PokerStars screws affiliates....

WCD Admin

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If someone reads this differently, let me know. Looks like lifetime residuals are being taken away (in other words, PokerStars is changing the definition of lifetime!) and instead we only get 2 years of payments. All in the name of growing poker!! yeah right!
Dear bernard ,

As we look towards the future, PokerStars wants to significantly grow the game of poker by introducing the game to new audiences and continue to acquire recreational players. Consequently, we are announcing plans to rebalance the PokerStars affiliate payment program.

Our existing agreement with you requires us to give 14 days’ notice of changes, but in this instance, we will give 30 days’ notice, so these changes will take effect from June 1, 2015.

From June 1, 2015, PokerStars will pay revenue shares to affiliates for only the first two years of activity on a player’s account. This will affect all referrals by affiliates, including retrospectively affecting those players referred prior to 1 June, 2015.

We believe that this change will ensure that the PokerStars affiliate program rewards affiliates who join PokerStars in introducing the game to new audiences, rather than the current program which disproportionately pays affiliates for rake generated by existing players.

Over the last few years, the global online poker industry has changed significantly, and we must change with it. Unfortunately, the realities of today’s marketplace means that fewer and fewer new player acquisitions are coming from affiliate marketing. As a result, we must rebalance the incentives to benefit affiliates who maintain and grow new player acquisition.

We recognise that this will have a significant impact on some affiliates. Consequently, PokerStars is launching a series of new and exciting efforts to drive significant growth in the poker economy. We believe that these efforts provide a great business opportunity for affiliates who choose to join us in growing the poker world.

We have three primary plans for growing poker:

1. Entering new markets;

2. Creating consumer demand and excitement through innovative marketing and promotions that can reach mainstream audiences;

3. Continue to innovate with new and exciting forms of poker that will appeal to wider demographics.

This means that PokerStars will invest more (in terms of both staff time and direct expenditure) in marketing the game of poker to new audiences. Affiliates have an opportunity to support these marketing efforts and benefit from PokerStars’ new investments in growing poker.

In the short term, we will focus on attracting new customers and growing the game, while we are laying the grounds of acquisition-driven affiliate programs across all of our products in the long term.

We believe that players will not see any direct impact on their playing experience. However, by spending our marketing funds on attracting new players to the game, rather than on paying for past marketing efforts, we believe that we will be able to grow the game of poker. Growing the game of poker, and introducing new players to the game, will benefit everyone who loves poker.


Kind Regards,

The PokerStars Partners Team

Lucky us, they gave us 30 days to prepare for the fleecing!
 

Guard Dog

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Pokerstars is officially rogued here at AGD [now]. A real business is not actually allowed to change contracts like this. This simply means that Pokerstars is showing that they are a rogue operation with ZERO business ethics. Horrible to treat those who got you where you are this way. If it weren't for affiliates - Pokerstars would never have had the money to get where they are today. Very nice of them to shit on their partners this way.

Pokerstars Management, Directors = NO ETHICS = ILLEGAL BREACH OF CONTRACT
 

CygX1

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Villa Seminia 8... Over and over.
 

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Guard Dog

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Villa Seminia 8... Over and over.

So..... that is just an address, correct? Home of Digimedia and all their casinos... And Roxy, Lucky247, and a bunch more.
 

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CygX1

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So..... that is just an address, correct? Home of Digimedia and all their casinos... And Roxy, Lucky247, and a bunch more.

Correct. This house is the home of Buffalo, Fortune Lounge and other highly reputable operators.

xxx.cybergamingconsultants.com
 

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A reminder is sent to all affiliate managers.
 

TheGooner

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Haven't had anything to do with Pokerstars for years ... but always appreciate the notifications and discussions ... As it prevents us from wasting time on them in the future.

So thanks to all for posting.

The email is a fascinating line of bullsh!t ..

To Paraphrase : Affiliates are bringing in less and less new players - so PS will cut commissions to 2 years to see if the will motivate them?

All that is going to motivate is churned accounts.
 

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Frank

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Dear bernard ,

As we look towards the future, PokerStars wants to significantly grow the game of poker by introducing the game to new audiences and continue to acquire recreational players. Consequently, we are announcing plans to stiff affiliates of the PokerStars affiliate payment program.

Our existing agreement with you requires us to give 14 days’ notice of changes, but in this instance, we will give 30 days’ notice, " A full extra two weeks in return for your lifetime commissions as previously agreed" these changes will take effect from June 1, 2015.

From June 1, 2015, PokerStars will pay revenue shares to affiliates for only the first two years of activity on a player’s account. This will affect all referrals by affiliates, including retrospectively affecting those players referred prior to 1 June, 2015.

We believe that this change will ensure that the PokerStars affiliate program screws those affiliates who join PokerStars in introducing the game to new audiences, rather than the current program which proportionately pays affiliates for rake generated by existing players.

Over the last few years, the global online poker industry has changed significantly, and we must change with it. Unfortunately, the realities of today’s marketplace means that fewer and fewer new player acquisitions are coming from affiliate marketing. As a result, we have decided to hammer some more nails into the coffin and make our program a non affiliate friendly company to do business with and will appreciate if you join one of our fairer competitors in this lucrative but tough market..

We recognise that this will have a significant impact on some affiliates "Our most loyal ones which have helped us become who we are today". Consequently, PokerStars is launching a series of new and exciting efforts to drive significant growth in the poker economy. We believe that these efforts provide a great business opportunity for affiliates who choose to join us in growing the poker world.

