Despite millions spent on incentives, Arbitrum’s efforts to attract users have not been successful, according to a new report from Web3 marketing studio Pink Brains. The agency says that while the DAO has attempted to increase its network activity, gains were short-lived and metrics quickly declined after campaigns ended. Pink Brains highlights three key issues: lack of off-chain marketing, weak tracking of crucial performance metrics, and inadequate analysis of return on investment (ROI). 21% of protocols surveyed by Pink Brains revealed they were unaware of their customer acquisition cost, indicating a lack of insight into campaign effectiveness. The report further emphasizes the importance of understanding user lifetime value as a vital metric to gauge success, which was notably absent in the assessments.