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The Incentives Lab
Perverse Incentives · Corporate

Acquisition-Only Marketing

Funnels rewarded for new logos under-invest in retention and lifetime value.

"The leaky bucket has a CMO and a head count."

Quick answer

What is Acquisition-Only Marketing? Funnels rewarded for new logos under-invest in retention and lifetime value. Vanity-funnel KPIs ignore unit economics.

In the wild

Companies with 130% churn proudly hiring more SDRs.

Why it matters in the room

Vanity-funnel KPIs ignore unit economics.

Counter-move

Net-revenue retention as primary growth KPI.

Visual · Counter-loop
INTENDED GOALtargetACTUAL OUTCOMEgamed
Acquisition-Only Marketing routes effort away from the intended target.
Live example · Re-architect Acquisition-Only Marketing

Flip the incentive. Watch the side-effect move.

Funnels rewarded for new logos under-invest in retention and lifetime value. Caught in the wild: Companies with 130% churn proudly hiring more SDRs.

● Live
What gets measured
Headline number the org is paid on
088100
What quietly moves with it
Quiet damage the proxy hides
074100

In the room: Vanity-funnel KPIs ignore unit economics.

Counter-move from the Atlas: Net-revenue retention as primary growth KPI.

How does this land?

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Human Behavior Element™ · HBE Spec

The full taxonomy entry

Every concept in the Atlas uses the same structure — so Acquisition-Only Marketing can be compared, recombined, and cited like an element on a periodic table.

