Mobile App Development Cost: Deconstructing the Price Tag

1. Average Costs to Develop an App

As mobile apps come in all shapes and sizes, there is no definite answer regarding how much it will cost to develop one. However, to help you have a bird eye’s view, we’ve put together a general estimate of mobile app development cost based on complexity.

• Basic apps ($10,000 - $50,000): These include simple functionalities such as a login system, user profiles, and a dashboard. Typically, they take 2-4 months to develop.
• Medium apps ($50,000 - $100,000): Apps in this range incorporate more advanced features like payment gateways, social media integration, and user engagement tools. Development time usually falls between 4-6 months.
• Complex apps (from $100,000): These apps offer state-of-the-art functionalities such as AI, AR/VR, multi-language support, and complex data logic. Building such a complicated mobile app can take up to 9 months or more.

Average mobile app development cost

Note that the actual mobile application pricing varies based on various factors that we’ll break down in the next section. If you want to develop a mobile app like BettaMax - a high-converting ecommerce platform, contact us for a detailed breakdown of cost estimation. You can also make a rough estimate of development costs by using this common formula:

Total development time × Hourly rate for development = Cost of app development

For example, with an average hourly rate of $100 per hour, a 4-month project (≈640 development hours) could cost around $64,000.

2. How Much Does Each Phase of Mobile App Development Cost?

To truly understand mobile app development cost, it's crucial to break down each stage of the development cycle and see where your budget goes. Here's a closer look.

2.1. Discovery

The discovery phase is the foundation of mobile app development, where you define your app’s goals, features, and technical requirements. This phase involves market research costs, risk assessment, and roadmap creation to ensure a smooth development process.

Estimated cost:

• Basic projects: $3,000 – $10,000
• Mid-range projects: $10,000 – $20,000
• Complex projects: $20,000 – $40,000+

Typically, the discovery phase accounts for 10-20% of the total cost, depending on the complexity of the app. For simple projects, costs remain relatively fixed, but for more sophisticated apps, deeper research and analysis can drive expenses up.

While this phase requires an upfront investment, it helps prevent costly mistakes later by ensuring clear project requirements, risk mitigation, and efficient resource allocation.

2.2. Design

The design stage, including UX (user experience) and UI (user interface) design, determines how the app looks and functions. While UX design focuses on user behavior, interaction flow, and overall app usability, UI design deals with the app’s visual elements, including typography, color schemes, icons, and animations. 

Based on your requirements, the development team will create a wireframe, mockup, or prototype to give you a visualization of your app. This stage is critical as a well-designed app significantly impacts user adoption and retention.

Costs of mobile app development by stages

Estimated cost:

• Basic design: $5,000 – $10,000 
• Mid-range design: $10,000 – $25,000 
• Complex design: $25,000 – $50,000+ 

Typically, design expenses account for 20-25% of the overall mobile app development cost, with costs increasing based on design complexity. A simple interface requires minimal effort, while intricate visuals, animations, and interactive elements demand extensive work.

2.3. Development

The development stage is the most resource-intensive phase, translating the design into a fully functional app. This phase often includes front-end and back-end development, database setup, API integrations, and feature implementation.The bulk of your app development expenses (typically 40-55% of) is poured into the development stage. 

Estimated cost:

• Basic app: $30,000 – $70,000
• Mid-range app: $70,000 – $150,000 
• Complex app: $150,000 – $300,000+

The total cost depends on the number of features, tech stack, and platform compatibility (iOS, Android, or both). More advanced apps with AI, AR/VR, or blockchain integrations require higher investments.

2.4. Testing

The testing phase ensures that the app functions as intended and provides a seamless user experience. It requires quality assurance (QA) to identify and fix issues before launch. Since this step is essential for app stability, it typically accounts for 15-20% of the total development budget.

Estimated Cost:

• Basic app: $5,000 – $15,000 
• Mid-complexity app: $15,000 – $30,000 
• Complex app: $30,000 – $50,000 (10-15% of the total budget)

Testing often runs alongside development to catch bugs early, reducing costly fixes later. A dedicated QA team ensures the app performs well across different devices, operating systems, and usage conditions. Without QA approval, an app is not considered market-ready.

2.5. Deployment and maintenance

The deployment stage marks the final step in software development. It involves publishing the app on platforms like the Apple App Store and Google Play Store, handling compliance requirements, and setting up hosting and backend infrastructure. 

However, your journey doesn’t end with deployment. Beyond initial launch, regular updates, bug fixes, and server maintenance are necessary to keep the app secure and functional. Deployment and maintenance costs typically account for 5-10% of the total budget.

Estimated Cost:

• Basic deployment: $5,000 – $10,000
• More complex deployment & post-launch maintenance: Higher end of the budget range

3. Key Factors Affecting Mobile App Development Cost

Now that you’ve had a rough estimate of the mobile app development cost, understanding the key cost factors will help you plan your investment more effectively. 

3.1. Development approach: Native vs. Hybrid

The development approach you choose plays a significant role in the total cost. Let’s consider two common approaches:

• Native Apps: Native apps are built specifically for one platform, such as iOS (using Swift or Objective-C) or Android (using Java or Kotlin). They deliver the best performance, seamless user experience, and full access to device features. However, developing separate apps for multiple platforms means higher costs and longer development time.
• Hybrid Apps: Hybrid apps are built in a way that allows them to run on multiple platforms, which helps reduce development and maintenance costs. While they are faster and cheaper to develop, hybrid apps don’t compare to native apps in terms of performance and responsiveness.

Choosing between development approaches: Native vs. Hybrid

If your priority is top-tier performance and user experience, native development is ideal - but it comes at a higher cost. If you need a cost-effective solution that works across multiple platforms, hybrid development can be a more budget-friendly choice. 

