How to Create A Mobile App Business Plan? (A Comprehensive Guide)
- Web & App
Businesses are all about takings risks!
The most crucial ingredient for success in any business is sales!
You might’ve heard these lines over the years, and let us tell you that these are just myths.
The actual path to success begins with a “Plan” or, to elaborate it furthermore, “A Business Plan.”
A well-defined business plan is static. It gives you a perfect roadmap, highlights the key opportunities, and most importantly, reduces the risk of failure.
In short, a comprehensive business plan guarantees success!
A business plan will entail vital insights, analysis, planning, and implementations of your entire app startup business plan.
Moreover, your mobile app business plan’s details will depend on the project’s scope, the idea, and the budget.
With all the details within your grasp, you can sum them up all together and create an overall picture of your project.
With a comprehensive app business plan, you’ll know how your business would proceed and how it would turn out to be in the coming few months.
So, if you are on the verge of launching your business, and you want to ensure your business’s growth and revenue – this blog is just the thing you need to get started.
Without any further ado – let’s start discussing your app business plan.
What Is A Business Plan App?
From growth to sustainability, a business plan will tell you everything you need to start your business.
However, a business plan for your app relates to your app’s feasibility study and how it will scale in the market. It will also give you a forecast projection for your business’s growth.
You’ll get to know about the opportunities you have, your objectives, and how you can achieve them.
Moreover, we recommend you start off with visualizing your project and formulate the key ideas.
This would be a rule-oriented approach, and it will lay down the foundation of your business plan.
When creating your business plan, you would be dealing with a lot of information. So, make sure you understand and research everything thoroughly before incorporating it into your business plan.
Implementing A Plan-Centric Approach
According to RiskIQ, there are 8.93 million apps available today on Android’s Google Play and Apple’s App Store combined.
Just imagine the competition your app would face in the market once it gets launched.
It is also important to mention that most of the applications today look almost identical in a specific category. This further toughens the app engagement war going on in the digital world.
The point is that to attract users to your app – you need to stand out in your niche.
Here at Tekrevol, we believe that to truly stand out and gain a competitive edge in the market today, you need to integrate the elements that spark your users’ interest.
Think from the user’s perspective, dive deep into the world of user experience, and see what’s missing in your specific niche.
Interestingly, knowing what’s missing in apps and what can be improved will come from a comprehensive mobile app business plan.
An app business plan will help you solve unresolved problems and eliminate any application shortcomings.
In fact, 70% of the businesses that managed to survive for 5 years followed a strategic business plan.
Why Should You Invest Time In Building A Business Plan For Your Mobile Application?
Since 50% of businesses fail due to not having a strategic business plan, it is pretty much clear that a startup should consider having a business plan.
Generally, we believe that there are two specific reasons why you should consider having an app business plan.
A Business Plan Minimizes The Risk Of Failure
A thoughtfully created business plan boosts 30% chances of business growth.
As per some studies, it is said that business plans also bring the brands closer to their objectives and goals.
There is literally no telling how much your business would achieve through perfection and precision with every aspect becoming clear, all problems being identified, and a comprehensive strategy in action.
Helps Your Redefine Your Strategies For Optimal Effectiveness
As a startup business, your app might face several issues that it was not prepared for due to a business plan not being initially available.
However, if a business plan is designed, your app would be prepared for several circumstances even if you hadn’t accounted for them.
Now that you know all the ins and outs of having an app business plan – let’s dive right in and learn how you can create a business plan for your mobile app.
Understanding The Targeted Market
Before getting started on your business plan, we recommend you to go for comprehensive market research and business analysis.
After going through your audience, you’ll have a concrete idea of your users’ needs and how interested they would be in your solution.
While doing a business feasibility study, go for competitive research as well. This would help you to make your app more engaging and user-friendly.
Also, research would strengthen your objectives by analyzing consumer demands.
So, before creating a startup business plan, go for market research.
You can also create buyer personas of your audience to further evaluate and target your audience’s needs and requirements.
HOW TO WRITE A BUSINESS PLAN FOR AN APP?
We want your app’s business plan to redefine excellence, strategy, and sustainability, so there will be several factors that we will be covering in this section.
Your mobile app business plan’s main goal should be to give you a clear projection of how your business would prospect after the initial launch.
Your plan should also indicate whether your product is profitable to develop or not.
Therefore, your business plan should have an estimated cost of developing and designing your app and the timeline required to generate the required ROI.
Let’s start with an executive summary…
The best app business plan creation begins with an executive summary.
So, start your business plan with an engaging and intriguing executive summary.
Include all the ins and outs of your business ideology.
