How to Outsource Web Development: a Complete Guide for 2024

Outsource web development services are beneficial for both major companies and startups. Why? There are several key reasons why such a way of IT cooperation (especially offshore outsourcing) is becoming more and more actual.

Why is outsource web development so popular? Cost-cutting services are the initial reason for software development outsourcing. According to Deloitte research, one of the world’s biggest consulting firms, 57% of business executives cited the need to cut costs as their main reason for web development outsourcing. For instance, website building in Central/Eastern Europe will be 2-3 times cheaper than in the USA, Canada, or Australia (the global rates for outsourcing development will be considered later). Web development outsourcing allows you to cut expenses by delegating your project to outsource website development — whatever industry it belongs to. In any case, it can be more beneficial than recruiting an in-house team of web developers.

Website development outsource will save the time needed to bring a product to market quickly or make urgent modifications. Furthermore, with the outsourcing company’s assistance, you can manage two projects simultaneously without financial losses. The web developer outsource will pass successfully for you this way. The statistics by Marketsplash, marketing and design platform, show that the top benefits of outsourcing web project development are scalability of team size (38%), time-saving (38%), and increased productivity (33%).

Interaction with webdevelopment outsourcing specialists allows you to recruit professionals skillful in different domains, even rare ones. For instance, outsourcing opens the door to finding ML and data engineers because hiring them for an in-house team may be difficult and expensive. For example, according to Statista, in 2023, about a quarter of all workers (24.6%) are looking for employees with artificial intelligence/machine learning/deep learning skills. As a result, you’ll obtain a top-quality final product meeting all the standards of custom software development services.

You may achieve the best business results by turning to an IT vendor with established outsourcing web development work and hiring a dedicated team. They will deal exceptionally with your tasks, striving to build a top-notch product for you. With that attitude to work, the specialists may speed up the workflow and meet the timelines. It is valuable as the faster you launch your product, the better.

When you request to outsource web development company, they form a project team and choose a person to manage the project and keep track of the workflow. The project manager (PM) also contacts a client reporting about the progress. Then, thanks to qualified web developers, outsourcing process becomes quicker and saves your time and money resources as well.

You can control the amount of work you outsource based on your company's needs. For instance, if the budget is reduced, increased, or redeployed to another project or if the existing in-house team grows. The outsourcing workload may be easily changed according to your current needs.

Cooperation with outsourcing specialists lets you obtain a reliable end product tested and fixed in its proper time. For this purpose, every offshore software development project has not only a PM but also a QA team caring about the written code debugging for flawless work of the future software. This circumstance makes web development projects outsourcing companies typically lead, more sustainable to development risks.

Outsourcing software development requires dealing with remote personnel, but it should not confuse you. All outsourcing teams have a perfect answer to how to outsource web development: they have internal control over all the building processes, and it helps them achieve results without delays.

There are several examples illustrating the outsourcing benefits:

• The absence of sponsorship and technical skills was an issue for Alex Turnbull, a founder of Groove client support product. To solve it and launch a SaaS platform, he applied to an offshore outsourcing development service.
• Google, this tech-giant, has been taking advantage of outsourced web app development for years. The company delegates lots of side-projects to remote teams, one of them – phone and email support for Google Ads. It's one of their top-growing products, and they are getting the most of it.
• GitHub, the advanced software development platform, began its journey as a service to edit, store, and share saved documents. When the founders hadn’t got enough money for further growth and the server-side developers’ employment, they outsourced this part of the work. So, today GitHub is a successful and top-requested project with 40 million users answering by its own example why outsource web development is a perfect solution for company's needs.

Let’s talk about where and how you can find trustworthy service providers for web development projects outsourcing. You can look for companies that outsource web development on different hiring platforms, considering several critical factors to find the best web development team:

When choosing a company for web development outsourcing, you should start by researching the market and identifying a few of the most suitable options. You can use one or more of the popular hiring platforms to explore possible candidates:

• Clutch. This platform provides 150,000+ outsourcing IT businesses and agencies competent in more than 500 categories are placed on Clutch. To draw a comparison among different companies by their focus areas, domains, and quarters this platform uses its own ranking algorithm. The rankings are updated according to new rewards or top-quality feedback received. Clutch also demonstrates whether a company is registered, active, and trustworthy.
• GoodFirms. GoodFirms offers you 6,000+ services & software firms, 9,000+ verified reviews, and 600+ validated surveys. It is a free hiring platform offering the best outsourcing IT companies rankings. GoodFirms maintains a list of software development companies specializing in mobile applications, web development services, eCommerce website development, blockchain projects, and many more.
• Upwork. The operating principle of Upwork is the following: the recruiters should place a brief and understandable job post, waiting for replies from candidates after that. Then, the matches are checked, and the job seekers are interviewed through chat or video call. This way, every client can hire separate freelance specialists (or even agencies) to outsource web development services.
• Manifest. The Manifest is Clutch's sister website which also assists the companies in growth by connecting them with the customers. It represents how-to guides for clients, business news, company shortlists, etc. To be placed on Manifest rankings, you should have your company profile and clients’ feedback on Clutch.

