For years, we implemented Odoo projects while running our own operations on ERPNext.
At first glance, this may seem unusual, but there was a very practical reason behind it.
When we originally chose ERPNext for our internal operations, one of the most important factors was the upgrade process. Major version upgrades were generally predictable, straightforward, and did not require significant project budgets. For many businesses, this matters far more than a long list of features. A system that can be upgraded without weeks of planning, testing, consulting, and unexpected costs has a real long-term advantage.
Because of this, ERPNext became our preferred internal platform while we continued to implement and support Odoo for clients.
Odoo Online did not suddenly become the right choice overnight. Over several releases, we saw more and more of the compromises we once considered deal-breakers become acceptable, while the platform itself continued to mature. By the time the latest version was released, we felt it had reached the level we had been waiting for. Even then, we deliberately avoided rushing the migration, as we generally prefer to give a new release and its ecosystem time to settle before relying on it for business-critical operations.
By the time these factors came together, it had become clear to us that we wanted to start our next business year on Odoo Online.
We migrated our own operations from ERPNext to Odoo Online.
Before anyone jumps to conclusions, this does not mean that we no longer like ERPNext, recommend it, or support it. Quite the opposite. ERPNext remains one of the most impressive open-source ERP systems available today, and we continue to recommend it in the right situations.
This article is not about why ERPNext is bad.
It is about why, after years of working with both platforms, we felt that Odoo Online had matured enough that switching finally made sense for us.
The Upgrade Advantage That Originally Led Us to ERPNext
When we first adopted ERPNext, one of its strongest advantages was the upgrade experience.
Anyone who has worked with ERP systems for long enough knows that version upgrades can become expensive projects. Compatibility issues, custom developments, infrastructure changes, testing, and consulting hours can quickly turn a routine upgrade into a significant investment.
ERPNext stood out because upgrades were generally straightforward and predictable.
For us, that mattered.
A lot.
It was one of the main reasons we chose ERPNext internally despite working extensively with Odoo.
Fast forward to 2026, and the situation looks different.
By using Odoo Online, much of the upgrade burden shifts to Odoo itself. The process is not entirely without limitations, but it removes a significant amount of operational overhead that historically worked in ERPNext's favor.
One of the biggest reasons we originally chose ERPNext became less important over time.
The Gap Has Become Much Smaller
We do not believe any ERP system is perfect.
ERPNext is not perfect.
Odoo is not perfect.
Every ERP system involves trade-offs.
The real question is whether those trade-offs align with the needs of your business.
A few years ago, we felt that Odoo Online still required too many compromises for our own use.
Today, we see things differently.
The most important realization was not that Odoo Online suddenly became better than ERPNext.
It was that the gap between them became much smaller than it used to be.
Many of the limitations that once made us dismiss Odoo Online became less significant as the platform matured.
For our use case, that changed the calculation.
Pricing and Customization Are More Complex Than They Appear
One of the strongest arguments in favor of ERPNext remains its flexibility.
That argument is completely valid.
ERPNext, particularly when hosted on Frappe Cloud, offers a level of customization that Odoo Online simply cannot match.
Pricing is also attractive.
Unlike Odoo, adding more users or managing multiple companies does not directly increase subscription costs. For organizations with many users or several legal entities, this can be a significant advantage.
By comparison, Odoo's pricing model becomes more expensive as user counts increase, and company management is also tied to plan limitations and pricing considerations.
On paper, this can make ERPNext look substantially cheaper.
However, there is another side to the story.
One of ERPNext's greatest strengths is its flexibility, but in recent years some capabilities that many organizations rely on for advanced no-code and low-code customization—such as Server Scripts—have become more restricted on entry-level hosted plans.
As a result, organizations that want to fully leverage these capabilities may find that the lowest-cost hosting options are not always sufficient for their needs.
This does not remove ERPNext's flexibility advantage. Nor does it mean ERPNext is expensive.
It simply means that comparing the lowest advertised prices does not always reflect how businesses actually use the platform.
At the same time, Odoo Online has evolved considerably.
A few years ago, we would have considered it too restrictive for many of our requirements.
Today, that is no longer necessarily true.
The Standard plan still has limitations and would not have met our needs.
However, the Custom plan unlocks API access, automation features, scheduled actions, and significantly greater flexibility.
Importantly, the Custom plan is more expensive than the Standard plan.
This is a real cost that businesses should consider.
At the same time, it enables many of the integrations, automations, and workflow improvements that would previously have pushed us toward alternative solutions.
For organizations whose requirements go beyond simple field additions and basic configuration, Odoo Online Custom has become a far more capable platform than it was only a few years ago.
User Experience Matters More Than We Like to Admit
One area that is often overlooked in technical comparisons is usability.
To be completely honest, ERPNext's interface has always felt natural to us.
We have spent years working with it, and many workflows feel almost second nature.
However, we also recognize that we are not representative of the average user.
When introducing new users to ERP systems, we have consistently found that Odoo is generally easier to understand, easier to navigate, and easier to learn.
This becomes particularly important when someone needs temporary access to the system.
Whether it is an external accountant, an assistant, a seasonal employee, or someone covering a role during a holiday period, there is a real cost associated with training.
In our experience, users who have never seen either system before tend to become productive faster in Odoo.
That does not make ERPNext's interface bad.
It simply means that Odoo has invested heavily in reducing the learning curve, and that investment shows.
The Portal Is Better Than Most People Realize
Another area where Odoo Online has quietly become very powerful is the portal.
Many organizations have stakeholders who need access to specific information without requiring full internal ERP access.
