Market Insights – Why IT Outsourcing To Vietnam?

Over the past decade, IT outsourcing has proven to be a strategic choice for businesses seeking to accelerate software development, shorten time-to-market, cut costs, and fill skill gaps. In fact, Clutch reveals that 90% of small businesses turn to outsourcing business tasks to foster growth and reduce wage expenses by 70% to 90% in top outsourcing hubs like Vietnam and the Philippines. However, to fully realize these advantages, it’s important to have clear guidelines to effectively outsource development team. Failing to do so can result in project delays, increased costs, and underperforming products. So, how can companies choose and manage an outsourced development team for maximized success? Keep reading to find out! Table of Contents Toggle What is an Outsourced Development Team?How to Find the Best Outsourced Development Team?Step 1. Clearly define the projects for outsourcingStep 2. Decide on the relationship-based type of outsourcing modelStep 3. Determine the budgetStep 4. Choose the geographical outsourcing strategyStep 5. Start searching for potential outsourced development teamsStep 6. Review their portfolios and domain expertiseStep 7. Check their testimonials and referencesStep 8. Assess their communication skillsStep 9. Evaluate project management capabilitiesStep 10. Consider their cultural fit8 Tips to Manage an Outsourced Development Team EffectivelyWhy Build an Outsourced Development Team with LTS Group?When is the Right Time to Hire Outsource Software Development Team?FAQs about Outsourcing Development TeamFinal Thoughts about Outsourcing Development Team What is an Outsourced Development Team? An outsourced development team refers to a group of skilled professionals from an external company brought on board to handle specific software projects. These teams typically include software developers, product owners, project managers, business analysts, and other specialists. What is an Outsourced Development Team? The team members may operate from various locations globally, providing access to a diverse set of skills and knowledge that may not be readily available within the organization. By leveraging this approach, companies can tap into a broader talent pool that accommodates a wide range of IT outsourcing trends and speed up project timelines without the financial burden of hiring full-time staff. How to Find the Best Outsourced Development Team? With countless IT outsourcing companies available, it can be challenging to identify the right partner and narrow down their options. Follow this step-by-step guide below to outsource a full-stack development team successfully. How to Find the Best Outsourced Development Team? Step 1. Clearly define the projects for outsourcing The first step to take is to articulate the scope and objectives of the projects intended for outsourcing. This includes specifying the technologies involved, the required level of expertise, anticipated outcomes, and timelines. A well-defined project scope allows for effective communication of the company’s needs to potential software development outsourcing partners, thereby fostering alignment from the outset and minimizing the risk of misunderstandings or scope creep during development. Check out project specification template curated for stakeholders. Step 2. Decide on the relationship-based type of outsourcing model Secondly, organizations need to choose their preferred relationship-based outsourcing model from the three primary options: staff augmentation, dedicated team model, or project-based model. Staff augmentation model augments the current team with additional skilled professionals for specific tasks or phases of a development project – suitable for both short- and long-term engagements. Dedicated team model features specialized teams that work exclusively on the software development project, integrating seamlessly with the internal team – ideal for complex, long-term projects. Project-based model involves an external team managing all stages of software development, from conception to deployment and maintenance – working best for those with a clear product vision but limited workforce resources. For more insights into selecting the right model, refer to our blog on IT outsourcing models: Types and tips to choose the best one. Step 3. Determine the budget Budget plays an important role in determining the quality, expertise, and outcomes of IT projects outsourcing. As a result, here, organizations need to first consider the scope and complexity of their software development project. Then, they need to research market rates for similar software outsourcing services to gain a realistic understanding of costs. Following that, stakeholders should account for hidden expenses such as software licenses and training for the dedicated team. The costs associated with each outsourcing model should also be taken into account. For example, when opting for staff augmentation, companies need to factor in the expenses of integrating external personnel into existing workflows and any potential management overhead. Step 4. Choose the geographical outsourcing strategy The choice of where to outsource significantly impacts the success and cost of software development. Organizations can take into account three geographical outsourcing strategies: Offshore software development refers to partnering with a company situated in a different country, even on the opposite side of the globe, such as Vietnam. Depending on the chosen location, offshore outsourcing can be highly cost-effective while providing access to a global talent pool. Onshore entails outsourcing software development projects to providers within the same country. While this ensures maximum cultural and legal alignment, it typically comes at a higher cost. Nearshore software outsourcing means outsourcing to nearby countries, offering a balance between cost savings and enhanced collaboration due to geographical proximity and similar time zones. Here are a few useful resources to help businesses make a well-informed decision: Nearshore vs Offshore Software Outsourcing: Which is Better? Top Offshore Software Development Company Review in 2023 Offshore Software Development Rates By Country Essential Guide For Offshore Development Center Setup Vietnam Offshore Development Center – A Full Guide To Success Step 5. Start searching for potential outsourced development teams Now is the time to actively search for outsourced development teams that deliver the specific software development services desired. Below are 3 common methods for finding an outsourced development team: Common methods for finding an outsourced development team Personal referrals: Consulting the professional network about partners they have successfully collaborated with can be an excellent starting point. This approach often gives the most unbiased and reliable insights. Online directories: Directory listing of software outsourcing solutions can be a great help in finding top agencies in their respective fields. Clutch, DesignRush, G2, The Manifest, and GoodFirms are notable platforms for compiling an initial list of potential partners. Google Search: Both paid and organic search results on Google can bring businesses useful insights as long as relevant keywords are entered. Step 6. Review their portfolios and domain expertise The next phase is assessing potential outsourced development teams.  Evaluating past work and portfolios plays a significant role in this process since it gives a tangible demonstration of their capabilities and a clearer understanding of what they can deliver. 