In the modern world of technology, creating a website is essential for every business. It provides customers with direct access to products and services, allowing for unprecedented convenience, visibility, and recognition. It is no surprise, then, that more and more entrepreneurs and businesses are choosing to establish their website presence.
Whether you’re starting a business or upgrading your current website, one of the primary questions you’ll ask yourself is ‘What is my website budget?’ As with any new project, it’s essential to make sure your budget is realistic and properly allocated so that you can get the most out of your website.
In this article, we will delve deep into what goes into a web development budget, how to create a budget for a new website in 2023, the details of a web development budget template and how it looks like, and key factors that determine the cost of web development. So it is a long ride, sit back with your cup of coffee by your side and enjoy the ride with me.
Table of content
- Stages of web development budget
- How to create a budget for a new website
- Web development budget template
- Factors for web development cost
- Conclusion
- FAQ
Stages of web development budget
As businesses move to digital platforms, having a website you can depend on to interact with customers is key. Without a website, customers may find themselves at a loss as they try to access information or purchases.
Web development can easily become quite expensive, depending on the complexity of your website, the expertise you have available, or the number of people involved. But just like any other planning exercise, web development budgeting has a few core stages to consider that can provide an effective baseline for what goes into a website’s budget.
Discovery Stage
One of the first steps in a web development project is to determine what your business wants to achieve with a website; in other words, the discovery phase. This usually involves interviews with key stakeholders, goal-setting exercises, competitor research, and discussions about user experience and business objectives. The results from this phase will determine the direction for the website design, development, and overall future of the website. Depending on how quick the business can make decisions, the discovery phase can range from weeks to months and could cost up to 1% of the total budget.
Information Architecture Stage
Having a roadmap that outlines all of the information on the website and how they will interact with each other is key in setting the foundation of a website. This creation of an Information Architecture blueprint is an often overlooked component in any web development project, where the main stages include field research of existing user flows, card sorting exercises, mistakes, and navigation mapping. It can be quite extensive and the cost is normally between 0.5-1.5% of the total budget.
Wireframing Stage
Wireframing is the visual representation of how the architecture of the website applies to its design. This is the first sketch of the website and can determine how the user experience flows through its pages. This stage in the process of web development adds more visual elements such as buttons, images, videos and menus but still works with a detailed level of accuracy; enabling users to gain an understanding of what the final website will look like. Wireframing can cost between 0.5-1% of the total budget for a website.
Design Stage
Design is the final glaze of a website, the layer that brings out the user experience and the aesthetics of the website. Every element will be specifically chosen, down to the colors, font type, and imagery that goes along with the overall theme of the website. This set of visual components will have to be carefully orchestrated and placed around the website, relying heavily on consistency, visual hierarchy and originality. Good designs will cost around 3%-5% of the total budget depending on the amount of art direction each project requires.
Development Stage
Development is the time it takes to make a website functional, where the main tasks involve coding the design and bringing it to life. It includes front-end development and back-end development, where each has different objectives.
Frontend Development Stage
Frontend development is the preparation of the content, style, and interaction of the website. This is the final code that is seen by the users on their browsers and is what makes up the website’s functionalities and user abilities. This can include development for Common Gateway Interface programs, custom programming, or scripting services to interact with databases. The total cost of front-end development can be up to 2% of the budget.
Backend Development or Server-side Development Stage
Backend development or server-side development involves the preparation and implementation of the server environment that will support the website. This is where software and databases are set up and maintained so that the website can function optimally. Back-end programming usually involves the setup of databases and their maintenance to store customer data, user interfaces, and content. This can cost up to 3% of the development budget.
Project Management Stage
Project management is an essential part of website development and one of the most significant components of the budget. This will include the introduction of project managers, developers, and quality assurance experts that will process the whole project from conception all the way to the end.
Testing and QA Stage
Testing and quality assurance must be conducted in order to ensure the scalability and security of the website. This includes regular checks across a variety of browsers, mobile, and tablet devices and thorough manual or automated tests. QA and testing can cost up to 1% of the total budget.
