Offshore Mobile App Development: A Complete Guide

Whether you are looking to build an entire mobile app project from scratch or upgrade your mobile application, outsourcing to offshore mobile app development companies is a reliable and affordable choice.

According to GrandViewResearch, the global IT services outsourcing market size value is estimated to increase from USD 686.92 billion to USD 1,180.42 billion by 2030 at a CAGR of 8.0%. 

Apart from that, the report segmentation forecasts revenue growth at global, regional, and country levels and on service, location, end-use, and region. This indicates that outsourcing is a promising development approach for cost-effectiveness.

Offshore outsourcing development means hiring an external vendor from another country to handle mobile or software development projects. In this blog, we’ll learn about the process of outsourcing work to a reliable offshore mobile app development partner, and related challenges, best practices, and costs. 

How to Outsource Mobile App Development to an Offshore Partner

1. Project planning and requirements gathering

Begin by conducting an in-depth analysis of your app idea, considering your target market and unique selling points (USPs). Create a project brief that includes information such as purpose, target audience demographics, core features, and functionality requirements of your mobile app idea.

• Be specific about technical specifications, such as whether you need an iOS, Android, or cross-platform app. 
• Describe any integration requirements with existing systems or third-party services. 
• Consider localization requirements for different markets. 
• Prepare a budget that accounts for exchange rates and potential additional costs. 
• Set a timeline that considers differences in holidays and working hours between countries when hiring offshore mobile app developers.

2. Researching and selecting an offshore partner

Selecting the right offshore outsourced mobile app development partner is critical to your project’s success. To identify the right firms, search on industry directories, tech forums, and professional networks with expertise in your specific app category. 

Look for companies that have experience working with clients from your country or region, as they would be better equipped to understand your market requirements. 

Check whether the offshore team has obtained relevant certifications, such as ISO 27001 for data security, which are particularly important for clients from countries with strict data protection laws.

Scrutinize their data protection measures, ensuring they comply with your local regulations, such as GDPR for EU countries. 

Measure and learn about the familiarity with your local market regulations, especially if your app falls under regulated industries like finance or healthcare. 

Check if offshore mobile app development firms can handle intellectual property laws across different jurisdictions to ensure your app is protected by all important regulations. 

3. Requesting for proposal (RFP) and evaluation

Creating a detailed request for a proposal plan is important to attract the right outsourced mobile app development partners for your project. RFP helps set clear expectations when you outsource app development as it includes detailed information about your project scope, objectives, expected deliverables, and milestones. 

Specify your preferred project management methodology, whether it’s Agile Software Development, Scrum Software development, or another approach. Outline your reporting and communication expectations by considering the geographical distance. 

Request information on the outsourced partner’s development stack and why it’s suitable for your project; make sure it aligns with your technical requirements. Ask for examples of similar mobile app projects completed by them for clients in your country or industry. All this information helps you get insights about their relevant experience. 

Enquire about the selected offshore mobile application development firm’s approach to overcoming language barriers and cultural differences, as well as their strategy for handling time zone differences.

4. Negotiating contract and conducting thorough check

Before finalizing your partnership with an offshore mobile app development firm, conduct thorough due diligence. Perform background checks to finalize the stability and legal standing of your chosen offshore mobile app development firm. 

Request and contact references from clients in your country or neighboring regions to get first-hand accounts of their performance. 

When negotiating the contract, cover all important aspects including detailed project specifications, acceptance criteria, pricing structure, intellectual property rights, data protection, confidentiality agreements, and dispute resolution mechanisms. 

Discuss the governing law for the contract, considering the international nature of the partnership. Address tax implications and any relevant trade agreements between your country and the country you’re outsourcing to.

5. Setting up a project plan and quality assurance processes

You have already defined your mobile app project’s scope and objectives, from the app’s core functionality to the need for specific compliance. Discuss all these requirements with your offshore mobile app development outsourcing company. 