4 key aspects to focus on are as follows: 4 key aspects to focus on when reviewing portfolios Range of projects: A diverse portfolio reflects versatility and adaptability. It suggests that the team has navigated various challenges and can likely manage the complexities of the project. However, if the portfolio lacks focus and is overly broad, it may indicate a lack of specialization. Industry experience: Consider whether the team has worked in the desired sector before. Prior experience in the same industry means they already understand the specific challenges and needs of the business niche. This can translate to more customized and effective solutions. Quality of work: Pay close attention to the quality of their output. Is their code well-structured and efficient? Is the software free of bugs? High-quality work is a strong indication of technical expertise and a commitment to delivering excellence. Similar projects: Most importantly, look for completed projects similar to what organizations need. A proven track record of handling similar work suggests they are well-equipped to meet requirements. It’s worth noting that software outsourcing companies may sometimes be restricted from sharing details of previous projects due to non-disclosure agreements. Nevertheless, they should be able to provide a general overview of their past work, the development processes employed, and the benefits realized by clients. Step 7. Check their testimonials and references Client testimonials and references serve as invaluable resources when evaluating prospective partners. They offer firsthand accounts of what it’s like to collaborate with the team, revealing insights that a portfolio may not convey. When evaluating testimonials, take into account key aspects such as the team’s strengths and weaknesses, their ability to meet deadlines and commitments, adherence to budgets, and the overall satisfaction level of their clients. If necessary, don’t hesitate to contact previous clients for detailed references regarding specific projects, the team’s management approach, and any setbacks they faced. Step 8. Assess their communication skills Effective communication is fundamental to the success of any outsourcing partnership. 3 essential factors to consider when assessing an external team’s communication abilities are: Language proficiency: The outsourcing software development company must possess strong relevant language skills. Feedback reception: The team should be open to listening and making necessary adjustments based on your input. Communication tools and channels: Consider the team’s preferred communication methods and platforms. It’s perfect if their tools are compatible with those of your organization. Step 9. Evaluate project management capabilities Checking the project management capabilities of an outsourced development team can give companies insight into how well they can plan, execute, and deliver projects. Here’s what to review: Methodologies: Does the team follow a structured project management methodology such as Agile, Scrum, and Waterfall? Progress tracking: How do they monitor the project’s progress? Do they use tools like Jira, Trello, or Asana? Project documentation: Do they document the projects well, from project requirements and plans to meeting notes and issues? Change management: Do they have a structured change management process? Are they able to adapt to changes without any disruptions? Delivery: Do they deliver projects in a timely and consistent manner as promised? Step 10. Consider their cultural fit Cultural fit is often an overlooked yet vital component of a successful outsourcing relationship, which encompasses shared values, work ethics, and attitudes. To have a good understanding of the outsourced development team’s cultural fit, look into their work ethics, values, and approach to work. In other words, determine if they demonstrate a strong commitment to quality, punctuality, and professionalism. It’s also necessary to check whether their core values, such as integrity and innovation, align with those of organizations. Additionally, review their working style—whether they favor a structured or flexible approach—since a compatible work dynamic can lead to smoother interactions and increased efficiency. Pro Tip: To gather all the necessary information for selecting the best outsource dedicated software development teams, check out our 12 questions to ask before hiring a software development company. With the right team in place, businesses are already halfway to success! The remaining task is to effectively manage this outsourced development team. So, here’s a handy checklist to help them navigate this phase smoothly. 8 Tips to Manage an Outsourced Development Team Effectively 8 Tips to Manage an Outsourced Development Team Effectively Align the outsourced team with product visions and timelines Clearly communicate product vision, goals, and timeline to the dedicated outsource web development team. Regular meetings and detailed briefs help align everyone with the project’s objectives, leading to a more cohesive development process and a successful end product. Guarantee intellectual property and quality control with NDAs and SLAs Protect intellectual property (IP) and guarantee quality control by implementing non-disclosure agreements (NDAs) and service level agreements (SLAs). NDAs safeguard confidential information, while SLAs establish clear standards for quality and timelines, holding the team accountable. Establish clear communication channels Set up dedicated communication channels, such as email, project management tools, and video conferencing platforms. Recommended tools for remote work are Trello, Slack, and Zoom. Set up a leadership hierarchy and point of contact Designate a leadership hierarchy within the outsourced team, including a primary point of contact. This structure clarifies decision-making responsibilities and streamlines communication, making it easier to address issues or changes efficiently. Treat outsourced software developers as part of the team Integrating the outsourced team into the company’s culture and internal processes through regular meetings, company updates, and other team activities helps cultivate a stronger sense of unity and commitment to the project’s success. Define and track KPIs Set specific KPIs to assess the outsourced team’s performance, such as code quality, bug count, deadline adherence, and budget compliance. Conduct visits and face-to-face meetings In addition to regular video calls, organize periodic on-site visits or face-to-face meetings to confirm that the outsourcing team meets project standards. Direct interactions build trust and allow you to observe their working methods firsthand, guaranteeing compliance to established processes and quality benchmarks. Address any cultural differences Acknowledge and respect cultural differences, especially in offshore outsourcing setups. Training or awareness sessions can help bridge cultural gaps, improve communication, and enhance overall team cohesion. Why Build an Outsourced Development Team with LTS Group? Working with the right outsourcing development company can significantly bolster organizations’ tech capabilities. LTS Group stands out as a top-tier software outsourcing provider, offering a wealth of skilled talent across various domains, including software development, software testing, and many other digital BPO services. Here’s why selecting LTS Group for outsourced