prepay is a good tactic for small customers -- getting the entire lifetime value up front in most cases.
but why are you bothering with customers spending <$1/mo? (we avoided pay-as-you-go for this reason)
but why are you bothering with customers spending <$1/mo? (we avoided pay-as-you-go for this reason)
If you mean "why bother charging them instead of making it free" -- as I explain in the post, I don't want to get into a situation where I might have enough small non-paying users that I end up losing money.
If you mean "why accept them as customers at all" -- well, thinking as a user of my own service, I'd be really irked if I got told that I couldn't use a great service simply because I didn't want to use it enough! But from a purely business perspective: In my experience, small-scale users are some of the most important ones to have, since they tend to be the ones who go around telling everybody they know about tarsnap.