Guys I moved this to the private area so we could discuss it openly without worrying about being politically correct or pissing off the aff managers we work with and getting shaved even worse out of spite.
I have talked privately with a few of you about a theory I have that was actually presented to me by a former affiliate manager who claimed it went on with his previous employer… Its called Front Loading.
The way this particular shaving arrangement works is the program actually INFLATES your start up earnings for the first few months. This causes the affiliate to do several desirable things:
1) The Affiliate assumes they have a hot program which is converting well so they give it front page and pop up exposure. They also promote it more heavily in their mailings and newsletters. This is an Affiliate Managers Dream and maximizes their penetration to any existing player base you have.
2) By front loading a few key affiliates (larger Ones AND high profile or vocal ones) the word quickly spreads via the grape vine and message boards that this is the Hot Program Du Jour this maximizes exposure across the board. The casino gets a flood of traffic and branding because suddenly it’s everywhere.
3) After two successful months of front loading you have stimulated a “Loyalty” response from affiliates when you back off on commissions they won’t immediately reduce your exposure. You can coast on the “Gee, they are just having a slow month, but I did good with them before” effect.
4) Fast Forward – Psychological effect #2 People remember the positive, even six months later affiliates will remember those big initial paychecks and continue medium exposure in hopes of hitting another big month with the program.
Front Loading is the MOST EFFECTIVE form of shaving on the planet. I am sure program managers justify the practice as a “Promotional Launch” expense to the casinos. It produces the maximum bang for their shaving buck too.
Think about it, if you shave everyone coming out of the chute you will quickly get a bad rep and no one will promote you, but make a minor investment up front and you are guaranteed up to a year of residual goodwill and featured promotion within the affiliate sector….
Front loading also Fits with the selective shaving model by rewarding the high profile or vocal.
Shaving 101