About the standard →
P
AM
HBT-P3469
Official name
Acquisition-Only Marketing
Perverse Incentives · Corporate
Identity
HBT ID
HBT-P3469
Symbol
AM
Official name
Acquisition-Only Marketing
Synonyms
Corporate
Keywords
Perverse Incentives, Corporate, human behavior, incentive design
Version
v1.0
Last updated
Maintained by The Incentives Lab
Classification
Kingdom
Systems
Domain
Incentive Design
Family
Perverse Incentive
Class
Corporate
Element
Acquisition-Only Marketing
Definition
Scientific
Funnels rewarded for new logos under-invest in retention and lifetime value.
Plain-English
Funnels rewarded for new logos under-invest in retention and lifetime value.
Feynman
The leaky bucket has a CMO and a head count.
Core principle
Funnels rewarded for new logos under-invest in retention and lifetime value.
One-sentence summary
Vanity-funnel KPIs ignore unit economics.
Mechanisms
Psychological
Funnels rewarded for new logos under-invest in retention and lifetime value.
Behavioral econ.
Vanity-funnel KPIs ignore unit economics.
Neurological
Reward, threat, and salience circuits bias attention toward the cue.
Evolutionary
Heuristics that paid off in ancestral environments now misfire in modern systems.
Sociological
Group norms and status incentives reinforce the pattern across a team.
Computational
Models trained on biased human signals will replicate and amplify the pattern.
Systems thinking
Feedback loops between metrics, incentives, and behavior lock the pattern in place.
Signals & signature
Inputs (activators)
Companies with 130% churn proudly hiring more SDRs.
Outputs (observable)
Vanity-funnel KPIs ignore unit economics.
Behavioral signature
You see Acquisition-Only Marketing when the explanation for a decision sounds reasonable but the outcome keeps repeating.
Behavioral molecules
Often combines with related Atlas entries — see the rail below.
Pathways · before
A goal, metric, or contract clause makes the behavior rational locally.
Pathways · after
Locally rational choices accumulate into a systemic distortion.
Domains where it shows up
  • Business
  • Leadership
  • Government
  • Healthcare
  • Education
  • Sales
  • Marketing
  • AI
  • Negotiation
  • Media
  • Public Policy
  • Relationships
Examples
Everyday
Companies with 130% churn proudly hiring more SDRs.
Modern
Vanity-funnel KPIs ignore unit economics.
Historical
A pattern repeatedly documented since the foundational behavioral science literature on perverse incentive.
Famous experiments
See the References block — primary papers in the Atlas link out to the original studies.
Design principles
How to leverage
Vanity-funnel KPIs ignore unit economics.
How to reduce
Net-revenue retention as primary growth KPI.
How to redesign
Net-revenue retention as primary growth KPI.
The Perverse Incentive Lens™
How it's exploited
Organizations weaponize acquisition-only marketing — sometimes deliberately, often by accident — when metrics reward the symptom rather than the outcome.
Common perverse incentives
Volume metrics, short review windows, bonus cliffs, and contracts that pay on activity rather than impact.
Failure modes
When Acquisition-Only Marketing dominates, teams optimize for the dashboard while the real outcome quietly degrades.
Incentive redesign
Net-revenue retention as primary growth KPI.
Ethical considerations
Don't engineer acquisition-only marketing into customers, employees, or citizens as a manipulation tactic — design for informed choice instead.
Diagnostic questions
  • Where in our org would Acquisition-Only Marketing most often show up unnoticed?
  • Which metric, ritual, or contract clause quietly rewards Acquisition-Only Marketing?
  • If we removed every payoff for Acquisition-Only Marketing, what behavior would replace it?
  • Who benefits when Acquisition-Only Marketing persists — and who pays the cost?
Organizational warning signs
Metrics
A KPI is hit while the underlying outcome stalls or worsens.
Behaviors
People route around the rule rather than challenge it.
Language
'That's just how we do it here.' / 'The system requires it.'
Culture
Naming the pattern is treated as disloyalty.
Red flags
  • People defend the status quo using the language of acquisition-only marketing.
  • Decisions cluster around the easiest narrative rather than the strongest evidence.
  • New data changes the slide deck but not the decision.
  • Anyone naming the pattern is treated as the problem.
Intervention playbook
Immediate
Make the perverse payoff visible to the people creating it.
30-day
Run a small pilot that pays for the outcome, not the proxy.
Long-term
Rewrite the comp plan, contract, or ritual so the right behavior becomes the easy behavior.
AI considerations
Detect
Audit training data and reward signals for the same pattern this element describes.
Avoid amplifying
Don't optimize models on metrics that already encode the perverse incentive.
Counteract
Use the model to surface where the pattern is most active, then redesign the incentive — not the model.
Measurement
Metrics
Outcome-to-proxy ratio over time.
Assessment
The Incentives Lab III Diagnostic.
Survey
Calibrated pulse questions on rules vs. outcomes.
Behavioral signals
Where people work around the system.
Observational
Where the dashboard and the lived experience disagree.
Scientific evidence
Evidence grade
Synthesized from the behavioral science literature; see Atlas references.
Replication
Tracked in the Atlas as primary, replicated, or contested.
Intervention confidence
Moderate — patterns generalize, mechanisms vary by context.
Research consensus
Broad agreement on the pattern; ongoing debate on boundary conditions.
Known limitations
Local context, culture, and incentive structure all change the strength of the effect.
Open questions
How does Acquisition-Only Marketing interact with AI-mediated decisions at scale?
References
Meta-analyses
Tracked in the Atlas registry.
Seminal authors
Kahneman, Tversky, Thaler, Ariely, Cialdini, Ostrom, Simon — and the field they built.
Cross references

Every Atlas entry is a node in a knowledge graph. See the related rail below to follow the connections.

Disciplinary layers

See Acquisition-Only Marketing through 2 lenses

Each layer of the Incentives OS reframes this concept with its own thinkers, vocabulary, and diagnostic question.

Test yourself · 60 seconds

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Go deeper

Worked example, counter-example & concept map

On-demand AI analysis grounded in the Lab's research. Cached on your device after first run.

How this lands in you

Your nervous system has a region for this.

Primary region
Striatum & Nucleus Accumbens

When you encounter Acquisition-Only Marketing, your striatum has built a reward association — and the next time the cue appears, it will push you toward the behavior whether you decide to or not.

Reward learning, habit formation, anticipation, craving, action selection. Habits live here. So do addictions. Variable rewards train this circuit faster than fixed ones.

See Striatum in the Brain Atlas →
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