Outsourcing App Development: When It Makes Sense and What You Need to Know


 hen a company considers developing an app, the next logical step often seems to be hiring a service provider. Most app or software development companies then proceed with the “classic” app development process, building the app from scratch until they present you with a finished product.
When a company considers developing an app, the next logical step often seems to be hiring a service provider. Most app or software development companies then proceed with the “classic” app development process, building the app from scratch until they present you with a finished product.

"Classic" is good, but in some cases, it also means it takes relatively long and the price ranges in the five- to six-figure bracket. However, there are now some excellent alternatives for custom app development, such as low-code. The potential of low-code app development is clear from recent forecasts: By 2029, low-code platforms are projected to see international market growth of over 30%, according to MordorIntelligence.

Here, we’ll show you what to expect when you want to have an app developed, how the “classic” approach works, and how you can explore new (and more efficient) paths with current app development trends.

Where Can You Outsource App Development?

To get an app developed for your business, you can outsource the work to various external providers. These include solo freelancers and app agencies, who either build your app from scratch or use low-code or no-code environments. Some low-code or no-code platforms also offer app development as a service.

Outsourcing to Freelancers: A Flexible Option

When considering outsourcing app development, many think of hiring a freelancer. With plenty of coding experts available online, it’s easy to find talent. On specialized freelance platforms, you can search for professionals and request quotes directly.

Your advantages

Potential disadvantages

Large selection

Especially with limited expertise, it can be challenging to filter out the suitable service provider, as technical evaluation is difficult.

Comparatively good cost transparency

If your freelancer is unavailable due to illness, etc., it can become tricky.

Discoverability through intermediary platforms

Typically, the price includes a markup for the platform.

 

Project management is your responsibility, as is monitoring progress.

Tried and True? Traditional App Agencies for Your Internal Software Tool

With an app agency, your project is likely in good hands. A quick Google search or recommendations from other business owners can help you find a reliable service provider. In case of any setbacks, agencies are more likely to have a backup developer, so you're covered. However, you should generally expect higher costs compared to freelancers.

Speaking of app development costs: Offshore development, such as in Asia, is a go-to for some companies to keep expenses low. While the quality of the app can still be solid, there are potential hurdles to keep in mind. Language barriers, time zone differences, and legal requirements like data protection could complicate the collaboration.

Your advantages

Potential disadvantages

Large selection

Choosing the right agency can also take a lot of time, and interpersonal harmony is necessary.

Secured service delivery, even in case of personnel shortages

Higher costs than with freelancers.

Service-oriented

Collaboration requires very precise instructions and onboarding time.

App Development with Building Blocks? No-Code & Low-Code Providers

With low-code or no-code, apps aren’t built using traditional programming languages or lines of code. Instead, logic and user interfaces are created graphically. While no-code requires no programming knowledge at all, low-code benefits from some coding skills, but offers far greater flexibility.

You can also outsource app development using these visual tools, as there are specialized providers for this type of app creation. Some app agencies utilize low-code or no-code environments. Platforms like Heisenware, however, offer this service themselves and can handle the app development for clients if needed.

Your advantages

Potential disadvantages

The costs are lower than if you were to have an agency develop an app from scratch, as many functions are already pre-made.

Since the functions are pre-made, not every special case can be represented without code.

Having an app programmed is therefore much faster.

The more pronounced the customization, the trickier it can become.

Deployment and operation are straightforward and incur minimal additional costs.

Low-code and no-code are primarily suitable for functional apps that, unlike consumer apps, do not have particularly high demands for graphics and user interfaces.

The app creation process is significantly more flexible and agile, allowing for many adjustments throughout the process.

There are certain limits to design, which is why these methods may be unsuitable for sophisticated consumer apps.

Interim results are functional and can be tested, and extensions can be easily added at the end.

 

 

No code, just visual functional modules. If this sounds interesting, you can also take a hands-on approach instead of leaving app development solely to service providers. Thanks to the high level of visualization offered by low-code platforms, you can create an app without any coding involved.

 

Why Have an App Developed Instead of Building It Yourself?

After reviewing the options, you might be considering who and what methods to use for creating a company app for internal use. Is it really worth hiring new specialists to implement the project in-house? The associated costs and the current shortage of skilled workers clearly argue against it. Would it be better to have the app developed externally instead?  

