Thread: Commission Changes

Keep your eyes open for a mailing from Referback regarding upcoming commission changes.

Kamiel will be posting a news release here shortly outlining the new structure and reasons for the modifications.

Prof.

Do you know if these changes will take affect this month, or at the beginning of June?

Hmmm....

I don't understand what has changed besides that your taking 5% off affiliates that don't market your casinos.

Basically people living off "past glory" - i.e: they used to have plenty of traffic, now they have none but are still being creditied with the players - are taking a 5% pay cut. All other affiliates are not affected.

Please correct me if my above translation is wrong, but if I am reading this right RB is simply aiming to make higher profits.

Also, how does this fourth tier help new affiliates?

I am extremely sorry if I am wrong, and disregard my revenue raising comment if I am. But if I am right... I won't say over the net.

I have to admit that I'm dissapointed. A new affiliate model is usualy a good thing for affiliates. Instead this turned out to be a money grab.

In most circles this would be called a negative reinforcement. In other words if affiliates dont perform and keep sending new players you are going to penalize them and reduce commission to a level below what was initially agreed upon.

If you wanted to actually makes affiliates happy, maybe you should have introduced a positive reinforcement. Whereby the commission stays at 25%, unless you send 1 or more new active players in a month and you then move up to 30% irregardless of how much commission has been made.

Seriously when I initially heard rumors about this commission change, i expected a 5% increase. For affiliates that are at the 25% commission level referback is one of the lowest paying affiliate programs out there. Take a look around I'm not making this up. My first impression when I got your email was to delete it and to then go out and delete all of your casinos and poker rooms from my websites. Instead I'll just wait until my scheduled website updates and slowly remove a casino here and there. I cant afford to send traffic to casinos that might reduce my commission when i have a few bad months.

This reminds me of a stunt a pharmacy pulled off just lately. If you didn't send them enough new orders in a month, they would steal your refill commissions. In my opinion this is the same thing but on a smaller scale.

This is especially dissapointing considering all the positive changes at referback lately, such as improved communication & conversions.

Antoine

Hmmmm 25% is the lowest.

Did you guys know that Referspot is giving 40% of the gross win for this month?

Their default commission structure starts at 25% of the gross win.

The GROSS win, not the NET win!! That makes it among the highest commission structures in the industry for the month of June, and even back at the defaut rate, 25% of the gross is significantly higher than the usual NET win commissions.

Referspot represents Microgaming Casinos.

http://www.referspot.com/signup.asp?affid=5947



Please pardon the spam.

Did you also know that Casino Rewards offers 35% flat commission at all times on microgaming casinos?

Also, with 90% of the other casino affiliate networks, if you move up to a higher commission scale due to a good month than you stay at that higher commission forever, no matter how badly you perform the months thereafter.


Unlike 3 years ago referback isn't one of only a handful of affiliate networks to promote. There's dozens upon dozens, and I for one dont like the idea of my commission being held hostage in an effort to claim better exposure.

Antoine

Kamiel -

I'm afraid I have to agree with Antoine. Furthermore, our agreement with you was to receive 25%+ for the life of the player - and thus you would be in breach if you were to cut commissions on existing players to 20% if for some reason we cannot or do not send a player that month.

Accordingly, I hereby ask you to withdraw your plan until such time as you can find a way to apply this policy only to players signed up after the policy takes effect. Alternately, consider moving all the percentages up 5% so that you will remain within the scope of the contract you signed with affiliates up until this point.

Kamiel

I think RB is simply increasing profits. If you really wanted to provide motivation to actively market your casinos you would either:

a) Increase percentage payouts
b) Provide more tools to help affiliates
c) Add more casinos to your program
d) Try to improve player retention/conversion percentages
I'm sure there are many other improvements you could make, and asking your affiliates would give you more ideas than you could handle.

B&D would cost nothing but time. C would eventually help both affiliates and RB.

Decreasing the percentage on the off event that nobody signs up is not very inviting. If nobody new signs up, we not only suffer financial losses of having no new players, but then you go ahead and take an extra 5% off us!