Build vs. Buy: A Real-World Framework for Smart Tech Decisions

If you’re running a business, especially one that leans on technology, you’ll eventually face the question: Should we build our own solution or buy something off the shelf? This is one of those decisions that can either accelerate your growth or bog you down in endless meetings and technical debt.

I’ve seen founders and teams get stuck here. The stakes feel high, and the options are never black and white. Here’s the framework I use to help clients get clarity and make a decision they can stand behind.

1. Get Clear on the Real Problem

• Start by defining the problem you’re actually trying to solve.

• What’s broken?

• How is it hurting the business?

• Is this a nice-to-have or is it holding you back from hitting your goals?

• If you can’t tie the decision to a business outcome, you’re not ready to answer the build vs buy question.

2. Know Your Team’s Strengths and Limits

• Look at your internal resources honestly.

• Do you have the right people and enough time to build and maintain something custom?

• Or would building this pull focus from your core business?

• Remember, every hour spent building is an hour not spent on your core mission.

3. Explore What’s Already Available

• Before you start sketching out requirements, see what’s out there.

• Are there products that solve most of your problem?

• Can you live with any gaps, or is your need truly unique?

• Talk to peers, check reviews, and get hands-on with demos if you can.

4. Calculate the True Cost

• Building might seem cheaper at first, but don’t forget to factor in developer time, ongoing support, bug fixes, and the cost of scaling.

• Buying isn’t just the sticker price either. Think about onboarding, integration, and whether you’ll get stuck with a tool that can’t grow with you.

• Look at costs over at least the next year or two, not just the first month.

5. Speed Versus Differentiation

• If you need to move quickly, buying is usually the fastest way forward.

• But if the solution you’re considering is part of your secret sauce, building it means you’re making it a core competency of your business. This is where you want the maximum amount of flexibility, the ability to experiment, and the freedom to evolve as your market or business model shifts.

• When you build, you’re betting that this area is central to your value proposition and you’re willing to invest in developing and maintaining it.

• On the flip side, if it’s not core to what makes your business special, buying lets you focus your resources where they’ll make the biggest impact.

• Most businesses overestimate how unique their needs are. Be honest about what really sets you apart.

6. Factor in People and Adoption

• Will your team actually use what you choose?

• Is change management going to be a headache?

• Who owns the decision and the ongoing success of this solution?

• Technology only works if people use it.

Case Study: Digital Transformation at a Luxury Fashion Retailer

I was once brought in at a luxury fashion retailer right as they were starting a digital transformation. Up until then, the company had bought nearly all of its systems off the shelf. On paper, this looked like a way to move fast and keep costs predictable. In reality, every major release was a multi-day ordeal, cobbling together updates across a patchwork of vendors and platforms. Experimenting with new features, especially those that could boost e-commerce conversions, was slow, expensive, and often impossible with the limitations of the tools they had.

The company was also paying significant money in contracts for these systems but wasn’t getting the full benefit. As we dug in, every build versus buy decision became a conversation about core competency. Did we want to own this capability? Was it critical to our customer experience or business outcomes? How quickly did we need to move?

One breakthrough came when we replaced a third-party digital asset management tool with a custom-built suite designed specifically for our photo studio workflows. Not only did this streamline how we treated and delivered images to the website, but we also used computer vision to automate the tagging of product images. This eliminated the need for manual data entry and reduced human error, freeing up the team to focus on higher-value work.

Most importantly, building our own tools allowed us to experiment rapidly with new features that directly impacted our add to cart rates. We could test and iterate on image presentation, product detail layouts, and other conversion drivers in real time. The speed at which we could roll out improvements meant we were able to move the business needle in ways that just weren’t possible with off-the-shelf solutions. Ultimately, the value we unlocked, both in terms of business outcomes and team capability, made the development effort more than worthwhile.

Over time, the organization shifted from a default of “just buy it” to having real, thoughtful conversations about when building was the right move. It wasn’t about building for the sake of it. It was about recognizing where custom solutions could become part of our secret sauce and give us a true edge.

Quick Checklist

• Is the business problem urgent and valuable?

• Do we have the skills and appetite to build?

• Did we look at solid buy options?

• Did we run the real numbers for cost and time?

• Are we optimizing for speed or something unique?

• Will the team actually use what we pick?

If you can answer these questions honestly, you’re in a much stronger position than most.

Final Thought

There’s no universal right answer. The best decision is the one that moves your business forward with the least risk and the most upside. This is exactly where technical strategy comes in. Having a strong partner, like a Fractional CTO, can help you navigate these decisions with clarity and confidence. If you find yourself stuck or just want a sanity check, don’t hesitate to reach out for a conversation with someone who’s been through it before.