One needn’t go far to find a juicy argument that pits Cloud-based (SaaS) digital asset management against on-site (on-premises) or installed solutions. The debate is everywhere, and it seems the primary arguments are always the same.

  • trophy_shutterstock_97099391.jpgCloud-based systems don’t require IT and they’re more affordable
  • On-site systems perform better and they’re more secure

These points have merit, but it’s easy to argue the opposite too. Let’s do that and see if we can’t lay this Cloud DAM versus on-site DAM contest to rest once and for all.

Cloud DAM Frees You from IT (and vice-versa)

Cloud-based DAM might not require a dedicated systems administrator, but all DAM requires planning and management, and that requires someone.

DAM is not software; DAM is an initiative that requires policy definition, procedure planning and end-user training. Cloud DAM might free you from having to install software, but it does nothing to free you from having to manage the process and policies that software should be supporting.

The virtually instant startup of Cloud DAM can tempt one into cutting these important corners. But managing Cloud-based DAM is not the same as managing a Facebook account. (On the other hand, onsite vendors don’t do enough to encourage their customers to adopt an “initiative” approach to DAM either.)

Cloud DAM is More Affordable

Cloud DAM is absolutely more affordable than on-site, assuming you plan to use the system for only a few years. But after your first four or so years of use, you’ll likely find you’re spending more for Cloud DAM than you would have paid for an on-site alternative.

Do the long-term math before you sign any contracts. Factor the following into your equation:

  • How much is the on-site license cost plus tech support and updates for five years?
  • How much is the monthly cost of the Cloud DAM for five years? (Is tech support extra?)
  • How much more will the Cloud DAM cost for increased storage and network bandwidth?
  • How much do you estimate you’ll need to pay for the hardware and OS licenses you’ll need to run an on-site DAM server? (Don’t forget the costs of storage, networking, electricity, etc.)

With just these few considerations, you’ll get a truer sense of the real costs of DAM ownership. Ask prospective DAM vendors for a 5-year cost estimate. Then, of course, make sure that estimate suits your five year budget estimate.

If you lose your DAM budget after the purchase of an on-site DAM, the worst that happens is that you’ll need to cancel your contract for tech support and updates. (Neither of which you might value much anyway.) On the other hand, if you lose your Cloud-DAM budget, you’ve got some fast thinking to do. Cloud-DAM will always require ongoing payment -- it’s a service, after all.

The cost of services is something else to consider. Some on-site vendors will promise that no services are required. “It’s a simple double-click install,” they’ll say. (Just like cooking a roast is a simple trip to the grocery store.) Cloud DAM customers typically require fewer services, but this could be skewed by the fact that customers who choose Cloud DAM are typically looking for a simpler experience overall.

On-site DAM is Faster

When it comes to file access speed between your DAM and your desktop, on-site DAM will usually offer better performance. After all, if your LAN is slower than your Internet connection, digital asset management is not your organization’s most immediate problem.