In today’s fast-moving business landscape, companies often face the challenge of implementing their pricing strategies quickly enough to safeguard and expand their position in the market, which is why out-of-the-box software for pricing can be a compelling option. Now, what is meant by “out-of-the-box” and when is it the right choice?
Here at Pricefx, as a cloud-native pricing software company, we pride ourselves on having one of the most comprehensive out-of-the-box product offerings on the market – and when it comes to standardized solutions, that makes all the difference.
In this article, we explore the concept of out-of-the-box (OOTB) software, the different forms it takes in software development, including examples from Pricefx, and the benefits and drawbacks to consider before taking it on.
So, let’s dive in.
What Does “Out-Of-The-Box” Mean in Software Development?
Before jumping to the benefits and potential downsides of out-of-the-box software, let’s first examine “out-of-the-box” as a general concept.
Imagine purchasing a brand-new product that comes neatly packaged in its own box: a toy you loved as a child, the newest iPhone, a flatscreen TV. You buy the product, turn it on, and just like that, it’s ready to be played with; in other words, it’s plug–and–play. Out-of-the-box software is based on the same idea.
In software development, an out-of-the-box product refers to a software solution with pre-set features and capabilities already built into its framework, typically grouped around a specific goal. Like all “boxed” products, a business simply downloads the application and starts using it on day one – no customization required.
In the context of pricing software, that might look like an OOTB solution developed for price setting or optimization, housing a number of plug-and-play capabilities aimed at that given purpose. It is worth noting that regardless of the customer, these capabilities appear the same for all users.
Out-Of-The-Box Solutions vs. Out-Of-The-Box Applications
Out-of-the-box software products usually appear as either solutions or applications, so let’s quickly call out the difference.
Out-of-the-box applications involve smaller, individual features or capabilities that are typically bundled together to provide users with a comprehensive toolkit. For example, these features could include data filtering and sorting, data visualization, or even API integration. Our Price, Plan, and Profit packages also contain out-of-the-box applications.
On the other hand, out-of-the-box solutions combine several of those individual features into one seamless end-to-end workflow that addresses a specific business problem, designed to be used without extensive upfront customization. Pricefx accelerators, such as our price setting, rebate management, or price waterfall optimization accelerators, are plug-and-play solutions that jumpstart a company’s pricing solution in as few as a couple weeks and are designed to tackle the most common pain points facing enterprise-level businesses today.
Benefits and Drawbacks of Implementing Out-Of-The-Box Solutions
Among the options available in pricing software, out-of-the-box solutions are an attractive choice, enabling rapid time-to-value with minimal customization required. However, like all solutions, their unique benefits and drawbacks should be taken into account. Here are some key considerations to help your business make an informed decision.
The Benefits of Out-Of-The-Box Software
Accelerated Time-to-Value
Out-of-the-box solutions offer quick setup and deployment, as they require only minor configuration to align with business workflows, enabling companies to witness an accelerated return on investment in the areas most critical to them.
Scalability
Out-of-the-box solutions are built with scalability in mind, as their architecture can handle ever-increasing data volumes, user traffic, and business reach without compromising performance. Custom-built solutions may not be designed to anticipate dramatic changes in any of these areas, which could lead to a suboptimal user experience.
Cost-Effectiveness
Generally, out-of-the-box solutions are cheaper than customized solutions as they require minimal customization by design, making them an easy and budget-friendly option to start with.
Streamlined User Experience
All features bundled under an out-of-the-box solution are interconnected, providing users with a seamless user experience across the platform and consistent results. Cloud-native software, such as Pricefx, makes this kind of integration possible, as it enables different systems to easily interact with each other.
Compatibility
Out-of-the-box solutions offer compatibility with the latest versions of its connected software applications; for example, if Amazon Web Services (AWS) or Google Cloud upgrade their platform, the change is automatically reflected in the solution. By contrast, highly customized solutions run the risk of becoming obsolete once its third-party systems are updated.
The Drawbacks of Out-Of-The-Box Software
Limited Customization
Out-of-the-box software products are designed to cater to a broad audience, which can be either an advantage or disadvantage depending on the degree of specificity a company requires to accommodate its unique business workflows and requirements.
This lack of flexibility at the onset may cause a fundamental mismatch between the software and an organization’s internal processes, rendering more off-the-shelf solutions that would require heavy customization to be more trouble than they’re worth.
Industry-Specific Needs
Not all out-of-the-box solutions are built to be all-encompassing in the number of use cases they target, and their scope may vary depending on what they are designed to achieve. Some industries or businesses may find that their particular use cases are best served with a custom-built solution, while others are happy to use out-of-the-box products if their breadth of scope is robust enough.
That said, out-of-the-box solutions aren’t static by any means; their value comes from offering businesses a set of applications that target the most popular use cases on the market, serving as a strong foundation upon which to expand or customize additional features that respond to a company’s evolving needs.
So, while not all out-of-the-box solutions are as robust in their offerings as some companies require, they provide a valuable starting point for enterprises looking to achieve quick returns and adaptability in today’s dynamic market.
Explore Pricefx Out-Of-The-Box Solutions and Accelerate Time-To-Value
In this article, we’ve outlined what “out-of-box” looks like in software development, including the forms out-of-the-box products can take, and the key advantages and limitations to keep in mind while exploring pricing software solutions.
Pricefx accelerators are a great jumping off point for businesses looking to tackle their most pressing pricing problems in as little as a few weeks. To learn more about the accelerators we have available and how they can optimize your pricing processes, consider checking out our article below:
