Did you know that there are over 110 distinct SaaS applications used by enterprises worldwide on average? These consist of Google Workspaces, Microsoft 365, SAP, HubSpot, Salesforce, and more. Additionally, this number is anticipated to rise in light of the broader trend toward digital transformation.

Technological breakthroughs that rely on massive amounts of freely flowing data have been made possible by changes in company culture and customer behavior. However, manually transferring this data between systems is a surefire way to go wrong.

Thankfully, there are ways to link apps so that data is transferred automatically, protecting the integrity of the data in your company. Native integration and API integration are the two most widely used integration techniques.

Since the technology underlying these solutions has some overlap, let’s take a time to define a few terminologies before we compare them.

Recognizing API’s Function in Integration

Code known as an application programming interface (API) allows two apps to communicate with each other by exchanging data according to predefined standards and protocols.

For instance, an API linking an online store to an inventory database will transmit data indicating the item’s availability when a client shops there. Following an order is placed, the online retailer will transmit information to an ERP or other logistics program identifying the item that was bought and the customer information needed to ship the order.

The API makes sure the appropriate bits of information are sent to the appropriate apps by sorting through the mountains of raw data in each application, such as customer profiles and product inventories.

While both Native and Custom API integration methods use API protocol, the way an integration is developed and deployed is different:

Custom API Integration: What Is It?

Custom API integration links software solutions together by using API code that is written separately from the product. These could be third-party or your developers’ creations of APIs.

For instance, you use Google’s API to gather and interpret data from site traffic when you set up Google Analytics on a website.

How Does Native Integration Work?

Native integration allows for communication with one or more other programs by utilizing API code that is written into the software itself.

For instance: An administrator can enable native connectivity between your CRM software and services like Salesforce and Zoom by adjusting a configuration within the CRM program.

API vs. Native Integration

The IT skills and integration requirements of your company will determine which solution is best for you. The relative advantages and disadvantages of each strategy are listed below.

Advantages and Drawbacks of Native Integration:

For typical services, the majority of software provides native integrations. Though tech stacks differ from company to company, some programs and services—like Facebook, Shopify, and WordPress—are favorites. To share data with these services, your native business platforms probably have native interfaces accessible. Activating native integrations is simple. All you have to do to connect is turn on the setting when the integration is pre-packaged with the software. Usually, native integrations are free of further charge. Following the original acquisition or license of the software, there are no additional fees for that integration.

Cons:

You’re limited to the integrations built into the software. If one of the services you’re using is new or not as widely used, odds are you won’t be able to natively integrate with that service. Custom native integrations can be costly. If you are using proprietary software and need your application to share data with a new service, you will need to have a developer create the code that enables that integration.

API Integration Pros and Cons

Pros:

You’re able to stay up with what’s current in tech. Custom or third-party APIs allow you to create connections when you onboard new solutions or change services.

Solve for unique problems. Data flow and resource-sharing are key to solving many of today’s business problems and inefficiencies. The right API could make the connection that solves the issue and differentiates your service from others.

Scalability that keeps your business growing. The flexibility of custom API integrations allows your business to remain effortlessly connected through significant times of change.

Cons:

Security issues can arise. Verifying the integration’s security is crucial when utilizing third-party APIs. It gets harder to manage the more APIs you utilize. Maintaining data security compliance while managing a stable of APIs can be difficult.

API Management: How It Facilitates Integrations

For creating and managing third-party and bespoke APIs, there is a great option. The process of creating, organizing, disseminating, and evaluating APIs is known as API management. These technologies moreover guarantee that the APIs you are utilizing comply with the industry-specific data security laws.

Conclusion

Our specialty at API Pilot is creating custom API solutions that are suited to your particular set of business needs. Our team of professionals can assist you in integrating legacy systems, utilizing third-party services, or opening up new revenue streams.

Accompany us on our quest towards digital revolution and explore the boundless opportunities presented by API integration. Reach out to API Pilot right now to start your API adventure and realize your company’s full potential.