How to Start an App Business and Make it Work in 2021?

A Complete Guide On How To Start A Mobile App Business in 2021

Tricks and procedure to strategize and develop a smart app business.

Updated on :
January 22nd, 2021
Twinkle Kalkandha
Twinkle Kalkandha
Product Strategist

If you are thinking to start your own mobile app business, congratulations and best wishes for the same (from our end!!) are in order. It is definitely the smartest and one of the most futuristic business decisions nowadays. With the level of engage-ability and easy usage that mobile apps offer customers; they have become the chosen business platforms for startups, mid size businesses as well as the corporations the world over.  

There are more than 5 million app business out there in both the stores and another few thousands are being added every other month or so.

how to start an app business

With mobile apps and smartphone usage on an all-time high, they have also developed as a prominent marketing platform and option for all your other online assets as well. But, the issue is that there are just too many  app businesses out there already for competition. Moreover, the mobile app development is a time, cost and effort intensive task that would require immense focus and responsibility (towards your name and brand) on your part, apart from the above stated investments. Of course, you would not want all of this to go waste!!

Since you are aware about the usability of mobile apps, let us help you get on the bandwagon and to start an app business, the way it is meant to be. 

How to start an App based Business

Starting your own app business could be a complex and tedious task . Keeping in view the various nitty gritties involved and issues that can pop up from anywhere; they can actually halt or stall the whole process anytime. In order to avoid such unpleasant scenarios, it is always better to adopt a sequential approach for developing your mobile app business. This is the way you should go:

1. Get your goals and mobile app ideas straight

First and foremost, to start your own mobile app business; you should be crystal clear of what you want and how you want it  to be developed. You should have a clear roadmap as to where you want exactly your mobile app business to get placed?

Remember that as an app owner, you are the hunchman here and the reins as well as responsibility of your mobile app idea, its development and success rests on your shoulders!!

Get going and if possible, jot down or clearly draw pointers that you think clearly state as to what you expect from your app. Before you start a mobile app business, you should be answering these questions, to ensure the viability of your mobile app:

  • What are the basic goals of your app?
  • What products or services do you intend to provide?
  • Define different milestones for the complete app development roadmap
  • How will your app be unique?
  • Why will your intended user download your app?
  • Accessibility and app navigation plans, if possible.
  • App monetization strategy

Once you have clear cut solutions to all the above points, you are ready to lookout for markets and app developers that can begin working on your mobile app business.

2. Market research is a must

You cannot start your own mobile app business, until and unless you have a clear knowledge of your markets and intended customers.

 Be clear, you are not getting into the mobile app business, just to make an app for the app store. You need to get it out and accepted by your intended users. So, try and understand what these users are expecting and what are their requirements. You need to be clear about:

  • Which market segment do you intend to target in particular?
  • What are the user expectations from your industry in general?
  • Is their market gap for your kings of product and services?
  • What you think would be your USP in the market on the whole?

Once you have a clear vision  of your targeted market, try analyzing them to evolve your market strategy. For instance: If you intend to target masses at large, you should aim your mobile app business to inculcate a straight and clear cut app design with the use of basic UX and other technology platforms. If your audience is knowledgeable about use of technologies, you could choose to go for layering of UX  as well as ample use of futuristic development trends like VR, AR, etc.

You also need to lookout for the existing industry competition to eminently understand how to start a mobile app business. Look around and analyze:

  • Which businesses are your major competition?
  • What has worked in their favor?
  • What have been their weaknesses and strengths?
  • Their app marketing strategy mistakes and its inclusions.

Once you are clear about your competitors and their strategies, you can innovate on your app development plan and marketing strategy to include their strengths and some of your own innovative ideas to negate their strategy weaknesses in your strategy.

3. Finalize your app development platforms

Once you are clear about your targeted audiences and your market, you need to decide on the app development frameworks and platforms that you intend to target.

To start an app business, you would have to finalize that you would want an app on the android store, iOS store or both (as these are the only two app market platforms). You will have to look at your target customer base. For instance, if you are offering a product or service for people with lower incomes, you could choose to skip the iOS app, or get it developed later. Also, keep in mind that though android developments are a bit costlier, they tend to reach a wider user base.

start an app business

Another aspect to finalize herein is to choose from native and  hybrid app development for your mobile app business:

Native apps: Native apps are installed on the user apps through the two app stores. They easily utilize all smartphone features and render great 3-d effects for games, etc. As they are developed separately for both the platforms, they require high app development time and costs.