We've summarized the key points to provide you with an optimal basis for your decision:

  • Outsourcing app allows you to utilize your internal resources elsewhere without needing to dive deep into app development.

  • Resources are another factor that might lead you to consider outsourcing app development. You can communicate your requirements to the service provider, allowing you to avoid needing expertise or spending too much time on the project yourself.

  • If service providers are responsible for developing the app, they can often also be tasked with handling related follow-up tasks such as optimization, operation, updates, and maintenance.

  • While having an app developed costs money, it is justified because agencies, freelancers, or low-code providers deliver high-quality services. Still, it will likely be more cost-effective than hiring someone specifically for this project.

If you still prefer to develop the app in-house, low-code or no-code solutions might be an alternative to achieve your goals without needing additional specialists. However, you would need a team member with the capacity and a basic understanding of the subject matter.

Outsourcing App Development: Good Preparation is Half the Battle

While there are many advantages to outsourcing your app development, it won’t happen without some effort from your company. First and foremost, you should clarify a few essential points. Especially with complex projects, good preparation is a crucial milestone on the path to success. By following our checklist, you can feel well-prepared:

  • Identify and define the problem the app should solve: Outsourcing your app development just to have an app is the wrong approach and will waste your money. The app should provide measurable value and make work easier for your employees— for instance, by digitizing the process of reading and collecting machine data that was previously done manually.

  • Define your target audience and understand the users: The future users of the app should be identified from the start, allowing you to tailor the final product to their needs. Who is your target audience? What tasks should the app accomplish? What is their proficiency with app usage? When, where, and on which devices will they access the app?

  • Clarify the budget: Keep in mind that the investment will pay off in the long run if internal processes become more efficient. A plus for Low-Code solutions is that they typically come with lower costs than traditional programming.

  • Find your service provider: Key criteria for selecting a provider include their method for app development, industry-specific specialization, comparable case studies, and reliable professionalism.

  • Designate a responsible contact person within your company: When outsourcing your app development, there must be someone responsible for overseeing the project. If you aren’t taking on this role yourself, appoint a team member to act as the liaison with the agency or service provider. Communicate their responsibilities within the company to ensure everyone is informed.

Outsourcing: The Process with External Service Providers

You have carefully weighed the pros and cons, completed the necessary preparations, and decided that you want to outsource app development. What comes next? Each service provider or agency will have its own individual approach and may vary slightly in the subsequent steps.

However, in general, and regardless of who you choose to develop the app, you can follow these steps as a guideline for the process:

  1. Planning & concept: Since you're following our tips for preparation, you already know which problem the app is meant to solve. With your valuable input, your chosen service provider can work on the concept and solution path, considering what functions are needed and how these should logically connect to achieve the desired outcome.

  2. Design, UI & prototypes: The app needs to function technically, but a user-friendly, intuitive user interface significantly contributes to a good overall solution. Your service provider will now create mock-ups for you to review and develop prototypes that give you an initial impression of the finished product.

  3. Technical implementation: After you've approved the prototype, the app will be technically developed.

  4. MVP approach: Now comes an interim stage with the essential features, known as an MVP (Minimum Viable Product). Thanks to MVP development, this intermediate version of the finished app can be tested for suitability and used for feedback.

  5. Quality assurance (QA) & testing: It's time for the first test runs to check whether the solution developed so far works. This usually happens in a secure environment, allowing for errors to be fixed without much fuss.

  6. Deployment: Once all identifiable bugs have been resolved, the app you've developed can be launched. It is now available for users—your team or customers—to download and use.

  7. Training: Particularly for apps intended for internal use, training for your team can be beneficial. Depending on how digitally savvy your employees are, it would otherwise be a wasted investment if no one can use the custom-developed app.

A real Alternative? Benefits of Low-Code for App Development

What we just showed you is the process for when you have the app traditionally developed by a service provider. However, the whole process can look a bit different when you opt for Low-Code, which we introduced to you earlier. Here’s an overview of the key differences:

Developing an App with Low-Code

Having an App Developed "Traditionally"

Even though it's important for the requirements to be as concrete as possible from the beginning, you remain flexible with Low-Code even later.

