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On Demand Service App Development Cost- Detailed Guideline

Estimating the on demand service app development cost is one of the biggest challenges developers and entrepreneurs face. There are features to consider, the tech needed to make it work, and of course, how you want it to look. 

It’s easy to get lost in the details and end up with unexpected expenses or as a developer getting underpaid. 

But the cost shouldn’t be a surprise. 

It should be clear and predetermined to avoid any type of scope creep. 

So, I’m here to help you plan for your next big project without any cost surprises. After extensive research and studying competitive market practices, I have come up with a breakdown of all the different cost components involved in the process.  

Without any delay let’s get started!

Factors Affecting On Demand Service App Development Cost 

So, you’ve got your amazing on-demand app idea brewing and ready to bring it to life. 

But before diving into the development phase, you should know about the ABCs. It’s the factors that are associated with on demand service app development process. 

By knowing what affects the cost, you can plan the financial part better and ensure the hard work behind developing the app doesn’t go in vain. 

Here are the key elements you need to consider:

1. App Complexity

Development cost rises with the number of features included in the app. Basic on demand service applications with simple functions will cost less, while apps with advanced features like real-time tracking, multiple payment options, and user profiles will be more expensive. 

2. Design Requirements and User Experience

Design and user experience are tightly intertwined. A well-designed app can make a huge difference in user experience. If the app requires a unique and engaging design, the charge should increase in proportion to that. That is because custom designs take more time and resources compared to using standard templates.

3. Platform Choice

If the target audiences are users of both Android and iOS devices, then the app needs to be developed for both platforms. That simply means the developer is building two separate apps which doubles the cost. 

4. Development Team 

The experience of a developer or the development team makes a huge difference in the cost. Generally, developers in North America and Europe tend to charge more than those in Asia. However, higher costs often come with better quality and experience.

5. Third-Party Integrations

Integrating third-party services such as payment gateways, social media logins, and maps can improve the app’s features, but it also involves extra expenses.

6. Maintenance and Updates

App development doesn’t end with launching. If you get the contract of regular maintenance, updates, and bug fixes as a developer, be sure that you are counting a few more notes on your bill.  

7. Testing and Quality Assurance

Continuous testing is necessary to ensure the app is performing as expected and bug-free. This requires investments to ensure the user experience is top-notch and the business runs smoothly.

On Demand Services App Development Cost

So, how much will it cost to build an on demand home service app from scratch? In this section, I’ve created a detailed breakdown that includes development costs, timelines, and the number of experts required to do the job. 

Let’s have a look at the development cost depending on different stages of the development: 

Phase 1: Planning & Design 

Development Stage Number of Experts Required Cost Range 
Analysis, Planning, Prototyping1-2$5,000 to $10,000
UI/UX Design1-2$5,000 to $15,000

Phase 2: Development & Testing 

Development Stage Number of Experts Required Cost Range 
Frontend Development2-3$10,000 to $30,000
Backed Development2-3$15,000 to $50,000
API Development ( if needed ) 1-2$5,000 to $15,000
Testing and QA1-2$5,000 – $15, 000

Phase 3: Launch & Maintenance (Ongoing)

Development Stage Number of Experts Required Cost Range 
Deployment and Launch1-2$2,000 to $5,000
Post-Launch Support & Maintenance1-230-45% of development cost (annually)

Total Estimated Cost Range: $47,000 – $140,000

Here is a step-by-step breakdown of all the development stages of an on demand home service app

1. Discovery and Planning (2-4 weeks):

  • Requirement gathering and analysis
  • Market research and competitor analysis
  • Creating user personas and defining features
  • Wireframing and prototyping

2. UI/UX Design (4-6 weeks):

  • User interface design
  • User experience design
  • Design iteration and feedback

3. Frontend Development (6-10 weeks):

  • Implementing designs into code
  • Building user interfaces and navigation
  • Integrating design elements and animations

4. Backend Development (8-12 weeks):

  • Setting up server infrastructure
  • Developing APIs and databases
  • Implementing business logic and algorithms

5. API Development (4-6 weeks):

  • Integrating third-party services or APIs
  • Building custom APIs for app functionalities

6. Testing and Quality Assurance (4-6 weeks):

  • Manual testing for functionality, usability, and performance
  • Bug fixing and issue resolution
  • User acceptance testing (UAT)

7. Deployment and Launch (2-4 weeks):

  • App store submission and approval process
  • Setting up deployment environments
  • Launch marketing and promotional activities

8. Post-Launch Support and Maintenance (Ongoing):

  • Monitoring app performance and user feedback
  • Regular updates and bug fixes
  • Scaling infrastructure as the user base grows

Please note that the number of experts required can vary based on the project’s complexity and the team members’ skills. 

