When looking at rates for web development, you’re bound to notice quite a bit of variety. It might be the spice of life, but this kind of variation can leave you scratching your head. In actuality, web dev prices are directly influenced by two important factors: the type of development company and their related business model. (Click to Tweet!)
To help you better understand the rates and decide what works best for you, we’ve broken down the companies into tiers, based on size, price, and typical client base. While it's safe to assume these companies who specialize in web dev know what makes a great website, they may not all fit your needs and/or budget. Check out this quick overview of the candidates out there.
Large Companies
To some, bigger means better. Depending on your project and budget, a large agency might fit your needs. Or they might leave you wondering if you are at a place to stretch your budget for an hourly rate of $400 and up.
Large companies typically have a large pool of qualified staff, along with the overhead that accompanies expertise. Thus, they target a certain class of clients, specifically those who can afford the average price tag of $200,000+. That means they’re usually looking for large companies with big development projects that require a great deal of time, expertise, and deep pockets.
Midsized Companies
Goldilocks would have liked a medium sized company. They have moderate operation costs, which allows them to cut down the prices, coming in at hourly rates from $100 to $200. With staff sizes of 10 to 20 employees, there are enough people to take on a variety of projects.
Companies of this size also tend to have a faster development process than large companies and are capable of supporting clients for the long term. To determine if the company is able to handle your project, look for evidence of past projects completed on a similar scale to your own. Be sure to also review the company owner’s track record. This will tell you a lot about their ethics and production process.
Small Companies
With small companies, you’re looking at maybe three workers tops and hourly rates from $50 to $125. They are best suited for small budgets, little projects, and other quick-turnaround needs.
Organization can be a problem especially when it comes to anything that requires major development because they may not have orderly processes in place. Unless you’re a mom and pop shop, a small organization may not be able to produce the results you need.
Independent Contractors
These developers work on their own and the hourly rates can vary a lot as well. It typically depends on their experience, knowledge, and cost of living. Expect to see a range from $50 to $250 per hour.
Independent contractors make good consultants as long as they have high ethical standards. They are often very entrepreneurial and are in business for themselves because they are good at what they do. These workers may take on many different types of assignments and lack the resources to produce in-depth development projects. Just be sure to check out reviews to ensure you are working with a quality representative.
Mass Producers: Outsourcing Services
We’re getting to the bottom of the barrel here. While you might be able to find some quality outsource workers, the overall quality is low. Rates are cheap, of course, but the focus here is on mass production. The business model boils down to doing a lot, as much and as fast as possible. If you want too much customization, your chances of finding it here are slim.
To learn more about web development and our process at Inturact, reach out to us for a free business assessment. We’ll be happy to help you come up with a web development project that suits your organization’s needs, style, and vision.
