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5 Benefits of Mobile and Web Application Outsourcing to Ukraine 5 Benefits of Mobile and Web Application Outsourcing to Ukraine

5 Benefits of Mobile and Web Application Outsourcing to Ukraine

Updated Dec 3, 2024

12 mins read

In recent decades, application outsourcing has become one of the leading IT trends and an effective way to launch or expand a business. In numbers, 79% of companies are outsourcing app development. Many of these companies choose to outsource their mobile and web app development to Ukraine. This decision is influenced by factors such as cost-effectiveness, wide technical expertise, and a dedicated approach to work. Moreover, the Ukrainian IT services market is expected to grow further and reach $4.60 billion, highlighting consistent development in the sector.

Deloitte Global Outsourcing Survey Statistics 2022
Deloitte Global Outsourcing Survey Statistics 2022 (Source)

If you are considering IT outsourcing to Ukraine but still have some doubts or questions, this article is just what you need to get your answers and help you make the final decision. Keep reading to find out which companies will benefit from outsourcing, learn more about the business climate in Ukraine, and see how outsourcing can help with growing your business.

What Companies Will Benefit from Application Outsourcing?

First of all, let’s clarify who needs to hire outsourced software developers. Actually, there is no limit for the size of a company that decides to outsource. This business solution has been effectively used by both giants of the tech world and tiny startups trying to win their niche and customer loyalty. Of course, the motives and approaches differ, but the essence remains – by delegating some design and development tasks you can:

  • save on development costs
  • get quick access to specialized knowledge
  • hire qualified developers without a long screening and onboarding process

Outsourcing App Development for Large Companies VS Startups

In 2022, the global IT services outsourcing market size was estimated at USD 525 billion and is expected to hit around USD 1,149.24 billion by 2032. An impressive number, isn’t it? In the case of large and medium companies, application outsourcing is mainly about the need to hire a dedicated team of developers who can quickly solve difficult tasks and have the necessary tech expertise. It is much easier to entrust the part of work to an existing team, which already has the established working process and relevant experience – rather than to create a separate department for every task. Multi-million companies, such as Alibaba.com, Github, and Skype, have started from outsourcing and relied on remote professional assistance to grow their businesses. As you probably already know, they did very well and inspired other startups to try their luck.

Speaking of outsourcing startup software development services, the reasons are quite different. In most cases, they have a limited budget and need to hit the market really fast. There is no time to develop a corporate structure, build a team of developers, and fine-tune all processes. Thus, the opportunity to fully or partially delegate the development process can help them to cut expenditures and launch the product more quickly. In addition, the chance to delegate some tasks will help to focus on the core problems and work more effectively. Hence, startups commonly prefer the Time & Material or Fixed Price type of cooperation.

5 Key Benefits of Application Outsourcing to Third-Party Developers

#1. Get access to advanced technical expertise

Sometimes, a local labor market cannot satisfy the needs of tech companies due to the missing, limited, or overpriced resources. In this case, it makes sense to start looking outside the national labor market. IT outsourcing is an effective way to attract the required level of expertise and find developers who will complete and strengthen the existing structure of the company.

#2. Save staffing time.

When you need to hire dedicated developers, it always turns out to be extremely time-consuming since finding, selecting, and convincing the right candidate is not an easy task. Let’s admit tthat he tech field is very competitive, and working with the already established team with distributed processes and tasks will considerably save your time.

#3. Start and terminate projects without extra hassle.

If you have a web and mobile app project that needs to be started right away or is completed on a short-term basis, cooperation with third-party developers may become the most effective solution. You can start working right away and easily terminate the project as soon as the goals and tasks are achieved.

#4. Support the scaling process.

Sooner or later, any company needs to decide whether to stay at the same level and settle or continue growing. In case you feel like you can do more, consider using app outsourcing as a way to scale your business. The decision to entrust a part of your tasks to a third-party team will help you to increase productivity while avoiding the related human resources and management issues.

#5. Find the best quality/price ratio.

One of the key reasons to outsource is the chance to find more highly-skilled developers at lower rates and, therefore, cut expenditures. Whereas in the USA, the average annual developer salary may reach up to $90K, the other labor markets, including the Ukrainian, can offer qualified and professional specialists at a more affordable cost.