development needs is the smartest choice: Why Build an Outsourced Development Team with LTS Group? Flexible outsourcing models We offer a variety of flexible outsourcing software development models, from dedicated teams and staff augmentation to project-based and time-and-material options. This adaptability allows businesses to find the perfect fit for their project requirements and budget. Comprehensive service offerings We provide an extensive array of software development outsourcing services. Whether it’s web & mobile app development, software maintenance, or web & mobile app testing, LTS experts have it all. Broad technology expertise We leverage the best technologies to deliver exceptional results: Web development: HIBERNATE, Java, PHP, AngularJS, .NET, and more Mobile development: Flutter, React Native, Xamarin, etc. Database management: MySQL, Oracle DB, SQL Server, etc. Cloud infrastructure: Microsoft Azure, AWS, Amazon EC2, etc. Automation testing: Perfecto Mobile, Soap UI, TestComplete, etc. Management tools: Jira, Backlog, HP Quality Center, etc. Client-centric approach With over 8 years of experience collaborating with 60+ global businesses, LTS Group understands the nuances of development outsourcing. We’re committed to continuous improvement, actively seeking client feedback through detailed surveys post-project. Such dedication helps us consistently meet and exceed clients’ expectations. Proven track record Our competitive pricing, effective communication, and extensive experience in a wide range of development projects empower businesses of all sizes to thrive. Check out our portfolio for more details. Don’t miss out on the opportunity to partner with a team that values reliability, expertise, and innovation. Contact us today to explore how we can elevate your development projects! Ready to hunt for your perfect outsourced development partner? When is the Right Time to Hire Outsource Software Development Team? A software development outsourcing company can greatly benefit an organization in many different scenarios: When is the Right Time to Hire Outsource Software Development Team? Filling skill gaps: When there’s a need to fill internal skills or expertise deficiencies without the delays of traditional hiring processes, outsourced teams come in handy to offer the necessary capabilities swiftly. Reducing costs: Companies seeking to lower expenses tied to salaries, benefits, and training that come with growing in-house teams often find outsourcing to be a budget-friendly alternative. Meeting urgent deadlines: When software projects face urgent timelines, extra manpower may be needed. An outsourced team can provide the required resources to ensure timely delivery. Focusing on core functions: When technical tasks begin to overwhelm the internal team, outsourcing allows them to concentrate on core business functions, boosting overall productivity. Upgrading MVP development: For businesses with a minimum viable product that requires new features or software testing, an augmented team can bring specialized technical skills and fresh perspectives, which are integral to successful implementation. Entering new markets with local expertise: Embarking on a new market often necessitates localized knowledge to adapt products to meet regional demands. An outsourced development team steps in to provide valuable insights into local market trends. FAQs about Outsourcing Development Team What is an outsourced development team? An outsourced development team comprises skilled professionals from a software development company who are hired to execute and oversee software projects, often beyond the primary geographic and operational boundaries of the hiring firm. Should I outsource software development or handle it in-house?  The decision to outsource software development team or rely on an in-house team depends on numerous factors, such as budget limitations, project complexity, and resource availability. If a company’s existing development team lacks the expertise for additional projects, outsourcing can offer access to a global talent pool and specialized skills that expedite development. On the other hand, smaller projects requiring intensive oversight might benefit from the closer integration that an in-house team provides. How much does outsourcing developers cost? The costs of outsourcing software developers can fluctuate based on the geographical location of outsourced team members, project complexity, required expertise level, etc. Generally, outsourcing to regions with lower living costs—such as Asia, Eastern Europe, and Latin America—can yield substantial savings compared to hiring in-house teams in Western countries. For example, while hiring a software developer in the U.S. can range from $62 to $209 per hour, a software developer in Southeast Asia typically costs between $18 and $71 per hour. In fact, companies in developed countries may save between 30% and 70% by outsourcing to developing nations like Vietnam. What to look for in outsourced development teams? When evaluating potential partners providing outsource custom software development services, businesses should prioritize technical expertise, a strong portfolio, positive client testimonials, effective communication, solid project management practices, and cultural compatibility. Additionally, it’s essential to consider their security measures and capacity to scale as project demands evolve. Final Thoughts about Outsourcing Development Team Outsourcing software development services has become the new norm. By collaborating with the right outsourced development team, organizations can tap into a global talent pool, reduce costs, speed up time-to-market, etc. To select the right partner, clearly define the outsourcing project, choose the appropriate software outsourcing model, establish a budget, decide on the geographical strategy, and evaluate potential teams by reviewing their portfolios, expertise, testimonials, communication skills, and cultural fit. As for tips to effectively manage outsourced teams, make sure they grasp product visions and timelines, secure intellectual property and quality control with NDAs and SLAs, establish clear communication channels, set up a leadership hierarchy, treat them as internal staff, define KPIs, organize visits, and address cultural differences. Ready to outsource development team with ease? LTS Group is here to help. Contact us for a free consultation. Website: https://ltsgroup.tech/ Tel: (+84) 96-238-7474 Linkedin: https://www.linkedin.com/company/lts-group-vietnam/ { "@context": "https://schema.org", "@type": "FAQPage", "mainEntity": [{ "@type": "Question", "name": "What is an outsourced development team?", "acceptedAnswer": { "@type": "Answer", "text": "An outsourced development team comprises skilled professionals from a software development company who are hired to execute and oversee software projects, often beyond the primary geographic and operational boundaries of the hiring firm." } },{ "@type": "Question", "name": "Should I outsource software development or handle it in-house?", "acceptedAnswer": { "@type": "Answer", "text": "The decision to outsource software development team or rely on an in-house team depends on numerous factors, such as budget limitations, project complexity, and resource availability. 