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0 pointsAlupis11y ago0 comments

> There's no way digging into the details of the Mailchimp spend structure, for instance, is worth the time.

Actually that's one point where you are not correct. For a good email campaign, it's imperative that you manage your list. You need to be looking at stats from the previous campaigns and making changes for future campaigns. If you have a lot of low-engaged/no-engaged emails, you need to try to re-engage them and/or drop them from your list. If you send 1 email a week to an address for 5 years that never opens, you are literally throwing money away. MailChimp (which we use too) has a lot of very good tools to help prune your list and glean a lot of insights into your engagement rates.

> Paying someone to micromanage the services to get cost savings would cost at least $60,000

Not necessarily. Download a copy of Openfire XMPP server, stick it on one of your spare windows/*nix boxes in the corner, and it will run un-maintained for years. Just cron/schedule the OS updates automatically and it takes no more effort/skill than logging into a website to manage user accounts.

And nobody says they need an expensive seasoned SysAdmin to manage these services. Hire a college student for $15-$18 per hour part time to come in and tidy things up.

There are other opportunities to be had with their list of services, such as taking advantage of the drastically lower cost BitBucket (if they must have their source code repo's external).

There's certainly a lot of waste listed here.

0 comments

corkill11y ago

They aren't trying to reduce costs, they are trying to focus on their product and growing their company.

AlupisOP11y ago

That's fine so long as the money flows nice, but if/when things get tougher, they will have to scramble to find a solution.

There's 2 sides to this business -- the technical/development side, and the business side. The business side should very much care about not wasting money unnecessarily, even during the good times.

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But it's not just about saving money -- the company has almost zero flexibility when using all 3rd party solutions. If a vendor pushes an update tomorrow and it radically changes the product and causes a large disruption (it happens), or a vendor goes under tomorrow, or [insert dooms-day scenario here], the company will be left scrambling.

Using 3rd party services also forces the company to build business routines/practices around their current inflexible environment -- so if they do have to switch vendors at some point, they will have to likely reinvent business routines/practices too. For some companies/services, that is not a problem -- for others, well, some companies have gone under during major core software changes (imagine your warehouse management system having to change suddenly and unexpectedly).

Just like software engineers try to minimize external dependencies unless the dependency is absolutely necessary -- businesses should too.

roel_v11y ago

"The business side should very much care about not wasting money unnecessarily, even during the good times."

How many businesses have you run?

kaolinite11y ago

Very few of these services can easily be replaced. You mention OpenFire XMPP - it has very few of the features that Flowdock has and is more of an effort to set up for end-users (compared with downloading an app or logging in on a website). You'd end up at most paying slightly less for a bunch of services with fewer features, at great disruption to your business.

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