The verdict in three sentences
For a Singapore road-freight SME, a SaaS TMS (Shippeo, DDS Logistics) starts fast but costs 45 to 120 EUR/user/month and bends poorly to your specific routing. A custom TMS means 35,000 to 90,000 EUR upfront, but you own it, it integrates with your telematics and accounting, and it absorbs growth without per-seat fees. Beyond 8 to 10 users, custom is often cheaper over 3 years while genuinely optimising empty running.
SaaS vs custom: the real cost comparison
The SaaS trap is the per-user cost climbing with every dispatcher, freight broker and admin. Custom has a high entry ticket but near-zero marginal cost per added user.
| Criterion | SaaS TMS | Custom TMS |
|---|---|---|
| Upfront cost | 0 to 5,000 EUR (setup) | 35,000 to 90,000 EUR |
| Monthly cost | 45 to 120 EUR/user | Hosting 80 to 250 EUR |
| Time to launch | 4 to 8 weeks | 10 to 16 weeks |
| Telematics integration | Often a paid add-on | Included, tailored |
| Route customisation | Limited to templates | Total |
| Code ownership | No | Yes |
| Evolutions | Vendor roadmap | Your priorities |
What optimisation actually returns
A TMS is not a cost centre: it's a margin lever. Route optimisation and the end of double entry produce measurable gains within the first quarter.
| Gain lever | 2026 impact (ballpark) | Estimated annual value |
|---|---|---|
| Empty kilometres | -18% | 12,000 to 30,000 EUR |
| Manual entry removed | 25 to 40 h/month | 7,000 to 11,000 EUR |
| Freight billing errors | -25% | 4,000 to 9,000 EUR |
| Customer invoicing delay | -6 days | Improved cash flow |
| Fill rate | +12% | Direct margin |
Mini case study
Renaud runs a 22-truck SME in Singapore with 6 dispatchers and brokers on the TMS. On SaaS at 90 EUR/user/month, he pays 6,480 EUR/year, plus 4,000 EUR of telematics add-on. Over 3 years that's 31,440 EUR for a tool he doesn't own.
A custom TMS at 58,000 EUR plus 1,800 EUR/year hosting comes to 63,400 EUR over 3 years. Pricier upfront, but with -18% empty kilometres on a 240,000 EUR/year fuel budget, it saves 43,000 EUR/year. The first-year premium is erased in 16 months, and he owns the tool.
FAQ
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How long to build a custom TMS?
Expect 10 to 16 weeks for a standard scope (planning, transport orders, billing, tracking). A route-planning-focused MVP can ship in 8 weeks.
Can we connect existing telematics (Webfleet, Geotab)?
Yes. An API integration runs 3,000 to 8,000 EUR and feeds position, fuel and driving hours into the TMS in real time.
At how many users does custom pay off?
From 8 to 10 active users, SaaS per-seat cost typically exceeds amortising a custom build over 3 years.
What concrete gain on empty kilometres?
A well-tuned optimisation engine cuts empty running by 15 to 20%, often 12,000 to 30,000 EUR of fuel saved yearly depending on fleet.
Can the TMS automate customer billing?
Yes, generating invoices from delivered orders and exporting to accounting. Invoicing delay drops by several days and errors by 25%.
Let's scope your project. Tell us about your fleet, dispatchers and current tools, and we'll price a custom TMS matched to your budget and timeline. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