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Introduced over two decades ago, the concept of a minimum viable product (MVP) remains a fundamental principle in software development. As the originator of the term, the CEO of SyncDev – Frank Robinson – defined an MVP as a product that “is big enough to cause adoption, satisfaction, and sales, but not so big as to be bloated and risky”. Today, MVP software development is an essential component of the agile methodology, emphasizing iterative improvement and responsiveness to user feedback. Many successful software, such as Facebook, Instagram, Snapchat, Dropbox, and Airbnb, started as MVPs before evolving into their current forms we know now. In this guide, we’ll explore MVP development comprehensively, from its definition and benefits to detailed steps and more. Table of Contents Toggle What is MVP in Software Development?7 Key Steps in MVP Development ProcessStep 1. Identify the problem your product should solveStep 2. Analyze the competitionStep 3. Define core featuresStep 4. Prototype potential solutionStep 5. Develop your MVPStep 6. Launch, monitor, and improveStep 7. Prepare to scaleBenefits of MVP DevelopmentMVP vs. PoC vs. PrototypeFAQs about MVP DevelopmentFinal Thoughts about MVP Development What is MVP in Software Development? An MVP in software development refers to a version of the software that includes only the essential features needed to make the product functional and meet the core requirements. What is MVP in software development? Consider your organization is developing a new task management solution. The MVP version of this software might include necessary features such as adding tasks, setting due dates, and marking tasks as completed. It would not, however, encompass all the additional features you might plan for future versions like integrations with other applications or advanced analytical tools. The intention is to provide a usable product to users promptly, allowing the business to gather early feedback and make iterative improvements. By focusing on the core value and limiting the scope of features, an MVP enables developers to avoid unnecessary complexities and reduces time spent on non-essential components. This pragmatic approach highlights that delivering a basic, yet useful, product is often more beneficial than attempting to achieve perfection from the outset. Does Your Business Need an MVP? Before actually embarking on the development of an MVP, it’s essential for your company to assess whether an MVP is necessary for your project or not. Here are 5 major factors to consider: Important factors to determine if your business needs an MVP Problem complexity If your project involves complex problems that can benefit from a step-by-step approach, starting with an MVP can help streamline the process. Conversely, for straightforward issues with minimal complexity, it might be feasible to bypass the MVP and directly build the complete solution. Market uncertainty In uncertain markets, such as those that are constantly evolving or highly competitive, an MVP is great for testing demand and adapting to shifting user preferences. Meanwhile, in stable markets with well-defined user preferences and clear demand, an MVP may be less ideal. Resource availability If your business has limited resources, an MVP can be an effective strategy to utilize available time, budget, and expertise. On the other hand, if your company has ample resources, you might consider moving directly to a full-fledged product without an MVP stage. Risk tolerance  For companies prioritizing risk mitigation, an MVP offers a way to validate assumptions and reduce potential risks before committing more resources. But if your stakeholders are comfortable with higher risks or have a well-defined product strategy, you may choose to skip the MVP phase. Product viability When there is uncertainty about your product’s demand or potential success, an MVP offers a controlled environment to certify the idea. However, if you have strong confidence in the product’s viability and user demand, opting for full-scale development might be the preferred approach. 7 Key Steps in MVP Development Process Developing an MVP follows a similar path to general software product development, albeit with a strong focus on validating core assumptions, attracting early adopters, and achieving product-market fit early on. Now, let’s go over 7 crucial stages of MVP for software development! Key steps in MVP development process Step 1. Identify the problem your product should solve MVP development begins by clearly defining the problem the software seeks to solve. Here, project leaders must craft a compelling value proposition, which encompasses: A defined target audience with distinct needs How the product addresses those needs The benefits users can expect To achieve this, your team should do thorough research: Market research: Analyzing market size, trends, and identifying target customer demographics, preferences, and pain points. Customer interviews and surveys: Directly engaging with potential users to understand their challenges, needs, and opinions on existing solutions. Focus groups: Conducting group discussions with a diverse set of prospective customers to gain insights into their attitudes, expectations, and reactions. Online polls and social media engagement: Using these tools to collect direct feedback on public interest and trends relevant to your product concept. Needless to say, this research step is of great significance since, according to CB Insights, a number of startups fail just because they overlook market demand for their products. Step 2. Analyze the competition Chances are there are plenty of existing solutions similar to yours in the market. Therefore, in the next step, we strongly recommend conducting a thorough analysis of direct and indirect competitors and organizing the findings systematically, at least in a spreadsheet for later use. By identifying similar products, your team has a chance to look closely at how your solution can differentiate itself effectively from rivals. What’s equally important is estimating market size to ensure there would be enough potential customers willing to buy your product. Step 3. Define core features Once you’ve validated your product idea and grasped market dynamics, it’s time to outline the features that will constitute your MVP. It’s crucial at this stage to adhere strictly to the minimalist philosophy of MVP in development, avoiding the temptation to include every feature intended for the final product. Prioritizing features is critical, so here are 3 effective prioritization frameworks we highly recommend: 3 effective MVP feature prioritization frameworks MoSCoW method: Classifying features as must-have, should-have, could-have, and won’t-have. Kano model: Categorizing features into must-be quality (expected features), performance quality (linear impact on satisfaction), and excitement quality (delighters). Value vs. effort matrix: Evaluating features based on potential value versus implementation effort. It’s also advisable to develop a feature roadmap where your team outlines not only MVP features but also those planned for future iterations. This strategic approach guarantees a clear vision beyond the initial release, although further adjustments are inevitable as feedback, data, and insights are constantly gathered throughout the MVP development process. Step 4. Prototype potential solution Next is prototyping, which plays a big role in shaping the design and functionality of the final MVP. It basically involves creating an interactive representation of your concept to map out user flow, estimate development costs, and gather early feedback. There are various UX tools available including