Additionally, these are rough estimates, and the actual cost and timeline may vary based on specific project requirements and team capabilities. It’s essential to consult with your development team to create a detailed project plan and budget tailored to your needs.

Tips to Optimize Your Development Budget

For businesses trying to develop and launch their on demand delivery app, I know you don’t want to exacerbate your financial challenges. That’s why, this section of the blog is dedicated to anyone trying to launch their on demand business and developers trying to help them build one within a fair and optimized budget. 

1. Prioritize features 

Focus on essential features first. List what your app must have and what can wait for future updates. This helps developers focus their efforts and entrepreneurs ensure the app prioritizes user needs.

2. Compare development options 

Look into different development options like hiring freelancers, partnering with development agencies, or using in-house teams. Each option has its pros and cons.

Also, don’t settle for the first quote you receive. Get at least two or three to compare and decide wisely. Remember, the cheapest option isn’t always the best –  look for a good balance between cost and quality.

3. Use Agile development 

Agile development allows for flexibility and continuous improvement. By breaking the project into small, manageable tasks, you can adapt to changes without significant budget overruns.

4. Explore pre-built solutions 

Save time and money by using pre-built solutions or templates for your app. Many of these options are customizable, so you can easily tailor them to meet your specific needs. It’s a great way to quickly launch your app.

5. Effective resource management 

Efficient use of development resources, such as developers, designers, and project managers, is crucial. Collaboration between developers and entrepreneurs to establish clear project scope and effective communication channels can minimize rework, prevent delays, and maximize the value of development time.

6. Plan for scalability 

Design your app with future growth in mind. It’s more cost-effective to plan for scalability from the start than to make major changes later.

7. Be clear on scope creep 

To avoid budget issues, it’s important to clearly define the features and functionalities of the app upfront. This should be included in the development contract for developers and the project briefing for entrepreneurs to prevent scope creep. 

8. Opt for a ready-made solution

You can cut off every cost related to development if you go for a readymade solution. With a ready-made on-demand service app solution, you won’t even have to build a team or hire professionals. As a developer, you can complete your projects within time and take on more if you use a market ready solution for your clients. It saves time, and resources on both ends and ensures the business is ready to launch.

Ready-Made On-Demand Apps vs. Building from Scratch

From the budgeting tips, we have learned about ready-made apps that let you launch the business immediately. 

But how are they different from the apps you build by hiring a developer or development team? 

How can a readymade app help make a developer’s career easier? 

All the answers have been jotted down in the table below, let’s have a look-

AspectReady-Made AppBuilding from Scratch
Time to MarketQuick deployment Longer development time
Customization OptionsLimitedFully customizable
Cost Lower upfront costHigher upfront cost 
Features Pre-defined set of features Customizable features 
Maintenance and UpdatesManaged by app providerRequires ongoing maintenance 
Integration with Existing Systems Limited Seamless integration 
Flexibility in Design and Functionality Limited Complete flexibility
Branding and User Experience Limited customization optionMaximum branding and UI/UX design
Technical Expertise MinimalRequires experienced developers 
Support and DocumentationManaged by app providerRequires development team to manage 

Table: Differences between Ready-Made On-Demand Apps and Building from Scratch

Benefits of Using a Ready-Made On Demand Service App for Your Business

Now that you know the importance and benefits of using a ready made solution, I want to make your next step a bit more easier. 

If you’re looking for a faster and more cost-effective solution, consider pre-built app options like Demandium.

Thinking what it is? 

It’s a ready-made on demand service app development solution that you can launch your business with quickly. 

This complete package includes: 

  • Admin Panel 
  • Provider Panel
  • User App 
  • Flutter Web App 
  • Business Website 
  • Provider App 
  • Serviceman App 

Demandium is a great option for entrepreneurs who want to launch their on demand service business quickly and affordably. Developers can also benefit from the pre-built structure and customization options.

Final Words 

Whether you’re a developer or entrepreneur, understanding the factors behind on demand service app development costs can help you in the long run. It’s not just the cost, it’s an investment towards the future. 

Remember, planning and clear communication are key to avoiding unexpected expenses. I hope this blog has equipped you with enough knowledge to take your first step toward building something truly groundbreaking. 

See you in the next one.


What is the cost range for developing an on-demand service app?

The cost typically ranges from $47,000 to $140,000, depending on various factors like features, design, and development team location.

Can I reduce app development costs by using pre-built solutions?

Yes, using pre-built solutions can significantly reduce costs for entrepreneurs. Also, it helps in reducing development time so that the developers can focus on working on more projects without any hassle.

What is scope creep, and how can it affect my development budget?

Scope creep refers to adding new features or functionalities to your app after the initial development plan has been agreed upon. While these additions might seem like improvements, they can significantly impact on project timeline and unexpected technical challenges.