THE WORST USERS COME FROM REFERRAL PROGRAMS, FREE TRIALS, COUPONS, AND GAMIFICATION

Summary from the TLDR Marketing newsletter

Incentivized customers tend to be of lower quality compared to organic ones. They generally have considerably lower lifetime value and engagement. Referral programs, free trials, coupons, and gamification can cause negative selection, increase fraud, and promote cannibalization. A successful acquisition program must prioritize quality and avoid relying solely on incentives to hit its short-term targets.