This isn’t meant to defend anyone who’s defrauding an affiliate program, but it is a suggestion that would prevent a lot of this type of fraud.
If a casino affiliate program wants to prevent CPA fraud, they could have a program where the affiliate gets a high percentage of the customer’s first deposit.
I think the way most CPA deals work now, the affiliate program pays $100 or $150 or something like that for a customer who deposits $50 or so.
In that case a program could easily pay a 100% commission on the customer’s first deposit and still do very well, since most players are going to make multiple deposits. Even if the program paid 75%, the affiliate would have guaranteed income, just like on a CPA deal, and the program would still make plenty of profit because of the lifetime value of a player.
Chargebacks could be deducted accordingly.
I only do rev-share deals, so it wouldn’t affect me one way or the other. But if I were running an affiliate program in this industry, I’d consider something like the above.
Happy to hear other opinions. (And like I said, I don’t make this suggestion to defend anyone who’s trying to defraud a casino. Cheaters never win, IMO, and there’s a lot more money to be made being honest and working hard than by scamming. Everyone in this industry should remember that.)