Session Date: January 20, 2026 Key Finding: Week 3 January showed 81% cost reduction per session vs Week 2


The Discovery

While analyzing Claude Code usage from December 2025 through January 2026, a dramatic efficiency improvement emerged:

Week Sessions Est. Cost Cost/Session vs Week 2
Week 1 (Jan 1-7) 3 $37.25 $12.42 -35%
Week 2 (Jan 8-14) 58 $1,114.77 $19.22 baseline
Week 3 (Jan 15-20) 157 $571.25 $3.64 -81%

What Changed

Session Strategy Shift

Metric December January (Week 3) Change
Avg Sessions/Day 7.3 26.2 +259%
Tokens/Session 40,246 6,503 -84%
Cost/Session $22.17 $3.64 -84%

The Pattern

December:  Fewer, longer sessions (avg 40K tokens each)
           └── Context grows large → expensive

January:   More, shorter sessions (avg 6.5K tokens each)
           └── Context stays small → efficient

Evidence: Spike Day Comparison

Research Days (High Cost)

Day Sessions Tokens Tokens/Session Type
Dec 14 27 1.08M 39,922 Research
Dec 24 14 835K 59,628 Research
Jan 11 22 1.38M 62,533 Research

Implementation Days (Low Cost)

Day Sessions Tokens Tokens/Session Type
Jan 17 16 104K 6,517 Implementation
Jan 19 83 499K 6,008 Rapid iteration

Jan 19’s 83 sessions = deliberate context resets maintaining low cost/session


Cost Impact

Monthly Efficiency

Metric December January Improvement
Total Cost $1,951.10 $1,723.27 -12%
Messages 28,909 81,379 +181%
Cost/Message $0.067 $0.021 -69%
Cost/Session $22.17 $7.90 -64%

What This Means

  • Same daily spend (~$157/day both months)
  • 3x more work completed in January
  • 69% more efficient per interaction

Root Causes

1. Shorter Sessions = Smaller Context

Context window cost is proportional to:
  Cache Write (1.25x input rate) + Cache Read (0.1x input rate)

Smaller context → Less cache write → Lower cost

2. Research vs Implementation Ratio

Activity Tokens/Message Cost Efficiency
Research 100-150 Low
Implementation 4-5 High

Week 3 was implementation-heavy → efficient

3. Deliberate Context Management

  • Frequent /clear or new sessions
  • Avoiding context bloat
  • Compacting before 70% utilization

Implementation: Context Tracking

To maintain visibility into this optimization, context tracking was added:

New Metrics (SigNoz)

Metric Description
session.context.size Tokens at session start
session.context.utilization % of 200K window used

Visual Indicator

📊 Context: 45K tokens (22.5%)
   [████░░░░░░░░░░░░░░░░] 🟢  (green < 50%)
   [██████████░░░░░░░░░░] 🟡  (yellow 50-70%)
   [██████████████░░░░░░] 🔴  (red > 70%)

Historical Tracking

  • ~/.claude/context-history.json — session-by-session data
  • Daily averages for trend analysis
  • Automatic cleanup (keeps last 1000 sessions, 90 days)

Recommendations

Maintain the Gains

  1. Keep sessions short — Target <10K tokens/session
  2. Reset frequently — New session after major task completion
  3. Compact at 70% — Don’t let context hit limits
  4. Monitor trends — Watch session.context.utilization in SigNoz

Optimize Further

  1. Batch research — Dedicate specific sessions to exploration
  2. Use subagents — Delegate verbose operations (Sonnet usage up 11x)
  3. Truncate output| tail -30 for logs, use offset/limit for files

Summary

Before (Dec) After (Jan Week 3) Result
Long sessions Short sessions -84% tokens/session
Rare resets Frequent resets -81% cost/session
7 sessions/day 26 sessions/day 3x throughput
$22/session $3.64/session $18.50 saved/session

Total Potential Savings: At 20 sessions/day, this strategy saves ~$370/day vs old patterns.


Session documented: January 20, 2026 Full analysis: 2026-01-20-claude-usage-analysis.md