Launching Stage
Launching a website can include several steps, including the preparation of SEO, CRM, and analytics tracking. It may also include the setup of managed hosting and the creation of custom email accounts. During the launch phase, any online marketing or advertising campaigns may also be deployed. The total cost of launching a website can be up to 1% of the total budget.
By understanding the different steps or stages a web development project can involve and the costs associated with each step, businesses can adequately plan for their website launch. It is advisable to keep 15-20% of the budget aside for any unexpected changes or alterations.
How to Create A Budget For A New Website
From researching, selecting the right website builder, hiring a web designer to understanding the associated cost, here is a breakdown of the key elements involved in creating an effective and suitable website budget for that new website you are planning to build this year:
Selecting a Web Builder
When creating a website budget, one of the first decisions to make is to select the type of website builder that you want to use. The website builder you choose will determine the upfront and ongoing costs associated with the website. To decide which builder to use, one should assess a few factors:
- How technical is the project? Are there any additional capabilities that you need to include on the website?
- Is there a budget associated with the website project?
- How much time do you have to invest in building and managing the website?
For more budget-friendly options, one might look into website builders like Wix, Squarespace, and WordPress, which offer a variety of templates and themes, as well as a range of customization options. For more complex websites, one might want to consider external web designers, who can offer more advanced customizations.
Assessing Website Costs
Once you have identified the website builder you are going to use, the next step is to assess the upfront and ongoing costs associated with the website. The average cost for a website design varies significantly depending on the project scope and builder you choose. For website builders like Wix, Squarespace, and WordPress, costs can range from $50 to several hundred dollars per month. For more complex websites, designers may charge anywhere between $1,000 and $15,000. Furthermore, the website hosting and maintenance costs may also need to be considered.
Hiring a Web Designer
If you have a more complex project, you may opt to hire a web designer to help you create a bespoke web design. The costs associated with hiring a web designer will depend on the level of complexity and the timeline of the project. If you are looking to hire a design team, it is important to shop around and compare a few quotes before committing to any contracts. It is also worth considering an expert freelance market like Upwork, where you can find experienced designers and developers at competitive rates.
Lastly, when creating a budget, ensure you research the best website builder for your project, assess website costs, and evaluate the design and development costs associated with hiring a web designer.
Web Development Budget Template
To create a smart website budget template, you need to include budget items for website design costs, web hosting costs, domain registration costs, content creation costs, maintenance costs, and more. Here is a breakdown of each budget item:
Website Design Cost
The first thing in your web development budget template should be the cost to design the website. Depending on who you hire – a freelancer, a web design agency, or a website builder, this cost may vary. If you choose to use a freelance web designer, the website design cost can range from $500 to more than $5,000.
The cost might change depending on the experience of the freelancer and the complexity of the website. Web design agencies can charge anywhere from $5,000 to more than $25,000 depending on the size and complexity of the website. Hiring a web designer or an agency can give you a website that works and stands the test of time.
On the other hand, website builders provide an effective and affordable solution for small business owners who don’t want to hire a web designer. Using a website builder is usually cheaper and faster than hiring a web designer. The average cost of a website using a website builder can range from $30 to $180 a month. The cost of a website using a website builder will also depend on the features and website design packages you choose.
WordPress Hosting Cost
Whether you are building from scratch or using a website builder, you need a web hosting provider. The cost of web hosting depends on the size and complexity of the website. All web hosting providers have some sort of package that can suit your website needs. Some of the options available include shared hosting, which is the most affordable, VPS (Virtual Private Server) hosting, and dedicated server hosting, which is typically the most expensive option.
For a WordPress website, you can find managed WordPress hosting plans ranging from $30 to more than $500 a month. The cost is highly dependent on the hosting space and the features you choose. Expert Market recommends shared hosting as the most cost-effective option for small businesses.
Content Creation Cost
Once you have found a web hosting provider and have set up the website, you also need content for the website. Content includes anything from web copy and blogs to videos and images. Content creation cost is usually an hourly-based rate, and the cost of content can range from $30 to $200 per hour depending on the provider’s experience.
