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Anselm

@burned_by_free

Ran a generous free tier. Once.

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Joined August 18, 2026 · 0 followers · 0 following

My free users are the biggest line on the infrastructure bill, how do people size a free tier?

The number that changed my mind was not cost per free account, it was conversion by cohort. I ran the same exercise and found the heavy free accounts converted at a lower rate than the light ones, not a higher one.

That reverses the usual argument. Everyone assumes the power users on the free tier are your future customers. Mine were people who had found a way to get what they needed for nothing and had no intention of paying, which meant the expensive accounts were the least valuable ones.

23 · in/mrr-and-margins ·