Mobile apps are a necessary tool in today’s world for businesses to get success in the market. With each passing day, the number of mobile users is increasing and there’s no doubt that businesses need a successful mobile app to reach their audiences. Although a website is necessary, having a mobile app gives an additional reach to businesses and provides ease for their customers. So, having a mobile app business plan is a must for every business.
Targeting more users has become easier, but it comes with the challenge of developing a mobile app. No matter if you’re starting from scratch or updating an existing app, you need to have a clear and smart business plan for a mobile app to target your audience. The business plan must have clear goals along with information regarding app development cost, after-sales support, designing, marketing, and so on.
Belonging to a B2B or B2C market makes no difference because you will find equal competition in both industries. Hence, developing or designing an app does not ensure its success. You have to keep marketing in the process and make it a part of your business plan for its future success.
Here is an example of a sample mobile app business plan, so your basics are clear when it comes to designing and developing a mobile app.
When it comes to developing a mobile app business plan, you must have everything sorted out for your comfort. A thorough business plan covers all areas, so your company does not suffer at any point due to lack of thought.
In this section, you will write a clear summary of your project to the investors. This section must cover all information as to how the idea of an app came to you and how it will solve any existing problem. An executive summary saves the time of the investors and gives them an idea of what to expect from the rest of the document.
Developing an app means that you’re trying to solve a problem. There must be a gap in the supply and demand chain, which is why you are thinking of solving this problem. In this section, you have to talk about the problem due to which you’re considering developing an app.
Here’s how you can sum it down:
Now that you have identified the existing problems, the next step in writing the business plan for a mobile app is to provide solutions for them. It’s time to shed some light on your mobile app idea and how it will solve the problems.
The whole idea is to tell your investors why they should be interested in your mobile app startup business plan. Mention how the solution will eliminate the problem. For instance, what is it the app offers that no other competitor is targeting? How it will help the target audience?
There are over 2 million apps on the App Store and Google’s Play Store, so what makes you think that your app will stand out among them? If you’re doing the same thing as hundred other brands, then there is a very slight chance that you will shine out of them.
In this section of your business plan, you must mention the USP of your app. If this section is strong and clearly shows the potential for success, then there is a high chance that your investors will take interest in it. Try to differentiate your audience from your competition in a way that is hard to ignore.
Mention the starting point of your business plan without going into the details regarding updates or new features. Diving into an existing app can be difficult without mentioning your USP, so be clear about your goals in this section.
Mention the target revenue that your business plan will generate, so the investors can see if their strategic objectives for a future match with yours. Also, mention the timeline in which you will achieve your goals along with highlighting the end goal of your business plan.
The details of your startup include information about partners under the company section. You have to make it clear for your investors, so they can make an informed decision. Highlight all the necessary details of your business, for instance, where your company is registered, who are the shareholders, the operations of your business, the name of the key players, and so on.
If you look at any sample mobile app business plan, you will see that they always provide all the details of their company. Keeping everything transparent between your partners and your company ensures a healthy relationship between both parties.
Here is what you will need to include in the company overview:
Mentioning these details will save you from any trouble from investors’ end in the future. Make sure to pay attention to all of this and highlight it as carefully as you can.
In this section of the business plan, you need to mention the details about your company’s history.
Why did you start your company?
What inspired you to start your company?
How did your company establish?
How many and what milestones and achievements have to be reached recently?
What are the products that you’re selling or services you’re offering?
All of this information will help you in gaining your investor’s trust, so make sure to be clear about it.
Who are the critical players of your organization?
You have to highlight the details about your employees in this section. Mention their backgrounds, their work history, their experience, and so on here so your investors know about them. Highlight their skills that are beneficial in developing a mobile app.
Apart from the management team, you must also highlight your advisory members to show your investors how they agree with your idea.
Once you are done with explaining every detail about your business, it’s now time to focus on market research. Conducting thorough market research saves your time and lets you make an informed decision every time. Your investors are interested in knowing your target audience, your competition, and so on before investing in the idea.
You have to come up with proper details about Total Available Market (TAM), Serviceable Available Market (SAM), and Serviceable Obtainable Market (SOM). This detail plays a key role in designing your marketing strategies as well, so pay attention to it.
Including details regarding projections enable the investor to make a sound decision. You must study the market size and the success of similar companies as yours in your niche. If the growth rate of such companies is satisfactory or exceptionally well, then the investor will have a chance to analyze the risk ratio. Focus on the economy that you’re targeting for best results.
Market research further involves studying your competitors.
What are your competitors doing in the market?
How are they marketing their products/services?
What is their audience size?
What is their pricing?
What is their level of functionality?
All of this information will help you to come up with a better marketing strategy for your mobile app in the future.
Another crucial part of your sample mobile app business plan is the SWOT analysis.
S = Strength
W = Weakness
O = Opportunities
T = Threats
By critically analyzing all these aspects, you will be better able to check where you stand in the market. Make sure to highlight all your strengths and weaknesses in the business plan for its success. One might think that writing about the threats and weaknesses of your brand might make the investors lose interest in your project. In fact, it can help your investors gain interest in your business project.
After all these steps, now is the time to build your app.
The type of app that you’re creating depends on your company’s requirements. It’s important to mention on your business plan the type of your app. For instance, is it a gaming app, a file manager, or an Uber-like app?
You will be sharing a prototype of your app in the market before developing an expensive app to check the reviews of your audience. Mention all these details in your business plan for your project’s success.
After app development, one of the most crucial aspects is its marketing. Although you will mention a marketing strategy in your business plan, it will be revised from time to time. You have to mention your marketing tactics in your mobile app business plan for investor’s knowledge. Here is everything else that you need to include in the business plan.
If you want to grow your audience, then it can prove to be one of the best ways to grab your audience’s attention. For instance, a reward program or referrals encourages people to open your app or your website to get free benefits. The referral program can help you get the attention of our audience, but it’s important to keep a track of all of it.
Share the details about your customer acquisition strategy with your audience. Marketing can be tough, especially if you’re doing it from scratch. Not only this, but it will also cost you a great amount of money.
It’s necessary to highlight the details about how you plan on acquiring your audience in the business plan along with mentioning its benefits. You need to share the cost per acquisition and the channels that you will focus on as well. It will give an idea about the associated risk to your investors.
Your business plan must include details about financing the project before and after the launch. Your investors need to know the exact amount that they will be investing in your project, so make sure that you include numbers in your business plan. Furthermore, mention how you will monetize your product and what will be the cost to develop the app and run the entire business.
How will you monetize the app? It’s an important question to answer about return on investment. Here’s how you can do it.
Mention in your business plan about monetization, so your investors are clear about it.
The integrated features and complexity account for the development cost of the app. No matter if you’re hiring a development company or a freelancer to do the work for you, either way, you have to come up with numbers.
Lastly, mention these details about your mobile app business plan for your investors:
When it comes to writing a business plan, you must clear up everything for your investors so they don’t have any trouble in making a decision. Make sure to highlight all important details in the business plan to avoid any confusion and trouble in the future. Your startup mobile app business depends on how good you’re at predicting future outcomes and making everything crystal clear for your audience.
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