.NET, Ruby, React, Angular, Java
iOS, Android, Mobile
PHP, Wordpress

Junior

22-34$

22-32$

20-27$

Middle

32-45$

29-42$

28-40$

Senior

48-65$

42-60$

40-55$

Tech Lead

60-80$

55-65$

48-69$

Why Outsourcing Mobile and Web Application Development is Better than In-House Development?

If you have never worked with mobile app and web software development on a large scale, and now it’s time to start, consider using some external help. The agencies specializing in .NET, Mobile, and Web software usually have teams of developers, quality assurance engineers, web designers, and software architects who already cooperated on different projects and know how to achieve the necessary results. Helping others to meet their goals and find the most suitable tech solutions is their specialization, whereas you may have a hard time forming your own mobile app and dedicated web development team. Even if you currently have several people, most probably, you’ll need to fill the gaps and hire a number of other specialists. This is always risky and can slow down the working process. In this case, web and mobile outsourcing can save you from the pain of forming a new tech team and provide the necessary results within a shorter time span.

Why Ukraine for Application Outsourcing?

Now, when you know about the main advantages of application outsourcing, you probably wonder what the best countries to outsource to are. During the past several years, more and more companies started to hire developers based abroad.

When it comes to the most attractive places for IT outsourcing, Ukraine is at the top of the list. Local business and labor markets are extremely favorable and open to companies that have decided to outsource their tech services. Having more than 245k tech specialists and 2150 active IT companies, Ukraine is becoming more and more in demand for companies who search for high-level services, advanced technologies, and a wide talent pool along with affordable costs. Such features of the Ukrainian tech industry make it the best choice for diverse businesses, starting from startups to large enterprises.

The Overall Situation in Ukraine and the Positive Changes That Are Currently Taking Place

Ukraine has remained a global leader in application outsourcing despite current challenges. The country has shown resilience and adaptability, with its tech sector growing constantly and contributing to the economy to a great extent. Recent improvements in infrastructure, governmental support for IT industries, and a focus on innovative technologies have made Ukraine an even more attractive outsourcing option.

Ukrainian developers are known for their expertise in cutting-edge technologies like AI, cloud, web, and mobile app development. Taking into account cyber threat challenges, Ukraine focused on enhancing its cybersecurity capabilities, starting to build a cyber defense network, improving its infrastructure, and make partnerships with international organizations. This gave the country-wide expertise in cybersecurity and ensured that all client data was safe.

Thus, Ukraine appears to be a leading player in application outsourcing among other European countries, combining wide expertise, a great educational approach, strong technical skills, and a compatible working culture.

Some Facts About the Tech Labor Market of Ukraine

Lately, the number of qualified Ukrainian developers has grown considerably, and this tendency continues to gain momentum. Ukrainians are interested in the IT field and willingly spend a lot of time on personal development and self-perfection. At the same time, the average hourly rate is lower than in most countries.

Here are some numbers that depict the current situation in the IT market of Ukraine, according to the IT Research by Lviv IT Cluster:

  • In 2023, Ukraine had around 242,000 IT professionals, 67% of which are men and 33% women
  • >83% of the tech pool consists of Middle, Senior, and Lead level specialists
  • >70% of specialists have technical educational specialization
  • More than 51% of Ukraine’s tech specialists work in outsourcing service companies
  • More than ⅓ of technical specialists live in the North, while over ¼ are in the West

Additional statistics show:

  • 56% of Ukrainian developers and other IT specialists have a university degree in STEM disciplines
  • 70% read professional literature and dedicate time to self-development
  • 60% regularly visit different Ukrainian and European IT events
  • Nearly 80% of Ukrainian developers and other IT specialists know English at the Intermediate level and above
Local tech industry distinctions map
IT research Ukraine 2023 by Lviv IT Cluster (Source)

This shows that the Ukrainian IT field has very favorable conditions for outsourcing and can satisfy the need for qualified employees. According to HackerRank, Ukraine takes 11th place in the ranking of best developers. If we take a closer look and analyze the market situation by domain, Ukraine is leading in security, distributed systems, and mathematics. Moreover, DistantJob highlights Ukraine as #1 in hiring a developer in Eastern Europe among 10 competitive countries. Also, mobile app and web development have become more popular, generating a larger number of qualified web developers.