Hybrid apps: These are mobile apps that include a website-like view, which seems to run a web application inside a native app, using a wrapper- kind of framework to communicate with the native device platform as well as the web view. Hybrid apps are thus, web applications that can run on a mobile device and access the device features, eg: GPS, etc.

Once you are clear  with all these app requirements, you will also have to finalize your budget to start app business.

4. Finalize your budget

A very important step of ‘how to start an app startup’ is to finalize the amount of money you can and would spend on a mobile business app.

For this you would need to have an idea of how much an app cost in general. This basically depends on the kind of app you have in mind. Be it a simple, somewhat complex or a really complex app design; app developer costs will vary as per your mobile app business choices.

It will give you a clearer idea about the amount of funds you would need for your mobile app business to develop. Before you begin starting a mobile app business, you would have to figure out the sources for this investment. It could include your savings, family money, loans from family or friends, liquefying assets or finding apt investors who you think might fund your app idea and its development.

You can then clearly bifurcate the amount of funds you are willing to invest in various aspects of app development at different stages

mobile app business

Also, keep in mind that apart from the straight costs; there would be app development hidden costs like publishing price, marketing costs, app maintenance costs, app updation costs, etc. that would go into starting your own app development business.

5. Find the right app developer partner

Until and unless you yourself are a top app developer, you would require to hire an app developer who could do the desired task for you.

To develop a startup app, you will have to look for an app making company or freelance developers that can become your app development partner in the long run. You will have to choose from hiring:

  • In-house developers: You could employ mobile app developers with the requisite experience and toolset as regular business employees and pay them on a per month basis. Finding the right app developer, training them and then investing on requisite digital platforms separately becomes an issue with them.
  • Freelancers: You could also choose to hire freelancers and remote developers that are experts in their development technologies and ask for per hour payments.  Herein, for starting your app development business you can hire offshore app development teams as well. 
  • Outsourcing app development: The most common choice of entrepreneur is to completely outsource app development to the most suitable app development company. They already have a team, tool set and expertise to get the task done well.

You would first have to shortlist and find the best app developers as per your budget and expertise requirements. For this, you could search within your network or browse through  app developer directories like appdexa, that provide comprehensive listings of these app development companies, complete with their technologies and user reviews. These platforms help to simplify the complexities of ‘how to start an app based business’. 

6. Create a marketing plan

Your mobile app business is nothing until it gets found by your intended users.  For this, apart from development you would have to strategize a complete app marketing plan that would help highlight your mobile app.

start a mobile app business

You should thus, plan to launch a mobile marketing campaign before and after your mobile app launch. Analyse how do you plan to:

  • Develop your branding in terms of color options, logo, etc.
  • Create content as per your user requirements.
  • Consolidate your marketing channels within your marketing strategies. You could herein make your presence felt through paid marketing, social media marketing, organic discussion forums, etc.
  • You could also plan a launch event or provide launch offers to new customers for initial downloads.

This should also include proper analysis and insertion of keywords within content, as well as other strategies for complete app store optimization

7. Look to develop ‘a safe app’

With banking transactions, investment options, payments, etc. also going mobile; mobile app security is already a big issue and tends to become a bigger one in the coming times. So, when you are looking out on how to make a business app, you should choose to develop an app that is safe for the users in the long run.

It is quite possible that your mobile app itself may not include payment options. But, hackers can use your app to gain access to your users smartphone and steal from other apps. So when you intend to create an app for business, try beforehand to communicate clearly with your app developer company about the requisite mobile app security practices and guidelines. Strategizing on this aspect of app development will also help you take legal advice as and when required. 

Wrapping it Up

Once you are clear on all the above stated requirements and have a well-defined strategy to realise each of them; your comprehensive business plan of starting an app company is complete. We hope that these procedural steps will help you develop an app business that is not only successful but also complete in all aspects.

Next up

Looking to start a new business? We have sieved through a list of good app ideas that can help you find your next venture option successfully through a mobile app.