Whether you are seeking a compact software solution for personal use or aiming to develop enterprise-scale software for your company, engaging Australian software developers is an excellent decision. 

Wondering why? The software market size in Australia in 2024 is around $11.89 billion, and it is expected to surpass $14.10 billion by 2028.  This dynamic market is supported by a strong ecosystem of skilled developers and cutting-edge technological innovation. This makes Australia an ideal locale for software development, providing both quality and forward-thinking expertise.

If you are a business looking to dive in this lucrative market and curious about the cost of software development in Australia, our blog will help you find out how much you will need to spend to develop software.

What Factors Influence the Cost of Software Development in Australia? 

Numerous factors impact the cost of software development in Australia, including the complexity and scope of the app, size, UI/UX design requirements, platform, and many more. Let’s explore each factor in detail below. 

App Complexity 

The app’s complexity is directly correlated to how sophisticated the software is. The major cost of software development depends on the complexity of the app. That is because simple apps with basic features will cost less compared to feature-rich apps with complex functionalities like real-time chat or integration with external services. 

For basic apps, you can expect to pay around AUD 40,000. The estimated cost of average complex apps in Australia is AUD 130,000. The average cost of feature-rich software apps is AUD 200,000. On the other hand, highly complex apps can cost you anywhere above AUD 280,000. 

Size of the App  

The size of the app affects the total time required to build the software, which is why it influences the total software development cost. Small and basic applications need approximately 500 to 700 hours and cost anywhere between AUD 25,000 and AUD 125,000. 

To build a medium-sized app, developers need 700 to 1200 hours, which can cost around AUD 125,000 and AUD 200,000, depending on the complexity. For large enterprise software apps, the minimum development time is 1200+ hours. To build such large apps, the software team needs to conduct proper research, handle complex architecture, and other intricate details, so the cost is more than AUD 280,000. 

Platform Choice 

The decision of which platform to target – iOS, Android, or both – significantly impacts the cost of the app. Since each platform needs different technologies and developer expertise, it affects the development timeline and costs. 

Developing a native app for a single platform (iOS or Android) will generally be less expensive compared to building a native app for both. However, cross-platform development can be cost-effective in the long run, especially if you plan to target both iOS and Android users.

Design Needs 

The design of an app, encompassing both the user interface (UI) and user experience (UX), plays a crucial role in its success. Simple, clean interfaces with standard UI elements are less expensive to develop in comparison to complex interfaces with custom graphics, animations, or micro-interactions.

Experience of Developers 

The experience and skill set of the development team significantly impact the cost and quality of your software. For example, the average hourly rate for software development in Brisbane, Australia ranges from AUD 20 to AUD 75, depending on their skill level and years of experience. 

• Junior Developers: Hiring junior developers might seem cost-effective at first glance. However, they may require more supervision and take longer to complete tasks, potentially leading to higher overall development costs.
• Mid-Level Developers: Mid-level developers with a few years of experience offer a good balance between cost and efficiency. They can work independently on most tasks but might require occasional guidance from senior developers for complex issues.
• Senior Developers: Seasoned developers with extensive experience command a premium but offer significant advantages. They work efficiently, solve problems quickly, and deliver high-quality code. This can translate to cost savings in the long run through reduced rework and maintenance needs.

Integrating Additional Features  

Adding extra features to an app can enhance its functionality and user appeal, but each additional feature adds to the complexity and cost of development. Each integration requires additional development effort to ensure smooth operation within your software. The complexity of these integrations directly affects development time and cost.

What are the Hidden Costs of Software Development? 

While the initial development process forms a significant part of the cost equation, numerous ongoing expenses should be considered when budgeting for your software project. Here are common hidden costs of software development: 

Server Fees 

The cost of maintaining servers to host your software can vary significantly depending on your specific needs. For example, for basic applications with low traffic, costs might start as low as $10 per month with cloud-based hosting solutions. 

As user traffic and data storage requirements increase, costs can range from $100 to $1,000 per month. Complex applications with high traffic and robust security needs might require dedicated server infrastructure, potentially costing upwards of $10,000 per month.

Maintenance and Support 

Software application needs ongoing maintenance on a regular basis to ensure it function optimally. This includes:

• Bug Fixes: Addressing any bugs or glitches that arise after deployment to maintain a positive user experience.
• Security Updates: Regularly patching vulnerabilities to protect your software and user data from security threats.
• Performance Optimization: Monitoring and optimizing performance to ensure your software runs smoothly and efficiently.
• New Features: Adding new features or functionalities based on user feedback and evolving business needs.

Marketing 

You need a well-defined marketing strategy to reach your target audience and drive user adoption. Companies like Woolworths Supermarkets, Harvey Norman, KFC, Google Australia, Amazon, QANTAS, Uber, and Optus are spending millions of dollars on marketing in Australia. 

Some of the common marketing expenses include: 

• Social media marketing 
• SEO 
• Paid ads  
• Email marketing 
• Influencer marketing 
• Content sales funnels
• Public relations 

Wrapping Up 

If you would like to hire software developers in Australia, understanding the above factors will help you plan your budget accordingly. Make sure to inform all your software requirements to the developer and get an estimated quote. In addition, be familiar with the hidden costs in software development and apply money-saving tips to reduce the overall costs.