This isn’t the first time Mailchimp has tightened the free plan, and it won’t be the last. Since being acquired by Intuit in 2021 for $12 billion, the platform has been systematically reducing what users get for free. What was once a generous 2,000 contacts has been cut to 500, and now down to just 250.
Let’s be clear: we’re not here to bash Mailchimp. They’re a massive platform with powerful features, and for many businesses, they’re still a solid choice. But these changes create real problems for small businesses who’ve built their email marketing around the free tier, and it’s worth understanding what’s happening and what your options are.
From February 17th, Mailchimp’s Free Marketing plan will have these new limits:
The features on the Free Marketing plan aren’t changing, but here’s what that actually means: you still won’t get automation (that was removed in June 2025), you won’t get email scheduling, and every email you send will have Mailchimp branding on it.
If you currently have fewer than 250 contacts and haven’t been sending more than 500 emails per month, you won’t be affected immediately. But if your list grows beyond 250 contacts, Mailchimp will lock your account until you either archive contacts to get back under the limit, or upgrade to a paid plan.
The simple answer is that Mailchimp has shifted from a growth-focused strategy to a monetization-focused one. When Intuit acquired Mailchimp in 2021, the goal was to integrate it with QuickBooks, TurboTax, and their other small business tools to create an “end-to-end customer growth platform.”
The generous free plan that made Mailchimp famous was designed to capture market share and get users hooked on the platform. Once you’ve built your contact list, designed your templates, and set up your workflows, switching to another platform becomes a hassle. That’s when the pricing starts to creep up.
This is a classic business strategy: capture the market with a generous free tier, then extract value once switching costs are high. It’s not unique to Mailchimp — we’ve seen it happen with lots of software platforms after acquisition. But it does mean that what made Mailchimp attractive to small businesses in the first place is slowly being eroded.
The 250-contact limit is particularly problematic for:
What makes this especially frustrating is that Mailchimp counts all contacts towards your limit, including people who’ve unsubscribed. So you could be paying for contacts who can’t even receive your emails.
The automation removal that happened in June 2025 was equally painful. Welcome emails for new customers, thank-you messages after purchases, event reminders — these aren’t marketing gimmicks, they’re how businesses stay connected with their customers. Without automation, someone has to manually send each message, which often means it doesn’t happen at all.
If you’re affected by these changes, you’ve got three main paths forward:
Mailchimp’s Essentials plan starts at $13 per month for 500 contacts and 5,000 monthly email sends. That’s $156 per year for basic email marketing.
This makes sense if:
The downside is that Mailchimp’s pricing continues to climb as your list grows, and you’ll be paying for all contacts (including unsubscribed ones).
There are plenty of email marketing platforms that offer more generous free tiers or better value on paid plans. Here are a few worth considering:
Brevo (formerly Sendinblue)
Brevo is particularly good value because you’re not paying for contacts sitting in your database — you’re paying for emails actually sent. If you have 1,000 contacts but only email them once a month, you’re not being charged for having 1,000 contacts.
MailerLite is a solid middle-ground option. It’s cheaper than Mailchimp, easier to use, and has a more generous free tier. However, their free plan has also been reduced recently (from 1,000 to 500 subscribers), so they’re following a similar trajectory.
EmailOctopus is one of the most generous free plans available right now. It’s deliberately simple, which means fewer features but also less complexity.
Constant Contact doesn’t have a free plan, but their pricing is competitive, and they’re known for having genuinely helpful customer support, something that matters when you’re setting up your first campaigns.
Sender stands out for price and features. At $7/month for 1,000 contacts, it’s nearly half the price of Mailchimp’s comparable plan.
If you’re currently under the new limits, you don’t have to do anything immediately. Keep using Mailchimp’s free plan until you hit the 250-contact threshold or 500 monthly email limit.
This makes sense if:
The risk with this approach is that you might hit the limit at an inconvenient time, like right before a big campaign launch.
For most small businesses, switching to a platform with better free-tier limits or more transparent pricing makes sense. Here’s how we’d think about it:
If you send occasional newsletters to a modest list: Consider Brevo or EmailOctopus. Both offer generous free tiers and simple interfaces. Brevo’s model of charging per email sent (rather than contacts stored) is particularly good if you email infrequently.
If you need automation and segmentation: Look at MailerLite or Sender. Both include automation in their free or low-cost plans, which Mailchimp now charges $13/month minimum to access.
If you want rock-solid support: Constant Contact is worth the investment. They don’t have a free plan, but their support team is genuinely helpful, which matters when you’re learning email marketing.
If you’re heavily invested in Mailchimp: Sometimes the switching cost isn’t worth it, even if the price is higher. If you’ve got complex automations, integrations with other tools, or a large library of templates, staying with Mailchimp and upgrading might be the path of least resistance.
If you do decide to move to another platform, here’s the basic process:
The whole process typically takes a few hours to a couple of days, depending on how complex your setup is.
Mailchimp’s free plan changes are part of a broader trend in the software industry. Platforms offer generous free tiers to build market share, then gradually tighten the screws once they’ve got a large user base locked in.
This isn’t necessarily evil, running a massive email infrastructure costs real money, and companies need to be profitable to survive. But it does mean that “free forever” plans often aren’t really forever.
The lesson here is to be strategic about where you build your business infrastructure. If a tool is critical to how you communicate with customers, you should probably plan to pay for it eventually. Free tiers are great for getting started, but they’re usually not a long-term business strategy.
If you’re not sure whether to stick with Mailchimp or switch to an alternative, we can help you work through the decision. We work with businesses on their email marketing setup regularly, and we can:
Email marketing is one of the highest-ROI marketing channels available. The platform you use matters, but what matters more is actually using it consistently and strategically.
For more details about Mailchimp’s plan changes:
Need help deciding whether to stick with Mailchimp or explore alternatives? Get in touch and we’ll help you figure out the right approach for your business.
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