Know this, your app investors will be reading the executive summary, so it is crucial to incorporate concise and precise information in there.
You can talk about your app details, why is it being created? How will it work, and what market are your targeting.?
Also, we recommend that you include your app’s USPs and the solutions that your app will provide to the user.
Just make sure that your executive summary is short but accurate. It should instantly spark the element of interest in the reader.
To be precise, we want you to create a unique value proposition.
Think of your executive summary as an upcoming, highly anticipated movie and your investors as the spectators.
Moreover, the following are some other ways you can write an engaging executive summary:
- Specify your business analysis-based goals.
- Stay transparent on the costings and investment needed.
- Clearly state your goals and objectives.
- Write all the funding requirements.
- State your mission and vision.
Looking for an investor for your mobile app project? Read our blog on “
Your Business Description
Here you will be introducing your business so, start with the information about your company.
How was it founded? Who founded it? Why you’re doing what you’re doing, and end-all of this with your mobile app concept.
The description of your business should showcase your business’s core values and beliefs to your investors. So, consider keeping your product and key factors of the success of your product in the limelight.
In your mission statement, focus on how you currently see your project’s processes, for example, the input from investors and lenders.
In the mission statement, you define how things currently are. In the vision statement, you focus on the future and your motivation.
So, try to keep the original way of defining things in the business description section intact.
History Of Your Company
On this page, you can define the idea behind the creation of your company. How the team formed and what were the earlier stages of your business’s development.
Intrigue the element of innovation to the history of your company. Make it memorable and authentic.
You can also mention the experience and expertise that was required to create the app.
This would be a plus point because it would showcase you as a more reliable and knowledgeable company that leveraged their years of experience and expertise to create something different.
Defining Your Team
After learning about your company, the reader might want to know more about the people who started the company, your team, that is, of course.
One of the most important parts of your business plan is your team. By seeing your team’s intro – the investor or reader should instantly have an idea about your capabilities and talents.
One way to excite the readers is to specify your team’s experience, skills, responsibilities. You can also mention the key people of your business and their positions.
Identifying The Problem
With the summary, history, and intro out of the way – you’ll directly jump into the problem identification section.
Here you can define the problem within the society or whatever you think is missing for the targeted audience.
Discuss the industry’s gaps and how/why you believe that your app can create a difference.
Also, if a permanent solution has not been yet designed, mention it in this section.
Moreover, you can elaborate on the following points in your problem identification sections to grasp the attention of the reader:
- The gaps present in the industry.
- How your targeted audience is suffering due to lack of convenience.
- How the gap is impacting your audience’s daily lives.
- Are there any solutions present? Are they effective?
- How do you think that the problem can be solved?
Write Down Your Proposed Solutions
Now that you have listed down all the problems your targeted community is facing – it is time to shed some light on your app idea.
The purpose of this app business plan was always to introduce your app’s solution to the investor so, here’s your chance.
Introduce your app to the investors, explain precisely why and how your app can make a difference, and solve the problem your targeted audience faces today.
However, don’t clutter the page with a marketing perspective of your app. Just include the key features of the app and how it is different from its competitors.
You can also include the following points in your solution section:
- What your app enables its users to do what they were not able to do before?
- How will your app challenge the status quo?
- Why should the users download your app?
- What will intrigue your users to keep using your app?
Explain Your USPs
You already know the total count of apps available on the Play Store and App Store. Know this, to sustain itself in the competitive landscape today, your app needs to bring something new to the table.
In a world where every other app is competing to be perfect – your USPs are the only points that’ll create a difference and get your investors interested in your app idea.
USPs are not static. They are always changing and ever-evolving. With time you would introduce new features and accessibilities to your app, but that would only come with time.
For now, you need to have a starting point.
So, including your USPs from the start will definitely get your competitors interested because they’ll have a clear concept of what revolutionary aspect your app is bringing to the table.
One way to clearly state USPs and capitalize on your competitors’ gaps is by opting for comprehensive market research.
This research will enable you to understand what’s missing in the market and what you can include as a USP in your app business plan.
Challenging the already established and highly competitive market can be difficult.
However, with your USPs intact, your audience and the investors will know why your app is different and how it will sustain its position in the market.
Stating The Strategic Objectives Of Your App’s Business Plan
This section acts more like a projection report than a business plan; however, it is an essential part of the overall planning.
Because any investor would like to know about the ROI before investing in anything.
This section would give your investors an estimate of how long it will take for your app to capture its targets and translate engagement into revenue.
You can write down the following to give your investors a strategic objectives representation of your business plan app:
- The targeted revenue.
