A Complete Guide to Web System Development Market Costs and Tips for Choosing a Development Company!

Web system development involves market costs and choosing the right vendor — this article covers both. It should help you avoid failure and raise your success rate, so please use it as a reference.

Web systems are now indispensable to daily life. How much does it cost to build one — say, a matching service or internet banking? And how should you choose a vendor?

In this article, we explain the market cost of web system development and the key points for choosing a development company.

1. What Is a Web System

A web system is a service used over the internet. Since data is stored on a server, it's accessible from any device (PC, tablet, smartphone) with an internet connection.

In addition, since updates can be made simply by modifying the program on the server, maintainability is high.

Various web systems exist, and representative examples include the following.

■ Representative examples

• E-commerce sites
• Online auctions
• Internet banking
• Online storage
• Matching services
• Customer management systems
• Reservation management systems

With the spread of the internet, web systems have become essential to daily life.

Web system development costs vary by company, so it's important to understand the market rate to avoid overpaying. Here, we explain the average cost of web system development.

2.1. [By Type] Average Cost of Web System Development

Web system development costs vary depending on the vendor, scale, specifications, and development method, but the average market rates are as follows.

■ Average cost of web systems

(*) Internet banking and online storage require large-scale development, so please request a quote directly from a system development company.

2.2. How to Calculate System Development Costs

System development costs can be calculated as “labor cost (person-month rate) + other expenses.” The person-month rate refers to one engineer's compensation for one month, and the market rates by job type are as follows.

2.3. How to Keep System Development Costs Low

To keep system development costs low, consider offshore development — outsourcing to an overseas company. Local pricing keeps the person-month rate low.

For example, a JobStreet survey found the starting monthly salary for a university-graduate engineer in Vietnam is about $250, or roughly ¥32,500 — versus about ¥230,000 in Japan, so development can cost roughly 1/7 as much.

Quality has also improved thanks to rising skills and know-how in offshore countries, so offshore development is worth considering for high quality at low cost.

3. How to Choose a Web System Development Company

When developing a web system, knowing how to choose a vendor helps you avoid failure. Here's how to choose a web system development company.

How to Choose a Web System Development Company

3.1. Do They Have a Track Record Developing the System You Need?

Check whether the company has a track record with similar projects — that experience means they can apply proven know-how to deliver a high-quality system.

Case studies are often listed on a company's website or brochures, so be sure to check them.

3.2. Is the Development Company's Business Performance Stable?

Choose a company with stable business performance.

If the company goes bankrupt, you can no longer rely on them for operation and maintenance — so research their business performance.

You can check this via the company's website, securities firm information sites, or Teikoku Databank. A frequently updated portfolio is also a good sign of stability.

3.3. Is the Proportion of In-House Development High?

Companies operate differently — some handle everything in-house, others only manage the project and outsource the rest, and some do both.

If possible, choose a company with a high in-house development ratio: skill levels tend to be higher, and with no intermediaries, detailed requests are easier to communicate. If quality matters most, pick a company with many engineers that develops mostly in-house.

3.4. Do They Have the Proposal Skills to Solve Problems?

A web system's development approach should fit the client's needs.

For example, web systems and client-server systems work similarly but process programs in different places. If instant processing power or usability matters most, a client-server system may be the better choice.

So choose a company that understands web systems' pros and cons and has the proposal skills to solve problems.

3.5. Is the Quotation Clear and Transparent?

To avoid losing money, choose a company with transparent accounting that itemizes the quotation in detail — without knowing “how much each task costs,” you risk unexpected extra fees.

Going over budget after completion is a common problem, so always choose a company with a clear, transparent quotation.

3.6. Do They Consider System Operation and Maintenance?

Development isn't the end for a web system — operation and maintenance matter too. If a company only handles development, you'll need to find another one for operation and maintenance.

A system built by another company can be hard to operate and maintain, so it's best left to the original developer — check in advance whether they offer this.

4. For Web System Development, Choose “Miichisoft”

If you're considering web system development, leave it to “Miichisoft.” Here's a brief look at what makes us different.

4.1. Providing Offshore Development Services from Vietnam

Miichisoft provides offshore development from Vietnam, a country recently earning a reputation for high technical skill. We have Miichisoft Co., Ltd. in Vietnam and Miichisoft Japan Co., Ltd. in Tokyo.

Our bridge engineers are fluent in Japanese, so language is never a barrier. Our Vietnam-based offshore service delivers high-quality, low-cost web systems — feel free to contact us.

4.2. A Strength: Advanced Technical Skill Recognized by the Sao Khue Award

Miichisoft has won the Sao Khue Award two years running as a company contributing to Vietnam's economic development through IT. VINASA has recognized our advanced technical capability.

For Japan-targeted web systems, we have numerous track records — matching services, business support systems, and more — letting us flexibly meet client needs.

4.3. 180 Engineers on Staff

With 180 engineers on staff, we handle large-scale and short-deadline projects. Since development is in-house, no intermediaries are needed, and we build systems exactly to client requirements.

5. Summary

This article covered market costs and how to choose a web system development company. In Japan, accelerating DX adoption means a chronic IT engineer shortage and rising labor costs, so domestic vendors may feel expensive. If that's your concern, consult “Miichisoft” — we offer high-quality, low-cost offshore development from Vietnam.