Figma, Marvelapp, Miro, AdobeXD, and Axure, many of which offer free pricing plans. Once done building a prototype, test it with early adopters to gauge interest in the product and use their feedback to refine the prototype. Step 5. Develop your MVP Now, it’s time to bring your MVP to life! There are several ways to realize your idea, and not all of them demand deep programming expertise: 3 main approaches to develop your MVP No-code approach If your organization does not want to start from scratch and write codes, many methods are available: Flintstone method: Operating the product’s functionalities manually behind the scenes until automation becomes feasible. Landing page: A simple landing page explaining your product and offering early opt-ins to gain customer insights and leads. Constructor method: Combining open-source software and other available platforms to address the problem. While this method may involve integrating different APIs, it’s still far less complex than developing a software from scratch. In-house development If your business has the necessary expertise and manpower to develop the MVP internally, this approach is often preferable. However, MVP agile development isn’t solely about technical know-how; it also needs input from designers, business analysts, and marketers. Therefore, ensure your team has all the required talent in place. A key thing to note here: doing it yourself expects your team to choose the right tech stack. So below are quick notes to help you make a well-informed decision: Consider team expertise: Opt for technologies that are familiar to your team to minimize learning curves and accelerate development. Evaluate project needs: Refer to the essential features identified earlier and consult with software engineers to understand technical specifications. Factor in long-term scalability to prevent significant reworks. Outsourcing development  Another common approach is outsourcing talent or partnering with companies providing MVP software development services. Platforms like Upwork or Freelancer provide easy access to freelance software engineers, along with their ratings, project histories, and client feedback. However, it’s important to be cautious since hiring freelancers carries numerous risks if your company doesn’t do proper vetting. For a more reliable approach, organizations should consider partnering with established MVP development companies like LTS Group. Our IT engineers are proficient in a wide array of tech stacks, ensuring we deliver top-tier solutions—from custom mobile and web development to advanced development projects like AI, blockchain, and embedded systems. Whether you require MVP or feature-rich software development solutions, LTS Group is your trusted partner in achieving excellence. Step 6. Launch, monitor, and improve Launching your MVP includes several baby steps like deploying, monitoring errors, gathering user feedback, and refining features: Deploy your MVP on a server or hosting environment to ensure it runs smoothly in a production setting Implement error monitoring and tracking mechanisms to promptly identify and resolve issues Prepare for launch activities, including marketing, promotion, and user acquisition strategies Collect user feedback diligently and prioritize feature requests and bug fixes to enhance your MVP continuously Here, your company can adopt 3 main launch approaches to introduce your MVP to the market: 3 ways to launch your MVP Soft launch: Releasing your product to a limited user base to mitigate risks, identify bugs, and refine your monetization strategy. Hard launch: Executing a widespread release with extensive marketing efforts to attract a broad audience. However, this approach is advisable only when there is a predictable audience. Dark launch: Introducing product features gradually to a select group of users to validate functionality and usability in a controlled environment. Step 7. Prepare to scale Once your software establishes a solid user base and gathers insights into their needs, it’s essential to prepare for scaling beyond MVP development stages towards a complete solution. Follow these steps to ensure a smooth transition: Clearly outline the complete product’s vision based on user feedback and market analysis Develop a detailed product roadmap for feature prioritization and timeline Assess your team’s capabilities and expand resources as needed to support the product’s growth trajectory Evaluate the MVP’s architecture to accommodate new features and increased complexity Adopt an iterative development approach for ongoing enhancements Ramp up software testing methods to uphold product reliability and quality standards as you expand Publicly release the enhanced product version and closely monitor performance metrics and user feedback Finalize and implement a revenue model that aligns with your product’s value proposition and market expectations Benefits of MVP Development Software development MVP provides numerous advantages for businesses. Here are 6 key benefits: Benefits of MVP development Rapid validation of product viability MVP enables organizations to swiftly determine if their product concept is viable by offering it to real users for evaluation. With user feedback, your team is equipped with invaluable insights to ensure the product meets the needs of your target audience. This ultimately helps your business avoid investing resources in products that may lack demand or market value. Minimized development costs By focusing on essential features during the MVP development process, your company prevents resource wastage on non-critical components. This leads to reduced development costs and more efficient use of available resources. Reduced risks Testing the market with an MVP eliminates the risk of developing a full product that might not be successful. If the MVP receives positive feedback, then your organization can be more confident about investing additional resources into further development. Faster time-to-market MVP accelerates the software development timeline by prioritizing only core features. This rapid development approach facilitates quicker launch of a functional product, giving your solution an early competitive edge in the market. Iterative improvement An MVP lays the foundation for iterative development. Using user feedback and real-world usage data, project managers can make informed refinements, ensuring the product evolves to meet user needs. High adaptability to market changes The flexibility of an MVP allows a company to quickly adapt to changing market conditions. Starting with a basic version makes it easier for your software to pivot or adjust alongside rapidly-evolving trends. MVP vs. PoC vs. Prototype In software development, MVP, proof of concept (PoC), and prototype are terms that are often misunderstood. Let’s clarify each one: MVP vs. PoC vs. Prototype Proof of Concept  PoC is a preliminary validation of an idea or solution’s technical feasibility. Typically, a PoC involves creating a simplified version to showcase core functionalities. Its primary goal is to determine if a proposed solution is technically viable and worth further investment. Check out comprehensive PoC template for your upcoming project. Prototype A prototype is a physical or digital model that represents the design and functionality of a product. It provides a visual and interactive preview of how the final product will look and operate. Prototypes range from basic sketches to detailed, interactive mock-ups and are used to gather user feedback, test usability, and