In today’s rapidly evolving digital landscape, companies must constantly innovate to stay ahead of the curve. As a corporate executive, you understand the importance of keeping your organization competitive in the age of digital transformation. Developing new digital products is essential, but it can be a time-consuming, resource-intensive, and complex process. In some cases, it may be more strategic to partner with an outside company to invent, design, build, and launch these products. In this article, we explore the reasons why outsourcing digital product development can be a smart move for your organization.
- Access to Specialized Expertise:
Digital product development requires a diverse range of skills, including product ‘ideation’ and road-mapping, user experience (UX) design, software engineering, data analytics, and digital marketing. By partnering with an external company that specializes in these areas, you gain access to a team of experts with a wealth of experience and the latest industry knowledge. This typically results in better quality products and faster time-to-market.
- Cost-Effective Development:
Developing a digital product in-house can be expensive, especially if it requires hiring new employees, reassigning or training existing ones in new skills. Outsourcing product development allows you to tap into external resources on an as-needed basis, which can be more cost-effective than maintaining a full-time in-house team. Additionally, you can avoid the overhead costs associated with office space, equipment, and employee benefits.
- Increased Focus on Core Competencies:
When your team is stretched thin by the demands of digital product development, it can be difficult to maintain focus on your core business activities. Outsourcing product development to an external partner enables your employees to concentrate on what they do best, while the external company handles the innovation and development process.
- Faster Time-to-Market:
In the digital world, speed is crucial. Engaging an external company with a track record of designing and building digital products can help ensure that your digital product is brought to market quickly and efficiently. This can give you a competitive advantage and help you respond more effectively to changes in the market or customer demands.
- Scalability and Flexibility:
When developing digital products in-house, it can be challenging to scale up or down as needed. Seemingly simple tasks like provisioning a new domain, cloud servers or emails can take weeks or months. Instead, an external partner can provide greater flexibility and scalability, allowing you to easily move forward with your plans and smaller team on the corporate side.
- Risk Mitigation:
Collaborating with an experienced external company can help you mitigate risks associated with digital product development. These companies often have well-established processes, methodologies, and quality control measures in place, reducing the likelihood of project failures or costly setbacks. Freshify, for example already has Business Management Software easily modified for new clients and products, and we transfer full ownership of this platform to your startup to save time, effort and money. We also have streamlined processes for ideating, documenting, designing and developing your new product.
- Fresh Perspectives:
Outsourcing digital product development can bring fresh perspectives and ideas to your organization as well. An external team may identify new opportunities or innovative solutions that your in-house team might not have considered. This can lead to more creative and effective digital products that better meet the needs of your customers. Because Freshify works with 12+ startups per year, our knowledge of trends, minimum features, user flows and UX standards get infused into each project we work on.
As a corporate executive, it’s essential to consider all available options when it comes to digital product development. Outsourcing to an external company like Freshify can provide a range of benefits, including access to specialized expertise, cost-effectiveness, faster time-to-market, and fresh perspectives. By carefully selecting the right partner, you can ensure your organization remains agile and competitive in today’s fast-paced digital world.