Reply To: Casino CEO sees chance for Internet gambling

When the market is regulated and big companies like MGM enter the industry – these big companies may not need for affiliates coz they can then advertise their big legitimate brands on all mainstream media – or if they did offered affiliate relationships – it will not be along the commission levels most affiliate programs currently offer.

just my 2 cents

It’s possible, but I’d bet they’d still want a piece of the Web. And they’d want to spend their money on targetted traffic if they could. And casino portals have exactly that.

It will be interesting, but if big companies with loads of money ruled out the need for affilliates, then why are people like Virgin, Corals, Ladbrokes and a host of others embracing the affiliate model?

I still think at 25% and bearing in mind it’s paid only in a profit-making scenario, affiliates are a cheap form of marketing with the added benefit of bringing in highly-targetted traffic. It’s one of very very few forms of marketing where you only pay for it if you make a profit. They may start without it, but in time I think they’ll appreciate it’s cost-effectiveness.