How Much Does It Cost To Build & List An App on AppExchange?

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How Much Does It Cost To Develop & List An App on AppExchange?

June 27, 2023 eye-glyph 4449

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    Do you also wish to reach millions of Salesforce customers and users with your innovative and helpful app?

    Do you want to know how much it costs and how long it takes to build and launch your app on Salesforce AppExchange?

    If you answer yes to any of these, this blog is for you. In this post, we will give you a complete guide on how much it would cost to build and list your app on Salesforce AppExchange, the world’s leading marketplace for business applications and solutions of Salesforce.

    Salesforce AppExchange is the world’s leading marketplace for enterprise apps. It’s where 90% of Fortune 500 companies and 150,000+ Salesforce customers find, install, and use apps that enhance their business processes and customer experiences.

    However, developing and listing an app on AppExchange is not as simple as uploading a file and clicking a button. Several steps and requirements are involved in creating, submitting, and publishing an AppExchange app. There are also many costs associated with each stage of the process.

    In this blog post, we’ll break down the costs of developing and listing an app on AppExchange, and whether it’s worth it for your business.

    Salesforce Appexchange Pricing – The Depending Factors

    To keep it precise and easy for you, we have divided the AppExchange cost into two parts:

    1. Cost of Building an Appexchange Application
    2. AppExchange App Listing & Security Review Cost

    Let’s explore each one of them.

    1. Cost of Building Appexchange Application

    “How much does it cost to develop a good solution for business?” or “Am I ready to invest such an amount” or “What feasible option do I have to get this application developed” are some questions frequently posed by those seeking to embark on this journey.

    The cost of building an app for AppExchange depends on several factors, such as:

    • The features and functionality of your app
    • The customization of visual design and user interface
    • Using the best coding practices and integration with Salesforce
    • The testing and quality assurance of your app
    • The time and resources required to build your app

    In light of this, we have diligently conducted extensive market research to provide you with an accurate and comprehensive understanding of the investments required to construct a highly functional and impeccably designed application.

    If you enter the robust process of Salesforce marketplace App Development, the typical starting cost would be around $20,000. However, it would be wrong if we don’t consider that the ultimate cost of application development is contingent upon several pivotal factors.

    These include the desired Minimum Viable Product (MVP) functionality, the integration of advanced features, the customization of the user interface to align with your unique brand identity, and the critical consideration of ensuring the availability of the application across various platforms.

    Consider the most effective approach to optimize these costs and derive maximum value from your available resources.

    types of development cost for building an app on appexchange
    types of development cost for building an app on appexchange dark

    While undertaking the creation of an application, you are presented with two distinct choices: get an entire in-house team to design and develop your app or entrust the process to a specialized Salesforce AppExchange App development team.

    A. In-House Development

    Setting up an in-house development team would require hiring a Salesforce Consultant & Technical Lead (to understand your idea, design a solution and develop it) and a Salesforce Business Analyst or Product Manager (to research the market and coordinate with you and the development team).

    You will also need a couple of developers (to code the entire application), some Quality Assurance people (to test the apps on different parameters and make them bug-free), and a few UI/UX Designers.

    However, the recruitment process and maintenance cost will increase your salesforce appexchange development pricing. On the other hand, by hiring an in-house team, you will have people focused on your project exclusively without being distracted by any other project.

    B. Hire a Salesforce AppExchange App Partner

    While you look to build and list an application on Salesforce AppExchange, the need to partner with app development service providers like Product Development Outsourcers or Salesforce Consulting Partners becomes evident.

    These service providers can bring many significant advantages to present you with a well-designed and ready-to-sell solution for the biggest Salesforce Marketplace. Some of them are:

    i. Expertise & Experience at its Best

    Armed with their extensive expertise and Experience, these partners possess an intricate understanding of Salesforce’s dynamic ecosystem, allowing them to seamlessly navigate its complexities and intricacies.

    ii. Timeline Experts Who Deliver Quality as Expected

    Collaborating with these external partners ensures timely delivery and budget adherence. They streamline the development and listing process, handling complex requirements and optimizing resources. This leads to a smooth project implementation, enabling you to concentrate on other facets of your business with trust in their skills.

    iii. Know Every Knack to Develop a Good AppExchange Solution

    They have deep insights into AppExchange listing intricacies. They know how to leverage their expertise to boost your app’s visibility, employing proven strategies to attract users and maximize its reach. By utilizing their knowledge of AppExchange listing to make your app stand out among the competition, increasing its chances of being discovered and adopted by the target audience.

    iv. A Partner Whom You Can Rely On

    Engaging these PDO Partners brings assurance and confidence to develop the solution and its listing journey. Their track record and Experience instil trust, enabling you to proceed without second thoughts, knowing you have reliable support and guidance. By deploying their specialized skills and resources, you can efficiently get the app to develop and list your app on Salesforce AppExchange, saving your in-house time and resources.

    Collaborating with external partners offers numerous benefits when building and listing an app on Salesforce AppExchange. Their expertise ensures timely delivery and budget adherence while enhancing app visibility for potential users. With their assistance, you can confidently embark on the app development and listing journey, saving valuable time and resources.

    2. Salesforce AppExchange Security Review and Listing Fees

    Once the app is developed, the next crucial step is to list it on AppExchange and make it available on the platform to prospective customers. To ensure the app is positioned rightly in the marketplace, its listing must be posed with an appropriate license program that aligns well with your business goals.

