Is build vs. buy still relevant?

If you worked near software in the oughts or teens of the 21st century, you are all too familiar with “build vs. buy.” It was the quintessential question at the heart of SaaS’ consumption of the world. Endless digital ink has been spilled in various whitepapers about the cost to own and maintain your “build” vs. paying a recurring fee for access to pre-built software.

”Buy” won. Economies of scale effectively says it has to win. What it doesn’t tell us is how buy has to win. In other words, all we know is that the answer isn’t to independently code and stand up every digital function in a business. But… buy has more competitors than ever.

Take Notion. Are they build or buy? They can do just about anything without a line of code, and they aren’t even a true no-code platform. I’m writing this blog on squarespace, which fits firmly in the modular build+buy category.

I recently bought an espresso machine for my wife for our anniversary. Part of the gift was that I was going to learn how to make a standard menu of espresso drinks pretty darn well… that part of the gift hasn’t been delivered yet. The truth about my foray into barista-ing is that I’m not just looking for a cup of coffee. It’s not worth explaining to me that buying Starbucks every day would be cheaper (and much easier) than making my own drinks. It’s also not worth selling me on a Nespresso or explaining that there are excellent coffee shops whose quality I’ll never be able to match. What the amateur barista begins to learn is that there’s every possible level of “build your own” customization for a cup of coffee. I grind my coffee fresh, but I don’t roast my own beans.

”From scratch” has many different meanings in software today, and this has completely shifted the build vs. buy conversation… and the role of sales in it. The old SaaS promise of a totally managed and self-contained platform is now about functioning in a complex broader web of APIs, custom apps, and beyond.

That means it’s no longer about convincing the buyer to buy… it’s about charting the course for your unique value to fit in the wider mosaic of their tech environment and delivering it more effectively and efficiently than anyone else can. Want to be a platform play? You have to do that over and over again.

Build vs. buy doesn’t have the same implications it once did. There’s an endless spectrum of options for a buyer to achieve value, and it’s the seller’s job to deliver with effortless precision… and that’s a ton of work.