We have three primary plans for growing poker:

1. Entering new markets;

2. Creating consumer demand and excitement through innovative marketing and promotions that can reach mainstream audiences;

3. Continue to innovate with new and exciting forms of poker that will appeal to wider demographics.

This means that PokerStars will invest more (in terms of both staff time and direct expenditure using your commissions which we had previously budgeted for affiliates) in marketing the game of poker to new audiences. Affiliates have an opportunity to support these marketing efforts and benefit from PokerStars’ new investments in growing poker.

In the short term, we will focus on attracting new customers and growing the game, while we are laying the grounds of acquisition-driven affiliate programs across all of our products in the long term.

We believe that players will not see any direct impact on their playing experience. However, by spending our marketing funds on attracting new players to the game, rather than on paying for past marketing efforts, we believe that we will be able to grow the game of poker. Growing the game of poker, and introducing new players to the game, will benefit everyone who loves poker.


Kind Regards,

The PokerStars Partners Team
 

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A reminder is sent to all affiliate managers.
 

AussieDave

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Any program who contractually states, earnings on the life of a player &/or a base commission percentage, BUT then at a later date recants, with the use of retroactive contractual changes, should be Rogued. No if's, NO but's. Granted PS is in the DogHouse already...

So I'd personally like to see this rule become mandate at AGD. Too many programs are moving the goal posts to suit their own agendas and cutting the poeple out of the picture, who, are responsible, for their success.

These places earn money, from a referred (tagged) players, if a player stops playing then, no one earns. However as long the cash continues to flow, then the referring affiliate SHOULD be paid the promised and agreed terms, to which they signed up to.

It hasn't happened so far so I don't expect it will BUT if anyone or a class action was taken out against a program, who retrocatively changed their contractual terms like this, irrespective if it's claused in the T&C's with, we can change this at anytime, or not... More than likely, the ruling would be in favour of affiliates. These sort of stunts are pulled because the programs are fairly confident no-one will challenge them in a court of law.

I doubt any sole affiliate could afford the fight BUT a class action could ;)
 
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Any program who contractually states, earnings on the life of a player &/or a base commission percentage, BUT then at a later date recants, with the use of retroactive contractual changes, should be Rogued. No if's, NO but's. Granted PS is in the DogHouse already...

So I'd personally like to see this rule become mandate at AGD. Too many programs are moving the goal posts to suit their own agendas and cutting the poeple out of the picture, who, are responsible, for their success.

It has always been this way. Any retroactive term which adversely affects affiliates has been met with a ROGUE tag. It will always be that way here.
 

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dannyj

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It's been a few days into June so I'm seeing the real impact this has on us (a super affiliate). As an affiliate that has been promoting PokerStars for over a decade, and a big referrer of players during the poker boom, these changes are massively devastating. 96% of our revenues vanished.

I'm surprised that the big affiliates have not discussed a class action suit - isn't this a breach of contract and actionable?
 

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3joker

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That's just terrible to hear dannyj. I hope they don't get away with this. Personally I don't promote poker, but if one of the big casino affiliate programs would do this it would be a disaster. Hmm... I hope I am not giving them any ideas now.
 

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AussieDave

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isn't this a breach of contract and actionable?

I'm not a lawyer but...

Most if not all affiliate T&C contracts have words to the affect of... We can ammend; change; alter; these terms when ever we like.

However just because this clause(s)exists in a contract, doesn't make it legally binding or even legal per se.

A legally binding contract must be fair to BOTH parties. Of course the only way to challenge such a contract is to take legal action and let a court decide.

Most, if not all lot of all aff T&C's/contracts (same goes for player T&C's/rules). If a decent lawyer got hold of these in court, he/she would have a field day. Hence I'm sure if a class action was intiated, affiliates would have a good chance of winning the case.

What these programs/casinos bank on is, no one will take them to court ;)

Things like this though can be a drawn-out and very costly. Hence why a "class action" would be the best way to go.

Affiliates who signed up with PokerStars (or any program) and were promised "life time revenue", then that exactually what they are owed - life time revenue for the life of the player. And at the nominated % rate (rev share deal), when that click wrap contract was accepted.

Reiterating these programs win out only because, no-one legally challenges them!
 
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dannyj

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Right, I believe that this PokerStars amendment is simply not fair and pretty sure a court would agree. Our site developed poker players, we offered strategies and discussions. Players analyzed each other's play and learned from each other, becoming better players. Small-stakes players that came from our site are now some of the biggest online poker players in the world. We helped create and development them, which takes time, and now they are all taken away.

I think PokerStars has to be challenged in some way because this single act could cause irreparable damage to the entire industry. If PokerStars can get away with this, what would prevent every other poker, casino, and sportsbooks site from doing the exact same thing... tomorrow. Since the announcement, I've been racing to set up CPA accounts with all my operators for fear of this, but many operators are very hesitant to set up CPA's, and in my experience, CPA earns you less over the long term on a quality site.

I hope other poker affiliates chime in on this thread.
 

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war10ck

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I posted on this previously, I was also dumped.

This happened after Amaya bought them out. Aside from a lawsuit, I proposed another way we can fight back as affiliates.

They are trying to expand and enter the casino market now, so that is something we can do something about. Band together and blacklist their casino and let them know they can shove it if they contact you for promotion.

It will be very difficult to get the people that are still making money on poker players to dump them, they don't want to give up the revenue.

They are the biggest poker room in the world so they think they can get away with it, and maybe they can. I guess we will see.
 

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Stars Affiliate Club (previously Pokerstars)
INFO

  1. AGD Terms Certification:
    Rogue
  2. Untagged Cross-Promotion
  3. Have Retroactively Changed T&C's?
    Yes
  4. Have Negative Carryover?
    Yes
  5. Are Casino Earnings Bundled?
    Yes
  6. Missing Admin Fee:
    No
  7. Ambiguous Termination Clause:
    No
  8. T&C updates not emailed:
    No

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