Understanding the Three Affiliate Models

Before deciding, it's essential to understand how each affiliate model functions in the iGaming space.

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1. Revenue Share

Affiliates earn a percentage of the net revenue their referred players generate.

• Passive, long-term income for affiliates
  
• Cost-effective for operators over time
  
• Ties affiliate success to player retention
  

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2. CPA (Cost Per Acquisition)

Affiliates are paid a flat fee for each player who meets specific criteria (e.g., deposits and plays).

• Higher upfront cost for the operator
  
• Ideal for fast user growth
  
• Attracts affiliates who prefer quick payouts
  

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3. Hybrid

Combines both Revenue Share and CPA—affiliates receive a smaller upfront fee and ongoing revenue.

• Balanced incentive model
  
• Appeals to both short-term and long-term affiliates
  
• Requires careful structuring to stay profitable
  

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When Revenue Share Works Best

Revenue Share is ideal for casinos focused on long-term retention and lifetime value. It encourages affiliates to bring quality traffic, as they only earn when the player continues to deposit and play.

Best suited for:

• Established casinos with strong retention tools
  
• Platforms with high player lifetime value (LTV)
  
• Markets with high competition and savvy affiliates
  

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When CPA Might Be Better

CPA is helpful if you're trying to scale fast and are confident in your onboarding and retention funnel. You're paying per result, but you absorb the risk if a player doesn’t stick around.

Best suited for:

• Newer brands seeking rapid player acquisition
  
• Short campaigns or influencer-led traffic bursts
  
• Operators with strict KYC and fraud prevention
  

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When to Offer a Hybrid Model

Hybrid models attract a wider range of affiliates. You reduce the risk of overpaying for poor traffic while still offering affiliates long-term earning potential.

Best suited for:

• Mid-sized casinos with steady growth
  
• Campaigns that require flexibility
  
• Affiliates are testing your brand before committing long-term.
  

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Factors to Consider Before Choosing a Model

The “best” model isn’t one-size-fits-all. Align your decision with your business goals, marketing budget, and user retention strength.

Key considerations:

• Your average player LTV
  
• Churn rate and first deposit conversion
  
• Marketing budget and risk appetite
  
• Quality of affiliate relationships
  
• Market maturity and regulation
  

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Structuring Your Affiliate Program Wisely

Regardless of the model, your affiliate terms must be transparent and competitive. Affiliates will compare offers closely.

Best practices:

• Define commission tiers and rules clearly
  
• Include safeguards against bonus abuse or fraud.
  
• Provide real-time dashboards and data access.
  
• Offer prompt, reliable payouts.
  

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Conclusion

Choosing between Revenue Share, CPA, or Hybrid isn’t just about payouts—it’s about aligning incentives. Each model serves a different purpose depending on your growth phase, goals, and traffic quality.

Test, measure, and adapt your affiliate offers regularly. A well-aligned affiliate program can become your most powerful—and cost-effective—acquisition channel.