Once, I took a ride in a rideshare taxi affiliated with one of the ride-sharing apps. As usual, I engaged in small talk with the driver. Along the way, an advertisement for a different app, not the one I was using, popped up. I asked the driver if he had tried the new app. He confidently shared that he aspired to create a similar mobile application. Curious, I inquired about the process. He explained that he and a group of drivers would meet at a café every evening, discuss the idea, decide to implement it, and build an app similar to ride-sharing applications they were using. I asked him about the steps they would take to develop this app. He told me they were searching for a software developer, negotiating the price, and once finalized, the developer would proceed with the implementation. That's how the story would end. I almost laughed, not to mock him, but out of concern he might think I was belittling his dreams. Instead, I shared that I am a software developer currently working on developing an e-commerce app for a Gulf country. I manage a team of four software developers and a graphic designer in Cairo, along with around 10 data entry personnel in Cairo as well. We also have other teams in the Gulf country handling sales, administration, delivery, customer service, and various other tasks. I informed him about the costs of development, marketing, and operations. He seemed unaware of these aspects, thinking the significant cost lay in the app's development, and afterward, there would be minimal expenses as they put the app on the store, expecting profits. I briefed him a bit about Uber, the largest ridesharing model, its ongoing lack of financial gains, and its ability to crush small competitors worldwide or even absorb them, as it did with Careem.
This story repeated itself with many others, varying in their app ideas and personal characteristics. However, I consistently noticed the same dreamy look and belief that the process was easy: come up with an idea, develop an app, list it on the store, and then wait to become a unicorn company (startups valued at over a billion dollars). So, I wanted to shed light on some aspects of the app development industry.

1. The Concept of the Electronic Application:

   Many believe that the success of any application hinges on its idea. However, the idea, while important, is not the sole determining factor. It intertwines with other elements, forming the core strategy of the application. For instance, creating an electronic rideshare application might seem like an unwise idea due to the dominance of major players and intense competition. However, this perception is not always 100% accurate. Often, the idea involves innovating an existing concept to meet a distinct demand that other companies fail to address. An example of this strategy is evident in Indriver, which adopted a similar concept to Uber but with modifications to compete in a segment where Uber was not as dominant. They eased restrictions on vehicle specifications and allowed taxi drivers to use the same application. This approach, known as "flanking attack" in marketing, avoids direct confrontation with major market players. Instead, it targets weaker segments, allowing entry into the market by finding the gap between supply and demand. Reusing existing ideas is not always a bad option; it can be an excellent one if developed and leveraged effectively. Learning from others' experiences, studying the market data related to costs, pricing, customers, and their preferences is crucial. However, entirely new ideas are often accompanied by the adventure of uncertainty. It involves convincing consumers, setting appropriate marketing budgets, identifying target demographics, understanding consumer behavior, and ensuring compliance with laws. Uber, in its early stages, faced numerous challenges due to introducing an entirely new business model. Existing laws did not suit its model, and aggressive resistance from taxi unions caused significant damage, with drivers damaging Uber-operated vehicles. After winning this fierce battle, Uber paved the way for other companies to enter markets ready to accept the idea. Many taxi drivers worldwide abandoned traditional cabs in favor of personal vehicles for ridesharing apps. The success or failure of an idea doesn't solely depend on whether it's an old, recurring idea or an entirely new one. Instead, it relies on various factors associated with the execution and management of the idea.

   • New ideas demand significant time, effort, and financial resources to introduce them to users and persuade them of their importance in fulfilling their needs and desires. Taking the example of Uber, the company invested heavily to encourage both drivers and passengers to adopt their innovative concept. Uber was not the pioneer in ridesharing; however, it played a crucial role in popularizing the concept globally. On the contrary, when Indriver introduced its application, it needed marketing efforts merely to inform drivers and passengers about its existence, not necessarily emphasizing its utility or how to use it. All users had to do was download the app from the store and start using it.
   • Leveraging existing ideas can be advantageous as they provide ample data related to the market, costs, pricing, customers, and their preferences. It allows for the study, evaluation, development, and modification of an existing business model. However, entirely new ideas come with the adventure of uncertainty, starting from consumer acceptance, determining an appropriate marketing budget, identifying target segments, understanding consumer behavior, to ensuring compliance with laws. Uber faced numerous challenges initially as it introduced an entirely new business model that did not align with existing laws. The violent resistance from taxi unions caused substantial damage. After overcoming these challenges, Uber paved the way for other companies to enter markets that were now more receptive to the idea.
   • The success or failure of an idea is not solely dependent on whether it's a recurring old idea or an entirely new one. Instead, it relies on various factors associated with the execution and management of the idea. Uber's success was not solely because it introduced a completely new idea but how it managed to navigate through legal challenges and overcome strong opposition from taxi unions. This victory made the market more accepting of the concept, leading to a global shift where many taxi drivers abandoned traditional cabs for personal vehicles used in ridesharing apps.

