Before diving into app development for your business, it’s crucial to address a few fundamental questions. Don’t start with an RFP (most top-tier development firms won’t respond to them), don’t start contacting developers, and refrain from budgeting just yet.
To prevent wasting time and resources, start by making sure you can answer these three key questions:
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Is Your App Consumer-Facing or Internal?
The type of app you plan to build significantly impacts its scope and potential return on investment (ROI).
- Consumer-Facing Apps: Examples include Instagram, Uber, and Grubhub. These apps cater directly to your customers and need to be intuitive and engaging.
- Internal Productivity Tools: Think of apps used by restaurant servers to take orders or shipping company workers scanning packages. These are designed to enhance internal processes and efficiency.
Identifying your target audience early on is beneficial, especially for testing purposes. Whether it’s consumers or employees, their feedback will be invaluable, which we’ll explore more in the third question.
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What Value Will the App Bring to Your Business?
Determining the value of your app is a critical step before any development begins. An app must provide clear, measurable benefits to your business.
- Internal Applications: Value might be seen in increased efficiency, quality improvements, revenue boosts, enhanced customer satisfaction, or staying competitive. ROI calculations should be straightforward (Spending X should yield X+Y).
- Consumer-Facing Applications: Understanding your customers is key. Determine what unique needs your app will meet that current solutions do not. For instance, if you own a restaurant considering a food delivery app, ensure there’s a compelling reason for customers to choose your app over existing ones.
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Which App Functionality Will Have the Most Impact on Your Business and ROI?
Identifying core functionalities for the initial version of your app is essential. Software projects typically progress in phases, so not every feature will be included from the start. Focus on the functionalities that offer the highest value first.
This lean development approach saves costs and reduces risks by avoiding unnecessary features. User feedback will be critical in refining and expanding your app’s capabilities over time.
Bonus Consideration: Justifying the Cost
Custom software can be costly, with prices reaching hundreds of thousands of dollars depending on complexity and functionality. However, don’t be deterred by the initial investment.
Consider the long-term benefits and potential ROI. Apps can evolve and adapt to new challenges over time, spreading the initial costs across their lifespan. Remember to factor in additional costs such as servers, hosting, and marketing.
Moving Forward
Once you’ve defined the type of app, its value, and core functionalities, the next step is to consult with a technology firm. They can provide insights into feasible features, initial and ongoing costs, and help you move forward with development. So, what are you waiting for? Get started on your app journey today!
