Zoom is one of the apps that have found maximum users in the pandemic fuelled digital revolution. The teleconferencing app has bagged 2.5 million users since its inception.
The immense popularity of the app also stems from the fact that there was no easy to use and credible option to Zoom when the need arose. Now, there is a mad rush to build the next “Zoom” which has been expected to becoming the most popular video conferencing application. Nevertheless, many entrepreneurs are confused regarding the cost of building an app like Zoom. Many of them want to avoid the hidden costs of app development. Prismetric, a top mobile app development service provider, gets a lot of inquiries on how to build Zoom like application and what is the cost of it.
In this article, we shall shed some light on the topic and attempt to answer your queries.
About Zoom App
Zoom is a cloud-based video conferencing app founded by ex-Cisco engineer Eric Yuan. The idea is to facilitate virtual meetings between people either in audio or video format. Zoom is compatible with various platforms like Mac, iOS, Windows, and Android.
Let’s look at some of the major reasons that has led to a steep rise in the video conferencing apps users
- According to the stats, in 2019, the video conferencing global market size values nearly USD 4 billion
- The video conferencing platform Zoom observed nearly 190 million daily meeting participants a day in the first quarter of 2020; this was compared to a 10 million participants average in December 2019
- By 2022, it is anticipated that internet video calls traffic would shoot by 4 times from 2017
- The number of remote users for telecommuting has shot by 115% in the last decade and continues to go high
- Compared to the last 2 years, nearly 90% people choose using video calling today
- Nearly 80% of corporate businesses prefer video calling using a video conferencing software for facilitating team meetings
Cost of developing an app like Zoom
The cost of building a video chatting app depends upon a few important factors such as
- Features in the app
- Design complexity of the app
- Hourly rate of the developers
The hourly rate of the developers fluctuates according to the location of your developers. We have given below a rough estimate of the average per hour rate in US dollars for various locations.
If you are planning to build a video conferencing app like Zoom, then expect the budget to be around $45,000 to $70,000 in a developing nation like India. Also, note that Cross-platform app development can reduce costs as compared to native app development. We suggest you read our blog on how to narrow down your choice of platform for mobile app development in case you are facing a dilemma in choosing the correct platform.
Now that you are clear on the cost part, let’s have a look at the revenue part.
How does an app like Zoom make money?
Do you wonder how Zoom makes money? It has a foolproof money-minting revenue model.
The revenue model of the Zoom app
🔹 Zoom Meeting
Zoom Meeting is the main feature of the app wherein it allows people to have remote video calls.
The app does not charge its users as long as the calls or meetings are conducted below 40 minutes. If the users want un-interrupted meetings that last beyond 40 minutes, then they will need to shell out $14.99/ month or $12.49 a month if they take the annual plan.
You can also build Zoom like application and derive similar revenue models. Such a type of revenue model is called the Freemium model.
🔹 Zoom Rooms and Workspaces
Zoom also facilitates physical conference room systems that enable organizations to run video meetings in these conference rooms. The idea is to provide the customers with hardware and the physical space required to conduct a conference without the hassle of managing them. Furthermore, the company also has a professional service unit that ensures the smooth functioning of these conference rooms.
Zoom charges a monthly fee (or an annual one depending upon the plan you choose) to the users. It also partners with hardware manufacturers to provide the required hardware support for these conference rooms.
