Ukraine is among the 10 leading outsourcing destinations in the world, with a total GDP per capita of $5,000, according to the Global Outsourcing Index. Despite this, you may still think twice before hiring a programmer. You need to understand the average hourly rate for programmers and, more importantly, the factors influencing your project’s cost.
This article covers the latest trends in the Ukrainian outsourcing market and helps you calculate the cost for a full-stack developer, mobile apps, an agency and a remote team. By the end of the article, you’ll know what hourly rates the team can work with, what the cost of teaming up with an agency is, and how much it will cost to outsource your IT development and marketing campaigns in Ukraine. If you are ready to go, you can hire here Ukrainian developers.
Ukrainian Outsourcing Market Overview
While the overall rate in Ukraine is growing due to the government’s support, the most popular jobs are software development and web design. What’s more, Ukraine is becoming a go-to destination for IT-related job opportunities in other countries. According to the latest stats from the Ministry of Economic Development and Trade, Ukraine ranks in the top 10 of the most popular outsourcing destinations in the world. For a country with a GDP per capita of $5,000, this speaks volumes.
Why Do These Jobs Require Outsourcing?
According to a recent survey from the European Business Service Provider Association, almost one out of three EU countries that currently outsource is looking to move their business offshore. The survey also revealed that Ukrainian outsourcing is set to grow by 2% in 2019-2020. There are several reasons why your company should outsource. We’ve compiled them below.
1. You want to reduce your IT team’s costs or increase their productivity
According to the study conducted by Software Advice, 70% of the respondents believe that companies benefit from outsourcing when they increase their productivity and cut costs. If you’re not happy with your IT team’s performance, your current employees may be unhappy with their jobs, and this could be an incentive to move your IT projects overseas.
In the case of offshore outsourcing, you get to hire the best developers from the market at affordable rates. According to TechRadar, the cost of offshore outsourcing per team member ranges from $15,000-$150,000 per year. It depends on the country, the level of the developers’ skills, the company’s experience and the type of work the IT team is responsible for. As for the cost of offshore outsourcing, your project can be completed by a single developer in Ukraine for around $5,000/month.
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2. You want to access a market of more than 400 million people
Offshore outsourcing gives you access to a huge market of skilled developers. According to the TechCrunch website, there are over 400 million people who access the internet in the country. With a GDP per capita of $5,000, the population base is large and growing.
Market growth is a factor that your company shouldn’t overlook. For example, in the past, the lack of demand for IT specialists and a low education level were the main factors of low supply in the market. But, the population base and the country’s GDP growth have increased the availability of IT specialists in the market.
3. You want to get more out of your IT resources
Even though you can hire more than one programmer and give them the ability to work remotely, outsourcing will give you access to a highly skilled team. You don’t need to hire in-house developers with a specialisation in your field. As a result, you can provide your developers with the best tools and the necessary equipment for the work. You’ll get a chance to focus on the core of the project, and your developers will be free to learn more new skills.
What’s more, you’ll save a lot of time and effort that you spend on creating marketing materials and presentations for your IT team. This will allow your team to focus on the implementation of the project and improve their skills.
4. You want to increase your team’s productivity
In most cases, the IT team in Ukraine has a specific set of skills and a particular approach to the project. By outsourcing, you’ll be able to have a team that has several talents and approaches to the same project.
For example, in-house developers are pretty skilled in the latest trends and best practices in the market. Offshore developers can provide you with the latest software updates and security patches, and you’ll get to experience how to keep up with them.
5. You want to keep in touch with the team’s progress
If you outsource the project to Ukraine, you’ll be able to track and analyse the team’s performance daily. Every time there is a change in the project, you can give the team feedback and monitor their work. This will help them improve their skills and performance.
What’s more, you’ll be able to provide your team with a set of tools that will let them analyse their work and find the best solutions. This will help your team to work better and also save your money on unnecessary expenditures.
What Is the Hourly Rate for a Developers in Ukraine?
The hourly rate for Ukrainian software developers is $23-$29/hour. It depends on the experience of the developer and the complexity of your project. You can calculate the hourly rate using the following formula:
Hourly rate = Monthly salary + Experience rate + Overhead costs
But it is always possible to find the golden means when hiring a Ukrainian web development company as there are many options to choose from.
The process of selecting qualified developers in the labour market can be a stressful and time-consuming task for both potential and hiring companies. That is why you should choose the best development team of Ukrainian developers who can produce excellent-quality work following the deadlines.