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Journal - App Development

A Detailed Guide On Mobile Development Outsourcing

Written By Sidrah Nizami – Last Modified On June 28, 2024

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The usage of mobile apps is constantly increasing with around 7.1 billion people using mobile phones all over the world. In 2021, the number of apps on Google Play and Apple Store was 5.4 million altogether. 

Outsourcing can be a great choice if you want to develop your own mobile app. It reduces the cost, increases the time to market, and removes burdens from your life. 

In this article, we will be covering everything you need to know about mobile development outsourcing including its benefits and a step-by-step guide. So, let’s get started with it.

What Is Mobile App Development Outsourcing?

Mobile app outsourcing is a job contract given by a company in a country to a group of people possessing valuable skills and experience residing in another country. 

In simpler terms, outsourcing mobile app development means hiring a third-party agency to create your app.

Businesses use a variety of outsourcing models, but the two most common types are offshore and nearshore outsourcing.

Offshore outsourcing is when a company chooses an outsourced partner in another country. This is how most corporations in wealthy countries like the United States and Canada outsource.

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They hire agencies in developing countries because of the reduced fees. India, Ukraine, Mexico, and other developing countries are on the list. As a result, such businesses can save time and money.

Businesses can also benefit from outsourcing by gaining access to highly skilled personnel from whom in-house staff can learn new information and best practices.

Mobile application services include generating or developing programs for handheld or mobile device applications (also known as apps). Mobile phones, workplace digital assistants, and personal digital assistants are examples of handheld devices.

Read More: Everything about software development team structure

How Can You Outsource Mobile App Development in 7 Steps?

So, you have an app idea that piques your interest, but you’re not quite sure how to put it into action and outsource it. You ask yourself, what happens next? 

To answer that question, we’ve compiled a list of 5 steps to get you started in the process of outsourcing app development rather than hiring an in-house team.

1- Make Your Requirements Clear

Although a good app development outsourcing company can help you with more market analysis and management consulting, you must clearly understand your product. This will make finding a service provider and setting expectations for what you wish to obtain easier. 

Moreover, suppose you work with single app developers rather than a corporation. In this case, the clarity of your outlines is even more critical, as misunderstandings can result in a radically different app from what you expected.

Among the prerequisites are:

Who is your target market?

What is the goal of your app?

What is your app’s most notable feature? 

2- Make a Budget Estimate

The companies available to you will vary depending on how much money you spend on the app. It’s vital to weigh all of your possibilities, both financially and quality-wise.

Please remember that the first estimate is merely a guess, and it may change when new parts are added, and changes are needed during mobile app development. As a result, choosing an option with a lower initial cost than your entire budget is preferable.

Read More About: What is the difference between web design and web development?

3- Find Out Who Develops Mobile Apps

You’ll need to choose from thousands of app development businesses that meet your needs, such as familiarity with the platform you’re building for, skills with certain technologies you’ll need to apply, etc. 

Next, there’s the issue of geography and communication.

Based on your proximity, onshore, nearshore, and offshore development providers are divided into three categories. When looking into how to outsource application development, you’ll want to pick a location early on because it will affect how you communicate with developers. 

If you’re looking for hassle-free mobile app development, make sure you check out Hapy.

The most remote app developers are located offshore due to the time difference. You can overcome this problem with well-organized communication on the part of both parties.

4- Determine if You Want to Hire a Mobile Development Company or a Freelance Developer

Now it is essential to decide who you want to work with. Freelancers offer cheaper rates than most mobile development companies, and the communication process with the freelancer is easier since the project manager is the contractor.

But, outsourcing companies have an entire team of mobile developers. The process is formal, and so is everything else, such as the documents, scope of work, and the total cost. 

Companies may be a little less flexible to work with (although it is just a misconception), but freelancers can’t guarantee work quality as they have vast specializations. What you choose will entirely depend on the specific needs of the app you’re going to create.

5- Examine Your App Creators

Your original listing of external experts, whether agencies or freelancers, who appear to fulfill your requirements can be. And maybe contacting each of them takes even longer.

