What Are The Risks in Mobile Application Development Industry?

Updated on :October 18, 2023
By :James Burns

Whether its a large scale business or SMEs, mobile applications has proved its benefits in the business world. Mobile apps are increasing the ease of business by attracting more and more!

“Within the next 5 years, 60% to 70% software interactions, especially in healthcare, education, real estate, and social networking sectors will occur more on mobile devices.”

In addition to it, we can see the establishment of more top-class mobile application development companies accelerating this innovative and creative work. If you are one of many other enthusiasts ready to invest in the app development industry, then it’s a right time.

Additionally, if you have an app idea, then that’s too great! You can develop an excellent user-friendly app, attract more customers, and can increase your business value.

However, does having an app idea is enough for your successful mobile application development. We think you very well know the answer, i.e., NO!

Without justifying the true potential of your app idea via investment, development, and marketing, company establishment is quite tough. Considering the level of competition, we would suggest you analyze the risks involved in the app development process.

“There are millions and millions of apps on various mobile application stores such as Play Store, App Store, App Brain, Get Jar, etc. If stats are to be believed then, the counting of apps can cross 1+ Billion mark in the coming years.”

Therefore, there is no chance that the mobile application development industry will ever suffer. However, from the last two to three years, there has been a sudden increase in complaints from the app users about the app's functionalities, such as data storage and collection.

As a result, many apps have fallen into the category of unsecured apps. And direct questions are being put over the mobile application development industry.

Though there are many companies in the mobile app development business, you cannot remain sure if the company is good or not. Here comes your first risk!

Choosing The Best Mobile App Development Company

Experts in mobile app industries believe that the app market will cross $200 billion by 2020.

The main reason why many companies are stepping in the app development business is because of the increasing demands in high-quality applications. Companies hire mobile app developers, buy mobile app testing software, and do their best to deliver the project on time.

But still, in some cases, mobile app companies fail to create a well-secured user-friendly app. Four important reasons why they fail are as follows:

  • Not using the latest trends of mobile app development such as chatbots, artificial intelligence, IoT, machine learning, payment gateway integration, beacon technology, blockchain integration, etc.
  • Not mapping mobile app ideas correctly as per available features.
  • Targeting the wrong audience while promoting a mobile app.
  • Falling for cheap mobile application development offers that reduce your budget and impacts the app quality.

Many new businesses jump into mobile app development without understanding the risks related to features and functionality. If you use the latest application development kits like iOS SDK, Android Developers Tool, and best coding languages, then you can surely make an app featured with trending technologies.

Previously, app development was based on coding and little customization. But, now with the growing use of APIs, that trend is ending. Moreover, it is becoming easy to convert websites directly to apps via plugins.

“This is the latest trend in app development and is possible with WordPress, which powers approximately 60% websites on the internet.”

Website To App Conversion: A Risk For New App Developers In The Industry

According to the results from Google Analytics, a higher amount of web traffic is from mobile phone users. A number of users access tons of websites daily with their mobiles.

Furthermore, in the USA this ratio is highest because 75% of US citizens use mobiles and tablets to access the internet.

Therefore, as a custom software development company in the USA, if you make your website mobile-friendly or responsive, then your business growth will be twice. But, what if a mobile responsive site gets converted into an app that showcases better and advanced features.

Though this conversion idea looks great, it is a bit risky!

A responsive site that converts into an app at your mobile home screen stays there forever and gives you a better experience. WordPress has made this possible.

Instead of visiting a site in the browser, you can directly launch an app to access stores, websites, blogs, and many more. Building a mobile app need programming skills, and WordPress has shortened it to just a conversion with the help of plugins.

In addition to it, it has also decreased the cost of app development; thus, making it easy for users!

There are 172million+ active WordPress sites, which can readily launch their apps with WordPress plugins like AppPresser, MobiLoud, Androapp, and WPapp.Ninja.

Customer retention rate is indeed more via mobile apps! But even so, can these plugins develop a well-secured banking app, healthcare app, real estate app, etc. is still a question.

These plugins require intermediate to advanced level of WordPress skills while most of the new web and app development companies prefer easy customization.

It seems that shortcuts can put the mobile application development industry into risks, though the idea of the web to app direct conversion is excellent. Moreover, it is a future development trend for apps.

