Just an idea, but I think that the further an arrow flies the more damage it should do. This would reward players for skillful prediction. Imagine that the arrow, once it is sent, gathers momentum for a short period due to a boost mechanism (and this could better explain and justify the stupid red trails they leave) and therefore the further it travels the harder it hits and thus the greater the damage.
Before I send it up the chain, what do you guys think?