Slots revenue vs earnings.

[Adsly]

Hello everyone, we are a team 2 two affiliates who are new to casino affiliating but have been promoting other products for 12+ years.

This is our second month generating some revenue in casino and I have a question about earnings from slots.
This month we have:
Number of bets: 42844
Turnover: 29401$
Earnings: -208$

Question: what should be the earnings % in the long run from turnover?

[drifter8]

First of all you have to specify these bets are made upon how many players. Thus stated it is too rough picture.

Obviously you have a good number of players. Anyone here will give you an advise to continue bringing in more and more players/ customers from decent programs.
If you feel uncertain about negative carry-over or just negative balance, stick to porgams where such si put to zero at the end of the month.

Give more specific info and many more people/affiliates will continute and get into this thread with a help or advise.

[Adsly]

Yhank you for the reply Drifter8

First of all you have to specify these bets are made upon how many players. Thus stated it is too rough picture.

Slots have been played by 5 players.
If we were to remove all variables and just go with the % that slotmachines are programmed to generate as profits over extremely long-term and large player base. What would be the income % from turnover?

[wolfie]

I would like to add:

The earnings on your players will also be affected by how good your deal is. It makes a huge difference if you are getting 20% on rev share or 50%.

Another thing to take into account is the costs that are deducted by the programme. Some programmes deduct 15%, some deduct 45%.

A good rule of thumb for me is that I should, on average, make around 15% - 18% of the total deposits. If a programme underdelivers, it may be time to try out some other casinos.

[TravG]

Out of curiosity, what other products have you promoted? I think casino affiliation is pretty lucrative but I have never tried anything else. Why I'm curious what other products you have promoted.

Thanks - Travis

[drifter8]

@Adsly - so you want to knwo about the RTP - return to player money form slots. Usually most of the slots pay between 96-97%. If you can think big slots as big bookies, who work on 3 % margin, I guess this will answer your questions.

4-5 % from your turnover could be the most reasonable income, if there are not big deviations and wins from thos players you said.

As wolfie said, 15-18% of the total deposits of players is a reasinable quota, if the program is good.

Also there is a case if from those 5 players one is big ebough to play with big stakes, he can shave up your winnings.

There could be lots of scenarios, but also try to figure our the deductions you have from this casino and fight for a bigger RS %.

[Strider1973]

I'd also say that about 50% of deposits turn into revenues for the casino (50% are withdrawn ). Deduct some fees and use the rev. share you get, and you end up at 10 to 20%.

Chose CPA or hybrid deal if you need cash every month (long term rev share is better IMO, there was a thread here a couple of months ago).

In % of turnover: I don't think many aff programs show the total turnover. But if slot machine payout is 98% then depending on fees and your rev share you end up with maybe 0.5%. But that's long term, -1% as you had is nothing in slots, it could als be -50% or +50% (if you had a big winner in the previous month that didn't cash out). Be patient and look at registrations / FTD, not $ earned per month, as that will fluctuate a lot.

[Adsly]

Thank you for all the replies. Got a better understanding now how to look at slots revenue/earnings.

[Renee]

Turnover is the accumulation/addition of bets. That number can get high very quickly on slots, especially if someone is having a session where they have lots of smaller wins that they are playing back.

For example, someone may have deposited $100 and made 10 bets of $10 with the following outcomes:

Bet 1 - $10. No win. Balance $90.
Bet 2 - $10. $5 win. Balance $85.
Bet 3 - $10. $20 win. Balance $95.
Bet 4 - $10. No win. Balance $85.
Bet 5 - $10. $1000 win. Balance $1075.
Bet 6 - $10. No win. Balance $1065
Bet 7 - $10. $5 win. Balance $1060.
Bet 8 - $10. No win. Balance $1050
Bet 9 - $10. $100 win. Balance $1140.
Bet 10 - $10. $70 win. Balance $1200.

Even though the player has won $1100, the turnover is still only $100. That player now has a balance of $1200 to play with. They could play for hours, and their turnover could go up into the tens of thousands before they lose their balance. At the end of that run though, the player has still only lost $100.

So to relate back to the original question, if you were being paid based on turnover on this player, you could earn a lot more in this scenario than if you were on revshare if the player continued playing. Even if the player kept playing for hours and got their balance to $10k then withdrew, you'd likely make more getting paid on turnover than revshare.

We have a wager/turnover model in our affiliate program.

This can also be called the theoretical model. Reason being, if you were to calculate earnings over 12 month comparing revshare vs the theoretical model, (theoretically) they should even out to be almost the same in earnings. The only difference is that if you're earning on turnover your commission would never be negative because it only goes up when players wager. On the other side, your monthly earnings *should* be steady rather than fluctuating up and down. There will be times where you have players who have sessions where they're wagering for hours which bump the numbers.

The commission is calculated at a percentage of the margin on each bet type. So if the margin on slots is 3% (using a posters example above), and your commisison was 35%, you would earn 1.05% of each bet, regardless of the outcome of the bet. If you're earning on this type of model you stand to make far more than 35% of the player's total deposits whereas if you're on a revshare model, 35% of their total deposit is the most you can make since you're making commission on the player loss.

To use the ops example:

Number of bets: 42844
Turnover: 29401$
Earnings: -208$

The player is obviously up since the earnings are negative. If I'm using the percentage in my example:

29401 * 1.05% = $308.71.

So on this player you'd have earned 308.71 if you were being paid on turnover rather than revshare. If that player went on to play more with their winnings, your commission would keep going up.

Obviously these are perfect examples. I wouldn't recommend it on players who are not slots players since their play behaviour means most of the time you'll earn less on those players. You'll also have slots players who have bad sessions where they have very little amount of smaller wins meaning they wager not much at all. But over a span of 12 months, the amount you earn on turnover vs revshare should even out, you just avoid your commissions being 0 from player wins in a month.

Hope that info is helpful (and I hope relevant).

[wonderpunter]

Turnovers can be huge.. the best way to calculate is deposits, minus bonus minus winnings.. if you are making less than 10% of deposits consitently then the casino isn't performing or giving out too many bonuses. but for that you need a good player base and time to calculate accurately , 25% of deposits is usually a good number to go by, thats how you learn to see whos worth doing CPA rev share or hybrid