Off-the-shelf software (Buy) vs Custom development (Make)

Custom CRM vs Off-the-Shelf: Make or Buy?

Sometimes the thought comes up: "Can't we just build this ourselves?" With CRM, the answer is almost always no, you shouldn't. But let's look at the facts.

See comparison

Quick comparison

Criterion Off-the-shelf software (Buy) Custom development (Make)
Time-to-value Weeks 12-24+ months
Upfront cost Low (subscription) Very high (100k-500k+)
Ongoing cost License fees Developer salaries + infrastructure
Maintenance effort Handled by the vendor Entirely your own
Security Enterprise standard Your responsibility
Customizability High (APIs, plugins) Total
Risk Low Very high
Focus distraction None Considerable

Detailed ratings

Time-to-value

Off-the-shelf software (Buy)
Custom development (Make)

Cost efficiency

Off-the-shelf software (Buy)
Custom development (Make)

Customizability

Off-the-shelf software (Buy)
Custom development (Make)

Maintenance effort (lower is better)

Off-the-shelf software (Buy)
Custom development (Make)

Security

Off-the-shelf software (Buy)
Custom development (Make)

Risk (lower is better)

Off-the-shelf software (Buy)
Custom development (Make)

Innovation

Off-the-shelf software (Buy)
Custom development (Make)

Focus on core business

Off-the-shelf software (Buy)
Custom development (Make)

Feature comparison

Feature Off-the-shelf software (Buy) Custom development (Make) Notes
Contact management Custom: build it yourself
Pipeline management Custom: build it yourself
Email integration Custom: complex to build
Automations Custom: very labor-intensive
Mobile app Custom: additional effort
Reporting Custom: build it yourself
API access
Regular updates Custom: your responsibility
Support Custom: provide it yourself
Community
Documentation Custom: write it yourself
Integrations Custom: build them yourself
Security updates Custom: your responsibility

Price comparison

Plan Off-the-shelf software (Buy) Custom development (Make) Notes
Year 1 €10,000-50,000 €100,000-500,000 (development)
Year 2 €10,000-50,000 €50,000-150,000 (maintenance)
Year 3 €10,000-50,000 €50,000-150,000
5-year TCO €50,000-250,000 €350,000-1,000,000+

Pros and cons

Off-the-shelf software (Buy)

Pros
  • Ready to use immediately
  • Proven features
  • Regular updates from the vendor
  • Large user community
  • Support and documentation
  • Integrations available
  • Predictable costs
  • Best practices built in
Cons
  • Not 100% customizable
  • Dependence on the vendor
  • Possibly features you don't need
  • Ongoing license costs

Custom development (Make)

Pros
  • Tailored exactly to your own processes
  • Full control over the code
  • No license costs
  • Potential for differentiation
  • Independence from vendors
Cons
  • Enormous development costs (often six figures)
  • Long development time (12+ months)
  • Ongoing maintenance and updates on your own
  • Developers have to be retained
  • Ensuring security yourself
  • Opportunity cost: focus away from the core business
  • Every feature that off-the-shelf CRMs already have must be built

Our verdict

Winner: Off-the-shelf software (Buy)

Choose Off-the-shelf software (Buy) if:

In the vast majority of cases, off-the-shelf software is the right choice. Modern CRMs are extremely customizable (APIs, plugins, custom objects) and cost a fraction of custom development.

Choose Custom development (Make) if:

Custom development only makes sense if CRM is your core product, you are a software company, or you have extremely specific requirements that no CRM can cover.

Frequently asked questions

Practically only when CRM is your core product or you have extremely specific compliance requirements that no off-the-shelf CRM can meet.

The hidden costs (communication, quality issues, maintenance, loss of know-how) rarely make it cheaper. On top of that comes the enormous risk.

Modern CRMs are extremely adaptable through APIs, plugins and configuration. Custom objects, workflows and integrations make almost anything possible.

An option between buying and building. But here too: hosting, customization and maintenance cost time and money.

Have an honest cost-benefit analysis done. IT teams often significantly underestimate the total effort.

Before you consider building your own...

Let us check whether an off-the-shelf CRM meets your requirements after all. Usually the answer is yes, and you save a lot of time and money.