Why Outsourcing Web App Development Makes Sense for Both Startups and Enterprises?

Outsourcing web app development has become a worldwide practice today owing to the countless practical benefits it offers. With that in mind, the right outsourcing partner can help quicken your web development cycle and offset attrition and hiring costs associated with creating your web presence.

Not to mention easing the process of hiring an expert team that can enhance your website UX and ensure the success of your web funnel.

Doesn’t matter if you are a startup or an enterprise-level organization, outsourcing can help you save a lot of resources that you can use somewhere else to flourish.

For example, if you are a budding startup, outsourcing can help you save an enormous amount of money that you would otherwise spend in hiring and establishing an in-house IT team. Or, if you own an established business, outsourcing can serve your growing IT needs so that you can focus on expanding and scaling your business to the international markets.

Moreover, you get access to the top-notch global talent when you don’t restrict your hiring to the local markets and you end up finding more qualified professionals than locals. Let’s get to know more about the benefits of outsourcing web app development in the next sections.

Why Should You Outsource Web App Development Projects?

There are many reasons why entrepreneurs and tech managers prefer outsourcing web app development projects. While the main reason may vary depending on the company’s needs and goals, this whole discussion boils down to the common benefits outsourcing provides to all businesses. As per Deloitte research, while 59% of companies outsource web development to save money, 57% say that outsourcing lets them focus on their core business operations.

1. Top-Rated Experts at Service

Developing a robust website that provides a seamless user experience requires a team of technically proficient and highly skilled developers. In such a situation, if you limit your hiring process to just local teams of developers, it is hard to find one in the desired period. But, if you choose to outsource, you get to choose from a vast pool of talent around the globe.

Establishing a team of skilled web developers locally requires a lot of resources. Additionally, as per Glassdoor, in countries like the USA, France, and Canada, a continuous increase in time was observed while hiring developers due to the scarcity of resources. While it takes around 48 days to hire an IT specialist, around a month is needed to recruit a senior developer.

Now let’s imagine you need to hire developers skilled in developing web apps with AR and VR capabilities. They are very hard to find and if you just have to develop one web app – it is a very costly option.

On the other hand, if you find an outsourcing partner, you get access to a ready-made team of developers in just 2-3 days so that you can start the development right away and deliver on time. After your project is completed, you can either decide to work with them for maintenance or part ways. No commitment! No hassles!

2. Lower Pricing

Another reason why outsourcing works for almost everyone is cost savings. Hourly rates of web developers vary from country to country. For example, the rate of developers in North America varies between $120-$180 per hour. But, you can hire developers with the same proficiency for a lot less in other countries. Asian developers work for around $30-$80 per hour and are very particular about product quality and timelines.

By outsourcing development, you also save on hiring and infrastructure expenses. If you plan to establish an IT team in-house, you would have to spend a lot on buying or renting office space, purchasing IT equipment, and paying electricity bills.

You can invest this saved money somewhere else in your business and it will be a win-win. Moreover, if you are a startup, you know every penny saved will have a considerable impact on your business.

3. Scale Your Project As Per Your Needs

When developing a product, you sometimes require more developers than you currently have to work on your project. In such a case, you need to expand your in-house team by recruiting more staff. But, recruiting a skilled developer requires a lot of time. Also, till the new staff is onboarded, your work can not progress and it may affect your delivery.

Even if you hire a developer on time and complete the project – what are your options? You will either have to terminate the individual which will have a very negative impact on your reputation or you will have to pay him continuously for months even if your project doesn’t need the additional resource.

But, if you choose to outsource your web development project, there will be no such problem. Increasing the size of the offshore team is a lot simpler than adding new resources to your in-house team. You can always scale up and scale down as per your business needs.

4. Helps You Focus More on Business Side

The main benefit of outsourcing web app development is that it allows you to focus on expanding your business and generating revenue. As a business owner, you know that there aren’t enough hours in a day. And, if you manage the technical part of your project yourself, it will take a lot of time and you won’t be able to focus on other strategic work.

Outsourcing development enables you to dedicate yourself totally to the business side of the project. You can spend more time on marketing, raising funding, pitching investors, and improving the monetization model of your product. Once you find an ideal outsourcing partner, you just need to complete the discovery phase and set timelines for the development team to deliver tasks. After that, you just need to approve the work or provide your feedback as a client.

5. 24/7 Support

Most experienced outsourcing organizations try to form long-term relationships with clients. As a result, they help you not just with the tech part of the project, but also in establishing your business. Here in Netsmartz, for instance, we always conduct market, user, and competitor research before we start working on any client project. It is essential for developing a successful and profitable product.

3 Examples of Companies That Outsourced Their Web App Development Projects

Hiring professionals for a job that doesn’t need in-house efforts can be the difference between a successful and failed startup. Here are some of the big brands that outsourced their development projects at the startup stage and are now having valuations in billions.

Github

Github, one of the most famous platforms among developers, was launched in 2008 to add, edit, and store code samples. But, being a startup, they lacked funding to establish a full-fledged team of back-end developers that could scale the project.

Thus, they leveraged the outsourcing model. They hired a talented developer named Scott Chacon and scaled their project as per the needs. In the start, they hired Chacon as a consultant but later on, he worked on the team’s project full-time. At present, Github has over 24 Million active users and around 96 Million projects posted.

Fab.com

The founder (Jason Goldberg) of fab.com spent around a month developing the website for the platform. He outsourced website development to people outside the USA and saved a lot of resources in terms of time as well as money. Just after a few weeks of its website development, the business received $1 Million in funding.

Google

Google is one of the biggest names in the tech world and it also relies on outsourcing for many of its projects. It calls its outsourcing developers – contractors.

As per a report by Bloomberg, the company’s contractors outnumbered their direct employees in 2018. These contractors help Google remain profitable every year and also covers for their in-house team members when they aren’t available due to whatever reasons.

Wrapping Up

The above-listed advantages show why organizations prefer outsourcing. We live in an era dominated by technology, and organizations need to deliver quality products fast to get traction in their respective industries.

Investing in an outsourced/offshore team having all the required skills to work on your project pays off in the long term. With the rise in remote working technologies, it’s simpler now to work with third-party developers, and with the right strategy, you can accomplish wonders.

Here’s a small guide to get you started on the basics of hiring a remote outsourcing team.

And If you’re keen to learn more, you can gain some insight through Netsmartz’s Build your Team services and our engagement models.