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Thanks for letting me know. I was just mentioning MailChimp as the targeted audience (tech CEOs) most probably know about the freemium plan, so I didn’t feel li
by chdaniel 8y ago
Thanks for letting me know. I was just mentioning MailChimp as the targeted audience (tech CEOs) most probably know about the freemium plan, so I didn’t feel like expanding on that.
After I noticed it caused confusion, I added some extra comments in there as well.
I see it this way: I know a lot of rich people who like to start lean simply for the sake of seeing proof of concept. They have millions in their bank yet they ask their cofounder to chip in £5,000 on the idea.
So the company offering the product (MailChimp in this example) took the risk (and the cost associated) of seeing if the idea works. But then, what I say is that they should charge enough on the premium to cover for all the freemium.
Which MailChimp does. I know, $780/yr is a lot — but since they might help you start from 0, literally from ground level, I think it's reasonable for them to charge a lot. I don't know their niche so whether 780/yr is fair or not is up to them
But let me put it another way: if your mailing list is over 2000 people, aren't there more than $65/mo to be made, more than 8 cases out of 10?
- gnicholas 8y ago> if your mailing list is over 2000 people, aren't there more than $65/mo to be made If the click-through rate is around 10% and the conversion rate is around 5%, then depending on the price point (and whether selling subs or one-time), then quite possibly no. And even if I can clear $100 in extra revenue/month, paying more than half of that to an email service seems like too much. Factor in the cost of my time in building the emails, and I have to clear closer to $200/mo for this to make sense at all. And I don't know the precise costs for the higher tiers, but after seeing this taste of their pricing model, I decided they weren't a good fit for me. If I ever end up as a subscriber, it will certainly be through gritted teeth, not the joy that you describe.
- chdaniel 8y agoJust checked MailChimp and they've got free, $10/mo and up, $199/mo and up I know it's the last thing you'd want to hear but maybe the gritted teeth bring the nitpick and resentment that I see through the posts
- gnicholas 8y agoLooks like they have lowered the limit (500 email addresses instead of 2,000) and the pricing (10/mo instead of 60/mo). So the math is roughly the same as when I passed on it before. As for nitpicking, I think you've got me beat with your last comment. Unfortunately you missed (or purposely omitted) the part about 500 addressees instead of 2,000, hence this reply.