Should you build or buy an intranet? Which option is more cost-effective? Which is the best choice for your organization? This article will provide all the answers you need.
You don’t have the luxury of waiting months or years to see results from your intranet. That’s why making the decision whether to build or buy is crucial – after all, you’re not just purchasing software; you’re investing in a solution to your organization’s challenges.
There are many options available for organizations considering a new intranet project. On the surface, it may seem a feasible option to build a SharePoint intranet due to the natural integration with Microsoft 365, but is that the best solution to help you achieve your most critical business objectives?
Organizations typically invest in intranet software for these key reasons:
- A lack of a one-stop-shop that is easy to search and provides employee self-service options
- Employees don’t feel like they know what’s going on in the organization which slows down the execution of new initiatives.
- Comms or HR teams don’t have a way to measure how they are making an impact on improving efficiency, collaboration, and culture.
These challenges are often expressed in the following ways throughout your organization:
- “Employees can’t find what they need”
- “Our employees don’t feel informed”
- “I want a bigger seat at the table and to show how we help the business achieve its goals”
To address these challenges, organizations must carefully evaluate the true cost when deciding whether to build or buy an intranet, looking beyond just the upfront expenses.
What is the true cost of building an intranet?
At first glance, building your own intranet may seem like a cost-effective choice that benefits the organization’s bottom line. However, when you consider the time, resources, and ongoing maintenance required, the true cost may be higher than expected. This is a key factor in the build or buy an intranet decision-making process.
Key questions to ask when evaluating the cost of building an intranet include:
- How many months, or years will it take your organization to build out a custom instance? With the rate of change happening today, will what you’ve built still be relevant by the time it’s implemented?
- Does your organization have the technical and functional resources that can both understand the needs of the business and execute on building a solution that solves your biggest challenges?
- Do custom solutions provide the data you need to justify the cost and prove strategic impact?
- Will HR or Comms teams be able to create and manage content on a daily basis rather than relying on technical or IT resources?
Why SharePoint intranets cost more in the long run
Because packaged intranets can be launched faster than custom-builds that use platforms like SharePoint, organizations can experience the benefits earlier. This is a key advantage when considering whether to build or buy an intranet.
Packaged intranet solutions can often be live for all employees – or a significant subset – in as little as three or four months. Building a custom solution (e.g., on SharePoint), however, can take at least fourteen months, according to Nielsen Norman, with a correspondingly slow time to value.
In addition, costs over the long term can quickly rise. Not just from the potential external (e.g., consultants) and internal initial effort and expertise involved in year one, but from the additional work required in further years, plus rising license costs. Gartner frequently highlights SharePoint’s complexity, noting that deployments often demand skilled IT staff or external consultants.
With a SaaS-based intranet, new features are constantly being released, and engagement is kept high. Hosting, support, updates, and security testing are all part of the predictable costs. This leaves organizations room to focus on their mission, rather than the distraction of supporting internally managed systems.
Forrester, Gartner & IDC all reach the same conclusion through their varying reports that packaged solutions are optimized for organizations prioritizing rapid deployment, ease of use, and cost predictability aligning with wider cost optimization strategies.
The benefits of an out-of-the-box solution
Packaged intranets, also known as out-of-the-box solutions like those provided by Interact, offer a compelling choice for organizations debating whether to build or buy an intranet. Here’s how out-of-the-box solutions address your challenges while keeping costs and implementation timelines to a minimum:
Provide immediate impact:
Interact provides a pre-built intranet platform that can be rolled out in weeks, not months, with minimal customization required. This reduces the demand on IT resources, freeing teams to focus on higher-value tasks rather than ongoing intranet maintenance. This quick deployment is a major benefit when deciding to build or buy an intranet.
Work with your existing Microsoft tools:
Interact seamlessly connects with the broader Microsoft 365 ecosystem, including Microsoft Entra ID (formerly Azure AD) for authentication, SharePoint for content management, Teams for collaboration, and Tasks and Calendars for productivity. These integrations enhance functionality without the need for costly custom development.
Meets employees where they are:
Designed with deskless employees in mind, Interact delivers an intuitive, optimized mobile experience that boosts engagement among offline workers, even on personal devices.
Create an engaging space:
More than a repository of information, two-way communication tools, recognition, and rewards capture employee’s attention so they tune in to what you want them to hear.
Prove your impact:
Out-of-the-box reporting and analytics as well as the ability to export data into your business intelligence tools means you know who’s engaging with your content and who isn’t day one. You no longer have to guess whether your initiatives are making an impact on the business goals.
Avoid budget surprises:
With a transparent pricing model and no need for extensive add-ons or custom builds, tools like Interact are predictable and lower the total cost of ownership compared to SharePoint’s hidden expenses.
A long-term solution that evolves with your business
One major benefit of out-of-the-box intranets is their ability to adapt and evolve with your organization’s needs. With a SaaS-based intranet like Interact:
- New features and updates are released regularly, ensuring your intranet remains modern and efficient
- Security, compliance, and performance improvements are handled by the provider, minimizing risks and disruptions
- Support teams are available to troubleshoot issues, reducing reliance on internal IT teams for problem resolution
Final verdict: Build or buy an intranet?
When considering whether to build or buy an intranet, organizations must weigh factors like cost, time-to-value, scalability, and ongoing support. While a custom-built intranet might offer unique configurations, the hidden costs, long development time, and maintenance challenges often outweigh the benefits.
On the other hand, an out-of-the-box intranet solution like Interact provides:
- Faster deployment
- Lower long-term costs
- Seamless integration with existing tools
- A mobile-friendly, engaging experience
- AI-powered analytics and insights
- Predictable pricing with ongoing innovation
For companies focused on rapid implementation, efficiency, and future-proofing their digital workplace, the decision is clear – buy, don’t build.
