Cpa?

[Robin Leijon]

I understand that "Revenue Share" is the best alternative in most cases; but is there any case / affiliateprogram that CPA is to consider?

I've only worked with Revenue Share before, so I don't really have a experience with CPA.

[kidd75219]

I only do revenue share. With CPA, if the programs are not happy with the quality of your players, they may close your account. If they are happy with the quality of your players, you should be earning more.

[MichaelCorfman]

There are several situations in which CPA can be preferable.

1. As an affiliate you receive all of your earnings for delivering a player up-front while the gaming site earns this money over time. Thus a CPA arrangement will frequently return better near-term cash flow. On the flip site, they typically deliver poorer long-term cash flow.

2. The gaming site absorbs more risk. For example, a CPA bounty for a US player on a site that stopped accepting US players a little later had the gaming site pay a bounty for a player they were not able to keep. Of course, the current consequence is that CPA deals are often not as attractive now as they were before.

3. It is argued by some that the legal risk of an advertiser being considered to be aiding and abetting is somewhat lower with a CPA versus a revenue share arrangement because the connection to actual gaming site revenues is weaker. Better still is PPC (pay per click), and then CPM (pay per banner impression), and then flat fee.

Michael

[WinYourWayKyle]

If you are looking for a quick dollar, then I would recommend CPA, but if you are in this industry for the long run, and are looking to make a good buck, then Revenue Share is for you.... It kind of depends what your intentions are for working in this industry.....

Cheers and Best Of Luck,

[slotplayer]

Some groups offer a wager share model as well like Fortune Affiliates and Casino Rewards.

You need to get a lot of frequent play though to earn anything with these models, however the good thing is a winner won't wipe out any earnings.

Cheers,
Slotplayer

[matted]

Also, remember with CPA you have no long term relationship with the program. So if they start screwing affiliates, you can get out with no additional financial damage.

Many have moved to a system where you must bring in a new depositing customer every X days or face lower commission, no commission, or termination of contract. Or, if an affiliate program goes rogue, it is harder to kiss them goodbye if you are bringing in good residuals from old players. CPA keeps you free and clear of these situations, which seem to be on the rise.

That said, the potential financial benefits of rev share are so much greater. As soon as you get a player who drops 10K/mo for a few months you forget CPA is even an option.

[Enke]

I think everyone's situation is a bit different. My background involves much more poker affiliate marketing than casino. However I have promoted a few casino's and actually been thankful I chose rev. share on those deals.

I think with casinos, if you are a legitimate affiliate driving even a moderate amount of players, you will be much happier on revenue share. Those who have been around for a while can all remember the excitement when checking their stats and realizing they signed up their first whale, or someone who was very rich.

However like Michael said, CPA is faster money and essentially an advance on future play from that player.

The fundamental problem with CPA from an affiliate manager standpoint is this:

Affiliates will send all their buddies or mates and instruct them to deposit minimum's and play the minimum amount of hands. I didn't realize how BIG of a problem this was until I started my own network. It's actually quite sickening how many of these idiots we have running around this industry.

This is the exact reason many rooms are reluctant to give new affiliates good CPA rates, and the reason they all reserve the right to not pay affiliates if they are not happy with player values.

If you're an affiliate thinking of being in this business for more than a few months, this is a terrible business model and will get you blacklisted everywhere. Likewise CPA fraud is so obvious and you more than likely will not even get paid on all your buddies signing up.

This is a great thread and I always enjoy a good CPA vs. MGR discussion.....hopefully we can get some more opinions going.

[TheGooner]

Affiliates will send all their buddies or mates and instruct them to deposit minimum's and play the minimum amount of hands. I didn't realize how BIG of a problem this was until I started my own network. It's actually quite sickening how many of these idiots we have running around this industry.

While this might be happening ... I think that the assumption that this is webmasters colluding is cynical and in many cases wrong.

I run a busy gambling portal site - it has an active forum - and as you might expect there is a cliche of experienced gamblers. Perhaps 20-30 hardcore regulars.

I know that when I certify and announce a new program onto the site that offers a signup bonus that these players will nearly ALL act as bonus whores to hoover up the FREE CASH.

And unless the program is really top notch only a few will retain the program as a mainstay of their betting - as they've all got comfortable where they are.

I do not know any of these players offline - indeed I doubt any of them even live in the same country - but you might jump onto the collusion bandwagon.


Basically CPA is a poor solution - as one side or the other (affiliate or program is either recieving too little / or paying too much).

[aksana]

I prefer only revenue share, and recommend everyone. For example, my friend launched a gambling site in 2001, and he always uses rev share, because he is very lazy. He developed his site and he hasn't been working for more than 2 years with his site but he is still earning money from his site.

[alin04]

I know it is old thread but what do you thing now about CPA? All of you said that revenue is the best option.But after what happened with betfair and Blue Square I don t think only revenue in these days is the best option.Maybe half on the bookies on revenue and the other half on CPA is a good idea on 2013.