Everything about Gambling Affiliates 

Legal gambling affiliates play a vital role in the iGaming industry, particularly those specializing in Search Engine Optimization (SEO). But why are they so important? Consider this example: When a consumer in the Netherlands searches for “Online Casino” on Google, the presence of legal and licensed results is essential. 

In the screenshot above, you can see Kansino, a fully licensed Dutch operator, appearing in the search results. Alongside it, Casino.nl, a Dutch gambling affiliate, is also visible. This affiliate operates a website that compares legally approved online casinos, ensuring users access only legitimate and regulated options. 

If legal gambling affiliates were to disappear, search results would be dominated by unlicensed and potentially unsafe online casinos. This highlights the critical role these affiliates play in maintaining a safe and compliant online gambling environment. 

Now, you may be curious to learn more about how gambling affiliates operate. In this article, we will explore the following key aspects: 

  • How do gambling affiliate deals work? 
  • What are the most lucrative markets for gambling affiliates? 
  • How do gambling affiliates ensure compliance in an increasingly regulated iGaming landscape? 

Join us as we delve into these topics! 

How do gambling affiliate deals work? 

Gambling affiliates earn money through different types of deals with online casinos. These deals vary based on the affiliate’s size, influence, and the casino’s preferences. Below are the most common types of affiliate agreements: 

Flat Fee Deals Large affiliates often secure flat fee deals, where they receive a fixed payment for placing a casino in a top 3 or top 5 position on their website. This model provides stability for affiliates and guarantees exposure for casinos. 

Cost Per Acquisition (CPA) With CPA deals, affiliates receive a one-time payment for every First Depositing Player (FDP) they refer to a casino. The amount varies depending on the market and the casino’s expectations, but it typically ranges from $50 to $500 per player. 

Revenue Share Revenue share agreements allow affiliates to earn a percentage of the net revenue generated by the players they refer. These deals are usually lifetime agreements, meaning the affiliate continues earning as long as the player remains active. Revenue share percentages typically range from 20% to 50%. 

Hybrid Deals Hybrid deals combine CPA and revenue share models, allowing affiliates to receive an upfront payment per FDP while also earning a percentage of the player’s lifetime revenue. This model provides both short-term and long-term earnings. Of course, flat fee options can be part of a hybrid deal as well. 

Tracking and Transparency Casinos track players referred by affiliates through unique tracking links. These links ensure that the right affiliate gets credit for the player and allow casinos to monitor performance. Advanced tracking tools provide insights into conversion rates and player activity. 

Gambling affiliate deals are structured to benefit both affiliates and casinos. By choosing the right deal, affiliates can maximize their earnings while ensuring that casinos receive high-quality traffic. 

Can gambling affiliates make a lot of money? 

Yes, gambling affiliates can indeed make a lot of money. There are some things that are good to know about this: 

  • Casino focus is usually more profitable than sportsbook focus. Casino revenue is generally much higher than sportsbook revenue due to the nature of casino games. Slots, table games, and other casino products have higher house edges and encourage frequent play, leading to greater revenue per player compared to sports betting, where margins are lower and betting patterns are different. In the Netherlands, the Dutch Gambling Authority published revenue numbers over the first 6 months of 2024. The report showed that casino games against the house (slots, table games) where responsible for 72% of the total revenue. 
  • It’s all about deal-making. Being able to negotiate good deals is crucial for revenue. Affiliates who lack strong negotiation skills may end up with less favorable terms that limit their profitability. Successful affiliates often seek high-value hybrid deals that combine CPA (Cost Per Acquisition) and Revenue Share, ensuring both short-term and long-term earnings. 
  • Traffic can be high, but traffic value is way more important. Ranking for the right search terms that convert effectively is critical. For instance, ranking for “online casino” can be very lucrative but is highly competitive. The focus should be on high-converting traffic rather than just high volume, ensuring that visitors actually sign up and play. 
  • Jurisdictions matter. Player value varies significantly by market. Some regions have high-value players who deposit and wager more, while others might have low-value players with minimal activity. Understanding these differences helps affiliates target the most profitable markets. 

What are interesting markets for gambling affiliates? 

Some markets are far more lucrative than others for gambling affiliates. Here’s why: 

  • Lenient legislation: Countries with relaxed gambling laws tend to offer more affiliate opportunities. When regulations are not overly restrictive, affiliates can operate more freely and access a wider audience. 
  • High player value: Markets where players deposit large sums and engage in long-term gaming are particularly attractive. 
  • Examples of interesting markets: Ontario (regulated by the AGCO), for instance, is an appealing market with relatively lenient regulations and high player value. Affiliates targeting such markets can maximize earnings while operating in a stable environment. 

Importance of affiliate compliance 

In the iGaming industry, compliance is becoming an increasingly important issue. Regulations are tightening worldwide, requiring affiliates to be more mindful of legal requirements. 

  • Regulatory scrutiny: Affiliates are either directly monitored by government authorities or must comply with the standards set by regulated casinos. Failure to meet these requirements can result in fines, restrictions, or loss of partnerships. 
  • QMRA membership: Being a member of QMRA (Quality Mark Resonsible Affiliates) is important for gambling affiliates. It demonstrates knowledge of compliance and responsible marketing to authorities, consumers, and operators. QMRA membership reassures stakeholders that an affiliate operates ethically and follows all necessary legal guidelines. 

By understanding these factors and adapting strategies accordingly, gambling affiliates can build a sustainable and highly profitable business while staying compliant in an ever-changing industry.