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Gambling affiliates
and casino portals : how they make their money
You see when a small
operator such as myself has a player hit a big win, there is little
chance we could ever dig our way out of the negative so the casinos
invented the "no-negative carry over" policy in order to keep us
sending them players.
Here's an example.
Lets say that casinoX pays me 25% of the net profit, and I send them
a player who hits a slots jackpot of $50,000. My share on that is
-$12.500. A considerable amount and if the month ends and the next
one starts and I'm still in the hole over $12k, then I'm not going
to be too interested in sending more players to that program because
its going to take a lot of players losing a lot of money before I'd
ever even get back to zero. A person with a player count of say, 100
people, isn't going to be able to absorb such a costly loss like the
casino can, which has thousands of players.
Now when you take into
consideration the gigantic cost of advertising, it just isn't
feasible for me to keep sending players to that program. I'd go
broke paying for my advertising long before I ever was able to again
begin seeing a profit. Gambling is the most expensive advertising on
the net, and needless to say also the most competitive.
So came the
no-negative carry over policy and at least in my case, it has been
the biggest break to date. What happens is that it is true that most
players will give back a good share of a big win,
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