2. Implementation and Development of the Mobile Application:

   The common belief is that the application is the cornerstone of a project's success, defining its face. While not the sole factor for success, after formulating the idea and creating the business model, it's time to focus on building the application. Here are some key considerations during the development process:

   • Choosing the Right Development Team:
     • Selecting a distinguished software development company or building an in-house team is crucial for creating a unique application that aligns with your business model.
     • Experience the applications developed by the chosen team firsthand to ensure their quality and speed.
     • Whether hiring a team or opting for a single developer, avoid choosing solely based on price. Developing a mobile application requires specialized roles, such as back-end and front-end developers, or even a full-stack developer, who handles both aspects.
   • Design Team Considerations:
     • To create a standout application that is user-friendly, you'll need a design team or at least one designer proficient in graphic design and UI/UX design.
     • Keep in mind that this minimal software team may not be suitable for developing large-scale applications with numerous features and complexities.
   • Understanding Between Tech and Business:
     Ensure a clear understanding between the business side and the development team, as there is often a gap between the technical aspects and the business vision.
   • Protecting Your Idea:
     • Regardless of whether your idea is entirely new or a modification of an existing one, it's crucial to protect it from theft.
     • Consider legal measures such as registration and confidentiality agreements, especially if the development is done by an external team.
   • Quality Over Cost:
     Avoid compromising quality for cost. Choosing the lowest-priced option often results in lower-quality products, leading to non-functional applications with technical issues.

3. Marketing the Mobile Application:

   In my opinion, this is the most crucial step, more important than the idea itself and more critical than the application's development. Having your application on app stores is not enough, considering there are over three and a half million apps on the Google Play Store as of the time of writing (31/5/2023). Do you believe that users will spontaneously download and use your app among all these applications?
   App marketing is a process no less complex than marketing any new product. It involves studying and defining steps, identifying the target audience, geographical area, audience characteristics, and utilizing marketing tools such as promotions, advertising, loyalty programs, and other marketing tasks. In most cases, the cost of marketing an app surpasses the cost of its development and maintenance in the long run.
   This stage requires a professional marketing team or the use of a specialized company. It's not just about placing a few ads on social media platforms.

4. Management of the Mobile Application:

   My taxi driver friend, who inspired me to write this article, believed that once he creates the app, drivers and consumers will download it, overlooking the need for management. However, he neglected several points related to applications. Each app should have a team of specialists to manage it. At the very least, the app will require:

   • Customer service and handling complaints.
   • Data entry and verification, ensuring the accuracy of user-entered data.
   • Account management.
   • Management and generation of operation and marketing reports.
   There are many different functions related to app management, varying from one app to another based on the tasks it performs, the volume of data, and user interactions.

5. Funding the Mobile Application:

   The last point to consider when developing an application is financing. Not because it's easy to obtain, but because funding is not the primary obstacle to success, contrary to what many believe. Some think that if they had enough funds, they could turn their ingenious ideas into applications that generate millions of dollars. However, when they secure the necessary funding, they are surprised by the project's failure due to the absence of essential administrative and marketing planning.
   While funding is indeed a crucial point, it is not everything. It can be obtained even if you don't have sufficient funds to finance your project independently. This can be done through crowdfunding, such as subscriptions, project financing funds, or startup incubators, among other options. However, always be sure that you won't find an entity willing to fund your project unless you can convince them of its viability, its business model, and your plan to market, manage, and develop it. This point requires further exploration in additional articles.