Any company that wants to operate in the e-commerce space inevitably comes to the point where they must decide if they should outsource their e-commerce production or keep it in-house.
This is a critical decision that business leaders do not take lightly, as the outcome would have far-reaching consequences for the growth or outright failure of the organization. Some companies prefer to have a committed in-house development team handle their e-commerce needs when they arise, while others believe that the benefits of outsourcing this service greatly outweigh the drawbacks.
However, this is not a one-size-fits-all case, as the best decision is entirely based on the market setup, company culture, and long-term goals. Fortunately, our brainiacs have been hard at work evaluating the pros and cons of getting your e-commerce production done in-house versus subcontracted to help you make an informed decision.
Advantages of in-house e-commerce development
Complete control
Having a separate development team within your team who concentrate solely on your company’s e-commerce requirements ensures that your platform is designed to meet your unique requirements. Anything relating to your own company requirements can be specifically based on, with actionable improvements resulting from your personal guidelines and business plan. You have full influence over every aspect of the construction to ensure that your in-house team fulfills your vision.
Quicker response time
Your e-commerce growth needs will be met easily when you have a dedicated development team on hand. This is particularly useful when problems emerge on your platform that require immediate attention and quick-fix solutions before a comprehensive investigation can be conducted. Staff that is readily accessible provides a safety net for companies that want to ensure the opportunity to eliminate small problems before they become major ones.
Cons of in-house e-commerce development
It’s expensive
Putting together a development team to work solely on your company’s needs is an expensive endeavour, particularly for new companies. Developers are highly respected professionals who can demand high wages.
Advantages of outsourced e-commerce development
More scalability and flexibility
The advantage of outsourcing remote teams is the total independence of scalability and versatility that it offers. You can scale up or down your development team based on the needs and specifications of your project. If you need more experts for a single technical project, you can recruit them by the hour to complete the mission, rather than paying a full team’s salary for a few hours’ work.
When it comes to ecommerce platforms Australia has quite a few so you can keep your options open.
Faster project delivery
Trying to deal with outsourced professionals ensures that all processes and procedures for developing and managing an e-commerce site are already in place, saving you precious time to focus on entering the market ahead of your rivals. Setting up an in-house development process takes a lot of time to recruit and create processes, and time is important in the e-commerce game when going to market. Work can be expected to begin immediately with outsourced teams.
Cons of outsourced e-commerce development
Security risks
Since outsourced groups are not formally part of the company, some companies believe that outsourcing software development on a project-by-project basis opens the door to security leaks and intellectual property (IP) theft. While valid, this issue is easily alleviated by requiring non-disclosure agreements (NDAs) and other legal procedures. Set up daily meetings and feedback meetings with your remote employees to gauge their level of commitment and motivation for each project.