Pros and Cons of building an app for an income

Discussion in 'General Business Forum' started by FinanceBizWiz, Jan 3, 2019.

  1. Phil Bray

    Phil Bray UKBF Newcomer Free Member

    3 0
    I have been writing apps and games for years through google play and the Apple store for a number of years.I would say depending on the type of app it is and whether marketing would be done more online or offline in my experience you can at least make a part time wage if you get it right.If the traffic through a website could be channelled into your app then you already have a head start.
    One thing I would say is that your app needs to have some USP as otherwise it will likely drown amongst the sheer numbers of similar apps out there but good luck if you choose to do it.
     
    Posted: Jan 4, 2019 By: Phil Bray Member since: Jan 4, 2019
    #21
  2. FinanceBizWiz

    FinanceBizWiz UKBF Contributor Free Member

    49 0
    Thanks.
     
    Posted: Jan 4, 2019 By: FinanceBizWiz Member since: Aug 9, 2018
    #22
  3. Leonardo Gonzalez Dellan

    Leonardo Gonzalez Dellan UKBF Contributor Free Member

    32 2
    I have worked on both, as per my experience, getting visitors is far easy then getting downloads on your app. With your time and efforts, you have developed your very own application, that's great. But your real journey starts when you start the marketing of your application. You need to invest around £1000 to make a fan base of your application and start earning for your app!
    I hope this helps!
     
    Posted: Jan 7, 2019 By: Leonardo Gonzalez Dellan Member since: Aug 3, 2018
    #23
  4. MEAVO

    MEAVO UKBF Contributor Full Member

    50 10
    I once launched an app business myself and worked 3 years in a start-up whose core product was an app (both for consumers and businesses). Without knowing more about the idea, all I can say is that app marketing can be incredibly expensive and user retention is tough. Depending on how you build the apps it can also be very expensive (e.g. if you build a native iOS and Android app). There are millions of apps available for iOS and Android - it's hard (and expensive) to stand out.
     
    Posted: Jan 7, 2019 By: MEAVO Member since: Nov 12, 2018
    #24
  5. FinanceBizWiz

    FinanceBizWiz UKBF Contributor Free Member

    49 0
    Thanks. Invest £1,000 in what? I get that there will have to be an investment in marketing the app but this sounds like something specific.
     
    Posted: Jan 7, 2019 By: FinanceBizWiz Member since: Aug 9, 2018
    #25
  6. FinanceBizWiz

    FinanceBizWiz UKBF Contributor Free Member

    49 0
    Now would you try and employ a developer to develop the app or would you try and find a business partner who is a developer?
     
    Posted: Jan 8, 2019 By: FinanceBizWiz Member since: Aug 9, 2018
    #26
  7. Gavin @ Eooro

    Gavin @ Eooro UKBF Contributor Full Member

    33 4
    you have 3 things you mention... building, running & profit

    1) Building - easy to get one built, what about maintaining......updates, improvements....you need a team or reliable contractor.... both are either expensive or difficult to find.
    2) Running - same as point 1.... but your users will undoubtedly come up with improvement ideas and so you need a support person/system and the team to do the changes.
    3) Profit - well that depends on the number of users, what they pay and the costs of points 1 & 2.

    No harm in building a first version with a contractor.....trying some marketing and seeing if it takes off......if it does, then start building a team to run it and market it.....chicken and egg stuff really.

    might be good idea to partner with a marketing person and reduce early costs.....maybe even partner with an app builder too...then you have all the bases covered and less expense upfront.

    good luck with it.
     
    Posted: Jan 11, 2019 By: Gavin @ Eooro Member since: Nov 14, 2017
    #27
  8. FinanceBizWiz

    FinanceBizWiz UKBF Contributor Free Member

    49 0
    Thanks for your detailed reply.

    I think it may be a good idea to partner with an app developer to try and save on the development costs. I didn’t want to have to get a business partner but sounds like it could be the only feasible option.
     
    Posted: Jan 12, 2019 By: FinanceBizWiz Member since: Aug 9, 2018
    #28
  9. fisicx

    fisicx It's Major Clanger! Staff Member

    30,215 8,874
    Except of course they will want paying. Web and app developers get offers of partnership all the time all promising jam tomorrow and there is vary rarely jam tomorrow.
     
    Posted: Jan 12, 2019 By: fisicx Member since: Sep 12, 2006
    #29
  10. FinanceBizWiz

    FinanceBizWiz UKBF Contributor Free Member

    49 0
    I’m sure the non-entrepreneurial developers will say no and want paying but the ones with an ounce of business sense will know that with all start ups there is the element of risk if the venture does not work then no ‘jam’. But this is how all start ups are isn’t it? I’m sure if the business grew into a multi million pound business then they would want to be part of it? Surely they can’t have the best of both worlds?
     
    Posted: Jan 12, 2019 By: FinanceBizWiz Member since: Aug 9, 2018
    #30
  11. fisicx

    fisicx It's Major Clanger! Staff Member

    30,215 8,874
    Nope. It just doesn't work like that anymore. App developers know that nearly all apps fail to make enough money to cover costs. So they will almost all without exception want the money up front.

    They don't want the best of both worlds. They just want the money so they can pay their bills.
     
    Posted: Jan 12, 2019 By: fisicx Member since: Sep 12, 2006
    #31
  12. FinanceBizWiz

    FinanceBizWiz UKBF Contributor Free Member

    49 0
    I see your point. I suppose if they had entrepreneurial spirit and wanted to build an app to make money from then they’d probably just go and do it themselves. What if there was a developer that wanted to do their own app but doesn’t have the marketing knowledge, business acumen or confidence to do so?
     
    Posted: Jan 12, 2019 By: FinanceBizWiz Member since: Aug 9, 2018
    #32
  13. fisicx

    fisicx It's Major Clanger! Staff Member

    30,215 8,874
    I've got a great idea for an app but I can't do money. How about you do all my financial stuff for an indefinite period of time including setting up the business, dealing with HMRC, publishing my accounts, doing all my banking and everything else. If the app makes any money you can have 10% of the profit.
     
    Posted: Jan 12, 2019 By: fisicx Member since: Sep 12, 2006
    #33
  14. FinanceBizWiz

    FinanceBizWiz UKBF Contributor Free Member

    49 0
    I wouldn’t do it for 10% but if the idea is good enough then I’d consider for 25%... How would partnerships in businesses start if one of the parties in the partnership wanted paying before the business was generating a profit?
     
    Posted: Jan 12, 2019 By: FinanceBizWiz Member since: Aug 9, 2018
    #34
  15. billybob99

    billybob99 UKBF Regular Free Member

    954 186
    This can work and I've seen it work before, but in the cases I've seen, all the guys starting were actually very good friends.

    Not to say it can't work with people you haven't met before. You need to head over to here.

    You need to be comfortable with sharing your idea out in the open, if anyone can relate to it and wants to help, you'll soon hear from them.

    Used that site many times over the last 5 years and met a lot of good people.
     
    Posted: Jan 12, 2019 By: billybob99 Member since: Apr 23, 2013
    #35