Just to clarify, you mention a lot about ‘rake’ in particular – are you discussing specifically poker?
I agree with the case of having something documented as proof. This is essential – I’d advise that you have an email that can be verified by another CAP member or notarized – I believe that a public notary can verify and validate emails in this day and age if the email is hosted on a public service perhaps?
Steve has some good points. Again, read my post for other issues surrounding CPA, Revenue Share and Hybrid (combined CPA and Hybrid) deals.
Applause to Steve for bringing a good and beneficial discussion to CAP.
You have some good points as well. You really think things out well. Thank you for your insight. Its great.
I agree, CPA can be good for new affiliates who start out, but in most cases you need to get quality traffic. That is hard to do when you are building a database. You do not have control of your player base or influence.
Therefore, you run the risk of the affiliate program informing you they need to hold your payment until your players rake more. This has happened so many times. Its very well documented.
As a new affiliate, I would not want anyone to go through this, as they put hard work and energy into their new business. Then get the sudden shock!!
So for me if i had to start all over from the start i would choose Hybrid deals.
However if an affiliate works it out with the site that’s fine. But here’s what i think is so crucial. Read the terms of contract is for sure a must.
One other thing as a new affiliate i believe you must ask if you choose CPA solely.
You need to ask your affiliate manager if there are any reasons why a payment for CPA will be withheld for any reason?
I think you need written documentation from your AM that will assure you, you will get paid no matter what. In writing. As there is to much room for error. Reasons for non payment include: rake to low to payout, affiliate fraud, player fraud, and various other things.
For obvious reasons affiliate fraud, and player fraud is a rightful cause for non payment, but low rake from players or poor quality should not.
I do agree if a site comes to you with a concern and says your players are of poor quality we must stop your CPA deal then that is ok, but any money owing should be paid in full as agreed.
That is the cost for allowing CPA for both the affiliate site and affiliate promoting them period.
I have first hand experience with this, so from now on i will only choose rev share, or hybrid deals. While i do this, i always get in writing what the terms are for the CPA release. You simply need to protect yourself and get written confirmation.
So if your payments are stopped, you have proof.. Its so important!!!
I maybe able to give more insight on this later… but sometimes its also worth negotiating a settlement in these cases just to move on. In all fairness to the affiliate sites, you cant expect them to loss money while you gain. Although its their responsibility to inform you when to stop if its an issue of poor quality players.
Anyway i have went through this, so its how i feel about it!!
Steve