed with different budgets. If you call several app development companies to figure out the cost of a given project, you can expect to get very different answers. It may be impossible for you to know which number is most appropriate. It takes time and effort for both the idea owner and the app developers to come up with the most appropriate cost.

But, what if there was a way to know the formula and process used by developers to estimate the cost of an app? If you could know and understand the formula used by developers, you could have a sense of the appropriate cost and then compare it with estimates provided.

Simpalm’s team has used its seven years of experience to come up with a universal formula that anyone can use to estimate the cost of an app.

Here it is:

App-Making Cost = (UI/UX Design Hours + iOS App Hours + Android App Hours + Back-end Server Hours) x Developer’s Hourly Rate

*UI is an abbreviation for user interface, and UX is an abbreviation for user experience.

The hours required to build a mobile app depends upon a variety of factors including the size of the app, complexity, design requirements, development process, backend server, maintenance, and several other related factors. A developer’s hourly rates depend upon the location and experience of the developer. An offshore vendor can charge between $15 and $25 per hour, a full onshore company can charge $70 to $150 per hour and a company with onshore/offshore resources may charge between $30 and $50 per hour. To make it easy for you to understand how much your app may cost, let’s look at apps of three different sizes:

  • Small app (6-10 Screens),
  • Mid-sized app (20-25 screens)
  • Large app (40-45 screens)

To learn more about Simpalm’s universal formula and its six cost factors, click here.

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