To choose the right one, you should first, look at the portfolios or, at the very least, the certifications. This shows that the company or individual app developer has professional experience. You should look into this if you want to create a strong application.

Read More About: How to evaluate UX design?

6- Communicate Well

Communication is unavoidable, and it is especially important for outsourcing app development. Excellent communication skills and responsiveness should be your top priority while seeking the perfect developer to hire. If you and your app developer communicate better, you can keep speed up things, clarify confusion, and respond on time.

At the same time, if you don’t speak with your developer frequently, you cannot always be on the same page, leading to more errors, revisions, charges, and disagreements.

Therefore, encourage two-way communication wherever possible; it is far more successful than one-way communication and makes things easier and better.

7- Make It Work

Now that you have chosen your source and communicated with them, you must ensure it works well. Communicate with the development team regularly. Don’t shy away from asking for regular updates. It will be easier to fix things at the initial stages, and you will feel more comfortable, especially if you’re outsourcing an application for the first time.

Additional Mobile App Development Outsourcing Tips

  • Create an outline of your project and make it as comprehensive as possible. 
  • Decide who you want to work with: A mobile app development outsourcing company or a freelance developer?
  • Choose your fighter: Where to outsource?
  • Research the market.
  • Conduct an interview.
  • Make it work.
  • Maintain communication with developers and keep a pulse on the situation throughout the app development process.
  • If you choose an app development outsourcing company, you’ll have a project manager who will keep you informed. 
  • If you decide to work with a freelancer, talk about how you’ll interact and how frequently you need to connect.
  • It’s also critical for you to formalize your relationship with the app developer as the product owner.
  • You’ll certainly have a written agreement with businesses. However, some independent developers may be hesitant to make things official. This is something you should beware of.

Mobile App Development Outsourcing vs. In-House Development

You’ll have a team in-house that knows your company inside and out, including all of its quirks. You’ll also have complete control over the app development process because the team will be based in your office. However, there are some disadvantages.

An in-house team of app developers is typically more expensive. You’ll need to hire experts, supply them with office space and equipment, and cover all additional costs with in-house workers.

Furthermore, a fixed team has a limited scope of expertise and experience. This is something that dedicated software development businesses with a diverse range of specialists can readily overcome.

When you have a big project, something that could compete with an app requiring tight collaboration and is planned for the future, an in-house team is an ideal option. If this isn’t the case, think about outsourcing.

Read More About: What are the five phases of SDLC?

Advantages of In-House App Development:

  • Quality developers are available at reasonable prices.
  • It provides complete control over the development project.
  • When it comes to choosing the latest technology, there are numerous possibilities to avail.

Disadvantages of In-House App Development:

  • Starting expenses are extremely high, particularly for infrastructure.
  • Certificates and licenses required for purchasing program codes and software tools can only be obtained after paying a hefty charge.
  • If your developers become stuck in the middle of a project and external software consultants are required, you may incur additional fees.

Advantages of Outsourcing Mobile App Development:

  • No time is wasted on market procedures, and the process begins immediately.
  • Expert mobile application developers get the project done faster with their superior resources and working expertise, so there’s less risk involved.
  • Allows the corporation to focus on other critical business processes.
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Disadvantages of Outsourcing Mobile App Development:

  • Lack of control over the entire development process and intellectual capital loss.
  • Having to arrange your main business operations with the help of another company.
  • The complexity of services, as well as even minor adjustments, add to the overall expenses.

Why Should You Outsource App Development?

Here’s a list of some reasons you should consider an external app development company rather than an in-house team to create your mobile app.

  • The time it takes to design an app will be reduced.
  • The construction will be substantially less expensive.
  • It is possible for small firms and startups.
  • It frequently yields high-quality goods.
  • It allows you to concentrate on your primary company functions.
  • It will assist you in hiring international talent rather than relying solely on nearshore talent.

Cost of Outsourcing App Development

Depending on the team’s geographical location, a simple mobile app can cost somewhere between $25,000 and $50,000 to construct. In contrast, a complicated app with various features might cost anywhere between $100,000 and $200,000 to outsource.