Since you are working with external service providers, you need to clearly outline the direction early on. Later course changes can be challenging.

The time investment becomes much clearer, as you will know how long each development step actually takes.

The app is developed externally, which can make the time investment a black box. Additionally, the service provider must be proficient in project management and communicate the progress transparently.

You can gradually work toward the ideal solution. Intermediate results are usually already functional and can therefore be tested. The app development process is thus more agile.

When having the app developed, the testing phase, as shown above, comes relatively late, after many resources have already been invested. This can make any adjustments more difficult.

Thanks to pre-made functional modules, app development with Low-Code is often faster than traditional programming.

Even in traditional app development, existing frameworks are sometimes used. When it comes to speed, however, Low-Code usually has the edge due to greater modularization.

If the app doesn't have everything needed after deployment, you can easily retrofit with Low-Code.

If the delivered app does not meet all your requirements, you will need to renegotiate with your service provider and plan for an extension round.

Depending on what you have in mind, a Low-Code solution can be significantly more cost-effective than an external provider.

The costs for outsourcing app development depend on the requirements, the provider, and the market situation.

Developing on a low-code platform can be an efficient way to create internal apps. If you’re fundamentally convinced by the concept but prefer to outsource the app creation, that’s no problem. Heisenware takes care of this part for you on its own platform.

How to Find the Right Service Provider for App Development

The number of agencies and freelancers available for app development is substantial. But don’t worry about searching for a needle in a haystack. To simplify your selection, here are some useful points to consider.

Requirements

Even among app developers, there are specialists for specific application areas. Depending on the purpose of the app, some providers may be better suited than others. If you specifically look for specialists in your industry, such as manufacturing, your chances of finding a good match will increase, as these providers will be familiar with the requirements.

Technology

Even if you are outsourcing the app development and not handling it yourself, the underlying technology can be relevant for you. After all, you now know what classic programming and Low-Code applications entail, along with their advantages and disadvantages. If you are convinced of one technology or another, you can search accordingly.

Budget

The financial aspect cannot be ignored, and nothing is more frustrating than finding the ideal service provider only to be shocked by the quoted price. It can be helpful to specify a budget range in your initial inquiry, so both sides quickly know if it’s a feasible match.

Location

The topic of offshore development has already been mentioned. Consider whether you want the app developed locally or within Germany or Europe. Communication in a foreign language can often lead to translation errors, and differing cultural mindsets can also pose challenges. Political stability is not guaranteed in every country.

Platform

Depending on your identified target audience and how best to reach them, you should also consider the platform where the app will be available. Ideally, it should be accessible on all common platforms. Progressive Web Apps offer a significant advantage, as they only require a browser to be executed.

References

Take a look at the previous projects of the service providers: Can their results be transferred to your company? An agency focused on gaming may not be the best choice if you want an app for remote monitoring of machinery, for example.

How Long Does It Take to an App with Outsourcing?

Answering this question is about as straightforward as estimating the time it takes to build a house—it depends. Developing an app is complex, and the time required hinges on the specific requirements. The more complex the functions and the more refined the design, the more time you should allocate when outsourcing app development.

As a general rule, here are some time frames for conventional app development with service providers:

  • 1 to 2 months: If you’re having a very simple app outsourced.

  • 2 to 4 months: For an app with average features and moderate complexity.

  • 4 to 12 months: For a truly complex app ready for deployment. You'll notice that the time span varies here, which naturally correlates with the degree of complexity.

So, you'll need to exercise some patience if you're developing an app the traditional way. It can be significantly faster if you or your service provider leverage Low-Code. Since pre-built functions are used in this approach, you can expect an average time savings of 50% or more.

No Time for Code or Visual Programming? Outsourcing App Development Makes Sense

There are numerous good reasons to have an app developed instead of diving into code and visual programming yourself. The key is not finding a provider, as there are plenty of them. The challenge lies in selecting a service provider that best meets your needs and supports your company effectively. This article provides you with the criteria to make the best decision.

If you're looking to have an app developed for your company, we are here to help and show you the benefits of collaborating with Heisenware as a Low-Code provider. We look forward to your message!