When selecting outsourced web application development candidates, start by assessing their experience in your business domains. Ensure the team is well-versed in your industry and has previously worked on projects similar to your requirements. A provider with relevant domain knowledge will be able to offer customized solutions that meet your business goals. Moreover, some industries, such as Healthcare website development, require an outsourced web development company to have in-depth expertise in the healthcare regulatory landscape and software specifics for a given domain.

Next, carefully examine the vendor's portfolio. Review their past projects to gauge their work's quality and verify whether they have successfully executed projects comparable to what you have in mind. A diverse and accomplished portfolio indicates a team's capability to handle various challenges.

Chek our portfolio to explore outsourcing web projects we've created for our clients.

Customer reviews play a crucial role in the selection process. Study testimonials and feedback from previous clients to gain insights into the outsourcing team's performance. You can find customer reviews on hiring platforms and vendors' websites or ask the company's clients to share their feedback. Focus on reviews related to project management, adherence to timelines, and overall client satisfaction. A positive track record is a strong indicator of a reliable outsource web development team.

Here’s a review of our US client about their successful cooperation with Cleveroad on their web development project:

Assessing technical skills is paramount. Ensure that the outsourcing web development team possesses the necessary technical expertise for your project. Verify proficiency in the programming languages, frameworks, backend technologies relevant to your web development needs. Check their skills in database management, version control systems, responsive design principles, and both front-end and back-end development. A strong match between their technical expertise and your project's requirements enhances the likelihood of a successful collaboration.

Finally, evaluate the communication strategy of the outsourcing team. Effective and transparent communication is essential for the success of any outsourced project. Confirm that the team has a well-defined communication approach, keeping you informed at every stage of the development process. Clear and open communication fosters collaboration and minimizes misunderstandings, contributing to a successful outsourcing partnership.

At Cleveroad, we are committed to transparency in projects so that our clients are always aware of the current status of the work. We set up regular meetups, including weekly meetings, to discuss progress, problems, and next steps. In addition, we organize demo calls to show interim work results and get feedback. We also provide rally schedules so our clients can easily track meeting schedules and keep current on all issues discussed.

To demonstrate our expertise in outsourced web development, here are some of our clients' successful cases on partnership with our team:

Our client, a UK-based provider of healthcare consultations, approached us to help build a telemedicine solution with appointment management for providing and receiving healthcare services online, including telemedicine consultations.

To meet the client's business needs, we created a telemedicine solution providing healthcare service for patients via online appointments with UK-certified general practitioners and clinicians. The solution included appointment management, video conferencing, and billing features. The system is designed according to Care Quality Commission requirements, complies with UK healthcare regulations and KYC policies, and allows for submission for legal assessment.

As a result, the client received a robust telemedicine platform that provides flexibility, improved performance, and business process automation. The client continues working productively with Cleveroad as an outsourced web developer on adding features and enhancing the solution.

Our client, a US-based company providing consulting, research, analytics, and technology services to financial institutions, approached us to help build a SaaS web-based broker research platform focused on the European Union's financial markets.

To address the client's targeted business needs, we built a web-based solution encompassing brokerage research and supporting business processes. Our FinTech experts also ensured that the solution complies with MiFID II regulations for using such software in the EU.

As a result, our client received a SaaS web platform that automates all business processes related to the target client audience. Partnering with us allowed the client to avoid expanding its internal team and ensure a high return on investment from a strategic point of view.

We have built a micro-investment platform for the Middle East market for another of our customers, an investment company from Saudi Arabia. To meet the client's business needs, we outsourced a team that built a scalable platform focused on micro-investments. The specialists thoroughly analyzed fintech regulations in Saudi Arabia and other Middle East countries covered by SAMA, which allowed us to avoid any regulatory difficulties with the solution.

As a result, the client received a customized micro-investment platform that meets all their needs and allows them to take a leading position in the market. The quality of development and consulting from our outsourced web development team allowed our customers to release the app quickly, avoid interruptions, reach a new audience, and get financial results.

Finally, to quickly and efficiently organize the development process, you should follow the below steps:

• Define your business goals
• Find suitable IT vendor
• Estimate budget and timeline
• Choose cooperation model
• Establish communication strategy
• Plan forward collaboration

First off, understand your aims before interacting with a web development outsourcing provider. You should decide whether you want to obtain a software built from scratch, a solution to maintain the existing business, or maybe something else. The vendor should understand what exactly they're going to deal with to make it successfully.