refine design elements. Minimum viable product Unlike a PoC or prototype, an MVP is a fully functional version of a product with essential features that deliver value to targeted users. It’s developed for actual use by customers and focuses on solving real problems, albeit in a simplified form. The purpose of an MVP is to collect user feedback, validate assumptions, and iteratively improve the product based on real-world usage. FAQs about MVP Development How much does it cost to build an MVP? Developing a minimum viable product typically costs between $25K and $50K. However, the budget can vary based on the complexity of key features and cutting-edge technologies exploited. How long should it take to build an MVP? The timeline for MVP development ranges from 3 to 5 months, depending on factors such as feature complexity, design intricacy, and the resources allocated to the project. What are some successful MVP software development examples? Many well-known companies started with MVPs that have evolved into major enterprises, including: Amazon: Originated as an online bookstore and expanded into a vast e-commerce platform. Airbnb: Began as a platform for renting spare rooms and homes, catering to travelers seeking affordable lodging. Dropbox: Initially launched as a file-sharing service with cloud storage, later enhancing features based on user feedback. Instagram: Started as a simple photo-sharing app and grew with added functionalities like filters, stories, and video sharing. How to measure MVP success? Success metrics for an MVP vary based on your company’s specific goals. However, key indicators of success are: User engagement Conversion rates Retention Customer lifetime value (CLV) Revenue growth Qualitative feedback from users Comparisons against industry benchmarks to assess performance relative to competitors. What are some types of MVP? MVPs generally fall into two categories: Low-fidelity MVPs: These validate core ideas with minimal development, such as pre-order pages or landing pages. High-fidelity MVPs: More functional and closer to the final product, offering detailed and interactive experiences, e.g., concierge MVPs, Wizard of Oz MVPs, and single-feature MVPs. Final Thoughts about MVP Development MVP development offers significant benefits to businesses by allowing them to test their ideas in the market with minimal investment. This approach ensures concepts are viable and meet market needs before committing to full-scale development, thus reducing risks and optimizing resource allocation. Hopefully, our detailed guide has been of some help to your business’ MVP development journey. If your company needs skilled developers to carry out an MVP project, our team at LTS Group is ready to assist. We offer custom web and application development services tailored to meet your unique requirements. Whether it’s full-scale or MVP development services, our solutions are high-quality and efficient to help your business thrive! Website: https://ltsgroup.tech/ Tel: (+84) 24-6660-7474 Fanpage: https://www.linkedin.com/company/lts-group-vietnam/ { "@context": "https://schema.org", "@type": "FAQPage", "mainEntity": [{ "@type": "Question", "name": "How much does it cost to build an MVP?", "acceptedAnswer": { "@type": "Answer", "text": "Developing a minimum viable product typically costs between $25K and $50K. 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With the global number of mobile phone users projected to reach 7.49 billion in 2025 by Statista, it’s clear that businesses have long ceased debating whether to build a mobile app. Instead, the focus has shifted to which mobile development approach is the most optimal: native, web, or hybrid app development. Making this decision is not an easy task, necessitating the deliberation of many different factors like budget, timeline, user interface (UI), user experience (UX), maintenance needs, and the skill set of the development team. Hybrid mobile app development, in particular, has gained significant traction recently. The Ionic Developer Survey, which gathered insights from over 13,000 developers, revealed that 32.7% of developers plan to move away from native development in favor of hybrid. Additionally, there has been a nearly 700% decrease in developers exclusively using native tools. In this article, we cover everything organizations should know about hybrid app development, from deciding when to develop hybrid apps to step-by-step instructions on building them, along with detailed insights into project costs, and much more. So, let’s get started! Table of Contents Toggle What is Hybrid App Development?When to Develop Hybrid Apps?How to Build a Hybrid App?Step 1. Planning the hybrid appStep 2. Setting up the development environmentStep 3. Building app architecture Step 4: Designing the user interfaceStep 5: Coding app functionalitiesStep 6: Testing and debuggingStep 7: Deploying and publishing the appStep 8: Monitoring and maintainingHow Much Does Hybrid App Development Cost?Pros and Cons of Hybrid App DevelopmentFAQs about Hybrid App DevelopmentFinal Thoughts about Hybrid App Development What is Hybrid App Development? Hybrid app development refers to building a unified application using a single codebase that could function across multiple platforms, from Android and iOS to Windows and more. What is Hybrid App Development In contrast to native app development, which requires platform-specific programming languages for different operating systems (OS), hybrid app development utilizes a unified code base compatible with all OS. For further insights into the differences between native vs hybrid mobile app development, check out our article An ultimate guide to native app development for enterprises in 2024. Essentially, hybrid apps work like web apps but are installed on devices like native apps. Similar to web apps, developers typically create hybrid apps using HTML5, CSS, and JavaScript. The device’s browser engine then renders such languages and native APIs to interact with device-specific hardware. Prominent hybrid app examples are Gmail, Instagram, and Uber: Gmail utilizes JavaScript, AJAX, jQuery, and Vue.js for its front end. Instagram is developed using React Native. Uber employs Base, a web React UI framework, for the front end of its mobile apps. When to Develop Hybrid Apps? Now, the burning question of all is how to know if hybrid is the right choice for your business. Here are 5 scenarios where hybrid app development should be your next strategic move: When to Develop Hybrid Apps Multiple platform compatibility If your company aims to support multiple platforms like iOS and Android with minimal development effort, hybrid apps offer a compelling solution. They leverage a single codebase that operates across different OS, eliminating the need for separate development. Lack of specialized coding knowledge Unlike native apps that require proficiency in platform-specific languages, hybrid apps can be built with less specialized coding knowledge, making it easier to hire developers skilled in web technologies. Basic feature requirements Hybrid apps are sufficient if your app does not require advanced native features. Plus, even features that involve constant iteration like notifications, can be seamlessly integrated within hybrid apps using webviews, thereby simplifying the development process. Budget constraints Hybrid app development is cost-effective, particularly when compared to the expenses associated with developing and maintaining APIs for native apps. This approach helps businesses get native-like functionality within a limited budget. Speed trade-off While hybrid apps may be slower than native apps due to browser-based operations, they offer a balanced trade-off for rapid development and cross-platform compatibility. Therefore, they remain a viable option when speed isn’t a big concern to your business. Launch Your Hybrid Apps with LTS Group Today How to Build a Hybrid App? Creating hybrid apps means developers leverage both web technologies and native capabilities. Below is a detailed walkthrough of 8 fundamental steps in building a hybrid app: How to Build a Hybrid App Step 1. Planning the hybrid app In this planning phase, start by defining the hybrid app’s objectives, target audience, and key features.  