The jump from free to $0.25 is the biggest hurdle of all. Right now, you basically don't need a payment form connected to your account to use Whatsapp. But you do with $0.25.

The tiers you suggest don't affect any layperson (would your grandmother even know what geolocated ads are? Would she care?). If anything, it sounds alarming to a layperson to even have these options.

IMO your comment is a clear example of why technical people should not always be the product decision makers.