Agile development reduces the communication gap that occurs between client vs. project manager as well as project manager vs. development team. A smaller development cycle means greater visibility/control over the project. Better quality of codes as there is lot more transparency and communication among the developers themselves.

Product goals are met with accuracy

Due to extremely dynamic nature of development, chances of gap between client requirements and actual functionality is very low.

Product grows organically

New features in product are introduced with extremely realistic approach keeping in mind immediate priorities.

Greater team satisfaction

Since there is reduced amount of 'redundancy' or repeat work in development, the development team stays on top of their spirit. They can see the results quickly and experiment / innovate with greater freedom.

Better product quality

Quality of end result is much better because everything is taken care on a smaller scale. Testing goes on parallel with the development.

Reduced cost of development

There is optimum usage of resource as a result, efforts do not get waste and end user or client does not have to wait for months to see the result. There is a huge savings in cost of development.