Softwr

Accounting · head to head

Avalara vs Datadog

Avalara logo

Avalara

Accounting

Tax compliance done right

From
$29/month
Rated
-
Datadog logo

Datadog

Technology

Modern monitoring & security

From
$15/month
Rated
-

The short version

  • Each has a real cost: Avalara pricing varies significantly based on products, integrations, transaction volume, and jurisdictions; Datadog consumption-based pricing model makes costs hard to predict and can scale quickly
  • They diverge on capability: Avalara covers Tax calculation, Datadog covers Infrastructure monitoring.

Where they differ

Only the attributes on which Avalara and Datadog actually diverge.

Attributes where Avalara and Datadog differ
AttributeAvalaraDatadog
Starting price$29/month$15/month
Pricing modelsubscriptionUnknown
PlatformsWeb, ApiWeb, Linux, Windows, macOS
CategoryAccountingTechnology
Founded20042010

Identical on both: free tier (No), user rating (Not yet rated).

What each one covers

Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.

Only in Avalara

  • Tax calculation
  • Returns filing
  • Exemption management
  • Document management
  • Real-time rates
  • QuickBooks
  • NetSuite
  • Shopify

Only in Datadog

  • Infrastructure monitoring
  • Application performance monitoring
  • Log management
  • Real user monitoring
  • Synthetic monitoring
  • Security monitoring
  • Network monitoring
  • Serverless monitoring

What people use each for

The jobs each tool is most often brought in to do.

Avalara

  • Real-time sales tax calculation at checkoutnot Datadog
  • Multi-state and multi-jurisdiction tax determinationnot Datadog
  • VAT, lodging, communications and excise tax calculationnot Datadog
  • Feeding tax results into an ERP or ecommerce platform through the APInot Datadog

Datadog

  • Infrastructure monitoringnot Avalara
  • Application performancenot Avalara
  • Security monitoringnot Avalara
  • Log analysisnot Avalara
  • Cloud monitoringnot Avalara

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

Avalara

  • Pricing varies significantly based on products, integrations, transaction volume, and jurisdictions
  • No free tier or trial period published
  • Enterprise sales model requires contacting sales specialists for customized quotes

Datadog

  • Consumption-based pricing model makes costs hard to predict and can scale quickly
  • Add-on modules significantly increase costs: custom metrics, indexed spans, extended retention
  • No free tier for production monitoring
  • High costs for organizations with large amounts of log data or high-cardinality metrics

Pricing, plan by plan

Avalara

$29/month
  • AvaTax$50/month
    • Tax calculation
    • Exemption certificates
    • Returns filing

Datadog

$15/month
  • Infrastructure Monitoring$15/month
    • Host monitoring
    • Basic dashboards
  • APM$31/month
    • Application performance monitoring
    • Trace collection
  • Log Management$0.1/gb
    • Log indexing
    • Search and filter

Which should you pick?

Choose Avalara if

  • You need tax calculation.
  • You work on Web, Api.
  • You also want returns filing.

Choose Datadog if

  • You need infrastructure monitoring.
  • You work on Web, Linux, Windows, macOS.
  • You also want application performance monitoring.

Questions people ask

Is Avalara or Datadog better?
Neither clearly leads. Avalara starts at $29/month and Datadog at $15/month, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Avalara or Datadog?
Avalara starts at $29/month and Datadog at $15/month.
Does Avalara or Datadog run on more platforms?
Avalara runs on Web, Api. Datadog runs on Web, Linux, Windows, macOS.
What is Avalara best used for?
Avalara is most often used for real-time sales tax calculation at checkout, multi-state and multi-jurisdiction tax determination, vat, lodging, communications and excise tax calculation, feeding tax results into an erp or ecommerce platform through the api. Of those, real-time sales tax calculation at checkout and multi-state and multi-jurisdiction tax determination are not what Datadog is typically brought in for.
What can Avalara do that Datadog cannot?
Avalara covers Tax calculation, Returns filing, Exemption management, Document management. Datadog covers Infrastructure monitoring, Application performance monitoring, Log management, Real user monitoring.

Answered from the vendors’ own pages

Avalara: What are the starting prices for Avalara services?

Avalara Tax Calculation and Returns Compliance Package starts at $699. License Guidance is available for as low as $119. Sales Tax Registration costs $403 per location.

Source
Datadog: How is Datadog pricing structured?

Datadog uses consumption-based pricing tied to data volume ingested, hosts monitored, and products enabled. Infrastructure Monitoring starts at $15/host/month, APM at $31/host/month, and Log Management at $0.10/GB for indexed logs.

Source
Avalara: How does Avalara's pricing scale?

Avalara uses volume-based pricing that varies based on the number of integrated business applications, volume of monthly sales transactions, number of states or jurisdictions for tax collection, and Streamlined Sales Tax enrollment. Pricing scales with business growth and transaction volume.

Source
Datadog: Does Datadog offer a free tier?

Datadog offers a free trial but not a permanent free tier for production monitoring. Pricing begins with paid plans only.

Source
Datadog: What integrations does Datadog support?

Datadog offers 1000+ built-in integrations including AWS, Kubernetes, Docker, Azure, GCP, and most major cloud platforms and services.

Source
Datadog: Can Datadog monitor Kubernetes clusters?

Yes. The Datadog Agent runs as a DaemonSet to provide real-time visibility into pods, nodes, deployments, and control-plane health across major Kubernetes distributions including EKS, AKS, GKE, OpenShift, and others.

Source
Datadog: How can I reduce Datadog costs?

Datadog bills based on indexed logs, custom metrics, and high-cardinality tags. Costs can be unpredictable and may run 2-3x estimates. Prepaying annually can secure 5-15% discounts.

Source
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