Difference Between Packaged Software vs. Custom Software

Primary Difference

We all use software when on our devices such as computers or mobile phones but don’t know much about the types in which they become available. Two main categories of these programs exist that gets based on the nature of such devices. Packaged and Custom software gets described by their creation and availability. The first one a commercial program that is available to the public and sold to them at special prices. The second one is developed specifically for an organization or a purpose.

Comparison Chart

Packaged SoftwareCustom Software
DefinitionCollection of programs that are grouped together for the purpose of providing public with different tools in the same familyA particular program that gets developed for one purpose within a company or department.
AvailabilityA commercial program that is available to the public and sold to them at particular pricesAccessible specifically for an organization for a purpose.
PricesLowHigh
UsageEasyComplex
ExampleMicrosoft Office Program that has many tools linked together such as Office, PowerPoint, Access, Note, and Excel.JPMorgan is developing a program for the management department.

Definition of Packaged Software

Packaged Software which is commonly known as Software package is a commercial program that is available to the public and sold to them at particular prices. Its definition goes as a program or collection of programs that are grouped together for the purpose of providing public with different tools in the same family at one place. These can either have similar functions or similar features and make a complete package for the user to have. The best example of such kinds of software is the Microsoft Word Program that has many tools linked together, it is from the same developer, the theme is same, but every device performs their function. Microsoft Office is famous for writing and making reports, Microsoft PowerPoint gets used for creating presentations and other speeches. Microsoft Excel is used for solving equations and entering data to sheets and so on. In some cases, when a video and audio programs grouped together, they also get known as a packaged software. Most of them are paid products and not available in the market for free. It also gets termed as software that helps to install products in the computer and therefore, obtains the name. But the basic definition stays the same, when many software is present in a bundle and provide solutions to people; then it gets the desired name.

Definition of Custom Software

Custom Software gets defined as the program that is developed specifically for an organization or a purpose. The best example of such a state is the order of software for a company that wants to have a management system for their employees and keeping track of their working hours. Similarly, whenever one task is performed in a particular condition, for example, people getting the job of designing a calculator through C++ language, then it will become a custom product. To get the name, it has to follow the rule that the program made for the purpose of people working within the environment within a particular facility. These software programs do not come in the market and get designed specifically to perform a task for a company. Houses, develop such program for third parties and sell it at their rates. It is a fact that prices for such programs are much higher than the ones that get sold publicly. The best example, in this case, is the JPMorgan developing a plan for the management department, it gets known that this will get used correctly by the staff and not the others in the company. It is possible that each one of them has their source of dealing with particular things. Several restaurants also have such programs and are mostly used by famous brands such as Tesco, Walmart, and Sainsbury.

Differences in a Nutshell

  1. Packaged Software is a program or collection of programs that are grouped together for the purpose of providing public with different tools in the same family at one place. Custom Software are programs that do not come in the market and get designed specifically to perform a task for a company.
  2. The best example of packaged software is the Microsoft Office Program that has many tools linked together such as Office, PowerPoint, Access, Note, and Excel. The best example, in the case of custom software, is the JPMorgan developing a program for the management department.
  3. Packaged software is present in the market for everyone to buy and use, whereas custom software is not commercially available and are exclusive to the third parties who want to use them.
  4. Prices of packaged software are much lower as compared to custom software since they are made exclusively.
  5. Several universities and individuals have packaged software because they get used for multiple purposes. Several restaurants have custom programs and mostly used by famous brands such as Tesco, Walmart, and Sainsbury.
  6. Custom software is difficult to use since they are customized whereas packaged software are easy to use since they have an easy interface.

Conclusion

The two terms which are very similar to each other but in reality are different can become a trouble if you don’t give much concentration. Packaged and Custom software are two such terms which are usually confused by people who do not know much about them. Hopefully, after reading this article that would have changed.

Posted in: IT

Author:

Harlon Moss

Harlon currently works as a quality moderator and content writer for Turpy Media. He graduated from the University of California in 2010 with a degree in Computer Science. Follow him on Twitter @HarlonMoss or on Pinterest @HarlonMoss

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