Thus, a company exceptionally working on the latest technologies and trends is the best risk-free choice among hundreds and thousands of mobile app development services.

Increasing Need Of Mobile App Developers

The trends in technology are meant to enhance the apps! Subsequently, if you are focussed and well known to each trend, then creating an app with best features, UI/UX and functionalities become easy.

Therefore, you need the right mobile app development tech stack. More importantly, you need to hire dedicated developers who know everything about mobile app development technologies from scratch.

“According to research done by ACT (The App Association), in the USA, there are 200,000 job openings in software and app development, but the shortage of qualified developers is high.”

Finding out a quality developer is becoming difficult, and the shortage of talent is increasing the gap! Subsequently, the mobile app development companies suffer more; thus, creating more risks in mobile application development services of USA.

Technical Risks In Mobile App Development

We already know about the shortage in the talent pool and blaming technological advancement is not right. Therefore, we have listed two major technical specifications in this section that tells what technologies are currently in use to make app development project a great success in this Thanos-sized market.

With two major mobile app platforms, iOS and Android, the demand for cross-platform and hybrid app development are increasing. Native app development is an old story  and mentioned two are the new one.

Thus, to be a successful developer, you must know both app development.

“Swift, C++, Java, PHP, Javascript, and HTML5 are some hybrid app development technologies, while Flutter, React Native, and Xamarin is for cross-platform.”

Learning multi-perform operability at its full scale is the best way to reduce the gap between the app developer and the employers. Therefore, with new learning, reducing technical risks in mobile app development is possible for anyone, anywhere.

Data Related Security Risks

A few days ago, data leaks highlighted an app named 3Fun, which is a dating app with 100,000 installs and claims to carter 1.5 million users worldwide.

Though the developers of the app say that the app is secured, the app testing services tells a different story. The app is considered to have the worst security in any dating app while collecting data like locations, images, personal information, hobbies, messages, and more.

Finding out a reliable company which can assure your data safety on priority is difficult but not challenging. Generally, app developers collect data and share them with the third parties, which accidentally causes data leaks at a huge level.

Therefore, developing and delivering a secure mobile application is essential, otherwise, security risks can again put questions over the mobile application development industry!

"According to 6 months old report from Gartner, 80% of apps on the Play Store and App Store were found missing minor data security codes. Moreover, 40% of apps from them were easy to get hacked."

If such is the data security of our mobile apps, then putting questions on the app industry is normal! This could variably impact the app development market and can heavily reduce the profits that are being shared between the companies.

In addition to it, the cyber-attacks & malicious activity via mobile apps are increasing day by day. There is no guarantee if our commonly used social media apps like Instagram, Facebook, Twitter, Whatsapp, etc. are safe or not!

“With the technological advancements in cyberattacks like phishing, spamming, cryptojacking, data mining, files spamming, and decryption techniques, the virus, malware, and ransomware attacks are putting app development industry at more risks.”

Clearing the cache files, obfuscating code, and protecting local storage alone cannot keep sensitive data safe inside the app.

Therefore, enhancing the security strategy while caring more for consumer data is a needed step.

To reduce the risk of data security in this industry, app developers must use the safest way to login via secure identification features such as OpenID Connect, Oauth2, and JSON Web.

Also, top mobile app development companies must implement a better encryption system, security layers, and HTTPS digital certificate.

Anti-tampering, anti-debugging, reverse engineering code, app integration with MAM/MDM can also prove to be helpful for the app development startups concerning about the users' data security.

Though mobile application development is a complex process, we cannot ignore these app development risks and their hazardous impacts on our devices, businesses, and personal life.

In other words, if you are completely clear with the involved risks in the mobile application development industry, then try including the measures and counterfeits, which can reduce the risks to 80%.

Also, share the article and bring out the awareness in creating an almost perfect risk-free app.

James Burns
James Burns

James Burns is the Founder and CEO of CMS Website Services, a globally ranking web development and mobile application development company in the USA which also performs best practices in mobile application development. With 10+ years of experience in designing, development, implementation & maintenance of high quality global redundant, compliance-ready applications, network and Data Centers for private and Govt organizations, I have all the solutions to your IT problems as a tech-business person.

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