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Reference : Designing ODBC Applications for Performance Optimization : Selecting ODBC Functions : Using SQLPrepare/SQLExecute and SQLExecDirect

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Using SQLPrepare/SQLExecute and SQLExecDirect
Using SQLPrepare/SQLExecute is not always as efficient as SQLExecDirect. Use SQLExecDirect for queries that will be executed once and SQLPrepare/SQLExecute for queries that will be executed multiple times.
ODBC drivers are optimized based on the perceived use of the functions that are being executed. SQLPrepare/SQLExecute is optimized for multiple executions of statements that use parameter markers. SQLExecDirect is optimized for a single execution of a SQL statement. Unfortunately, more than 75% of all ODBC applications use SQLPrepare/SQLExecute exclusively.
Consider the case where an ODBC driver implements SQLPrepare by creating a stored procedure on the server that contains the prepared statement. Creating stored procedures involve substantial overhead, but the statement can be executed multiple times. Although creating stored procedures is performance-expensive, execution is minimal because the query is parsed and optimization paths are stored at create procedure time.
Using SQLPrepare/SQLExecute for a statement that is executed only once results in unnecessary overhead. Furthermore, applications that use SQLPrepare/SQLExecute for large single execution query batches exhibit poor performance. Similarly, applications that always use SQLExecDirect do not perform as well as those that use a logical combination of SQLPrepare/SQLExecute and SQLExecDirect sequences.