CDN Cost Pass-Through
Decide when to pass CDN costs to customers without hurting conversion.
Quick checklist
- Separate CDN vs origin costs.
- Set pass-through thresholds by tier.
- Use a simple per-GB rate for clarity.
- Add caps for extreme traffic.
- Review CDN usage quarterly.
Step-by-step
- Calculate blended CDN cost per GB.
- Decide which tiers include CDN usage.
- Set overage rates for high usage.
- Add alerts before pass-through fees apply.
- Monitor churn after changes.
What to watch
- Hidden CDN costs erode margin.
- Overly complex pass-through harms conversion.
- Regional egress rates can skew pricing.
Common mistakes
- Mixing CDN and storage costs.
- Passing costs without clear disclosure.
- Ignoring cache hit rate changes.