Some Extra Tips on Finding the Company for Application Outsourcing Services in Ukraine

In case you have some doubts regarding the choice of a company for application outsourcing, you should, first of all, define your business needs and goals. A clear understanding of these factors will help you to find the right partner for mutually beneficial cooperation.

Here at Leobit, we have substantial expertise in web and mobile app development and provide development and testing services for tech companies and startups all over the world. You can hire our dedicated team for .Net, AI, Web, and Mobile app development, UI/UX and architecture design, quality assurance & testing, application support, and maintenance.

Leobit is located in one of the most attractive European IT destinations – Lviv city. It has been recognized as the top IT employer in Lviv by DOU.ua and has remarkable tech expertise in specialized fields, including:

.NET Core/.NET 8.0, ASP.NET Core, Blazor, .NET MAUI, Entity Framework Core, and more.

  • Mobile Technology Stack:

Swift, Objective-C​, Java, Kotlin​, React Native, Xamarin​, MAUI​, Ionic, Capacitor​, Cordova, PhoneGap, Flutter for cross-platform.

  • Web Technology Stack:

Angular.JS, Angular, React, Redux, Ember, Vue, HTML/CSS/JS/TS, Bootstrap, C#, Asp.Net, Blazor, Ruby, Node.js, PHP/WordPress.

  • Other:

Ruby, RoR, C/C++/C#, Linux, Embedded, Node.JS, PHP, Groovy/Grails, Perl, Python, DevOps, Amazon AWS, S3.

Most importantly, top developers in Ukraine working at Leobit have completed projects related to different fields, starting from healthcare to banking and finance. Every time we try to learn the philosophy of a company, understand their wishes and create the most suitable product. We aim to develop solutions that would meet the primary goals set by our customers, which is proven by our numerous successful projects, including:

InsurTech Platform Focused on Disability Insurance: Leobit’s team developed new features, such as integration with payment services, developing both agent and client portals and cloud-native architecture, by maintaining the existing C# and Angular codebase. In each iteration, team members performed different tasks, including R&D, software development, testing, and software deployment. Thus we conducted refactoring of the existing insurtech web platform ensuring its unlimited scalability and conformity with all emerging needs.

InsurTech case study preview

AI-Based Digital Dermoscopy Application: Leobit worked in collaboration with a European skin imaging system company to improve its Flutter application for detecting skin changes and create a new kiosk app compatible with the company’s hardware. Our team refactored the codebase and implemented architectural adjustments to ensure seamless functionality across both applications. The newly developed kiosk app integrates with a specialized dermoscopy case, bridging the gap between traditional handheld dermatoscopes and advanced mole mapping systems, offering a comprehensive and innovative solution for dermatological imaging.

AI-Based Digital Dermoscopy Application

 

Trond Ahlsen

“Leobit developed our web, iOS and Android apps. We began the process from scratch and their team built it according to our vision. Our goal was to stand out from our global competition and get our product used in prominent sports events. Leobit has been professional to work with. So far, everything has been delivered as expected. The team at Leobit continues to be supportive and productive. They’re communicative and flexible throughout the project . We value that everything is delivered on time and they’re responsive. They also stayed within budget.”

Trond Ahlsen

Trond Ahlsen

Owner & Managing Director, Sportif AS Bergen, Norway

Compared to other companies that provide IT outsourcing services on the Ukrainian market, Leobit stands out with its:

  • Technically strong team consisting of 150+ software engineers, architects, quality control experts, and UI/UX designers with substantial experience in outsourced projects;
  • Flexibility in terms of models and approaches, including extended team, partial or full-cycle product development, T&M, dedicated team, and fixed price;
  • Quick team staffing and project rollout (starting from 1 week for key tech stacks, such as .NET);

These skills and working methods ensure the success of projects and mutually beneficial cooperation where both parties win.
In case you have any questions or need support, don’t hesitate to contact us by filling out a form or send us an email.

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Artem Matsa | Business Development Director