🎉Celebrating 25 Years of Tech Excellence and Trust - Learn More

Application Development
Updated: Mar 21, 2024

The Insider's Handbook to All About Application Development Outsourcing

Verified
Verified Expert in Project management
Bhadresh is an AWS certified technocrat and holds the position of a Project Domineer.
Guide to App Development Outsourcing

Quick Summary: Developing an application can be made easy and hassle-free by outsourcing the project to a reliable technology partner. This guide offers a comprehensive understanding of app development outsourcing, covering its advantages, difficulties, and approaches. Keep reading to fully comprehend the nuances of outsourcing.

Outsourcing app development can be rewarding for many, while many others may be skeptical about it. The thing is that those skeptical about it haven’t realized the true benefits of outsourcing. It is a faster, less expensive, and straightforward method to develop different types of applications.

Apps have become crucial for businesses today and more businesses are investing in app development every year. If you take the mobile app market size only, it is humungous, with 5.7 million apps for both Android and iOS.

With outsourcing, you can team up with talented app developers by choosing from a vast pool of talent. Plus, you pay as per the amount of resources you use, giving you more control over cost. All it takes is to partner with a reliable app development company and outsource your project to it.

Reduce App Development Cost and Build a Superior Enterprise App by Outsourcing

Contact Us

Moreover, there are many benefits you get by outsourcing your web app or mobile app development project to a third-party service provider that will look after all your needs. It will take your project from concept to reality efficiently with their technical expertise.

Table of Contents
  1. What Does Outsourcing App Development Mean?
  2. Why Do You Need to Outsource Application Development?
  3. How is Outsourcing App Development Beneficial?
  4. Are There Any Challenges or Risks in Outsourcing App Development?
  5. Tips to Outsource App Development Successfully
  6. Final Thought on Application Development Outsourcing

What Does Outsourcing App Development Mean?

Outsourcing is a method where you hire someone else to complete a specific task or project. Similarly, app development outsourcing is a method to handover your project to a firm specializing in developing applications.

We have agents and entities in our lives who perform some tasks on behalf of us. Take banks, for example, they keep our money in accounts securely, and we are free to write checks on those accounts if we have enough money.

Application development outsourcing is the process of hiring an external company to design and develop a mobile app to reduce cost, access a wider talent pool and Increase speed to market.

So, there is also a way to handover your app development project to someone with the requisite knowledge and experience to develop your application. It provides many advantages like expert guidance, professional skills, and faster time to market.

Obviously, you need a mobile or web app development company to complete the project. So, finding the best company is the real game in outsourcing. Relevant industry experience, reviews, technological prowess, and communication skills are a few factors to consider for this.

IT outsourcing is taking new strides with increasing revenues and opportunities. Companies are widely adopting this approach as it helps them to avoid excessive costs in hiring and managing in-house teams. Different statistics for global IT outsourcing show promising trends in this realm.

Why Do You Need to Outsource Application Development?

Well, in the first place you can think about setting up an in-house team consisting of developers, project managers, IT experts, etc. The team will accurately align with your vision and be easily accessible to you. Plus, you will be directly in control of their actions. That’s great!

But hang on, let’s look at the flip side of the coin. The data from Payscale shows that the average base salary for software developers in the USA stands at $77,212 per year. This amount excludes hidden costs related to insurance, sick leave, and more. Since you need more members to build a team, it will definitely cost you handsomely.

Besides this, you have to bear the costs even if the team sits idle because their salaries are fixed. Consequently, building an in-house team is costly. In addition, you also have to focus on the process that can divert your attention from your business. So, it is not a perfect idea, especially for businesses of small and medium scales.

Outsourced development is rising at a considerable rate every year and it’s growing more rapidly since the pandemic hit the world. Reports show that by 2028, the revenues from application outsourcing will be around $129 billion. That’s enough to say about app development outsourcing.

How is Outsourcing App Development Beneficial?

The following are the main benefits that you get from outsourcing app development.

Benefits of Outsourcing Application Development

Lower Development Costs

Developing an application can be expensive, and budget constraints can make it challenging. However, outsourcing your app development can help you build your application within your budget and even save you money. For example, while the average cost for Silicon Valley developers could range between $70 - $135/hour, the cost in Eastern Europe is between $30 - $50/hour and in Asia, it is $25 - $40/hour. In essence, you can benefit from a cost-effective application development deal by outsourcing it to developers in a location where prices are very low.

Larger Pool of Talent

You will want to have the best team to work on your project to get the desired outcomes. When you look for developers beyond your country or region, you will access a greater talent pool. There, you get a chance to compare and choose the best outsourcing deal.

For example, if you want to build a custom mobile app, you can look for developers around the world for custom mobile app development. As a result, there will be better options for your project. You can outsource the project to an offshore mobile app development team that fits your requirements best.