This is what you can do to speed up the process and reduce costs:

• Specify your business objectives and features you intend to implement
• Determine your budget and the funds you have to spend on the project
• Discuss the future project with an experienced IT vendor

Now it's time to choose an outsourcing web development company once you've decided what you want from a business and technological perspective. You can use one of the platforms mentioned above or look through our TOP-15 software outsourcing companies list.

Having selected several future outsourcing partners, constrict your choice by analyzing them according to all the crucial characteristics we’ve discussed earlier, including technical skills, client reviews, portfolios, etc. But you should remember that the soft skills of your future tech partner also play an important role in your possible collaboration. You can check them later during a talk on a job interview. Then, build a list of outsourcing web development companies of your interest and contact them.

After all the points above are agreed upon, draft a contract and sign an NDA to protect your funds and ideas as well as the company’s interests. You also should negotiate with web dev outsourcing company upon payment arrangements and discuss all other business issues.

​​When outsourcing web development, it's crucial to estimate your budget and project timeline accurately. Collaborate closely with the vendor to define your project scope and requirements, ensuring transparency in cost breakdowns. Discuss payment structures, milestones, and potential additional charges. You can also ask for a rough cost estimation of website development costs. Simultaneously, work on establishing a realistic timeline based on project complexity and dependencies. Regular communication and flexibility are key to a successful outsourcing partnership, allowing you to adapt plans as needed for an efficient development process.

Choosing a suitable collaboration model is crucial when outsourcing web development. This decision significantly impacts the dynamics of the collaboration, so make sure it fits your project goals and your preferred style of working with the outsourcing team. You can choose from the following models:

• Dedicated Team. With dedicated development team services, you have a full-time team of professionals working on your project exclusively. This model offers flexibility, control, and scalability, making it ideal for long-term or complex projects.
• Staff Augmentation. It staff augmentation service allows you to hire additional skilled professionals based on project needs. It provides flexibility and control, enabling you to scale resources up or down as required, ensuring the right expertise at different project stages.
• Fixed Workscope. The project scope, timeline, and cost are agreed upon in this model. It clarifies the budget and timeline, making it suitable for well-defined projects with minimal changes expected.
• Time and Material. This model involves paying for the actual time and resources invested in the project. It offers flexibility, allowing changes to be made during development, making it suitable for projects with evolving requirements.

If you are unsure which collaboration models will work best for you, you can consult your outsource website development vendor to help you find the best fit for your needs.

If you would like to contact your outsourced web development team during the workflow, there are many helpful tools (like Facebook Messenger, WhatsApp, Skype, etc.) However, they are not intended for tracking the building process and internal/external communication as well. With these aims in view, Cleveroad teams use the following instruments:

• Jira. The tool for tracking the tasks in a team
• Confluence. A workspace needed for the inside collaboration. Moreover, it can be easily integrated with Jira to serve as an addition to the workload tracker
• Google Meet, Slack, Zoom. Communication services intended to contact the client/team members via text messages and video calls
• InVision, Figma. Web design instruments for cooperation with clients and visual part’s creation

After all, most of the best web development outsourcing companies have a project manager who oversees the workflow and reports to you. Do not hesitate to ask this person if you need to.

The meeting schedule is the next issue to solve. For instance, you might initially limit yourself to daily meetings or regular reports, but you should build your own communication approach with the team. Remember that outsourcing web app development specialists will be able to achieve the desired results only with effective internal and external communication.

Don't rush to break connections with the outsourced web development team after the website is built and functioning. Things go wrong sometimes, and stronger ties with your vendor would ensure that issues like bugs are swiftly handled. There's one more solid reason. Imagine that you decide to continue one or several outsourcing web development projects — outsourcing companies you’ve worked with before will do it better than anyone.

Choosing the right region for outsourcing web development is crucial for the success of your project. Let's highlight the most popular areas and the cost of outsourcing in their web development agencies.

Central and Eastern Europe (CEE) has emerged as a prominent destination for outsourcing web development due to several key factors. The region boasts a highly skilled workforce with a solid technical education background, making it well-suited for software development projects. Countries like Estonia, Poland, and Romania are noteworthy for their abundant talent pool, cultural proximity to Western Europe, and competitive rates.

For example, Estonia stands out for its advanced digital infrastructure, favorable business environment, and government support for IT initiatives, making it an ideal choice for outsourcing high-tech projects. Additionally, CEE countries have significantly developed their IT industries with ongoing investments in technology parks, innovation hubs, and startup ecosystems. Average hourly rate: $50 - $80.

