One of the challenges of building a tech stack is that there are always overlaps in functionality. For example, your customer data platform and your email service provider might both be able to manage customer journeys, or you might be able to push data to your reporting tool from your data warehouse or from your CDP.
From an efficiency standpoint, it seems that it would be nice to avoid such duplication in functions. I’m not on board with that perspective. First, I’m not sure it’s always better to have only one tech option for any given function. Second, no two technologies will perform a given function in precisely the same way. Third, it’s impossible to eliminate all duplication, so rather than trying to fight it, learn to manage it.
Assuming that you will have duplications in functionality, here are some issues to consider (in no particular order) to figure out what to do.
1. Industry standards. If there’s an industry standard for some function, which system is closer to that industry standard? This matters for a few reasons.
- Integrations will be easier if you follow an industry standard.
- It will be easier to find staff or consultants who can work on something that’s standard.
- It’s likely that something became the industry standard because it’s better. That’s not always true, but it’s worth considering.
2. In-house expertise. Do you already have in-house expertise with one of the systems? That would argue for using the system where you have expertise. However, in-house expertise isn’t permanent. People do change jobs.
3. Your road map. Do you want to decrease your reliance on one of your current tech solutions? Your tech roadmap might include transitioning out of one of the systems you currently use. If so, it’s wise to start moving functions out of that system.
4. Cost. Some systems charge based on usage while others don’t. There might also be integration costs. For example, if System A easily integrates with the rest of your tech stack, but System B requires a custom integration, that would argue for System A.
5. Security. Some systems are more of a security risk than others.
6. Privacy. This is especially relevant in certain regulated industries.
7. Agility and Scalability. Peer into your crystal ball and consider what options you may need to accommodate down the road: such as more users, more products, more database fields, etc.
8. Competitive advantage. Is there something unique in your industry where one technology gives you a leg up? For example, a magazine publisher has to deal with gift options to a greater extent than a B2B newsletter publisher does.
9. Reputation. When it comes time to sell your business, will it look better to be using one technology over the other?
10. Data consistency and integrity. Little things can cause big problems. If one system relies on zip+4, and another system only accommodates a 5-digit zip code, you’re in for trouble.
11. Regulatory Compliance. You might need to store user information, or report on it, in a particular way to comply with the law.
12. User experience. How does your tech choice affect your customers and your employees?
