6 reasons why you should outsource your software development to a Croatian company

When most people think of offshoring or nearshoring their software development, the countries that first come to mind are?India, Russia, China, Ukraine and Poland.

But there is one country that has developers often praised for their commitment to delivering high-quality work. An additional bonus is that here you'll find some of the best beaches in Europe.

Most companies know Croatia primarily for?Game of Thrones?sets and not as much for software development.

Croatia's IT industry is regarded as one of the most promising in Europe. Many startups and SMEs provide outstanding services while covering a wide range of technologies such as the Internet of Things (IoT), Artificial Intelligence (AI), Virtual Reality (VR), and much more.

Facts & Stats

Croatia 2020 population is estimated at 4,105,267.

The market size, measured by revenue, of the Software Development industry in Croatia was?€884.1m?in 2022.? Based on a labor force survey, it was estimated that in the third quarter of 2021, the working-age population stood at 3 508 000, out of which 1 705 000 were employed.

The average business in the Software Development industry in Croatia now employs more workers than it did five years ago.

There are 3,101 Software Development businesses in Croatia as of 2022, an increase of 0.5% compared to 2021.

Croats are Among the World's Most Skilled Engineers per Capita

Croatia can boast of some of the most talented young engineers in the world. According to the?International Olympiad in Informatics data, Croatians are among the world's most skilled engineers per capita. IOI is the world's most prominent computer science competition for secondary school students.

Croatia offers excellent IT/tech universities and high-quality developers, with a significant emphasis on practical skills. In?2020, about 30%?of all students were enrolled in STEM fields of study, which is expected to climb in the coming years.

Startup and Development Mindset

According to StartupBlink, Croatia ranked 39th among 200 countries on the global scale of startup ecosystem development in 2020.

Repsly, a field service management solution with the biggest office still located in Zagreb,?has achieved 387% growth over the past years?and is Number 1,086 on?Inc Magazine’s?guide to the 5,000 fastest-growing private companies.

Photomath and Microblink are also two companies worth mentioning. Just before Photomath, U.S. investment company Silversmith Capital invested over $70 million in Microblink, a global leader in AI-powered computer vision software and one of the six Croatian companies on the Financial Times list of Europe's fastest-growing companies in 2021.

There is also Infobip, the first Croatian unicorn, and Rimac Automobili – EV manufacturer that employs over 1,000 employees.

During the last five years, there has been a substantial improvement in ecosystem development. There are several startup events and conferences, and the number is growing yearly. Outside of Zagreb, we have Split Tech City, Osijek Software City and ICT ?upanija.

A Talent Pool

The strength of any IT sector is assessed by access to a talent pool and professional competence. There is a strong argument that developers in Croatia are worth their money. Outsourcing software development to Croatia provides access to a specialized talent pool with diverse knowledge.

It is important to highlight that the average European rate of new ICT professionals entering the market is 6%. In comparison, Croatia's skill pool has grown by roughly?19%.

Regarding tech talent availability, Croatia is an appealing place for software development outsourcing. Croatia's tech workforce has grown significantly over the years. In 2016,?experts estimated?the local tech talent pool at around 50,000 ICT specialists. As of May 2022, the country has more than 60,000 skilled professionals.

The three most popular technologies in Croatia, according to LinkedIn, are JavaScript, Java and Python. Over 10,000 Croatian software developers use JavaScript as their primary programming language. You can rely on their JS competence for web and server application development as well as frontend and cross-platform mobile application implementation.

Language, Culture & Convenient Time Zone

Many businesses considering outsourcing are concerned about the language barrier. It is natural to be concerned since excellent communication is essential for successful collaboration. While some professionals may have learned English and been taught in their fields in English, they may be unfamiliar with English colloquial phrases or design principles. Differences in culture and upbringing can also be a concern, especially if they only speak technical English.

When outsourcing to Croatia, language and culture are something you don’t have to worry about.

According to the?2019 English Proficiency Index, Croatia ranks 14th among non-native nations in terms of English proficiency.

Croatia offers a western lifestyle. This is mainly because Croatia has always been a popular tourist destination, and Croats are accustomed to dealing with people from all over the world.

?Croatia is in the same time zone as the rest of Europe, or the time difference is very small, making it an attractive location for nearshoring. The time difference between Croatia and the US is smaller than between the US and many Asian software development outsourcing destinations. The time difference between Croatia and the US is 6 to 9 hours. In comparison, the time difference between India and the United States is 9.5 to 12.5 hours, and the time difference between China, India and US is 12 to 15 hours.

Popular Services

According to Clutch.co, Croatian specialists can help you with various services, depending on your company's needs. A typical Croatian software development business assists with software development, online solution implementation, mobile app development and other services. Furthermore, Croatian tech companies offer IT strategy consulting, application administration and support, Artificial Intelligence and Cloud expertise. Some Croatian companies offer IoT development, Business Intelligence and Big Data consulting.

Top Three in the World

Rootstack ranked Croatia along with India and Panama as a location for software services, noting this:

“Croatia has the three key factors every nearshore or offshore software outsourcing country should have: They have a great talent pool, with more and more software development companies of great expertise being located there; they can communicate and handle English almost perfectly, and last, but not least, a commitment to improve their technological resources, something that is even backed up by the Croatian government itself.”

Conclusion

Croatia is best known for its breathtaking natural beauty. Still, it is also gaining traction in the software development outsourcing industry.

Croatia has the three key factors that any nearshore or offshore software outsourcing country should have: a large talent pool, with more and more high-caliber software development companies located there, able to communicate and handle English almost flawlessly and, last but not least, a commitment to improving technological resources, backed up by the Croatian government.

Ready to see all the amazing business outcomes you can find with a Croatian team of software developers? Connect with us today.

Fun Facts About Croatia

Tesla was born in Croatia.

Croatian engineers have invented?the pen, the torpedo, pay-by-phone parking, and more.

The best electric hypercar in the world is Croatian.

First exhibition of a living artist in Metropolitan Museum of New York

In 1947, the most famous Croatian sculptor Ivan Mestrovic, as well as one of the most important contemporary world artists, arranged an exhibition of his works at the Metropolitan Museum of New York, which was the first exhibition of a living artist.

Necktie is Croatian

The modern necktie can be traced back to the Thirty Years' War (1618-1648), when Croatian soldiers from the Croatian Military Frontier in French service, wearing their typical tiny, knotted neckerchiefs, piqued the curiosity of Parisians. The garment was given the name "cravat" because of the slight discrepancy between the Croatian term for Croats, Hrvati, and the French word, Croates.

Fingerprint identification pioneers

Ivan Vucetic, a criminologist and anthropologist born on the Croatian island of Hvar (later immigrated to Argentina and was known as Juan), was the pioneer of scientific dactyloscopy (fingerprint identification), and his methods of identification are used worldwide.

The best sunset in the world

According to Alfred Hitchcock, the best sunset in the world is in Zadar, a seaside town in Dalmatia. 'Zadar has the most beautiful sunset in the world, more beautiful than the one in Key West, Florida,'