Skip to main content
Vendor Evaluation Guide

VENDOR RED FLAGS

(10 WARNING SIGNS TO WATCH FOR)

Not all AI vendors are created equal. Here's how to spot the ones who will waste your time and budget—backed by industry research.

75%75%
of vendors offer no pilot option before commitment
VENDOR RED FLAGS

Why Vendor Selection Matters

Choosing the wrong AI vendor is one of the most expensive mistakes you can make. Research shows that 40-60% of AI projects exceed budget, and vendor-related issues are often the root cause. Learning to spot red flags early can save you months of wasted effort and significant budget overruns.

90%

of vendors have long discovery phases

Industry Analysis 2024

75%

offer no pilot option before commitment

Competitor Research

40-60%

of AI projects exceed budget

Gartner 2024

10%

of vendors offer any guarantees

Market Analysis

The best AI vendors are transparent about pricing, can tie their solution to your specific KPIs, integrate with your existing tools, and offer pilot programs with measurable success criteria. If a vendor can't do all of these, keep looking.