The ‘Build vs. Buy’ Dilemma Intensifies in Sales, According to John Barrows

In a recent LinkedIn post, John Barrows delves into the increasingly complex ‘build or buy’ debate, a challenge that is significantly impacting sales conversations across various industries. Barrows highlights how advancements in technology are blurring the lines, making it more feasible for companies to develop their own solutions rather than purchasing them.

He recalls his early career experiences, where the decision to ‘build or buy’ was often straightforward. “I remember back at my first start-up selling outsourced IT services (infrastructure support for on-prem servers, workstations, firewalls, etc.) we would faced this debate/objection when the company we were selling to had internal Software engineers,” Barrows writes. At that time, he explains, the internal engineers’ time was generally better spent on core software development than on managing IT infrastructure updates and backups.

The Shifting Landscape of ‘Build vs. Buy’

However, Barrows points out that the current technological landscape has dramatically changed this dynamic. The ease with which individuals can now ‘vibe code’ solutions, even with limited time, has shortened the perceived gap between building and buying. “I know there’s always the ‘last mile’ argument of why its worth buying versus building but that last mile is getting shorter and shorter these day,” he observes.

This trend is particularly evident in the professional services sector, including training. Barrows notes a common occurrence in his own sales calls: potential clients questioning the need for external training when AI tools can mimic the expertise of individuals like himself. “Why would you pay for training when you can ask ChatGPT to ‘act like’ John Barrows? I have that conversation almost every day in my sales calls and I can justify it depending on the situation but that’s not the point,” he shares.

Enterprise Implications and Emerging Challenges

According to Barrows, this ‘build vs. buy’ dilemma is not confined to smaller businesses; it is a significant challenge for many of his enterprise clients as well. The traditional view that complex enterprise sales solutions serve as an insurmountable ‘moat’ for AI and internal development is being questioned.

Challenging Enterprise Assumptions

Barrows cites a striking example to illustrate his point: the decision by Curative CEO Fred Turner to replace a substantial contract with Salesforce with an internally developed CRM. “Then why did Curative CEO Fred Turner just replace his $600k/year contract with Salesforce with their own internal vibe coded CRM? (Source: 20VC podcast with Harry Stebbings),” Barrows asks, underscoring the disruptive potential of internal development capabilities.

As John Barrows concludes his post, he invites further discussion, expressing curiosity about how others are navigating this evolving ‘build versus buy’ debate and its impact on their businesses. His insights suggest a fundamental shift is underway, forcing companies to re-evaluate traditional vendor relationships and the value proposition of custom-built solutions.