Customers may need to review quotations, invoices, projects, subscriptions, support requests, documents, or order history.
Suppliers may need access to specific records.
Partners may need visibility into ongoing work.
Odoo's portal makes it surprisingly easy to expose the right information to the right people.
In many cases, this eliminates the need to create internal users with carefully restricted permissions simply because someone needs access to a small subset of information.
For us, this became increasingly valuable as we looked for ways to simplify administration while maintaining security.
We Still Believe in ERP Systems
Over the last two years, almost every software discussion has eventually turned into a discussion about AI.
Many predictions suggest that AI will replace large parts of today's software landscape.
We are not convinced.
We continue to monitor the market closely. New AI-powered business applications appear almost daily, and some of them are genuinely impressive.
Yet despite all the excitement, we have not seen another platform that we would trust with the day-to-day operation of a business in the same way we trust mature ERP systems such as ERPNext or Odoo.
In our view, AI does not remove the need for ERP systems.
If anything, it makes them more important.
The biggest misconception we encounter is the belief that AI can somehow solve poor business processes, disconnected systems, and inconsistent data.
We do not believe that is how successful AI adoption works.
AI should not be responsible for connecting dozens of isolated applications, spreadsheets, and disconnected processes that were never designed to work together.
That approach may produce impressive demonstrations, but it rarely produces sustainable operations.
Instead, we believe the opposite.
The foundation should come first.
Business processes should be structured.
Data should be centralized.
Workflows should be clearly defined.
Only then does AI become truly powerful.
At that point, AI can help automate decisions, accelerate workflows, reduce repetitive work, improve customer communication, and increase productivity.
In other words, AI works best when it enhances structured business processes rather than trying to replace them.
And that naturally brings us back to ERP systems.
AI Is Changing ERP Economics
There has been no shortage of articles about AI.
We do not want to repeat what countless others have already written.
However, we believe one aspect receives less attention than it deserves.
What AI is changing is the economics behind user licensing.
As businesses increasingly use AI agents, workflow automation, and API-driven integrations, the number of human users required to perform a given amount of work may decrease.
This changes how software costs should be evaluated.
Traditionally, businesses focused on the cost of an additional ERP user.
Today, a more interesting question is emerging:
How many users do we actually need?
This is particularly relevant when comparing ERPNext and Odoo.
Yes, ERPNext's pricing model is attractive because additional users and companies do not directly increase licensing costs.
Yes, Odoo Online Custom costs more than Odoo Online Standard.
And yes, using APIs, automation, scheduled actions, external integrations, and AI-driven workflows requires the Custom plan.
But if those capabilities allow a company to automate repetitive tasks, reduce manual work, or avoid hiring additional administrative staff, then the overall economics may still be favorable.
Increasingly, we find ourselves evaluating ERP platforms through the lens of productivity rather than subscription pricing alone.
Localization and Compliance Matter More Than Most Feature Lists
Software comparisons often focus on features.
In reality, localization and compliance can be just as important.
One area where Odoo Online has matured significantly is local market support.
For Hungarian businesses, the availability of invoicing integrations and local compliance solutions directly within Odoo Online has become much more compelling than it was a few years ago.
The same pattern can be observed internationally.
A good example is support for the UK's Making Tax Digital requirements. The fact that these capabilities are available as part of the platform demonstrates the level of maturity expected from modern business software.
These are not exciting features.
They rarely appear in marketing videos.
Yet they save time, reduce risk, simplify audits, and remove friction from daily operations.
And that matters.
Why We Decided to Switch
Our decision was not based on a single feature.
It was the result of multiple factors gradually moving in the same direction.
Among the most important were:
- Odoo Online significantly reduced the upgrade concerns that once favored ERPNext.
- The gap between ERPNext and Odoo Online became much smaller than it used to be.
- Odoo's user experience proved easier for new and occasional users.
- The portal became powerful enough to reduce the need for additional internal users.
- Localization and compliance support improved considerably.
- APIs, automation, and AI workflows became more important to us.
- Odoo Online Custom became capable enough for the vast majority of our actual requirements.
- The economics of automation became more important than simple user-license comparisons.
Eventually, the balance shifted.
Not dramatically.
Not overnight.
But enough.
What We Still Like About ERPNext
It is important to emphasize what this article is not saying.
We are not saying that Odoo is better than ERPNext.
We are not saying that ERPNext is outdated.
We are not saying that everyone should switch.
ERPNext remains an excellent platform.
We continue to appreciate:
- Its open-source philosophy.
- The flexibility of the Frappe Framework.
- The ability to customize nearly every aspect of the system.
- Licensing that is not directly tied to the number of users.
- Licensing that is not directly tied to the number of companies managed.
- The freedom and control provided by self-hosted deployments.
- An upgrade experience that remains among the least painful in the ERP world.
For many organizations, those advantages will continue to outweigh anything Odoo Online offers.
And that is perfectly reasonable.
Final Thoughts
This article is not intended to convince anyone to switch from ERPNext to Odoo.
Nor is it an attempt to crown a winner.
It is simply an honest account of how our thinking evolved after years of using both systems.
The most important change was not that ERPNext became worse.
It did not.
The most important change was that Odoo Online matured to the point where many of the reasons we originally chose ERPNext became less decisive for our own business.
Whether we still feel the same way after six months of daily use is a question for another article.
For now, switching to Odoo Online was the right decision for us.
P.S. Yes, the blog is still running on Blogspot. As we mentioned in previous articles, we're still happy with it, so the migration will have to wait a little longer. What is delayed must be waited for.
