In a nutshell, we agree that Rake Back programs are not profitable and or sustainable for affiliates in the medium to long term, and the cost to the industry in terms of profitability and the proliferation of a negative player values and culture is too high.
Fortune Affiliates therefore does not encourage rake back programs, and will consider taking more definative actions against it going forward.
Thank you Brad.
This attitude is hopeful – you do recognize the bad influence on player culture. That is something I haven’t heard anyone state before.
I am also glad to hear you are considering taking more definitive action against it – I will be looking for a statement that you have decided to prohibit affiliates from offering rake back for your rooms.
Meanwhile, non-rakeback affiliates currently conducting a profitable partnership with you will have to watch their bottom line carefully. If the affiliate’s sign ups go down, or your revenue gets stagnant in this growth industry, or even declines, chances are that rakeback offers for these rooms have permeated this particular affiliate’s player source and s/he is starting to lose money.
I want to thank Brad for his cooperation and his clear and open view of the matter. Hopefully we will hear more soon.