Affiliate marketing has come a long way from a discredited branch to one of the most sought-after online promotion tools. Nick, CEO and co-founder of Alpha Affiliates, will share information regarding the features of affiliate programs in gambling, as well as explain what is their application and tell about the dynamics of their development.
In order to get a deeper insight into the industry – also follow news about gambling in different countries of the world.
If to leave out the long and complicated history of affiliate marketing, it will turn out that at present, the tool is one of the most effective and efficient in terms of promoting goods and services in the online field. In order to back up this opinion with supporting evidence, we would like to note that according to current data, 81% of brands use the opportunities of affiliate marketing.
Since one of the main difficulties of the direction is the search for reliable partners among the number of partner companies, we decided to turn to industry representatives who offer the most successful solutions – Alpha Affiliates.
The experts agreed to provide information on the market’s work using their own activities as an example, explain the nuances of working with the gambling environment, and tell how the segment’s work has changed in recent years.
Note: Alpha Affiliates is a partner company specializing in working with European gambling companies. It has been presented on the market since 2012. The company focuses on interacting with a number of licensed online casinos operating in European countries. The main features of Alpha Affiliates are reliability, stability, and customer focus.
Currently, they represent seven brands: Crazy Fox Casino and E Slot (both are presented on the markets in Switzerland, Austria, Canada, Cyprus, Netherlands, Malta, Hungary, Germany, Denmark), Loki Casino, Golden Star Casino, and Guns Bet Luck n' Load (all three are available in Denmark, New Zealand, Belgium, Hungary, Italy, Czechia, Slovakia, Latvia, Mexico, Slovenia, Switzerland, Malta, Brazil, Austria, South Korea, Canada, Cyprus, Argentina, Iceland, and Japan), Webby Slot (presented in Denmark, New Zealand, Belgium, Portugal, Lithuania, Luxembourg, Canada, Finland, Portugal, Ireland, Greece, Switzerland, Estonia), and Megapari (the project is available privately).
How does an affiliate program work?
“To start the work of the affiliate program, the business owner needs to register in one of them and offer his/her product or service. The business owner’s goal is to attract as many customers as possible. Further, companies like Alpha Affiliates place an offer on their online platforms where webmasters and arbiters gain access to advertising materials. It is through them that customers will learn about the new product,” explains Nick, CEO and co-founder of Alpha Affiliates.
If the business owner cooperates with several partner companies at once, special links containing partner identifiers are used to determine who the new client comes from. Using this mechanism, the system accurately sends a commission to the partner who brought the client.
One of the most important aspects of affiliate programs is choosing the principle of paying affiliate services. Such conditions are always negotiated in advance. It should also be noted that different types of affiliate programs imply different conditions regarding remuneration.
There are some of the most common affiliate marketing fees. The first of these is the payment per sale (better known as Cost Per Action). Everything is extremely simple here: according to this approach, a resource that has placed advertisements on its website receives a reward only if the customer makes a purchase.
“CPA (Cost Per Action) is a certain type of affiliate programs in which payment is made for actions performed by the user on the business owner’s page,” Nick explains.
According to the representative of the company, this method is more suitable for making fast money. As part of this approach, just going to the site is not enough. As a rule, the point is that the new user must register on the advertiser's website, leave a comment or subscribe to the company’s newsletter. The actions may also include passing a survey, downloading a product, or replenishing an account.
The long-term perspective – RevShare
“There is another model of the affiliate program – RevShare, or Revenue Share. Its essence lies in the receipt by the partner of a certain percentage of the profit. In the case of online casinos, this, for example, might be a percentage of NetRevenue players who came earlier due to advertising on an affiliate site. The main advantage of working with Alpha Affiliates is the introduction of the RevShare model without administrative and other hidden fees. At the same time, all brands involved in the affiliate program work independently,” the company representative explains.
As Nick says, in RevShare, interest is calculated both from positive and negative NetRevenue values (gross casino revenue from each player). But a negative commission is not carried forward to the next reporting period, which is very beneficial for affiliates. He explains that RevShare is an affiliate program with a long-term perspective, unlike CPA, because RevShare is a constant income from each brought customer.
At the same time, the expert emphasizes that under good conditions, CPA can also be a great option. However, in his opinion, you should not dwell on only one type of program, both are worth a try.
Among other things, affiliate programs may involve cooperation with sub-affiliates. In the case of Alpha Affiliates, the company offers them 5% not from the partners' earnings, but from the number of players, as well as receiving API statistics. In addition, the Postback option is provided. This is a service that provides the arbiter with the opportunity to receive comprehensive information about traffic.
To track online advertising campaigns, Alpha Affiliates provides the ability to use a specialized parameter in the URL – UTM tags.
What is a quality mark in the industry?
“For our company, it is extremely important to carry out high-quality work with players through various communication channels – by phone, email, instant messengers, or social networks. Working with VIP players requires special attention, therefore, for this type of communication, we hire managers who maintain communication with customers,” explains the representative of Alpha Affiliates.
It is worth making a separate emphasis on the fact that the company does not accept motivated and scheme traffic. And as an additional bonus, there is round-the-clock support of partners.