Does telling an LLM to "be concise" actually save you money? We measured it across 9 models. Compressing the output can save you money and keep accuracy, compressing the input prompt does not. [R]
LLMs are too verbose and with a black box model the only things you control are what goes in and how you tell it to write back. Yesterday Claude Code shipped a "concise output style" where Claude keeps things short. We already have a paper out about this!
We tested both channels, shortening the input prompt versus telling the model to output answer shorter, on the same questions across five reduction levels, and scored cost, accuracy, and whether the shortened text still matched what the model would have said unconstrained.
We also evaluated GPT-4o, GPT-5.4, Claude Haiku 4.5, Claude Sonnet 4.6, Qwen2.5-VL-7B, Qwen3.5-9B, DeepSeek-R1-Distill, Gemma-4-E4B, and Kimi-K2.6 + benchmarked on five short answer datasets + a eleven-language output run (English, German, Spanish, French, Swahili, Chinese, Japanese, Russian, Bengali, Thai, Telugu) + a longer-form summarization test.
(1) Shortening the output saved money while keeping accuracy about the same, about 1.5x cheaper on average and up to 3x in the best case across the API models. It worked across languages too!
(2) Shortening the input prompt did the opposite. It cost up to 96% more on the worst benchmark, because the model just answers longer to fill in for what you cut and accuracy drops. You pay more and get worse answers :(
(3)Output tokens cost more than input tokens, so prompting for fewer output tokens would save costs with short single turn tasks
(4) When the shortened output is correct, about half the time the text no longer matches how the model would have reasoned without the constraint. Which is probably fine if you only care about the final answer
With providers now offering concise options, we can't see how they're charging for it, so we don't know if it actually saves you cost. But if you control the prompting yourself via the API, you actually do save!!
Paper https://www.alphaxiv.org/pdf/2606.24083v1
Code + data https://github.com/danielle34/cavewoman
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