Based on my experience, here is my brief take on the difference between free and paid peer groups.
I have run free, highly curated peer groups. I have also run paid, highly curated peer groups. My key observation comes down to one thing: investment.
Table of Contents
Investment
When people do not invest something into a group, they have less desire to get something out of it.
A significant amount of the value from these groups comes from everyone investing their time and energy. This shared investment directly impacts what each person gets to take away.
Disengagement
When even a small portion of the group becomes uninvolved or people sit in the background as lurkers (on a Zoom call or in a text group), the entire group’s experience is tarnished.
A vicious downward cycle begins once too many people become disengaged. This makes the organizer’s job significantly harder and diminishes the value for everyone else.
Free Groups Are Rare
What Mike is saying about running a successful free group is not impossible—it is just very hard and extremely rare to see it work long-term.
“You know what would be interesting/useful?
A trades forum (hvac plumbing, etc.) that is completely private, invite only, and most importantly…highly curated. I have very valuable text threads with different owners of certain businesses, where we all share best practices, war stories, inside happenings, metrics, margins, and a lot of high valuable questions that aren’t good for public viewing.
Would be awesome to have a very tightly protected forum.” – Mike Botkin on X
Pay For The Value Received
If you are getting monetary value out of the group, it is worth it to pay to be there. This value comes from hearing shared experiences, implementing new best practices, and avoiding mistakes by learning from others.
Ultimately, a paid group is worthwhile so long as the value gained is greater than the time, money, and opportunity cost you spend.
Conclusion
To summarize, the effectiveness of a peer group often comes down to the level of investment from its members.
- Payment Creates “Skin in the Game”: Members who pay for a group are generally more committed to contributing and gaining value.
- Engagement is a Shared Responsibility: The group’s total value depends on the active participation of all its members.
- Lurking Weakens the Group: Even a few disengaged members can negatively impact the experience for everyone.
- Value Justifies the Cost: If a group provides tangible benefits that outweigh the cost, it is a worthwhile investment.