Next, discuss with the team how your project can be broken down into manageable phases with each having its milestones. Typical milestones for a mobile app development project include the following. 

• Project kickoff and requirements finalization
• Design approval, prototype completion, and alpha version release
• Beta testing initiation, final quality assurance, app store submission
• Official launch of your mobile application

Here are the pointers to keep in mind for quality assurance.

• For each phase, get a detailed timeline for the differences in working days and holidays between your country and the location of the offshore app development agency. Also consider factors like time zone differences, longer communication cycles, and buffer time for unexpected delays or additional feedback rounds. 
• Speak to the team about implementing Agile methodologies and adapting them to suit the offshore nature of the project.
• Adjust Agile practices, such as longer sprints or modified daily stand-up times, to accommodate time zone differences.
• Schedule bi-weekly stand-ups instead of daily ones if there is a significant time difference (e.g., between Australia and Canada).
• Establish clear communication protocols, including regular video conferences, instant messaging channels, and project management tools.
• Ensure communication tools are accessible and comply with data protection laws in both countries.
• Set up quality assurance processes, including code reviews, automated testing, and user acceptance testing to suit your brand. For example, if you are a Japanese company known for high-quality products, you might request additional QA steps to ensure the app meets the exacting standards of the Japanese market.
• Implement a system for tracking progress and reporting to ensure transparency throughout the development process. This could include burndown charts, regular status reports, and demo sessions scheduled at times convenient for both teams.
• Establish a clear change management process and risk management strategy, identifying potential challenges specific to offshore app development.

Next, let’s understand the costs of outsourcing mobile app development to offshore partners. Check the following section to learn more. 

Offshore Mobile App Development Cost

The average cost of mobile app development in Canada ranges from $10,000 to $200,000 and more.

The cost of developing mobile apps depends on multiple factors such as:

• Features
• Complexity
• UI/UX design
• Size of mobile apps
• Hourly rates of developers
• Offshore mobile development team size
• App developers’ location

To understand the cost better, let’s consider an example. Imagine you want to develop a healthcare application for your organization. The hourly rate of a mobile app developer ranges from $30 to $120 per hour. Let’s calculate the cost if you hire a mid-senior level mobile app developer at $35 per hour for 3 months.

Cost of mobile application development to offshore outsourcing agencies 

Description	Cost
Hourly rate of developer	$35 to $40 per hour
Monthly working hours	176 hours
Monthly cost for one developer	$6,160 to $7,040
Total cost for the team (4 developers, 3 months)	$73,920 – $84,480

So, the total cost for a 3-month offshore development project is $73,920 – $84,480, which is more cost-effective compared to onshore development. Here’s why. 

In-house mobile app development (Considering USA region)

Description	In-house App Development (USA)
Team size	4 developers
Project duration	3 months
Total working hours (3 months)	528 hours per developer (176 hours/month * 3 months)
Base cost (4 developers, 3 months)	$120,000 ($30,000 * 4 developers)
Benefits (15% of base cost)	$18,000 ($4,500 * 4 developers)
Federal and state employment taxes (10%)	$12,000 ($3,000 * 4 developers)
Management overhead (10%)	$12,000 ($3,000 * 4 developers)
Facilities and tools	$6,000 ($1,500 * 4 developers)
Total project cost (4 developers, 3 months)	$168,000

For a three-month mobile app development project with a team of four developers, offshore development in Canada costs between $73,920 and $84,480, whereas, an on-shore or in-house development team in the USA costs $168,000. 

This comparison represents a cost difference of approximately 50-56%, making offshore development a better cost-effective option for companies looking to minimize expenses while still accessing skilled development resources. 

However, you should also consider factors such as communication ease, time zone differences, and potential cultural disparities when deciding between an offshore and onshore development agency.

Note: All the above calculation is done by using the formula present in the Accelerance report of outsourcing rates in 2024.

Now, how do you ensure that your mobile app projects are on track while outsourcing to an offshore mobile app development company? To help you, we have listed the best practices in the following section. 

