— Admin
This isn't a policy announcement, just me posting as a user who's been on both sides of this.
Annual prepay at 40% off sounds generous. Math says otherwise. That discount is priced in because the provider knows:
- Most annual customers don't use support proportionally (good for margins)
- Churn happens month 3-4 when buyer's remorse hits, but you're locked in
- Cash flow desperation makes the discount feel larger than it is
I've watched users at Hetzner and InterServer eat ramen to afford "savings" that don't materialize. The discount isn't the product. Your trapped liquidity is.
Not saying all prepay is evil. Saying the 40% off framing exploits people who need that money now more than later.
Curious if anyone's modeled actual break-even vs monthly, factoring in time-value and cancellation risk.