Planning to outsource app development? Here’s what you need to do to maximise ROI

Outsourcing mobile app development has become a strategic decision for many businesses. This approach allows companies to tap into global talent, reduce overhead costs, and focus on their core competencies.

However, the success of this strategy hinges on maximising the return on investment (ROI).

This article provides a detailed guide on how to navigate the process of mobile app development outsourcing to ensure maximum ROI.

Understanding outsourcing and ROI

When you outsource mobile app development, it involves delegating the app development process to an external app development team. This could be a dedicated team from a software development company specialising in mobile app development.

The benefits of this approach include access to a wide range of expertise, cost-effectiveness, and the ability to scale up or down based on project requirements.

ROI, in the context of app development, is a measure of the financial return you get from the investment made in the app. It’s calculated based on the app’s revenue generation, user engagement, and other performance indicators relative to the cost of developing the app.

Pre-outsourcing phase: Planning for ROI

Before outsourcing app development, it’s essential to have a roadmap in place. This roadmap should be aligned with your overall business strategy and should clearly outline what you aim to achieve with your app. Here’s how you can go about it:

1. Define your app’s objectives

Start by asking yourself, “What do I want my app to achieve?” Your objectives could be varied, such as:

Increasing customer engagement: Are you looking to create a platform where your customers can interact with your brand more effectively?

Entering new markets: Is your app a tool to break into a new demographic or geographic market?

Improving operational efficiency: Perhaps your app is intended to streamline certain business processes?

2. Identify Key Performance Indicators (KPIs)

Once you’ve defined your objectives, the next step is to determine how you’ll measure the success of your app. This is where KPIs come into play. KPIs are quantifiable measures that can help you gauge your app’s performance. Here are a few examples:

Number of app downloads: This is a straightforward metric that gives you an idea of how many users have shown interest in your app.

User engagement rates: This could include metrics like daily active users, session length, and interaction per session.

In-app purchase rates: If your app includes in-app purchases, tracking this metric can give you a direct measure of revenue generation.

Identify the consultants you need

During the pre-outsourcing phase, it’s important to identify the specific expertise you require to bring your app vision to life.

The specific roles required for your project may vary depending on the complexity of your app, your business requirements, and your team’s existing skill set.

Consider the following roles:

Project Manager: A project manager oversees the entire app development process, ensuring that tasks are completed on time, budgets are adhered to, and communication flows smoothly between team members and stakeholders.

Mobile App Developer: Mobile app developers specialize in coding and programming, and they are responsible for building the app according to the defined specifications and requirements.

Backend Developer: Backend developers focus on building and maintaining the server-side components of your app, including databases, APIs, and server infrastructure.

Quality Assurance (QA) Tester: QA testers rigorously test the app to identify any bugs, errors, or usability issues. They play a crucial role in ensuring the app’s quality and stability.

Data Analyst: A data analyst can help you interpret the data collected from your app, analyze user behavior patterns, and provide insights for making data-driven decisions.

Security Consultant: If your app deals with sensitive user data or transactions, a security consultant can help ensure that your app follows industry best practices for data protection and cybersecurity.

UI/UX Consultant: If you want your app to have an intuitive and visually appealing user interface, a UI/UX consultant can provide valuable insights and recommendations.

Technical Architect: A technical architect can help you design the app’s architecture and ensure its scalability, security, and performance.

Marketing Consultant: If you need assistance in developing a comprehensive marketing strategy for your app, a marketing consultant can guide you in identifying target audiences, positioning your app, and creating effective promotional campaigns.

Business Analyst: A business analyst can help you analyze market trends, conduct competitor research, and identify potential monetization strategies for your app.

Choosing the right outsourcing partner

Finding the perfect outsourcing partner for your mobile app development project is no small task. It’s a decision that can make or break your project’s success. Here’s a more detailed, human-centric approach to guide you through this critical process:

1. Track record and relevance

Start by looking for app development companies or consultants that have a solid track record. But don’t stop there. Make sure their experience is relevant to your project. Ask yourself:

Have they worked on similar apps before?

Do they understand your industry?

Can they show you case studies or examples of their work?

2. Technical expertise

Technical expertise is non-negotiable. The consultants you choose should have a team of skilled app developers who are up-to-date with the latest technologies and trends in mobile app development. Consider the following:

What technologies do they specialize in?

How do they stay updated with the latest trends and technologies?