5 Best Practices for Offshore Mobile App Development

1. Define roles and set clear expectations

Define the roles of each team member involved in the project, from developers, designers, and project managers to quality assurance engineers. Use a RACI (Responsible, Accountable, Consulted, Informed) matrix to outline who is responsible for specific tasks and deliverables.

Next, set expectations and communicate regularly regarding work quality, deadlines, and communication protocols. So, you need to define what success looks like for each role and how performance will be measured. 

Set clear KPIs for your software project and individual team members. These might include metrics like code quality scores, on-time delivery rates, or user satisfaction ratings for delivered features.

Further, use a structured onboarding process for all team members to familiarize them with project goals, tools, and workflows. This allows us to ensure everyone is aligned from the start. 

2. Hold regular meetings and establish a reporting framework

Set up regular check-in meetings on a weekly or bi-weekly basis to discuss progress, address challenges, and adjust plans as required. You can even use video conferencing tools like Zoom, Google Meet, or Microsoft Teams for better, faster, and real-time collaboration. 

Further, prepare a reporting framework consisting of regular status updates of tasks, milestone achievements, and any blockers. You can prepare it as a shareable document, or sheet, or use a project management tool like Trello, or Basecamp, where team members can update their progress. 

Additionally, you should implement a structured onboarding process for all team members to familiarize them with project goals, tools, and workflows. As a result, everyone in the team is aligned from the start of your mobile app development project. 

3. Use collaboration tools for effective remote work

Use and adopt a powerful project management tool like Jira, Asana, or Microsoft Project for task tracking and progress monitoring. Make sure all team members are trained to use these tools accurately without facing any issues. 

Besides, you can ask team members to use communication tools like Slack or Microsoft Teams for quick questions and information communications. You can create dedicated challenges for different aspects of the project (e.g. #design-feedback, #bug-reports, #general-questions).

Next, use a secure, cloud-based file-sharing system like Google Drive or Dropbox for easy access to project documents across time zones. 

During development, if you want to explain any complex issues or challenges faced while testing your mobile apps, you can use platforms like Loom to record the sessions and send the recorded videos to your team. 

4. Provide clear documentation and knowledge transfer

Defining roles, establishing regular communication, using collaboration tools, and making thorough documentation help teams work more and build high-quality mobile applications that meet your business requirements. Let’s see how to do it. 

Create detailed documentation of your project:

• Include technical specifications
• Outline user journeys
• Provide design guidelines
• Document testing procedures

Providing a base standard helps your offshore mobile software development team follow the guidelines and provide answers.

Request the following from your offshore app developers team:

• Develop and regularly update detailed API documentation.
• Adhere to a code documentation standard and demonstrate it in code reviews.
• Record important meetings and technical discussions, and make them available for team members’ reference.

These best practices help you make your offshore software development partnership successful. 

While outsourcing, there are chances you’ll face some challenges in the process. Read this next section to understand the core challenges and how to tackle them. 

5 Core Challenges to Consider When Outsourcing Mobile App Development

1. Time zone differences

When your hired development team operates in different time zones, it can impact real-time communication, project milestones, and decision-making processes. 

For example, if you are from Japan, South Korea, or Australia, you might face delays in receiving updates and feedback as you might be ahead of Canada. 

This lag slows down the mobile app development process and results in an extension of project deadlines. 

Solution: When you partner with Space-O Technologies, our developers help mitigate such an issue by establishing overlapping working hours where both teams can communicate with ease.

We also arrange daily stand-up meetings at overlapping times to ensure that both teams remain aligned with detailed documentation and clear communication protocols. 

2. Communication barriers

Communication between a mobile app development team and a client is the backbone of making any project successful. In Canada, while English is spoken majorly, subtle differences in language usage and cultural context can lead to misunderstandings, especially if you’re from non-native English-speaking countries such as Germany, France, and Mexico.

This is why clear and precise communication plays an important role in avoiding any confusion or losses. 

