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Software development isn’t cheap and can quickly cost six figures.
Hiring developers, managing infrastructure, and rolling out new features burns through budgets fast.
But here’s the real problem: many companies spend more than they need to and don’t even realize it.
Maybe your software development team is stuck doing manual work AI could handle in seconds. Or you’re building proprietary software that could have been replaced with low-code or off-the-shelf tools. Worse? Scope creep keeps adding unnecessary features, dragging your project out for months.
That’s money slipping through the cracks.
The good news? You don’t need to sacrifice quality to cut costs.
AI is helping SaaS teams cut development time by 55% and speed up repetitive tasks by 96%.
If your software development projects are running over budget, this is where you start saving:
How many of these have cost your company thousands?
Check off the ones you've fallen for. BINGO means you're overspending:
🎰 How many of these have drained your budget? If you hit BINGO, it’s time to rethink your software development projects and cut unnecessary costs.
💡 "Custom development is great for your ego, terrible for your budget."
Many SaaS teams build everything from scratch because it feels like the right thing to do. A fully custom platform sounds great until development costs skyrocket and deadlines stretch for months.
The truth? Not every feature needs to be built in-house. You're wasting money if your team spends weeks coding something that off-the-shelf software could handle instantly.
✔ Pre-built analytics solutions (like Luzmo) – Why spend months developing proprietary software for dashboards when you could plug in a tested BI tool? Custom-built analytics drain resources fast, from coding to ongoing support.
✔ API-driven integrations – Need payments, authentication, or messaging? There’s no reason to reinvent the wheel. Software solutions like Stripe, Auth0, and Twilio cut dev time in half by handling the complex stuff for you.
✔ No-code & low-code tools – Not every feature requires a senior developer. Low-code platforms let your team ship faster by handling backend logic and UI elements without deep coding.
💰 How much could you save?
If your software development team is sinking hours into non-core features, that’s time (and payroll) going to waste. Instead of overbuilding, use the ROI calculator below to see how much you’d save with off-the-shelf tools.
Sometimes, the smartest move isn’t writing more code. It’s knowing when to use what’s already built.
💡 "Your users don’t want 100 features—they want 10 that actually work."
SaaS teams waste time and money building features that never get used. Every extra function means more dev hours, testing, and support requests. But does it help the customer? Probably not.
✔ Validate before you build – A minimum viable product (MVP) isn’t just for startups. Even established SaaS companies should test ideas before committing months of development. AI-driven tools can cut development time by 55%, so there’s no excuse for launching bloated software.
✔ Cut scope creep – If a feature doesn’t increase revenue or retention, it’s not a priority. Companies that focus on the core product instead of "nice-to-haves" reduce software development costs and ship faster.
✔ Use feature flags – Instead of launching everything at once, roll out updates gradually. If something breaks or flops, you limit the damage instead of dealing with a messy rollback.
Many SaaS teams spend months coding custom dashboards. With Luzmo, you can embed a fully functional analytics solution in hours, without compromising on quality. A dashboard built in Luzmo works like a finished product, not a half-baked MVP. This makes it perfect for testing and iterating fast before committing to full development.
💰 Revenue-driving features: Some SaaS teams monetize Luzmo by embedding dashboards directly into their product, creating new revenue streams without months of extra development. If you’re building analytics, why start from scratch?
💡 "AI doesn’t replace developers—it makes them 10x more efficient. Ignore it, and you’re burning cash on manual work."
“I’ve used AI as a coding assistant, but where I get the most value is when thinking about conceptual solutions — even before code is involved.” - Frederik De Smedt, Senior Backend Engineer at Luzmo
Software development has too many repetitive tasks. Writing boilerplate code, running tests, fixing minor bugs. Developers waste hours on things AI can handle in seconds. Instead of paying for manual work, companies using AI-powered tools ship faster and cut costs.
✔ AI-generated code – Developers using AI-assisted coding report 55% faster development cycles. Tools like Copilot write functional code in seconds, so engineers spend less time on routine programming.
