According to a Gartner study, the estimated approximate amount to be spent on the connected things (IoT related services) for the year 2017 was ($235 billion) and it is predicted to reach a level of 14.2 billion by the end of 2019. The number of connected devices across the globe will also be increased by around 10 billion by the end of the year 2020.
Research by IDC (International Data Corporation) shows that market transformation due to IoT escalation has scaled up to approx 1.9 trillion in 2013 and will reach 7.1 trillion by the year 2020.
These stats draw a clear picture that the Internet of Things is making businesses agile, fast, user-engaging and most importantly connected with each other. The areas where IoT is predicted to be used are exponentially growing. However, with the expansion comes with a burgeoning question “What is the cost of building an IoT Solution?”
Before estimating the costs of developing an IoT app, you should have a clear answer to the following questions:
- What is the main idea or goal of your IoT app?
- Who will be the users of your upcoming IoT app?
- What benefits will you provide to the users through the app?
- What hardware are you going to use for the app development?
- What type of features will your IoT app have?
- What might be the possible challenges and issues of your IoT app?
It’s important to answer these questions as more details you provide to your IoT development partner, the better your app result will be. Getting an insight into each IoT app development phase provides the developer with a clear picture of the future app. It also saves a lot of time by eliminating the chances of making unnecessary corrections. So, it’s essential to give significant consideration to the above-mentioned questions.
Next, let’s move to the various factors that help in estimating the cost of developing an IoT app.
The time required to develop an IoT app
Development phase eats most of the time when it comes to creating an IoT app for business purposes. The process starts with app information analysis and proceeds to prototype development and visual design creation. The phases include features and functionality research, UI/UX design, interface design, logo, and icon selection.
Your IoT app development time also depends on the project size, use of new technologies and tools, uncertain integration requirements, a growing number of visual elements and complex UI and UX feature integration.
Every aspect which consumes time leads an app towards cost increment. Thus, you can expect high-cost for your IoT app if you wish to incorporate all the above features in your connected environment.
Integrating advanced features in your IoT app
Often your app may require advanced feature integration such as Payment Gateway, Geo-location, Data Encryption, Third-party API Integration, All-across device synchronization, Auto-learning feed, CMS Integration, etc.
Integrating advanced features like social media and geo-location functionality take much effort and time as compared to other simple features. This ultimately increases the app’s cost.
You can hire programmers for integrating these advanced features. Generally, hourly rates of professional designers and programmers depend on the region the developers reside, such as:
- The cost in Eastern Europe is $30-50/hour
- The cost in Western Europe is $60-130/hour
- The cost in North America is $50-150/hour
- The cost in India is $20-50/hour
Choose IoT developers accordingly by knowing the development cost of your region. Remember, the cost is just a rough idea and may vary with the app development requisites.
The team required for building an IoT app
Like any normal app, IoT app development also requires a team of diligent and skilled developers, who possess ample know-how of the latest technologies and development trends. Hiring experienced developers would unquestionably cost higher and lead your IoT app development process towards price expansion.
Your IoT app development team (with cost) may consist of
Front-end developer – $29.20 per hour
Back-end developer – $29.59 per hour
UI Designer – $41.93 per hour
QA Engineer – $45 per hour
Project Manager – $53.85 per hour
Business Analyst – $39 per hour
The cost mentioned above for each professional is gathered on an average basis. Calculating the total cost will give you the overall cost of IoT development. Don’t consider the aforementioned cost the final app investment as it may vary according to the project size, requisites, and other parameters.
Post app development support and maintenance
The development of IoT app doesn’t end at deployment, rather the real phase starts just after it. This is the post-production phase where the development company is supposed to provide after deployment support for the delivered project.
If you have hired developers for your IoT app development make sure that they are ready to offer you the best post-deployment support for your app. It can be related to adding new features to the app or resolving the issues found during app performance.
Also, make sure that they provide your app with a clear code so that anyone with the same skills can easily interpret and modify it to make future changes.
Cost based on the size of project or app
Generally, projects are categorized based on three sizes: small, middle and large.
As obvious, a small project or less complicated app costs less than a complex one. For example, the development of IoT applications for modern home appliances like a refrigerator or home theatre is much easy and cost-effective. On the contrary, if you wish to develop a self-driven vehicle, it would be an expensive plan to proceed.
Similarly, developing IoT application for ECG monitors incurs less cost approx 3000$ – 4000$ whereas the IoT system created for fitness machines requires around 30,000$ – 35,000$. This might not be the final cost of apps and you may also discover some hidden costs later on.
Conclusion
It is recommended to take the assistance of an IoT app development company, which has talented professionals to establish an in-depth IoT app development cost structure. Remember, the more complex your app is the more cost it will incur. So make a clear plan by understanding the needs of your customers while also thinking about the type of features your IoT app will have.
About The Author
Tom Hardy is a senior technology developer in Sparx IT Solutions. He always stays updated with the growing technology trends and also makes others apprised through his detailed and informative technology write-ups.