Custom software development is the process of building a software product tailored to the specific needs of a business process or activity. A distinctive feature of custom software is that, because it is designed to achieve unique goals, it is usually created from scratch and does not have analogous applications on the market.
An off-the-shelf solution is usually created for a larger audience, to be used as a SaaS solution for example. While an off-the-shelf solution may solve similar problems or serve similar purposes to a custom solution, custom software is usually designed to meet specific business needs that off-the-shelf solutions do not address.
A custom software solution provides the utmost flexibility for its owner, as it
can be tailored to almost every need a business may have. A custom software solution, if properly built, will provide a competitive advantage to its owner because of its unique features and functionality. And, finally, custom software doesn't come with ongoing licensing costs, as it is owned by its user.