✔ Automated testing & deployment – Manually testing code is slow and expensive. AI-driven testing catches bugs before deployment, and automated CI/CD pipelines push updates without human effort.
“Although I’m a fast typer, tools like Copilot, Claude, and ChatGPT have saved me time specifically when writing tests. Because there’s usually a lot of boilerplate, I don’t have to spend time writing all that.” - Frederik De Smedt, Senior Backend Engineer at Luzmo
✔ AI-powered analytics – Instead of hiring data scientists to process raw data, AI tools pull insights instantly. No more waiting for manual reports or struggling with dashboards.
Data teams spend too much time cleaning, sorting, and visualizing data. With Luzmo’s AI-driven analytics, insights are surfaced without extra engineering work. Less manual effort means faster decisions without hiring more people. Check out how our customers are doing it here.
💡 "Your cloud bill isn’t high because of growth—it’s high because of inefficiency."
Cloud spending adds up fast, especially when nobody is tracking what’s actually being used. Many SaaS teams assume their rising bill is a sign of success, but in reality, it’s often a result of wasted resources. Unused storage, idle servers, and over-provisioned infrastructure are burning through budgets.
Instead of blindly scaling, it’s time to cut waste and rethink cloud spending.
✔ Use auto-scaling wisely – Keeping resources running 24/7? Bad idea. Instead of paying for unused capacity, set dynamic resource allocation based on real-time demand.
✔ Adopt reserved & spot instances – Cloud providers offer discounted pricing for prepaid resources. Using reserved instances can cut costs by up to 70% compared to on-demand pricing.
✔ Eliminate zombie resources – Old backups, forgotten VMs, and redundant storage add up. Regular cloud audits help clean up what's no longer needed.
✔ Optimize data storage – Not all data needs high-performance storage. Move infrequently accessed files to cheaper storage tiers to reduce unnecessary expenses.
Many SaaS teams overpay for cloud storage when embedding analytics into their apps. With Luzmo’s cloud-based analytics, you only process the needed data, so costs are controlled without wasting resources.
💡 "Build what makes you competitive—outsource what doesn’t."
Not every part of your SaaS needs an in-house team. Hiring developers for every single task gets expensive, especially when third-party tools or specialized contractors can get the job done faster and cheaper. Outsourcing might be the smarter move if it’s not a core feature that sets your product apart.
✔ DevOps & infrastructure management – Running everything in-house means paying engineers to manage cloud resources, deployments, and scaling. A cloud-managed service can handle this for a fraction of the cost.
✔ QA & security testing – Companies can outsource penetration testing, audits, and compliance checks when needed instead of keeping a full-time security team. Pay for expertise only when it matters.
✔ Customer support automation – AI-powered chatbots and self-service portals cut down on large support teams, reducing operational costs while keeping response times fast.
✔ Non-core feature development – Why dedicate full-time developers to a new feature that isn’t a key part of your business model? Outsourcing short-term projects keeps costs in check.
Many SaaS teams sink months into building custom analytics dashboards from scratch. Instead of wasting time on non-core development, outsourcing analytics to Luzmo’s embedded BI lets teams focus on their core product while delivering powerful data insights.
Cutting costs isn’t about doing less but spending smarter.
Too many SaaS companies overbuild, overpay, and overcomplicate, sinking time and money into things that don’t move the needle.
If your team is custom-coding everything, chasing unnecessary features, or letting cloud costs spiral, it’s time to rethink your development process.
Smart SaaS teams focus on:
✔ Using off-the-shelf tools instead of reinventing the wheel
✔ Keeping MVPs lean and building what matters
✔ Letting AI handle manual dev work to speed up releases
"We've been internally so surprised at what is possible. What used to take years with dozens of people suddenly becomes possible." - Karel Callens, Founder of Luzmo
Do you want cost effective software development costs without sacrificing quality?
Book a demo and see how Luzmo can help.
Build your first embedded data product now. Talk to our product experts for a guided demo or get your hands dirty with a free 10-day trial.