- The time it will take to accomplish goals.
- More opportunities you can capitalize on in the long-run.
- An estimated time-slot in which the investment would be covered.
Analyzing The Market
In a world where digitalization is the new normal, you should know everything about the industry and audience you are about to tap into.
Because your competitors already know about their market and audience, you must analyze this information too.
So, before the launch of your startup, gather all the information, key performance indicators, and refine and revamp your app idea to the point of perfection.
Market analysis will also give you a rough idea of the app startup cost required to launch your app and how your competitors did it.
Moreover, to conduct an incredibly impactful market analysis, understand the market you’re entering, and get insights into the most valuable information.
Below are three ways you can extract the key metrics and carry out an effective market analysis for your app:
- Analyze and determine the size of the market that would be interested in your app – Total Market Available (TMA)
- Extract the realistic period you need to cover a significant reach with your current marketing plan. i.e., through analysis, you found that you can reach 40% of the market in 3 years – Serviceable Available Market (SAM).
- The amount of market you can reach within the first 5 or 10 months – Serviceable Obtainable Market (SOM).
Your overall goal here is to tap into your product’s real market and determine the results you’ll get initially and in the long-term.
Another way to determine marketing opportunities is through SWOT analysis.
SWOT analysis is the method of analyzing the Strengths (S), Weaknesses (W), Opportunities (O), and Threats (T) for a business.
This study reveals deep insights into regions, products, competition, gaps, placement, and even entire countries.
This study will also give you the advantage of understanding your app from every perspective and get it prepared for the highly competitive market.
Your Marketing strategy
Your marketing strategy is a game-changer. With the perfect and thoughtful strategy, you can place/market your app strategically to get engagement and downloads right from the start.
Luckily, we already have a blog on “How To Market A Mobile App.”
Reading this blog will enable you to create a ground-breaking and goal crushing strategy that’ll surely make a difference in terms of downloads and engagement.
Including a marketing strategy in your mobile app business plan will showcase your proposal as well-researched and professional.
You have to impress the investor, right?
So, including a well-defined marketing strategy would make your investors think that you have done your homework.
Moreover, in a nutshell, here are some ways you can start creating your app marketing strategy:
Research Your Target Market
By researching your target market, we mean to go through all the data metrics in detail.
Analyze the demographics, behavioral data, lifestyle, and demands to create a well-defined marketing persona. This will also enable you to integrate the in-demand features and accessibilities to your app.
Researching your competitors, seeing what they’ve done with their app will give you an idea of what you need to do to get your app rolling in the digital world.
The research will highlight some important gaps that your competitors have left behind on which you can capitalize on.
Through this, you’ll make sure that you don’t repeat the same mistakes; hence, you’ll attain perfection.
Creating A Landing Page
A landing page will have all the vital information about your USPs, features, updates, and innovations. These things are just what your users need to read and see to download and use your app.
Pro-tip: Keep your page short and concise. Don’t emphasize too much on downloads. Just keep it simple and incorporate promotional videos, functionality, and features on your landing page.
Mention The Estimated Financials For Investors
Your investors should be well-informed about the financials they need to invest in your project, so mention everything clearly here.
We know the financials needed for startups fluctuate a lot. For once, you would be thinking of developing your app yourself, and the next moment you would think to hire an android app developer to develop your app.
So, the cost you’ll be writing down here would be just a projection or estimate. Our tip here would be to write down a reasonable cost and leave room for more expenses.
Moreover, if you are concerned about the finance you need to get your app development started, we have a great article on HOW MUCH DOES IT COST TO MAKE AN APP?.
The blog mentioned above will take you through an app development journey, and by the end of the blog – you’ll have a clear idea of how much investment you need to get started.
Over To You
Phew! Finally, some human to human interaction time!
Well, that’s all you need to know about creating a business plan for your app.
We know the process is not easy, and yes, it is a little overwhelming once you consider the phases you have to go through to create a bulletproof plan.
But the point is that you must know your target market, which you can only get through practical research.
Incorporating all the essential information in a document and going through all the steps mentioned above will help you create a goal-crushing business plan.
Such a business plan would guarantee your app’s success in the long-term and financially attract investors and showcase that your company is viable.
Moreover, suppose you need any help with the development or launch of your app. In that case, you can contact Tekrevol at any time you want by clicking on the button below.
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Author : nabeel
Nabeel Ahmed is a coffeeholic with an itch for creativity. He loves learning and understanding technology and how it is changing the world for the greater good. He puts forth his creativity to explain how technologies and humans are continually interacting to create a more sustainable and facilitating world. During his free time, you'll find him watching "Family Guy."
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