Conducting comprehensive market research and competitor analysis plays an equally important role, helping your organization identify: industry trends, potential business opportunities rival apps’ strengths and weaknesses. The next sub-step to take is selecting suitable tech stacks for the hybrid mobile application. With the advantage of writing code once for the deployment on Android, iOS, and web versions, hybrid application development is already much more manageable. Below, we handpicked a list of the top 5 widely used hybrid app development frameworks: Flutter Introduced by Google, Flutter has rapidly gained popularity for its speed, reliability, and ability to create visually stunning UIs with flexible designs. For 3 consecutive years from 2021 to 2023, it was the most popular hybrid mobile framework, as reported by Statista report. Many major brands such as Amazon, Alibaba, BMW, and Toyota have leveraged Flutter for their applications. React Native Created by Facebook, React Native is favored for its speed, convenience, and cost-effectiveness. It supports the development of applications for large organizations like Uber, Skype, Bloomberg, and Instagram. Ionic Utilizing HTML, CSS, and JavaScript, Ionic offers built-in support for AngularJS, making it ideal for front-end development. It simplifies the creation of progressive web apps (PWAs) and provides premium UI design components. Xamarin Xamarin is known for its code reuse efficiency, allowing developers to reuse a substantial portion of their codebase on different platforms. However, it may lag behind in updates compared to Google and Apple, which can lead to compatibility issues. NativeScript NativeScript is specially designed for developers proficient in JavaScript, TypeScript, or Angular. Applications built with NativeScript deliver a native user experience on all mobile platforms. Step 2. Setting up the development environment The second phase revolves around setting up the development environment for the hybrid app, which necessitates several key tasks as follows: Installing necessary hybrid mobile app development tools and software: First, hybrid mobile app developers need to download their preferred frameworks, whether it’s Ionic, React Native, Xamarin, or Flutter. It’s also recommended that your team’s development efforts be streamlined with a single integrated development environment (IDE) like Visual Studio Code and IntelliJ IDEA. Configuring the development environment: Once the required technologies are installed, it’s time to configure the IDE and set up the software development kit (SDK). Setting up testing devices: Configuring testing devices, whether they’re physical or virtual, is the next important task. Step 3. Building app architecture  The success of an app hinges greatly on its architecture, which encompasses crucial elements such as code structure and data storage methods. A well-planned architecture ensures easier mobile app maintenance and future updates, which can be achieved through the following essential steps: Creating project structure: Simply establishing a project folder and organizing it with directories for HTML, CSS, JavaScript, and other essential resources. Setting up main HTML, CSS, and JavaScript files: Developing the foundational files that define the app’s structure and user interface. For example, CSS files handle styling, while HTML documents provide the framework for the app’s graphical elements. Integrating libraries and frameworks: Incorporating vital libraries and frameworks like Cordova and React Native to enable hybrid functionalities and integrate native features seamlessly. Step 4: Designing the user interface A poor mobile experience can deter 52% of users from engaging with a company. Therefore, creating an attractive and high-quality design is crucial for the application’s success. Every interface detail must be meticulously planned to ensure a delightful user experience. Creating visually appealing UI and UX elements: Great effort should be put into crafting aesthetically pleasing UI and UX by designing clear layouts, appropriate color schemes, and visually engaging elements to enhance the overall look and feel of the hybrid app. Implementing responsive design principles: Designers should employ responsive design techniques to create an optimal user experience across different devices and screen sizes. Using CSS frameworks for efficient styling: To expedite the styling process and boost productivity, your team can leverage CSS frameworks like Bulma, Materialize, and Bootstrap. These frameworks provide pre-designed themes and components that can be easily customized to meet the app’s design requirements. Step 5: Coding app functionalities With the app architecture and user interface established, the next step is coding to develop a high-performing, robust, and secure back end with desired functionalities. The duration of this stage varies based on the complexity and volume of tasks. And of course, implementing extensive and complex features takes more time; however, on average, it takes around 3 to 4 months to develop a prototype or MVP – a simplified version of the application containing only the core functionalities. Step 6: Testing and debugging Once functionalities are built, your team needs to test them to confirm the app looks and functions as intended. This step includes testing both the front end and back end, and addressing any issues that arise. Conducting usability and functional testing: To verify that the hybrid app works as planned and provides a smooth user experience, functional testing and usability testing come on the scene. Debugging common issues and errors: Developers must proactively review, identify, and fix issues and errors throughout the development and testing phases for a reliable, bug-free application. Optimizing app performance and responsiveness: App performance substantially contributes to a satisfactory user experience. Thus, try to prioritize script optimization, reduce load times, and minimize app size. Step 7: Deploying and publishing the app Before releasing the app, it must undergo final preparations to guarantee it meets all standards and requirements: Preparing the app for release: The app should undergo comprehensive testing, optimization, and final checks to make sure it’s ready for release. Apart from app feature assessment, your team has to stay compliant with the guidelines of Google Play Store or App Store and prepare all required assets and documentation. Registering for a developer account: To publish the app on Google Play Store and App Store, your team needs a developer account, which can be easily registered after providing necessary information, agreeing to terms and conditions, and submitting a one-time registration fee. Publishing the app: Once the developer