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Buttondown's blog

Email could have been X.400 times better The physicists who convinced Fermilab to send Brazil's emails Better in-app previews Analytics 3.0 Subscriber ID variables Comments! Send latest premium action Automation filtering Free API subscribers Surveys in automations Reply to replies Labels for RSS feeds How Jeremy Singer-Vine curates curious datasets for readers 2023 (and what's next) Email vs web content Sort by engagement Better gift subscriptions How Andy Dehnart built a career reviewing television New email template Email-based automations Opt-in reply tracking Automatic alt text More social network integrations Sort by metadata Overlarge image warnings Automation tag actions Pause emails mid-flight Search tags and automations Gift via automations Subscriber-driving emails Programmatic webhooks Email page views Tag statistics Discord webhook formatting Automatic subscriber cleanup RSS subscriber count Weekly subscriber reports More list columns Customizable list views How Max Voltar turned a side gig into a trusted keyboard resource How Nick Disabato runs two newsletters from one design consultancy Made-for-you share images Automation improvements End-of-email surveys Filter by date Survey-triggered automations More automation functionality New webhooks How France Insider built a news service with paid subscribers Email as primary key How John Willshire unites two businesses in one newsletter Confirmation reminders Email churned subscribers Email-to-draft Subscriber metadata columns ChatGPT integration Faster web archives Referral program Better search results TikTok embeds Subscriber timeline Spotify embeds Improved RSS-to-email Subscribe page OG image New analytics page Google Tag Manager Even more subscriber types Integrating Duda with Buttondown Linktree integration guide Advanced and enterprise plans Framer integration guide API requests page Team collaboration In-email surveys Better CSS settings Better RSS automation fetching! Editor toolbar improvements Smart filters Faster emails page RSS automations Faster email analytics Zapier error codes Image accessibility checks Tags vs newsletters OG image picker Image editor improvements API bulk actions Improved OpenAPI spec Mastodon support Better subscriber filtering Better subscriber validation Hotkey support! Programmatic access to analytics Stronger bulk actions Faster archive page Custom canonical URLs Email slug and metadata Improved writing interface Generating a Typescript router in Django Filter emails by source
What it costs to run a software business in 2023
Justin Duke · 2023-02-09 · via Buttondown's blog

I am a sucker for a good list of running costs, dating back to seeing Cushion's, back in 2015. I think it lends an earnest and unglamorous look as to what it really takes to a business in the way that "hustle porn"-type essays rarely do.

I've done a poor job of keeping my own such running cost document (though I'd like to do a better job!), but in lieu of a beautiful chart like Cushion's I'll try and offer something sloppier: a screenshot of my finances table!

All the costs.

(As context, Buttondown posts around low five figures of monthly revenue, so this is a pretty healthy margin.)

Some notes on these numbers:

  • My Stripe fees are a goose-egg thanks to Stripe offering a huge amount of free credits to alumni. This would otherwise be one of my largest costs.
  • Instead, my largest cost is Heroku, which is coincidentally the cost I'm least happy with. Buttondown does not serve enough traffic to warrant five hundred dollars a month; in fact, the lion's share of that money goes towards a Redis cluster and auto-scaling asynchronous queues. A goal of mine for later this quarter is to migrate onto a more modern, cheaper solution like Render — which I've napkin math'd out to be closer to $150/month.
  • Of the things I pay for that I'm least satisfied with regardless of cost, PagerDuty and StatusPage share the award. Neither of these are good products for my use case, and I deeply wish to migrate to Better Uptime. But the trap that you quickly run into is that $60/month is simply not an urgent enough level of cost to prioritize migration, and so I toil away using these subpar tools. (I'll switch off of them probably when I also switch off of Heroku.)
  • I spend a lot on sending emails. Sending emails is not free! I have three active ESPs — Postmark, Mailgun, and AWS — for various use cases, as well as a dormant ESP (Sendgrid) for failover's sake (it's currently on the free tier, as I only send through enough traffic to make sure the plumbing doesn't explode).

Beyond that, nothing much to report. There's a slew of things that cost somewhere between $5—$30/month for which I use the following heuristic: does this provide at least fifteen minutes' worth of value? If so, great. That's perhaps a low bar, but it's certainly a higher one than at big technical companies (where the bar might be "has someone used this tool in the past year? okay, we won't churn from our four-digit plan".)