In the past decade, technological advancement has been at the forefront of our society, changing the way we live our lives and the decisions we make. Part of this advancement is the increase in omnipresence of smartphones and their capabilities.
The majority of people across the globe rely on their smartphones to guide them through life, assist them in daily tasks, and provide for them information and services that make their days easier. It is for these reasons that more and more startup founders are looking for app development partners.
In fact, studies show that startups and small businesses with a mobile app component are valued at 825% higher than those without apps.
The Startup Landscape Today is More Competitive Than Ever
With nearly 100 businesses being launched every minute across the globe. Venture capital funding is also more prevalent than ever right now. For example, in industries like health technology, transportation, food, media, and wellness, there are billions of dollars dedicated to investing in new ideas in these sectors.
Although these sectors are leading in today’s startup sector, there are new small businesses popping up in all industries looking to make a difference in those areas. Despite this funding and volume of new launches, 90% of startups fail within their first five years.
Due to this shortcoming, many small business founders are looking towards mobile app developers to set themselves apart from the competition and expand on their business idea.
Smartphone and other mobile device apps have the power to be a key differentiator for startups and scale-ups wanting to survive their first five years. There are several benefits that experts have seen for startups and small businesses when their ideas are taken to new heights.
First, having a mobile app component ensures a better user experience. Phone apps are easy to access on any mobile device connected to the internet, and they are simple to use. This user friendly nature also fosters increased accessibility, for user demographics of all ages and abilities within the target audience.
Mobile App Development Partner for Your Success
Another benefit of mobile app expansion is an increase in return on investment (ROI). In fact, studies have shown that every dollar spent on user experience leads to a staggering 9,900% ROI, and 74% of organizations see positive ROI from their apps.
Manufacturing, telecom, and retail are leaders in types of companies that see a positive ROI; however, business services, financial services, and IT are also big players. This also leads to exceptional cost-effective growth for these small businesses and startups.
In terms of initial iterations, experts have seen lower costs over 2-3 months, with average costs for the actual app development, ensuring that the growth of the company is sustainable.
Having a mobile app as part of a small business venture also validates the business idea with potential investors. These components can demonstrate scalability and a strong market fit, as well as clear indication that the idea has piqued consumer interest.
Apps can also help to show the long-term vision and commitment of the startup, and the promise of projected profitability. Finally, apps can provide an additional source of revenue for growing companies. Especially with in-app purchasing being projected to reach over $185 billion by 2027, these streams of income have great power in making or breaking a company’s success.
There are several channels by which businesses can monetize their ideas through apps, including but not limited to subscription-bundling, in-app ads, app-commerce integration, and app-data monetization.
Conclusion
Fortunately, there are several app development partners that are dedicating time and resources into making it easy for startups and scale-ups to develop mobile apps and reap these benefits, even if these products and services were not mobile-first.
Glorify, Imobiliare, and Tenor are just some of the most successful apps built on startup ideas. These apps are now garnering millions of downloads and monthly users alongside thousands of positive ratings to date.
Success stories like these are on track to become more abundant, especially as new startups launched each day begin to take their ideas to new heights. There is no limit to small business growth with the help of a mobile app development partner, and the future is bright for those looking to survive their first crucial five years.
Source: Tapptitude