3.2. Platform selection: Android vs. iOS

If you decide to develop a native app, here comes another choice to make: Android or iOS. Your selection of platform affects both development costs and market reach.

• Android Apps: Android has a larger user base and lower app store publishing fees, making it appealing for broader market penetration. However, the diversity of Android devices - with varying screen sizes and hardware specifications - requires more extensive testing and optimization. This increases both development time and maintenance costs.
• iOS Apps: iOS apps typically have a faster development process due to a limited range of Apple devices, making them easier to test and optimize. While initial development costs can be slightly higher, iOS users tend to spend more on apps, offering better monetization potential. Additionally, iOS updates are more streamlined, reducing long-term maintenance expenses.

3.3. App complexity and features 

App features impact is the biggest cost-driving factor in development. The more intricate and feature-rich your app is, the higher its price tag.

• Simple apps: Basic applications focus on core functionality without complex interactions. They usually have minimal screens, basic UI elements, and limited backend processing. These apps are quicker to develop and require fewer resources.
• Moderate apps: Mid-level applications come with additional features such as user authentication, data synchronization, push notifications, and third-party integrations. They typically require a more advanced backend system to manage data and user interactions. These apps demand more development time and testing to ensure smooth operation across different devices and platforms.
• Complex apps: Highly advanced applications incorporate features like real-time synchronization, AI-driven recommendations, interactive UI animations, and geolocation services. These apps often require deep backend infrastructure, high-level security measures, and multiple third-party API integrations. Given this high-level complexity, these apps require extensive time and resources.

3.4. UI/UX Design

The intricacy of UI/UX design is another major factor affecting the total mobile app development cost.

• Basic UI/UX relies on standardized, platform-specific components, making it quicker and more cost-effective to develop. This approach ensures a functional and intuitive design but may lack uniqueness.
• Custom UI/UX involves advanced illustrations, animations, and tailored user interactions. While this enhances user engagement and brand identity, it requires additional design and development effort, increasing the expenses.

Also read: Custom App Development: Smart Solutions for Business Growth 

3.5. Third-party integration

Some mobile apps need to be integrated with third-party services to function at their best. This adds to development complexity and drives up overall costs since they require additional development effort and potential licensing fees.

For example, a high-converting Ecommerce platform is typically integrated with payment gateways, social media logins, or analytics tools, making it more complex than an app that doesn't rely on external services. That’s why the ecommerce mobile app development cost is often higher than that of a basic app.

Third-party integration

3.6. Security measures

Highly secure mobile apps don’t come cheap, as implementing robust security measures requires additional resources and expertise. While basic security features are affordable, enhanced security with extra layers and compliance checks can be costly. Though it increases upfront costs, security should be your priority as it safeguard user data and prevent potential breaches - critical for both customer trust and your business success.

3.7. Development team

Besides the factors directly related to the app itself, human factors significantly impact the overall mobile app development cost.

• Type: The choice between hiring a local agency, an in-house team, freelancers, or outsourcing to a foreign company affects pricing. Agencies provide full-service solutions but tend to be expensive. In-house teams offer more control but require long-term investment. Freelancers can be cost-effective for small projects but demand extensive management. Outsourcing offers a balance between expertise and affordability. 
• Expertise: The skill level of developers, UI/UX designers, and project managers also plays a role in costs. More experienced professionals charge higher rates but can deliver higher-quality work, reducing the need for revisions.
• Location: If you have ever wondered “How much do you pay a developer for an app?”, the answer is that development team rates vary from region to region. It can be anywhere from $25 - $150 per hour. Onshore teams (local hires) tend to be the most expensive, while offshore teams (remote teams from other countries) offer cost-effective solutions. Nearshore teams, located in nearby countries, provide a middle ground in terms of pricing and collaboration.

4. Top Strategies for Low Cost Mobile App Development

We understand that mobile app development cost can be your biggest hurdle to bringing your idea to life, but developing a mobile app doesn’t have to break the bank. By applying strategic cost-saving measures below, you can build high-quality apps while staying within budget.

• Start with an MVP: Focus on creating a Minimum Viable Product (MVP) that includes only the core features necessary for functionality. This approach helps validate the app idea with minimal investment and allows for improvements based on user feedback.
• Choose cost-effective development approaches: Opt for cross-platform development frameworks like React Native or Flutter instead of building separate native apps. This reduces development time and costs while maintaining broad platform compatibility.
• Outsource smartly: Hiring freelancers or outsourcing to development teams in cost-effective regions can significantly cut costs. However, it’s essential to ensure good communication and quality control to keep everything in check.
• Use Agile development practices: Agile methodologies help streamline project management by allowing for iterative development, continuous feedback, and early issue resolution, preventing costly revisions later.
• Automate Testing: Implementing automated testing tools ensures app stability while reducing manual testing efforts and long-term maintenance costs.
• Simplify UI/UX Design: A clean and intuitive interface enhances user experience without the need for complex and expensive design elements. Prioritize functionality over excessive design details to reduce development time.
• Utilize cloud services: Instead of investing in expensive infrastructure, cloud-based services like AWS, Google Cloud, or Firebase provide scalable solutions with pay-as-you-go pricing, optimizing costs.

5. Final thoughts

We hope that our breakdown of mobile app development cost above helps you plan your budget more effectively. If you need a high-quality mobile app without breaking the bank, Sky Solution is where you can turn your idea into reality. We provide cost-effective mobile app development and IT staff augmentation services, ensuring you get top-tier results without compromising quality. Let’s build your app where quality meets affordability - contact us today to bring your vision to life!