Kinvey, an enterprise Backend as a Services (BaaS) provider shared its latest report revealing that over half (56 percent) of companies spend 7 months to 1 year developing a single app, and close to 20 percent spend more than $500K on each app developed.
The main challenge identified is that CIOs believe that app development is too time consuming. The report revealed that 50 percent of CIOs feel the process takes too long; 24 percent cited that the core of frustration lied within the app development process.
Mobile strategies are also delayed from the mobile app development process due to the lack of right tools and skills (50 percent) and lack of budget (67 percent).
The percentage of app development which is led by marketing, sales and other functions account for 71 percent. These lines do not enterprise IT departments which may be a factor on why mobile costs continue to remain high while overall mobile development may be lagging.
According to the study, one out of three companies lacks a formal strategy for mobile. 46 percent of CIOs stated that fragmentation was the key concern to why mobile strategy lags, while 62 percent cited the pace of mobile change is challenging.
Kinvey’s insights also indicated that 97 percent of CIOs have high expectations for what mobile can do for their businesses. 76 percent want to leverage mobile to reduce costs and increase employee productivity and 64 percent want to create new revenue opportunities, and 12 percent are planning to use mobile to disrupt the market.
The mobile strategy challenges put the entire process and business at risk to further uncontrolled costs, redundancy and inefficiency. In addition, CIOs are currently dealing with factors such as a lack of budget, infrastructure being built for Web apps and not mobile apps and the inability to access in-house support and tools. The findings have indicated that mobile innovation is being compromised in app development.
Kinvey’s full report can be downloaded here and an overview of the findings can be found
here.