Consider the following app types to get an idea of how much an app will cost based on its type:

  • Uber, a taxi booking app, costs $25,000 and $100,000.
  • Applications for Real Estate – $12,000 – $15,000
  • $30,000+ for a networking (social) app
  • $50,000 to $130,000 for a messaging software like Whatsapp
  • Tinder dating app – $80,000 to $200,000
  • $40,000 to $70,000 for a banking/payment app
  • $25,000 to $50,000 for a city guide app

Read More: What is Customized Software?

Risks to Consider When Outsourcing Mobile App Development

When outsourcing mobile app development, there are some risks to consider.

There are numerous misconceptions about the quality of service providers when it comes to outsourcing to offshore mobile app development businesses. Many startups have had negative outsourcing experiences. The problem is that finding a great mobile development team might take months, and it’s difficult to be in the right location at the right time when great developers are ready to start a new project.


Collaboration with offshore teams is primarily done remotely, while in-house team leaders may go to offshore locations or vice versa. Those visits may not be sufficient to ensure that the team understands everything completely and is not misconstructing. As a result, if you want to outsource app development to another country, be prepared to learn about remote project management techniques.

Companies that go through lack of communication have no defined strategies or tools for communication in place. This causes misunderstandings, stressed workers and eventually reduced profit. When businesses don’t put in effort in pushing the internal content with the help of email, online community software, messaging platforms, the essential work will surely be affected. In the end, this miscommunication will lead to poor development of your app.

Differences in Time Zones

As the name implies, Offshore destinations are located far away from the client’s home country. As a result, both countries must find a convenient time to meet and discuss crucial issues. If an offshore team encounters an urgent problem that cannot be resolved without the assistance of an in-house development team, the problem can escalate swiftly.

Differences in Culture

Members of both the in-house and offshore teams come from various cultural backgrounds and work styles. This might lead to divergent perspectives on difficulties and even communication hurdles — for example, in Asia, engineers tend to keep any problems they encounter hidden for fear of being penalized.

The Disclosure of Private Information

When a client outsources an app development project, the client must entrust the outsourced app development agency with sensitive data, including sensitive data from its consumers, in some situations. The client firm should implement appropriate legal and organizational procedures to reduce those risks, such as requiring offshore developers to sign a National Democratic Alliance. 

How Do You Find the Right Company to Outsource Mobile App Development To?

Online Journals 

Most tech companies write and post blogs on sites like Manifestation Machine. After reading those blogs, you’ll know if they have the skills to do the design of an app for you.

Platforms for Freelancers 

There are many platforms where you can connect with dependable and talented freelancers. Look at Fiverr or Upwork for ideas.

B2B directories

They are a great place to start looking for appropriate agencies. Numerous agencies are featured in online directories such as Clutch and GoodFirms based on their clients’ ratings and reviews.

Final Words

Outsourcing app development lowers expenses, boosts team efficiency, and ensures project completion on time. This sort of collaboration is appropriate for many firms, including small, medium, and large enterprises. However, to get the full benefits of outsourcing app development, you must carefully select the team you will collaborate with.

Check out their portfolio, technology stack, and client feedback. Then, choose the most suited engagement and payment arrangement for you and proceed to the discovery phase. 

This blog hopefully addresses all of your concerns about outsourcing mobile app development. 

If you have any questions about mobile app development, feel free to contact us here.

Read More: What is the difference between a software and a program?


Is It Easy to Become a Mobile App Developer?

It’s easier than it seems to become a mobile app developer. You have a variety of options depending on your circumstances.

How Much Can a Mobile App Developer Make?

Nearly every day, the top 200 apps in the App Store make an equivalent of $82,500. However, this decreases dramatically, with the average income in the top 800 apps falling to roughly $3,500.

What Are the Responsibilities of a Mobile App Developer?

The primary responsibility of a mobile app developer is to write, maintain, and implement source code for mobile apps and mobile platform programs that satisfy the demands and expectations of clients utilizing computer programming languages.