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  1. #1
    Banned from CAP Fergie's Avatar
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    Default Prepaid advertising question.

    If a casino program contacts you and makes an agreement to pay you $XXX for a certain amount of exposure for a set amount of time, can you expect to actually owe them money after the agreed term if the casinos do not earn you $XXX in commissions?

    This happened to me over a year ago, and I'm very interested in hearing responses. It said nowhere in the agreement that the payment was anything other than payment for exposure/advertising.
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  2. #2
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    Default

    If you agree only on certain amount of exposure for a set amount of time and you won't send them any players, you will not owe them anything.
    Tom
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  3. #3
    Banned from CAP Fergie's Avatar
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    Default

    Thanks.

    I'm not concerned about owing them money, per se, I'm interested in the commissions that have accrued since the prepaid term ended over a year ago.

    Since I removed them from the sites almost immediately, the commissions 'earned' since then are under 2K, but still...

    If I had known they would do this, I would definitely not have taken them up on their offer. I warned them that the traffic was down at the time they made the offer. Hell, I flat out told them it was too much money for the space they were interested in, but they insisted.

    Interestingly enough, the previous month a microgaming program prepaid for less exposure and more money and we managed to do better than the payment in commissions - however I had already been promoting that program and had existing players as well.

    The program I am complaining about was new to the site, so no players at the start. Combine that with a drop in traffic at the time, and they can't say I didn't warn them!
    Last edited by Fergie; 08-06-2006 at 12:42 PM.
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  4. #4
    Moderator - Big Kahuna Dominique's Avatar
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    Default

    You have to set rules and get them in writing if you deal with media buys.
    dominique




    A successful man is one who can lay a firm foundation with the bricks others have thrown at him.
    David Brinkley
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  5. #5
    Banned from CAP Fergie's Avatar
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    Default

    It was in writing.

    3 months, XXX dollars, for ads here, here and here.

    That's it. XXX dollars + XX% commission on any amounts earned above the prepayment. No mention of anything below the payment amount.
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  6. #6
    Moderator - Big Kahuna Dominique's Avatar
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    Sounds like the intent was a flat rate ad, which reverses to rev share should rev share exceed the flat rate.

    Not sure if you had it worded right, so not sure if you would have a leg to stand on legally.

    Ethically though, the program is in the wrong if that is the deal you made.

    Media buys can be tricky.

    Some programs I would not touch with a ten foot pole as far as media buys go.
    dominique




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  7. #7
    Banned from CAP Fergie's Avatar
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    Yes, I learned this the hard way with this program.

    To date, they have earned more than they paid, and still would even if they were to pay me commissions earned after the contract expired.

    It's a playtech group - big surprise!

    The irony is that, if they had just kept the agreement as stated, I wouldn't have taken down their casinos, and we could have made a lot more money together.
    Last edited by Fergie; 08-06-2006 at 02:52 PM.
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  8. #8
    Moderator - Big Kahuna Dominique's Avatar
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    I'm pretty sure I know who you are talking about.

    Always looking for the immediate buck, never looking ahead seems to be the motto there.
    dominique




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    Default

    Quote Originally Posted by Dominique
    You have to set rules and get them in writing if you deal with media buys.
    Sound advice

    Make sure you specify clearly the Flight dates, the exact metric you will be mesuring traffic on, and any extra conditions.

    I worked as a media buyer for a large group for a year, and it's actually a very simple process if you specify everything up front.
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