profile is set up, the hybrid app is ready to be launched! Step 8: Monitoring and maintaining Monitoring and maintaining a hybrid mobile application encompasses several crucial activities to achieve continued success and user satisfaction: Implementing analytics to track user behavior: Many analytics tools can be integrated to monitor how users interact with the hybrid app, analyze usage patterns, and identify popular features. Gathering user feedback and resolving bug reports: Continuous improvement necessitates actively gathering user feedback and promptly addressing bug reports. By soliciting input and responding to issues, your team can boost app performance, identify user pain points, and prioritize new features. Carrying out regular app updates and improvements: Regular updates are essential to maintaining the app’s competitiveness and relevance. Based on user feedback and market trends, your team can consider adding new features to improve existing functionality and optimize performance. PRO TIP:  Streamline these 8 phases by partnering with a trusted hybrid app development company! To choose the right partner, factor in 4 crucial aspects including expertise, cost, post-launch services, and communication for a successful collaboration. Learn more: Mobile app development outsourcing in 2024: How to make it work On the lookout for a reputable company providing top-notch hybrid app development services? Look no further than LTS Group. With over 8 years of experience and a track record of delivering comprehensive software solutions, we specialize in creating and enhancing not just iOS and Android apps, but also hybrid apps. Rest assured that partnering with us gives your company access to a team of seasoned developers dedicated to delivering robust and efficient customized hybrid apps. Launch Your Hybrid Apps with LTS Group Today How Much Does Hybrid App Development Cost? Hybrid mobile app development cost varies greatly depending on the app’s complexity and features. Nevertheless, it generally proves more cost-effective than its native counterpart thanks to shared codebases across platforms. Here’s a quick look at the expense of building hybrid apps, categorized by their intricacy: How Much Does Hybrid App Development Cost Basic hybrid mobile apps: These apps are simpler in nature and quicker to develop, typically costing around $10,000. Medium-complex hybrid mobile apps: More sophisticated apps with advanced features may range from $10,000 to $50,000 and take 2-3 months to complete. Enterprise hybrid mobile apps: These applications are highly complex, requiring extensive features and customization. Development timelines can extend from 3 to 6 months, with costs ranging from $50,000 to $150,000. Pros and Cons of Hybrid App Development Hybrid mobile application development offers cost-effectiveness, shorter development times, and ease of scalability. However, it can face performance limitations, varied user experience on different platforms, and potential gaps in feature availability. For more information, refer to the table below: Pros of Hybrid App Development   Cons of Hybrid App Development Cross-platform compatibility: Hybrid apps run on multiple platforms with a single codebase, thereby saving time and resources. Performance limitations: Hybrid apps may be slower due to heavier code and may lack certain native features. Shorter development time: Reusing code across platforms reduces development time compared to native app development. Gap in user experience quality: Due to reliance on a single codebase, user experience may not be the same on different platforms, which can cause a lack of tailored feel in native apps. Easy scalability: Leveraging web technologies and a unified codebase makes scaling hybrid apps simpler and more efficient. Availability of features: Not all new features are universally supported in the hybrid version, so chances are some native functionalities may not be available in hybrid apps. Cost-effective: Lower development and maintenance costs make hybrid apps a budget-friendly choice. Test complexity: Testing hybrid apps across multiple platforms requires thorough testing to ensure compatibility and functionality, adding to development time and expenses. Ease of development: Simplified development process results from familiar web technologies like HTML, CSS, JavaScript, and frameworks like Xamarin, Flutter, and React Native. Limited access to latest device features: Due to dependency on third-party frameworks, hybrid apps may fall behind regarding access to the newest device features and APIs introduced by platforms like Google and Apple. FAQs about Hybrid App Development What is hybrid application development? Hybrid app development refers to building a unified application using a single codebase that could function across multiple platforms, from Android and iOS to Windows and more. What are examples of hybrid apps? Gmail: Uses JavaScript, AJAX, jQuery, and Vue.js for its front end. Instagram: Built with React Native, focusing on image-centric social media interactions. Uber: Utilizes Base, a React UI framework, through its mobile web interface m.uber.com, providing a seamless webview experience on mobile devices. X: Employs Node.js, Express, and React Native in its front-end stack, functioning as a progressive web app (PWA) that offers enhanced UI performance through progressive loading of UI layers. How much does it cost to develop a hybrid app? Hybrid mobile apps cost from around $10,000 to $150,000+ depending on app complexity, features, development duration, and team expertise: Basic apps: Around $10,000. Medium-complex apps: $10,000 to $50,000. Enterprise apps:  $50,000 to $150,000 or more. Final Thoughts about Hybrid App Development Given that building mobile apps individually for each platform is costly and resource-intensive, hybrid app development stands as a compelling alternative, boasting cross-platform compatibility, cost efficiency, quicker time-to-market, and more. However, it’s essential to weigh development expenses, timeline, target audience, etc., before finalizing your company’s mobile development approach. Once the decision is made, the development process should commence: Start by planning the hybrid application, setting up the development environment, building the app architecture, designing the user interface, developing functionalities, testing and debugging, deploying and publishing, and finally, monitoring and maintaining the app. Eager to build your own hybrid app but struggling to find skilled developers? LTS Group is here to help! With a dedicated team of experienced professionals in hybrid app development, along with our competitive pricing, robust security measures, and expertise across various industries, we stand out in the crowded IT outsourcing landscape. Launch Your Hybrid Apps with LTS Group Today { "@context": "https://schema.org", "@type": "FAQPage", "mainEntity": [{ "@type": "Question", "name": "What is hybrid application development?", "acceptedAnswer": { "@type": "Answer", "text": "Hybrid app development refers to building a unified application using a single codebase that could function across multiple platforms, from Android and iOS to Windows and more." } },{ "@type": "Question", "name": "What are examples of hybrid apps?", "acceptedAnswer": { "@type": "Answer", "text": "Gmail: Uses JavaScript, AJAX, jQuery, and Vue.js for its front end. Instagram: Built with React Native, focusing on image-centric social media interactions. 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