Differences Between In-house Systems and Packaged Ecommerce Shipping Software

Ecommerce Shipping SoftwareEcommerce Shipping Software

It’s difficult to find a shipping business running without an IT department these days. With rapid advances in technology, carriers are hard at work to keep pace by leveraging the smart innovations to remain competitive. Smart e-commerce business owners have leveraged the rapid technological advances by implementing the best shipping software to give them an edge over competitors. But when the time comes to choose the right shipping software, many business owners are torn between in-house and packaged software solutions. Each comes with its advantages and disadvantages. Understanding the differences between the two can help business owners make the right choice.

Using in-house systems to manage your shipping online

Many business owners drift towards hiring software developers and programmers when looking to set up customized software to align with their business needs. This offers them complete autonomy over software development. However, installation of a functional in-house system takes time and could slow down the benefits of an automated system. Bigger installations even take more than 2 years.  It will also take up a lot of resources from the IT department and the carrier.

Also, the fact that technology is advancing at the speed of light means shipping software solutions designed to take care of certain shipping functions today, may not be supported by the new platforms that will come up in the future. This might require an upgrade, which will be not only expensive, but also inconvenient. Also, in-house systems need the deployment of skilled personnel to run it, and this can add up the cost of running it. The increased cost is what most customers don’t want to hear in today’s economy.

Packaged e-commerce shipping software

Compared with an in-house system, packaged e-commerce shipping software is cost-effective and easy to set up. It can be 10 times cheaper compared to installing a fully functional in-house system. Plus, the modern day shipping software comes with customization capabilities that allow you to tweak its features to match the requirements of your shipping functions without too much reprogramming. When customized, shipping solution can automate and streamline time-consuming and energy-draining shipping processes.

Also modern packaged shipping solutions come with a lot of flexibility to work for just about any carrier, irrespective of local needs, specialization and size.


While packaged e-commerce shipping software comes with a myriad of advantages, most e-commerce businesses still use in-house systems. This is because they fear the cost of changing up to packaged shipping software could be unmanageable. This is entirely true because, besides the cost, changing up to a shipping software solution requires a lot of logistical preparations and can be inconvenient for the business.