Shall we dive straight into the heart of the matter? Like most things in life, creating cost-optimized storage solutions on AWS is an art form in itself. As an artist does, you fill your palette with a hefty number of colors (in this case, services) to mix and match, creating your masterpiece.

When you dig elbow-deep into AWS's console, a myriad of options, S3, EBS, and Glacier, just to name a few, present themselves at your fingertips. Each of them flaunts a unique price tag and feature set, but remember, the most glamorous choice may not always be the most economical one. The trick involves visualizing your workloads, data access patterns, and performance requirements, and then assembling the puzzle pieces in a pocket-friendly manner.

Understanding your Storage Solutions

The root of cost-effective designs is understanding what you’re dealing with. Here’s a 30,000 feet high view of your canvas: Amazon S3 for general object storage, Amazon EBS for block level storage, Amazon S3 Glacier for long-term backups and archives, and AWS Storage Gateway for hybrid cloud setups. Grasping the workings of these storage solutions, and knowing when to use them, form the cornerstone of crafting a cost-effective storage strategy.

We certainly should mention Amazon EFS (Elastic File System), providing simple, scalable file storage for use with EC2 instances. It's a great choice if you need persistent storage across multiple instances, but remember, the best cowboys don’t shoot with every gun in their arsenal. Implementing services just because they are available could considerably increase your costs.

The Funny Part: Does Size Really Matter?

You've been waiting for this one, haven't you? Ahem! In the realm of AWS, size indeed matters, and guess what, bigger doesn't always mean better. Remember those Russian Matryoshka dolls that were all the rage in the 90s? The ones where you start with a large doll and inside it, there's a smaller, equally decorated doll, and inside that doll, there's an even smaller one, and so on? It's a dusty, antiquated metaphor, but it works like a charm here. So buckle up, buttercup, and let’s take a joyride.

We're all tempted to go on a veritable spending spree when setting up storage solutions, but bigger volumes and faster speeds can lead to financial heartbreak if you're not careful. Instead of selecting the fanciest, largest option, think about what your actual needs are. Do you need a monster truck, or will a minivan suffice?

Performance and Durability

Meeting the right balance between performance and cost can be a bit of a tightrope walk. AWS offers multiple storage classes in S3 that cater to different use cases and cost points. For instance, using S3 Standard for frequently accessed data, S3 Infrequent Access for less frequently accessed data, and Glacier for long term archiving of data can provide substantial cost savings.

Optimizing performance has significant bearings on the cost. EBS, for instance, offers different volumes such as General Purpose, Provisioned IOPS, and Magnetic, each with their own performance characteristics and cost implications.

Staying Secure, Staying Cost-Effective

Security should never be compromised when creating cost-optimized solutions. Encryption, both at rest and in transit, is available for all AWS storage services. Don’t worry, it doesn’t cost an arm and a leg. Some services like S3 allow you to automatically apply policies, cutting costs by reducing the need for manual management.

In conclusion, each AWS service has its strengths and weaknesses, but being familiar with them is the foundation of designing a cost-optimized solution. Remember, you’re not just assembling a jigsaw puzzle, you’re crafting a masterpiece. And just like a master painter ensures every color, every stroke adds value to the final piece, so should you ensure every choice you make while designing AWS storage solutions is warranted and economical. Because, as you now well understand, every penny counts.

The Art of Pinching Pennies: Designing Cost-Optimized Storage Solutions on AWS