WordPress Website Maintenance Cost
Once your website has been built and has gone live, you must set aside a budget for website maintenance. WordPress websites need regular maintenance to keep them working properly and secure. You must budget for any WordPress updates, theme updates, plugin and extension updates, security checks, backups, malware scans, and more.
Expert Market recommends hiring a WordPress developer or agency to manage your website maintenance. The cost of WordPress maintenance can range from $50 to $1000 a month depending on how complex the website is and how often it needs to be updated.
Domain Registration Costs
To get a website online and visible to the public, you need to have a domain name registered with a domain name registrar. A domain name is your unique internet address and can be either used to host your website or redirect to any other website. The cost of registering a domain name starts from $10 per year and can be more depending on the extensions and features you choose.
How a Web development budget template looks like:
| Item | Cost | Description |
| Domain Name | $10-$15 per year | The address of your website |
| Website Hosting | $10-$100 per month | The server where your website is stored |
| Website Design | $2,000-$20,000 | The cost of hiring an experienced web designer |
| Content Creation | $50-$200 per page | The cost of creating website content |
| Maintenance | $50-$200 per month | The cost of keeping your website up-to-date |
| Marketing | $500-$5,000 per month | The cost of promoting your website |
Factors that determine the cost of web development
The cost of any website development project depends on a multitude of factors, depending on the specific needs of the customer. These factors include the following:
Website Features and Functionality
The number of features and functionality you desire has a direct impact on the cost of your website. Does it need to accept online payments? Must it integrate with an existing app or system? Does it need to be e-commerce enabled? Complex solutions will require more development time, and often require specialized skills, resulting in a higher web development cost.
Complexity of the Website
The more complicated a website is to build, the more it will cost. For example, all forms of programming, such as with databases and CMS (content management system) software, require specialized knowledge and specific tools that can increase development time and cost.
Size of the Website
The larger the website, the more costly it will be. When considering how big a website should be, it is important to consider how many pages and/or sections it should have, and the size and complexity of each page. This decision should be based on the website’s primary objectives and customer base.
Hosting Requirements
Hosting requirements can also impact the cost of website development. For example, if the website needs high levels of security and must operate on a dedicated server, this can significantly impact the cost. As such, clients must consider their hosting requirements and cost when planning a website project.
Maintenance Needs
Regular maintenance is important to keep a website secure, efficient, and running smoothly. Hiring a qualified web developer to take care of maintenance needs or relying on a Digital Management Solution Provider (DMSP) can help you reduce costs in the long run.
Level of Customization
Out-of-the-box features and web development frameworks, such as WordPress and Shopify, may help you build a quality website quickly and efficiently. However, if you want to tailor your site to meet specific requirements, you may need to hire a web designer for custom development. This could require professional knowledge and programming skills, resulting in a higher website development cost.
Conclusion
Once you have created your budget and allocated the cost of your project, the next logical step is to research the best website builder platforms, experts, and hosting services to get the most value for your money. If you take the time to research these items upfront, your web development costs can be kept within budget.
Creating a web budget can seem daunting, but when done properly, it can provide you with clarity on the cost associated with developing your website. By researching and understanding each item that goes into the cost of your website, you can be sure you’re spending your resources wisely and creating the perfect website that meets your unique needs.
FAQs On How to Create a Budget For A New Website in 2023
How much does it cost to design and create a new website in 2023?
The total cost of designing and creating a new website in 2023 depends on the type of website being built, the level of customization, and the web hosting. Generally, costs can range from a few hundred dollars for a simple site using a website builder to many thousands of dollars for more complex custom-built websites.
Should I hire a web designer or use a website builder?
This depends heavily on the type of website being built and the budget. If a website has very few pages and complex features are not required, a website builder may be the best choice. However, if a website will have many pages, have multiple users contributing content, and require unique features, it might make more sense to hire a website designer.
How can I compare web designs and website builders?
Expert Market offers a comprehensive comparison of web design and website builders. It allows potential developers to easily compare design platforms, hosting packages, and pricing models. Additionally, it provides helpful user reviews and ratings so potential developers can make an informed decision about the best platform for their website building needs.