Offer Consultation

An app development company or an individual developer that takes on outsourced projects usually has niche expertise. They have gained experience and know how different things work in the industry from the ground up. This experience has enabled them to amass knowledge and expertise that allows them to consult and guide you on your project. They can suggest what can work best for your business to help you build a better app. Moreover, they follow the latest app development trends to ensure that your app is built using the latest technologies.

Focus on Real Goal

You need not step back from your usual state of affairs to indulge in the app development process. Outsourcing app building can help you focus on the main agenda while your tech partner can work on the development process. You can even hire overseas app developers to build your app and deploy a managerial person to engage with them from start to end. Overall, this method allows you to focus on your actual business goals and let the external team handle the project.

Build Cutting-edge Applications with Modern Functionality and Design

Let’s Do It

Are There Any Challenges or Risks in Outsourcing App Development?

It’s not surprising that every solution has both pros and cons. After knowing the benefits of app development outsourcing, let’s look at the challenges it poses.

Lack of Motivation

Undoubtedly, your in-house team will be motivated and enthusiastic about your product or business idea. Conversely, there could be a lack of motivation among the offshore partners that could become a roadblock to successful project delivery. A possible solution could be to hire dedicated app developers and proactively engage with them to ensure the desired results.

Insufficient Control

Outsourcing a project can lead to loss of control over the development team, but selecting a team that follows standards and uses agile development minimizes the risk. Such a team works closely with you, ensuring your active participation through regular communication and feedback.

Time-Zone and Cultural Differences

Outsourcing application development can be difficult when the team is far away in a different time zone and there are cultural differences. However, an experienced application development outsourcing company can handle these issues and provide excellent service regardless of location.

Code Complexity

Sometimes, businesses switch from one outsourcing partner to another with an app that is developed with messed up code or not properly documented. As a result, there is a risk of creating the app from scratch or working the complexity of the app, which can take much longer and delay the launch time.

Tips to Outsource App Development Successfully

Deciding on how to hire app developers is no less than a challenge, but it can be tackled easily with the correct steps and approach. Stick to the following tips to choose the right application development partner to outsource your project.

Search for Companies

Start with searching for app development companies. You can get some names through your corporate references, platforms like Clutch and GoodFirms, and a simple Google search.

List Down Best Choices

Find which companies seem to fit your requirements and have a good reputation in the market. Prepare a brief list of top companies with top ratings and reviews. You can leverage Clutch and GoodFirms platforms to check reviews and profiles for different companies.

Visit Websites

Once you make a short list of companies, go to their official websites to understand their services. Don’t forget to check their portfolio page to learn what kinds of projects they have handled and how they met the client’s needs.

Arrange Calls

You can call those companies that you find the best suited for your project. Discuss your requirements and pay attention to what they say about cost, deadline, development method, confidentiality, etc. Do understand their terms. Finally, you can choose a company that really meets your expectations.

What are the Different App Development Outsourcing Models?

Depending on your project needs and complexities, you can choose to hire developers or hand over the complete responsibility of your project. Let’s see how it works.

App Development Outsourcing Models

Dedicated Development Team

Under this model, there will be a dedicated team of developers and professionals required to work on your project. The team will work on a specific scope of work you define. If you have a CTO or CIO on your side, it’s the right option for you.

Project-based Model

A client hands over the full responsibility of a project to a web or mobile app development company. As a result, the company takes care of everything from planning to the release of the application.

Staff Augmentation

It’s a model to outsource offshore app developers to augment your in-house team. For example, if you already have launched an iOS app and are considering launching an Android app now. But you lack expertise. You can outsource developers from a reliable Android app development company.

Get 2X ROI with an Innovative Custom Application for Your Business

Ready to Build

Final Thought on Application Development OutsourcingApps have become essential for businesses to extend their reach and achieve growth. Outsourcing is beneficial in many ways despite the challenges that you can overcome with smart choices. Moreover, if you're planning to build an application, you can choose our web or mobile app development services to create your app.We, at Radixweb, have decades of experience in app development services and have successfully helped businesses turn their vision into successful apps with our expertise. We specialize in all kinds of app development with proficiency in the latest app development technologies. Contact us to find out more about our services.

Frequently Asked Questions

How is in-house development different from outsourcing?

Is my data safe when outsourcing mobile app development?

What things should be agreed upon before signing an agreement with outsourcing mobile developers?

How much does it cost to outsource app development?

Don't Forget to share this post!

Bhadresh Panchal

Bhadresh Panchal

Verified
Verified Expert in Project management
View All Posts

About the Author

Bhadresh is a senior technocrat and works as a Project Domineer for Radixweb. He is an AWS certified solution engineer with 12 years of experience. He specializes in technologies like ReactJs, NodeJs, AngularJs and has driven successful projects with clean code architecture, PgSql database system and REST architecture for the web.