Costs of creating an app

How much does it cost to make an app? Every day we get the most diverse ideas presented to us at DTT. We listen attentively to the ideas of companies, health facilities, governments, investors, and private companies. At the end of the conversation, there is always one question to be asked: ‘’How much does it cost to make an app?’’. Below we would like to give you an explanation of how the prices of making are established. We will do so with a couple of examples out of our app portfolio. 

What are the price factors when developing apps?

When looking at customized apps, the starting investment point is €5.000,- which can increase up to €100.000,-. The development costs depend strongly on the complexity and desired functionalities of the app. The most important factors that influence app development costs are:

1. Type of application 
The type of app and the used techniques are the fundamental factors of the costs. There are different types of ways to develop an app: a native app specifically developed for each platform (Android and iOS), a Progressive Web App (PWA) suitable for all platforms, or a hybrid app. Every option has its pros and cons. 

2. Functionalities 
How simpler an app, how lower the costs will be. Do you want an app with multiple functions? The cost will be higher than because an app with more functionalities needs more development hours. 

3. Complexity of the design
Some apps go for a simple design whereby design guidelines of the platform are followed, while other apps strive to create a unique user experience by means of the design. A complex and unique design needs more hours to create, thus resulting in higher costs.

4. Implementation
The costs for publishing an app in the Google Play Store are a one-time fee of $25,-, while iOS costs $99,- per year. Do you want to develop an app for use inside an organization? In that case, you also have to pay an enterprise distribution license which costs $299,- per year.

5. Maintenance fees
On average, the maintenance costs are 10% to 20% of the development costs on a yearly basis. Think about hosting (keeping the app live), updating the app, or bug fixes.

Examples of app development costs 

At DTT we have developed loads of apps with different price ranges. Below are some examples of apps developed by DTT with their development costs:

1. €10.00 - €15.000 euro: At Mouse’s house reading app
Mouse aims to encourage parents and children to read together, play, and entertain each other. The app uses Unity. Unity is a cross-platform game engine that allows it to perform well on different platforms (iOS and Android), without the costs of a native app. Thanks to that, the app is beautiful, playful, and lively animated.

2. €15.000 - €30.000 euro: The Sunflower loyalty app
With the Sunflower Loyalty app users save points when visiting the loyalty tanning studio. The costs for this app are low because some functionalities already existed in the DTT database.

3. €25.000 - €50.000 euro: King Penguin - Greenpeace AR
King penguin uses AR (Augmented Reality) to create extra awareness of protecting the Southpole sea, the habitat of penguins. The concept resembles the popular Pokémon GO app, except that users are looking for penguins instead. By focusing on the core functionalities and the complexity of AR, King Penguin is located in the middle segment

4. €50.000 - €100.000 euro: Hebban books community app
Hebban houses the largest and most active book community in the Netherlands, Hebban is a platform for readers and made by readers. With the Hebban app, users can easily find books and add it to their reading lists by scanning barcodes. Additionally, the app shows details, ratings, reviews, and statistics about books. Because of the sleek design, the connection to the Hebban database, and the different functionalities, Hebban is located in the second-highest segment.

5. More than €100.000 euro: ziekenhuisbedchecker
The ziekenhuisbedchecker.nl (hospital-bed-checker) website is an urgent request from the Dutch Ministry of Health, Welfare, and Sport regarding the corona crisis. The solution is set up as a Progressive Web App (PWA) which shows the current health capacity of the Dutch hospitals. With filers users are able to select, location, type of bed, and more. Because of the urgency and constant developments within the app, the Ziekenhuisbedchecker operates in the highest segment. 

The app development process  

The costs of an app are more than just the development costs. The development of an app has multiple phases and components:

1. Kick-off meeting: During this meeting, the project is made comprehensible, goals are established and the steps are listed to develop the app.
2. Function design: The functional design offers a total summary of all screens and the functionalities of the app. Besides, it shows if the goals are being met and if the app is clear and user friendly.
3. Visual design: A visually strong design, unique and user-friendly design, which fits the goals and end-users of the app.
4. Development: After approval of the functional design, the project will be handed over to the development team and they will start developing the app.  
5. Tests: The app has to be tested during the development phase to make sure it can be launched bug-free.
6. Project Management: Project Management is an important part of the app development process. Meetings, technical specifications, planning, meeting deadlines, updating the client, and the distribution in the app stores. All these parts take time and are just as important as the development of the app itself.
7. Maintenance: The developments in the mobile market come one after the other. Think about software updates and new devices, this requires regular maintenance. Besides, there has to be a budget to fix bugs and keep the app hosted. 

A clear price indication of your app idea

Hopefully, it’s clear now what it costs to make an app. The costs of an app are decided by multiple factors that depend on the complexity and desired functionalities of the app. Do you have an app idea, but is financing a problem? Read our article: Find investors for your app idea.

Are you curious about the cost of conceptualizing and developing your app? Feel free to contact us. 

Are you still doubting what kind of app you want to develop or the platform? Read one of our other articles:

• Hybride or native app development
• The difference betwee iPhone and Android for app development
• PWA (Progressive Wev Apps) pros and cons