Overview of Software Development in Croatia

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Published: 11 Jul 2022

Eastern Europe outsourcing

outsourcing to croatia

Outsourcing is a way to deal with the talent crisis and find high-quality software development services for reasonable prices. With the IT outsourcing market booming, more and more outsourcing destinations appear on the map. Statista indicates the IT outsourcing market is worth $395 billion and is expected to reach $597 billion by 2027. With such a massive pie, nations like Croatia have emerged as prospective outsourcing destinations. The current Croatian IT market is worth $884 million. Yet, aspects like an appealing business climate, growing talent pool, and emerging IT companies will open a new chapter in software development in Croatia. 

General insights on software development in Croatia 

The Croatian IT industry is considered one of the most up-and-coming in Europe. Many startups and SMEs are offering excellent services while covering numerous technologies. It means that working with developers in Croatia, you can have it all, including web apps, mobile apps, UI and UX design projects, Internet of Things (IoT) applications, Artificial Intelligence (AI), and Virtual Reality (VR). It is safe to say that the Croatian IT industry has a broad portfolio to offer. 

The evidence from a significant statistical office in Europe suggests that Croatian IT professionals provide products of great value for the money they request. This correlation between wage-adjusted labor rate against productivity ratio shows countries like Croatia create a foundation for the advantage of offshore software development services. You need to understand that outsourcing to Croatia is not the cheapest option in Eastern Europe. However, if you want a seasoned developer who will provide high-quality services at the rates of a junior developer in New York, the Croatian IT industry is the place to go. 

An appropriate business climate

When understanding why software development in Croatia is a great outsourcing destination, it is crucial to explore various factors. First and foremost, Croatia has a healthy and growing economy. The evidence points out the nation is experiencing all-time low unemployment rates and an annual 2.5% GDP growth. Second, the Croatian economy is service-based and stands on high income from tourism. Third, the Croatian government is all-hands pro-technology. It offers tax relief for young companies, especially those working in R&D. All these factors make Croatia a well-recognized outsourcing destination, which is expected to flourish further. 

A pool of talent

The strength of any given IT industry is measured by the access to the talent pool as well as the expertise of the professionals. For developers in Croatia, there is a strong case showing they are worth of their cost. Starting from afar, outsourcing software development to Croatia offers access to a distinct talent pool with broad expertise. There are about 35,000 ICT specialists, with about a quarter having Senior-level proficiency. Essentially, the Croatian talent pool of IT professionals indicates both managerial and technical positions can be covered easily. Along with technical experts, there are about 4,000 business analysts available. 

One should note that the average European rate of new ICT specialists entering the market stands at 6%. In comparison, Croatia experiences about 19% growth in its talent pool. Highly educated professionals enter the Croatian IT arena, and it seems that the nation’s talent pool offers A-type specialists. The above numbers speak for themselves; they point out outsourcing toward Europe rather than Asia

Sectors and expertise

Software development in Croatia is all about sectors its IT industry covers and its developers’ expertise. Keeping that in mind, most of the technical expertise among Croatian developers is dedicated to web development, Android and iOS mobile development, UX Design, and Java-based solutions. Speaking of programming languages, 10,000 skilled Java developers are available in the Croatian IT market. Moreover, developers in Croatia are proficient with JavaScript and Python. When outsourcing to Croatia, you can be confident in their JavaScript expertise for web and mobile development.

With a strong community of developers who can cover various bases, IT professionals in Croatia offer robust positive impacts on multiple areas of expertise. These include the following:

  • Healthcare 
  • Financial Industry
  • E-commerce
  • Real-estate
  • Automotive Industry
  • Digital agencies

These are the core areas of expertise of developers in Croatia that make substantial positive impacts. Importantly, they focus on both internal and external markets, understanding that coding is not only about bringing revenues but also about contributing to a greater good. 

Software development companies in Croatia

Croatia is a relatively small nation with only 4 million of population. Essentially, there is one central tech hub in the country. While having a reputation as a city with many museums, Zagreb, the capital of Croatia, is where IT enterprises find their place. Multinational tech giants like Facebook and IBM, have offices in the city. However, Croatia’s coast at the Adriatic is the best place to go if you look for startups for hire. 

Many businesses in Croatia have already proved their worth and achieved a sufficient client pool to be noticed among competitors. If you are looking to build a software development team right now, you can refer to nCube as your reliable partner in software development in Croatia.

Key insights

All in all, Croatia is a great place to go for a swim, visit a museum, and hire high-qualified software developers. The nation’s strong and prosperous economy creates favorable conditions for tech businesses to emerge and thrive. The growing pool of IT professionals is the source of experts who can deliver high-quality products for reasonable prices. Finally, the overview of software development in Croatia shows that it is definitely at the top of outsourcing destinations worldwide. 

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