For most businesses, the question is not if custom software would be a beneficial addition but whether it’s worth the cost. According to research by Clutch, 59 percent of businesses say that investing in custom software has improved their operational efficiency, and just over half say that it increased their productivity.
The real question, then, is whether the upfront cost of custom software development is worth the investment over the long term. For many businesses, the answer to this question is uncertain, and they choose not to take the financial plunge, preferring instead to try out-of-the-box software solutions.
But custom software development is not necessarily more expensive or a significantly greater commitment of time and resources, especially over the long term. To the contrary, custom software development can generate a reliably strong ROI for businesses of all sizes and industries. Let’s explore four common themes running through custom software development projects that enable custom software to consistently deliver a strong ROI:
Custom Software Is Purpose-Built for a Business’s Unique Needs
When businesses are reluctant to invest in custom software, they default to out-of-the-box solutions. These solutions force the business to make compromises on features and capabilities. Ultimately, the business may not end up with a solution that is tailored to its own needs and goals, nor to the use cases and preferences of its customers.
Custom software, by contrast, is purpose-built for every business’s unique needs and goals. Businesses get exactly the features and capabilities they want, and there are no rules and restrictions that artificially constrict and limit the business’s ability to maintain and update the software as it sees fit. Custom development also ensures that every software product is optimally aligned to meet its customers’ needs and preferences. Because businesses don’t need to waste time and energy figuring out how to adapt and modify off-the-shelf solutions to be useful, they can stay focused on how best to apply their software solutions to drive customer satisfaction and engagement.
Custom Software Doesn’t Put a Business at the Mercy of Third-Party Partners
Most modern, off-the-shelf business software is maintained by third-party cloud providers. These providers impose a range of rules and restrictions—codified into licensing agreements and SLAs (service-level agreements)—that dictate how the software can be used, maintained, and updated. As a result, the business ends up being at the mercy of third-party partners.
Custom software does not impose these artificial restrictions on businesses. They can update, expand, and troubleshoot their software products as they see fit, using the resources and expertise of their in-house teams. The business also gets to call all of the shots when it comes to security and regulatory requirements; it isn’t encumbered by the decisions made by third partners that cannot be customized or adapted for individual clients. As a result, the business has more control over planning and costs for the software.
Custom Software Produces Maximally Relevant Data
To maximize the ROI of software investments, software products need to do more than just pass validation and testing. The software also needs to produce relevant, insightful data that drives informed decision-making. Ideally, the data needs to shed light on specific aspects of the business’s performance and progress so the business can take strategic, smart actions to stabilize and grow the organization over the long term.
Off-the-shelf software products may be able to provide some of these insights, but the options for configuring these data dashboards tend to be limited. Businesses may end up generating data that aren’t relevant, accurate, or timely. By contrast, custom software development ensures the software product will produce exactly the high-quality, relevant data that the business wants—without limitation or compromise. Moreover, businesses can serve up the data in exactly the formats and at exactly the times that will make the data of maximum value to its intended recipients.
Custom Software Grows in Exactly the Directions a Business Wants
As businesses evolve, they can outgrow their software products. In some cases, having off-the-shelf software makes it easy for businesses to scale and revamp their software solutions. But in other cases, off-the-shelf software can be constricting. Third-party software cannot necessarily be adapted and modified to serve the evolving goals of a business.
By contrast, custom software is designed to grow in exactly the directions a business wants. The business can move at exactly the pace it wants; there is no third-party partner who needs to review, negotiate, and authorize changes. This freedom is particularly valuable when businesses need to make rapid, dramatic changes to their operations. The business does not end up at the mercy of a third-party partner to develop a plan, a timeline, and a cost estimate.
Final Thoughts
Businesses may balk at the upfront costs of custom software development, but custom software can end up delivering a stronger—and greater—ROI than off-the-shelf software can. Key reasons include the fact that custom software is purpose-built for a business’s unique needs, custom software doesn’t put a business at the mercy of third-party partners, custom software produces maximally relevant data, and custom software grows in exactly the directions a business wants.
To learn more about how custom software might be right for your business, please get in touch with the experts at Outcode. We will be glad to talk you through Outcode’s dedicated talent engagement services—essentially, the expert resources that we make available to you on demand to meet all of your custom software development needs.
