Please introduce your company and your role within the company.
I started Clavax in June 2011 and in less than five years we have become a multinational company & have grown at a rate of 100% to 200% every year. My role in the company is to look into the technical aspects of the operations. I look into the architectural needs of complex project and also involved in closing deals and maintaining client relationships at times. I make sure that I meet my clients once every year just to make sure if they are having any challenges and how can Clavax offer hands to solve any of their problems.
Clavax is full-service IT SOLUTIONS COMPANY. We offer complete product development starting from documentation of the thought, improving the idea, making the App to launching it and also managing the servers and App store optimization. In terms of infrastructure, we have an office in San Jose, CA, which is marketing and support office having a team size of 25 to 30 employees. Another one is located at Gurgaon, which is our own development Centre with a team of 160 to 170 employees.
We cater to extremely diversified client base. If it’s a medium sized project, we take care of everything from our offshore center in Gurgaon where we have a dedicated project manager, team leader underneath, various developers (iOS and Android - as per the project requirement) and the QA coding team. If the project is big sized and the client can afford, then we recruit an on-site project manager for the client, who is responsible for all the communication happening between the client and Clavax. The person is responsible for all the deliverables. We call this hybrid model, which works really well for our enterprise level clients where the project manager coordinates between the client and the offshore team at Gurgaon. For offshore development we charge 20 to 25 US$ and for on-shore resource like a project manager or a developer we charge 60 to 70 US$.
We have a dedicated team of Business Analyst. Each time a new project comes; a Business Analyst is assigned to a project that regularly communicates with the client to understand their requirement. Many times it’s difficult to understand the client’s aspirations by just seeing the document they put their idea on, so we emphasize on continuous interaction. For clients who give emphasis on price from the beginning, we have an estimate planner on our website. We ask them to go through ten different screens where we ask them basic questions about their technical requirements and they get an estimate on the price.
Mention the objectives or the parameters critical in determining the time frame of developing a mobile app
For developing a mobile app the key rule is, time and cost go hand in hand. If something is taking more time, than it is going to cost more. The critical parameters that we consider while committing the delivery time to our clients involve whether they are accepting payments on the app or not, if they want to do native apps or just want to do phone gap or some responsive stuff. If a hardware intra-activity kind of process is involved it will take longer to develop than a simple app where you need to consume API and display information and then send the information back to the server. Hardware intra-activity where we need to connect with a Wi-Fi or Bluetooth, such kind of apps takes a little longer. Then it comes down to features and complexity of the app itself.
How much effort in terms of time goes into developing the front end and back end of a mobile application
Time efforts totally be contingent upon the requirement, like mobile app on iOS and Android native development takes around 8 to 10 weeks. However, if we talk about phone gap development which is used for developing an unpretentious app; that will take around 6 to 8 weeks. Moreover, the aforementioned development will include designing, API’s, frontend and backend.
What is your company’s business model–in-house team or third party vendors / outsourcing
We do not out-source any of our projects. We have a talented team of developers and technical people in-house who have managed some of our most complex projects.
How is your business model beneficial from a value addition perspective to the clients compared to other companies' models?
We have done hardware connectivity apps where we need to talk via Bluetooth. We have done apps where we need to consume lot more data and the app needs to be scalable. In some cases, we deal with apps, which involve a lot of online and offline thing, some features of your app can run in offline mode. We have done all kinds of work for good number of clients and delivered successfully. Quite often, our project management methodologies have been highly appreciated by our clients. We use a lot of software that are really seamless for app development. We do daily internal scrums and weekly scrums with our clients. We give them weekly status where they can see what the progress is and give their feedback(s).
What are the key factors that you consider before deciding the cost of a mobile application
We look into the in-app features, hardware traction, if it needs to be native or responsive, the kind of features it is going to have and the level of complexity.
What kind of payment structure do you follow to bill your clients?
We keep it milestone based. We ask them to pay some upfront cost which ranges from 5% to 20% depending on the project. So if the project is greater 50,000 US$, then we are going to have close to 10 milestones. If it is around 25,000 US$ then we are going to divide the project billing into 5 to 6 milestones. So it depends on the size of the project.
Do you take in projects which meet your basic budget requirement?
Generally we keep a minimum of 15,000 US$ to 20,000US$ but in some cases, we also consider taking projects costing as low as 10,000 US$.
What is the price range (min and max) of the projects that you catered to in 2015?
20,000 US$ to 200,000 US$
Which business model do you suggest to generate revenue from mobile applications? Why?
I am not a big fan of suggesting offering advertising options in a mobile application for generating revenue because even if you do, no one’s going to make a fortune out of that. Mobile ads can be good for less than 1% of the businesses and then also it should be a generalized thing which people use on a daily or hourly basis. You cannot rely on ads in utility applications, which people are going to use once or twice a week. In such cases, I suggest adding some features that are premium and thus charge for those particular features or like your business model should be in a way that gets you some money.