Analytics Platform- Build or Buy.

This is an issue that gets discussed a lot. Especially in data and insight. 

With so many "platforms" in the market place today it's difficult to choose. Not all platforms are equal and trying to work out the trade offs between platforms is challenging. The product features and how they are priced can differ wildly, what one vendor values is different to another, equally what a customer values in a platform differs too. The platform vendors are constantly trying to differentiate themselves to stand out and stay ahead of the curve.

So how do you decide whether to build or buy an Analytics Platform. There's always going to be lots to consider, here are few questions you should be asking yourself.

Why do we need an analytics platform?

If you are you trying to answer some basic questions, then you're probably getting most of your answers from core systems and infrastructure. However, if there is there a larger strategy in place to become data driven then you probably need a platform of some description.

Is a platform for you?

This becomes the challenge, if you are early stage into the analytics journey then what you need today will be different from what you need tomorrow, It starts to get overwhelming as you navigate the path on your journey pretty quickly. 

Where should we start?

Many organisations start their platform journey by building a proof of concept, where the investment, complexity and risk from failure is low, but you get some great answers that help guide your decision making. At this point your organisation needs to stop and really assess where they are at. You may have used a platform in your POC, that shouldn't make it the default platform choice. if you are going to go with a platform and invest heavily, it needs to align with your strategic goals and objectives.

Buy or Build?

Ultimately I believe it comes down to this question. What is your core competency? Do you want to sell more widgets or develop software? If it's sell more widgets, then buy the platform, Platform providers are invested in making sure their product is fit for the market, You might get a closer fit by doing it yourself, but will be at a risk to your core competency. Buying the platform allows you to innovate in your core competency by choosing a partner that is trying to innovate in theirs.

These are just a few things to think about, this is by no means the definitive guide to analytic platforms but it's a good place to start.

Where are you at? Comments below