Purchasing a new enterprise analytics solution can be a great experience if you’ve never purchased software before, yet it can be a daunting task. There can be a variety of analytics vendors with overlapping features for a use case yet each has its strengths and weaknesses. As an alternative to purchasing ready-made SaaS, you can also build your own in-house API analytics infrastructure on top of open-source software like Spark, Druid, and Elasticsearch. This article digs into when it makes sense to build vs buy ready-made analytics solution and provide a point-based framework for evaluating API analytics solutions and perform the proper diligence.
The first decision a company should make is whether they want to build the infrastructure or purchase a ready-made solution. There are benefits and risks to both. In general, purchasing shortens the delivery of a well-polished analytics solution with lower cost in time and money compared to homegrown, but a homegrown gives you greater control over what is tracked and presented.