Individuals who advertise and bring traffic to gambling sites can be affiliates. For example, bloggers who share gambling information and are gamblers themselves are affiliates. Additionally, owners of thematic websites associated with iGaming are also affiliates. The referral links posted by them are what drives traffic to online casinos. Aside from getting money from monetizing their pages with ads, there are other three main payment models for affiliates as discussed below:
RevShare (Revenue Share)
The revenue share method is one whereby the affiliate receives a percentage of revenue earned from the referrals. For example, if a single affiliate has made ten referrals, they can agree to pay the affiliate 15% of the revenue earned from the ten gamblers. This method may be reliable but sometimes disadvantageous to the affiliates. The affiliates will strive to drive more traffic to online gambling, which is good. However, if the referred gamblers win, it becomes a loss to the casino affiliates.
CPA Model (Cost per Action or Cost per Acquisition)
CPA method offers one of the most common methods: to pay for deposits, which sometimes have flexibility in payment for registration and downloads. In most cases, the advertisers pay for new common payers so that if they leave after their first deposit, the affiliates do not get paid by the online casinos. This method is disadvantageous if the affiliate’s site attracts traffic that does not take action. For example, people may visit the sites but fail to register to pay deposits. In such cases, the affiliates may end up not getting payments since no action is taken by the traffic they drive.
Hybrid Model
The hybrid model is one of the most flexible methods. It is a combination of CPA and Revenue Share method. In this method, the affiliate receives a one-time wage for the deposits and other successive amounts deposited. If the affiliate continues to drive quality traffic to the online casino, they may increase their fee percentage. Compared to the other two methods, this method is highly beneficial to both the casino and the affiliate.
Conclusion
Each of the above models is applicable in any affiliate and advertisers contract. Therefore, it is the responsibility of these two parties to examine which method suits their contract. Dues to the conflicting interest of affiliates, it is essential for them to lay out their requirements for the advertisers to know if they have the capability of fulfilling those payment requirements.
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