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Why PLG Products Should Kill Their Free Tier
Description
Episode 39 of Product-Led Growth with Fexingo. Lucas and Luna argue that the standard free tier is actually hurting PLG products. They examine a real case: a B2B SaaS company that eliminated its free plan, saw a 40% drop in signups but a 60% increase in paid conversion within 90 days. They discuss how free tiers attract tire-kickers, inflate support costs, and delay time-to-value. The hosts walk through a framework for deciding when to cut the free tier, including usage caps, trial lengths, and data from the 2025 PLG Benchmarks report. They also explore alternatives like freemium with limited features, time-limited trials, and usage-based pricing floors. No clickbait — just specific numbers and operator-level strategy.