Great breakdown. I think it is tempting for brands to see this "success" from fintechs and want to push budget into a big giveaway without considering the user funnel or larger conversion/revenue goals a brand may have.

It is all about CAC for these fintechs. The initial user signup is conversion one, but also the conversion into a card holder, or the ultimate conversion: using that fintech service as your primary or secondary bank.

These campaigns also seem to work really well for apps with a network effect. Cash App and Venmo can get more out of these because they already have a base of users and awareness. This provides a level of trust. Helps customers feel comfortable/confident when sharing the giveaway with their connections.

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