Solution: At Space-O, we conduct regular video calls, carry out detailed documentation, and use collaborative tools like Microsoft Teams or Slack to enhance communication. Additionally, providing your managers with language training or hiring bilingual project managers can help bridge the gap and ensure smooth interactions. 

3. Quality control and standards

Your ultimate goal in developing your mobile application is to provide value to your end users. Without quality control and processes, it is not possible to ensure your developed applications meet varying standards and expectations. 

Solution:  Space-O Technologies helps mitigate this risk. We have regular code reviews, implement automated testing, and adhere to international standards like ISO and CMMI. Also, we provide regular updates and transparent reporting on QA activities to ensure the quality of mobile applications. 

4. Legal and regulatory compliance

As a project owner, you need to ensure your project complies with local and international laws, especially with data protection and privacy. For example, if you are from the European Union, you need to ensure that your mobile applications comply with the General Data Protection Regulation (GDPR). Whereas, if you are in the USA, your application should comply with the California Consumer Privacy Act (CCPA).

To avoid legal repercussions, you need to have powerful data protection measures within your mobile app by conducting regular compliance audits. You also might need to work with legal experts especially if you have developed mobile applications for healthcare or finance segments.

Solution: At Space-O Technologies, we have a team of skilled professionals with experience in developing mobile apps that comply with industry regulations like GDPR or CCPA. 

5. Project management and coordination

Managing a team of multiple professionals like developers, designers, and project managers, across different locations and time zones requires structured approaches and dedicated resources. 

Your in-house managers communicating with the offshore mobile app developers team should be skilled in using tools like Jira, Trello, and Asana to track progress and manage tasks. 

Solution: Regular meetings, clear communication on requirements and project status updates, and setting realistic deadlines are important practices—all followed by Space-O.

Above all, have a contingency plan in place for potential delays or issues to keep projects on track. Exercise transparency and accountability in all project management stages to ensure both parties are aligned on goals and expectations.

These are the core challenges that you might face during outsourcing your mobile app development project. Below we have described a few ways to find a reliable offshore mobile application development team for your project. 

Where to Find a Reliable Offshore Mobile App Development Company?

Finding a reliable offshore mobile app development company requires research. Here are ways you can identify trustworthy partners in Canada. 

Category	Sources	Description
B2B websites	Clutch	B2B ratings and reviews platform with detailed company profiles and client feedback.
	GoodFirms	Directory offering reviews and ratings for IT service providers, helping assess company credibility.
Freelancing platforms	Upwork	Freelancing site with developer and team profiles, which include their ratings and portfolios.
Developer communities	GitHub	Code hosting platform where you can review developer contributions and expertise.
	Stack Overflow	Q&A platform for software and mobile app developers. This platform is useful for finding top-rated professionals based on community activity.
Professional networks	LinkedIn	Networking site providing company profiles and professional endorsements.
Local business directories	Local Chambers of Commerce	Directories of local businesses having a list of established tech companies.
Industry events	Tech conferences	Events like Collision and Web Summit are used to network and discover tech companies.
	Meetups and local events	Local tech meetups for networking with developers and companies.
Referrals and recommendations	Industry contacts	Recommendations from peers and colleagues based on direct experience.
Outsourcing agencies	Software development agencies	Agencies that connect businesses with vetted offshore development teams.

If you have any more questions or doubts, please continue to the following section for more. 

Outsource Your Mobile App Development Project to Space-O Technologies

In this blog post, we have covered the entire process of outsourcing mobile app development projects to offshore firms. From defining requirements to setting up roles and quality assurance standards, you have learned about each step in detail. 

By following the steps outlined in this guide, you can successfully navigate the outsourcing process. Space-O Technologies is a leading mobile app development firm, having 7+ years of experience in mobile app, software, and web app development projects. 

We have skilled mobile app developers with an average of 5+ years of experience. Let’s discuss your project requirements today and get started. Contact us to get insights from expert mobile app developers.