    Whenever you go live with your app on AppExchange, you need to focus on enhancing your listing to make it more appealing to users. To assist you in creating an outstanding AppExchange listing, here are some valuable tips.

    To publish and list your application on the platform, every business needs to pick a Salesforce Partner Program under which they’ll be making their app public:

    AppExchange Security Review and Listin Fees
    AppExchange Security Review and Listin Fees dark

    1. ISV (Independent Software Vendors)

    Salesforce AppExchange offers two main types of Partnership Programs/Licenses, one of them is ISV Force. They are a popular choice for companies who want to build apps on the Salesforce platform, especially for existing users. ISVs Partners designs apps and solutions to enhance the functionality and usage of Salesforce.

    Businesses must pay 15% of their sales to Salesforce AppExchange. This partnership empowers companies to offer their business solutions as add-ons to the existing Salesforce functionality, providing additional services within the Salesforce ecosystem.

    Becoming an ISV partner and listing apps on the Salesforce AppExchange is free. This becomes an attractive option for companies seeking to extend their offerings and tap into the vast Salesforce user base.

    2. OEM (Original Equipment Manufacturer)

    Secondly, we have OEM Embedded License or OEM Partners. These partners develop applications not dependent on Salesforce and available on various platforms, including Salesforce AppExchange, Google Play Store, or Apple App Store.

    Unlike applications aimed solely at Salesforce users, OEM Embedded apps cater to both Salesforce and non-Salesforce users, providing an individual experience rather than functioning solely as a Salesforce add-on.

    Obtaining an OEM Embedded license offers significant advantages, as your application is not limited to the Salesforce ecosystem. This means your app has the potential to generate more revenue, and you are not obligated to share it with Salesforce. However, Salesforce does require a 30% share of the sales made on the AppExchange for OEM-embedded apps.

    The pricing for an OEM Edition Salesforce license is $25 per user per month, allowing developers to utilize the Force.com platform.

     

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    A Detailed Breakdown of the Salesforce AppExchange Security Review and Listing Fees

    After completing the building and testing of your application and successfully becoming the AppExchange Partner, the next step is to send your app for the Salesforce AppExchange Security Review.

    AppExchange has different fee structures for Free and Paid apps. Here is the revised one:

    Comparison of previous and updated pricing for listing on Salesforce AppExchange
    Comparison of previous and updated pricing for listing on Salesforce AppExchange

    Explore Salesforce AppExchange Pricing Models Here

    AppExchange offers a variety of pricing models for the apps listed on its marketplace, depending on how the app creators want to monetize their products.

    These include:

    Different type of Salesforce AppExchange Pricing Models
    Different type of Salesforce AppExchange Pricing Models dark

    Free

    Developers can offer their apps for free to users. These are usually simple apps that provide essential services or act as teasers for more advanced, paid versions. For example, Easy Incentivizer is a free app that helps sales managers create and manage team incentive programs.

    Paid

    Developers can charge a one-time fee or recurring subscription fees for their apps. The price can be per user or company, depending on the app’s functionality and target market. For example, ChargeOn is a paid app that allows users to accept customer payments using Stripe, PayPal, or 15+ payment gateways.

    Paid Add-ons

    Developers can offer additional paid features or services that enhance the functionality of their free or paid apps. These can be optional or mandatory for using the app. For example, AMT is a paid add-on that provides advanced mapping and territory management features for Salesforce users.

    Freemium

    This model offers essential services for free, while more advanced features or services are available for a fee. It lets users get a feel for the app before purchasing additional features. For example, Conga Composer is a freemium app that allows users to create and deliver documents from Salesforce data, with premium features such as electronic signatures and document analytics available for a fee.

    Before choosing a pricing model for their app, developers need to understand the different Salesforce partner programs that affect how they can list and sell their app on AppExchange.

    salesforce app developers
    salesforce app developers dark

    Conclusion

    Developing and listing an app on AppExchange can be a rewarding opportunity for app creators who want to reach a large and diverse customer base on Salesforce. However, it also comes with some costs and challenges that require careful consideration and planning.

    If you are looking for a reliable and experienced partner to help you develop and list your app on AppExchange, share your ideas with our experts. From designing your concept into an architectural plan to getting it developed, we will take care of everything without leaving any load on you.

    We have experts who are well-versed in the nitty-gritty of Salesforce AppExchange and help you with the security review, listing, marketing, and maintenance of your app on AppExchange. Schedule a call today.

    Frequently Asked Questions

    As told in the article above, The total cost to make your app live on salesforce exchange is $2700. It includes the $2,550 security review fee and $150 for the first-year AppExchange listing fee.

    Appexchange makes money by charging a security review fee and an annual listing fee for the paid applications.

    You can quickly develop an Application for appexchange by hiring an in-house team or contacting Product Development Outsourcers or consulting partners, as they already have experience and expertise.

    Salesforce AppExchange has both free and paid models, for paid applications the salesforce application charges a security review fee of $2550 and an annual fee of $150. While there are no charges for free applications

    Salesforce AppExchange has both free and paid models, for paid applications the salesforce application charges a security review fee of $2550 and an annual fee of $150. While there are no charges for free applications

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