The decision between custom and off-the-shelf software is almost always framed as a cost question: custom is expensive, SaaS is cheaper, therefore default to SaaS. This framing is wrong often enough to be worth examining. The more useful question is: does your competitive advantage live in this software?
When off-the-shelf wins
The process is standard — accounting, HR, most CRM workflows.You need it now. A SaaS product can be deployed in days.You can accept someone else’s roadmap.Switching costs are low.When custom wins
The software is the product.Off-the-shelf requires so many workarounds that the real cost is higher than custom.You need integrations no vendor supports.Data ownership or compliance requires control.Five questions to answer before deciding
Does this software reflect a business process that differentiates us from competitors?What is the real total cost of the off-the-shelf option — including integration work and workarounds?What is the cost to switch to custom in 18 months when we have outgrown it?Do we have engineering capacity to maintain custom software?Is the vendor likely to change pricing or availability in a direction that hurts us?Heading 1
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