While Western Europe may have higher hourly rates than other regions, it offers several advantages for outsourcing web development. Countries like Germany, the UK, and the Netherlands provide proximity to major European markets, cultural alignment, and a high level of expertise in technology and engineering. These nations prioritize quality and innovation, ensuring that outsourcing projects meet stringent standards and deliver superior results. Moreover, Western European countries have robust legal frameworks and intellectual property protection laws, providing added security for clients' proprietary information. Average hourly rate: $70 - $150.

Despite higher costs, outsourcing web development to the USA offers distinct advantages for businesses seeking top-tier services. The country is home to a vast pool of skilled developers, cutting-edge technology firms, and renowned universities driving innovation. California, New York, and Texas are hubs for tech talent and entrepreneurial activity, attracting clients seeking expertise in emerging technologies and niche industries. Additionally, outsourcing to the USA ensures seamless communication, cultural compatibility, and adherence to industry regulations and best practices. Average hourly rate: $90 - $200.

Australia has emerged as a reliable destination for outsourcing web development, offering a combination of technical expertise, quality assurance, and favorable business conditions. Major cities like Sydney and Melbourne host thriving tech communities and startup ecosystems, fostering collaboration and innovation. The country's time zone to many Western countries, facilitates real-time communication and project management. Moreover, Australia's commitment to digital transformation and investment in infrastructure ensures access to cutting-edge technology and resources for outsourcing partners. Average hourly rate: $80 - $120.

India remains a global leader in IT outsourcing, renowned for its cost-effectiveness, vast talent pool, and extensive experience in software development. Cities like Bangalore, Hyderabad, and Pune are major IT hubs, attracting multinational corporations and startups. The country's large English-speaking population, robust technical education system, and supportive government policies have fueled the growth of its IT industry. Indian outsourcing firms offer various services, from web and mobile app development to cloud computing and cybersecurity, catering to diverse client needs. Average hourly rate in this region is: $20 - $60.

Southeast Asian countries like Vietnam, Indonesia, and the Philippines are emerging as competitive destinations for outsourcing web development. These nations offer cost-effective solutions, skilled professionals, and a rapidly growing tech industry. Vietnam, in particular, has seen significant growth in its IT sector, focusing on software development, digital transformation, and innovation. Indonesia and the Philippines also boast vibrant tech ecosystems supported by government initiatives and investments in infrastructure. Outsourcing to Asia provides access to a dynamic talent pool, cultural diversity, and favorable business conditions, making it an attractive option for companies seeking affordable yet high-quality web development services. Average hourly rate: $20 - $60.

These regions exhibit diverse strengths, and the choice depends on project requirements, budget considerations, and the desired level of collaboration.

Web developer outsourcing hourly rates are strongly influenced by the outsourcing approaches. It can be the following web development outsource models:

• Onshore software development means cooperation with a service provider from your country without any hour zone or language issues. Running a company in California, for instance, you may choose a Las Vegas destination.
• With the nearshore software development model, you may order services in adjacent countries (2-4 time zones in difference). Having launched a US company, you may outsource software development to Mexico or Canada.
• Offshore software outsourcing transfers the project building to a company situated far abroad (more than 2-4 hour zones). This approach is valued for the best quality-to-price ratio.

The key outsourcing destinations and average hourly wages for outsource web developer services are represented in the table:

Cleveroad is an outsourcing web development company located in Central and Eastern Europeю. Our team has over 12 years of expertise in providing custom web development services to SMBs, enterprises, and startups across various business domains, including Healthcare, Logistics, Retail, Travel, Education, E-commerce, Media, and other industries. We provide IT services to clients worldwide, and among them are clients from the USA, European countries, Australia, Saudi Arabia, Singapore, etc.

By cooperating with us, you’ll receive a row of the following benefits (including but not limited to):

• Partnership with a web development company that has been custom IT services since 2011
• We have R&D centers in Estonia, Poland, and Ukraine and representative offices in the US and Norway
• Full-stack outsourcing web development services: custom web development, enterprise web app building, managed IT services, IT consulting, cloud development, UI/UX design, Quality Assurance, cybersecurity service, etc.
• Innovative web technology stack for your projects: React, Angular, AWS, Azure, .Net, JS, TypeScript, EC2, S3, Lambda, Elastic Beanstalk, etc.
• Flexible collaboration models to suit your needs: Staff Augmentation, Dedicated Team, Project-Based
• Access to a team of over 280 in-house software engineers, and among them 64% are classified as senior and mid-level experts
• Assurance of high-quality products and services through certifications for ISO 9001:2015 for quality management and ISO/IEC 27001:2013 for information security management
• Opportunity to collaborate with a trusted technology partner recognized as an Amazon Web Services Select Tier Partner within the AWS Partner Network (APN)

Look through our portfolio to learn more about how we perform outsourcing web application development projects to our clients. Then, don't hesitate to start a productive cooperation that will lead your business to new heights!