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Digital Transformation

Stop Chasing Free Users: Why Only Paying Customers Matter

Feb 25, 20255 min read

Let's get real for a second. Free users look great on your investor pitch deck, but they don't pay the bills. If you're serious about building a sustainable business – and not just playing startup – it's time to start charging for your product.

I see this all the time: founders afraid to ask for what they deserve. They build something amazing, then give it away for free, hoping some magical monetization fairy will visit them down the road. Spoiler alert: she won't.

The Biggest Lie Founders Tell Themselves

"We'll figure out money stuff later."

No. Just no. Building a base of customers who actually pay should be your FIRST job. Delaying it isn't being strategic – it's like driving off a cliff with a blindfold on. You're creating a business, not a charity.

Here's the uncomfortable truth: if you're scared to set your price, that's a fundamental sign you don't believe in your own product. Think about that for a moment. If you don't think what you've built is worth paying for, why would anyone else?

Confidence Sells More Than Features

Be confident! Your solution solves real problems. People pay for solutions to their problems every single day. They'll pay for yours too – if you have the courage to ask.

Stop waiting for "perfect" to charge! There's no magical feature threshold where suddenly your product becomes worthy of money. Get a working product out there, show people what it does, and start making money.

The beautiful part? You'll make it better as you go... with paying customers giving you real feedback that matters. Free users will complain about anything. Paying customers will tell you what actually needs fixing.

Learn From The Winners

Think about the success stories we all admire:

  • Dropbox didn't wait for perfection
  • Slack didn't give away the farm
  • Airbnb didn't offer free stays

They built something cool, then asked people to pay. You can too! It's not complicated. Early Dropbox users paid $10 a month for a product that wasn't nearly as polished as today's version.

GitLab charged for early access. Why? Because a price tag shows value. It positions you as a serious solution, not just another free tool in an ocean of freebies.

The Truth About Free Users

People are happy to pay for problems solved. Really, they are. The myth that users won't pay is usually just an excuse to avoid rejection.

Sure, free users are okay for getting started. They can provide initial feedback and help you refine your product. But don't fool yourself – paying customers are the real test. Their wallets tell you more than any survey ever could. Seriously.

When someone parts with their hard-earned money for your solution, they're giving you the ultimate validation: "This is worth it to me."

Free users will try anything. Paying customers have standards.

The Bold Move: From Free to Paid

Stop chasing free users.

Start turning them into paying customers.

Yes, it's a bold move. Yes, some people will leave. But here's the thing – those who stay are the ones you should be building for anyway. They're your true audience, your true fans, your true business.

Every founder faces this moment of truth: the moment when you decide if you're building a hobby or a business. Businesses charge money. Full stop.

Pricing Is An Experiment, Not A Commitment

Here's the good news: pricing isn't set in stone. It's all about experimenting! Try different approaches:

  1. Test a simple monthly fee
  2. Try usage-based pricing
  3. Experiment with tiered plans
  4. Consider annual discounts

Try different things, watch what happens, and keep making changes. Your first price? Almost definitely not your last. That's okay! Pricing evolves as your product and understanding of the market evolve.

The key is to start somewhere. Anywhere. Just start.

Perfect Is The Enemy Of Getting Paid

This isn't just about money – it's about building something sustainable that can continue to serve your customers for years to come. Free products die when founder enthusiasm wanes or investors get impatient. Paid products have a chance at true sustainability.

Pick a price, put it out there, and learn. Stop waiting – start earning.

Your future self will thank you. Your bank account will thank you. And surprisingly, your customers will thank you too – because they'll get a product built to last, not another abandoned project in the digital graveyard of free tools.

The best time to start charging was when you launched. The second best time is right now.

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