Bonusgeek wrote:
But saying that large affiliates shouldn’t care whether a program bundled or carried over is simply wrong. I understand your point, you are saying because he/she has so much money coming in that even if he has a large winner he is still likely to pull down a nice commission which is true. However, it is all relative. The bottom line is a carry over or bundle from a large winner is still money out of the affiliates pocket, large or small and just because he has other players that make up for that large win, doesn’t mean it is not money lost. I suppose it just depends on how you look at it. Saying that larger affiliates shouldn’t care whether a program bundled or carries over is just like saying a millionare shouldn’t care if he loses $100k at the casino, just because he has millions in the bank. But if the same guy only had $500k in the bank, then he would care. So it is all relative imo.This is actually a bit academic. When I referred to a “very large” affiliate this was supposed to represent a theoretical statistical construct and was not intended to imply that any “real-life” “very large affiliate” would in reality be strictly indifferent. Rather this is only true in the limiting case of an affiliate with infinitely many arbitrarily small players.
One way to put it would be that as the number of an affiliate’s players playing at each constituent RA casino jointly approach infinity, then (as long as no individual player’s share of total bets is also approaching infinity) the affiliate’s earnings volatility at each casino approaches zero and consequently the affiliate’s preferences for no negative balance carryover and no bundling approach indifference.
In real terms, this means that the larger an affiliate becomes the less important carryover and bundling consequently become.
Bonusgeek wrote:
Perhaps I am disecting your post too much, who knows but for me wagershare is pretty cut and dry.I agree. It is cur and dry. Exceptionally risk averse affiliates would prefer it (if any such affiliates do in fact exist.) Most reasonably risk-tolerant affiliates will hate it, and a few of the larger risk-tolerant affiliates will probably think it’s not all that much worse.
Bonusgeek wrote:
These are just thoughts I have on the wagershare model and are based only on what my gut is telling me. For everyone elses sake I really hope my gut is drunk or something.Unfortunately in this case what your gut to be telling you happens to be in keeping with the constituent economics.