Can they handle the specific technical requirements of your app?

3. Business understanding

A good outsourcing partner doesn’t just write code; they understand your business goals and can translate them into a successful app. They should be able to grasp what you’re trying to achieve and suggest the best way to get there. Consider:

Do they take the time to understand your business and your goals?

Can they provide strategic input based on their understanding of your business?

How have they translated business goals into successful apps in the past?

4. Communication and transparency

Good communication is the backbone of a successful outsourcing relationship. The company or consultant you choose should value transparency and open dialogue. Here are some points to consider:

How will they keep you updated on the project’s progress?

Are they open and clear about their processes, timelines, and costs?

Do they encourage feedback and are they responsive to your queries?

Remember, choosing the right outsourcing partner is not just about their technical ability. It’s about finding a company that understands your business, communicates effectively, and can work with you to turn your app idea into a successful product.

Managing the outsourcing process

Once you’ve selected your outsourcing partner, the real work begins. Effective project management is more than just ticking off tasks on a checklist. It’s about fostering a collaborative environment, setting clear expectations, and maintaining open lines of communication. Here’s how you can humanise the process:

1. Setting clear expectations:

Define the Scope: Clearly outline what you expect from the outsourcing company. This could include specific features of the app, the user interface design, or the backend functionality.

Set Realistic Deadlines: Work with your outsourcing partner to set achievable deadlines for each phase of the project.

Establish Quality Standards: Define the quality standards that the app should meet. This could relate to the app’s performance, user experience, or security features.

2. Defining milestones:

Break Down the Project: Divide the project into manageable parts or ‘milestones’. This makes the project less overwhelming and easier to manage.

Celebrate Milestones: Celebrating when a milestone is achieved can boost morale and motivation. It’s a human way to acknowledge the hard work of the team.

3. Maintaining communication:

Regular Updates: Schedule regular meetings to discuss progress, address issues, and make necessary adjustments. This keeps everyone in the loop and ensures that the project stays on track.

Open Dialogue: Encourage open and honest communication. This can help to quickly resolve any issues and fosters a positive working relationship.

4. Using project management tools:

Track Progress: Use project management tools like Asana, Trello, or Jira to keep track of tasks, deadlines, and progress. This can help to ensure that everyone is on the same page and that the project stays on schedule. Asana, Trello, Jira

Share Documents: Utilize these tools to share documents, designs, and other resources. This ensures that everyone involved in the development process has access to the information they need. Whether it’s design mockups, project specifications, or relevant documentation, tools like Google Drive, Dropbox, or Microsoft SharePoint allow seamless collaboration and easy access to shared files. Google Drive, Dropbox, Microsoft SharePoint

Post-development: Maximising ROI

Once your app is developed, it’s time to shift your focus towards maximising your return on investment (ROI). To ensure that your app achieves its full potential and generates significant returns, consider the following steps:

Rigorous Testing: Thoroughly test your app to ensure it functions flawlessly across different devices and platforms. Identify and fix any bugs or performance issues that may arise. A seamless user experience is crucial for attracting and retaining users.

Strategic Marketing: Develop a comprehensive marketing strategy to promote your app and attract a wide user base. Consider leveraging various channels such as social media, app store optimization, influencer partnerships, and targeted advertising. Effective marketing will drive user acquisition and increase your app’s visibility.

User Analytics and Feedback: Utilize analytics tools to gain insights into user behavior, engagement, and retention. Analyze data such as user demographics, session duration, and in-app actions to identify areas for improvement. Additionally, encourage users to provide feedback through ratings, reviews, and surveys. User feedback is invaluable for understanding user preferences and addressing any concerns.

Continuous Optimization: Regularly monitor your app’s performance against the KPIs you’ve established. Identify areas where your app may fall short and implement iterative improvements. This could include enhancing features, streamlining the user interface, or addressing performance bottlenecks. By continuously optimizing your app, you can ensure that it remains competitive in the ever-evolving app market.

The success of your app relies on its ability to provide value to users. By investing time and effort in testing, marketing, user analytics, and continuous optimization, you can maximize your ROI and create a sustainable app business.

Conclusion

Outsourcing mobile app development can be a strategic move that brings significant benefits. However, maximising ROI requires careful planning, choosing the right outsourcing partner, effective project management, and a strong post-development strategy. By following the guidelines outlined in this article, you can ensure that your outsourcing strategy delivers the maximum return on your investment.