CasinoLuck Affiliates Where Net Revenue is not Net Revenue

Discussion in 'General Casino Affiliate Area' started by DaftDog, Mar 2, 2016.

  1.  
    DaftDog

    DaftDog Affiliate Guard Dog Member

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    I've been promoting CasinoLuck Affiliates on my site for a couple of years and very seldom earned any major commission from them. I also never really looked at my stats too closely either. I thought I was on 30% of Net Revenue. Well I am and I'm also not as Net Revenue is not really Net Revenue at Casinoluck Affiliates.

    You see there is a nasty extra deduction called "commadminfee" that is deducted after Net Revenue.

    Added: In the Earnings report my Net Revenue is: €1,253.49, so you would think my commission would be: €376.05. My actual commission for February is €300.84 after the "commadminfee" of €250.70 has been deducted from the Net Revenue figure.

    That's a big-ass fee for managing my affiliate account. :(
     
    Last edited: Mar 2, 2016
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    KasinoKing

    KasinoKing Player turned affiliate.

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    Yes, I knew about this, and it sucks.
    This is the note I have on my master spreadsheet:
    "My agreement was 30%, but somehow I missed until January 2015 that they take a "comm-admin-fee" of 20% off the Net Rev BEFORE the calculation!
    This means I'm actually only getting 24%!"

    Having said that, do we REALLY know what other "hidden fees" other operators are deducting? :(
    I haven't checked my Feb stats yet - I'm now going to look closer at ALL NetEnt based operators and see if there are any other "nasties"...

    KK
     
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    Guard Dog

    Guard Dog Guard Dog Staff Member

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    As an FYI.... Casino Luck is in my new calculations spreadsheet that I am trying to make available to everyone (once completed). Here is their Effective Revshare table based upon the data I have:

    Tier 1: 24.0%
    Tier 2: 28.0%
    Tier 3: 32.0%

    Their admin fee is 20%. Based upon that, you are right in line with the 24% bottom tier. Too bad companies are TOO SHADY to put the Effective Revshare tables up. :(
     
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    Frank

    Frank Affiliate Guard Dog Member

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    20%? so they deduct money from themselves also to pay themselves back? Is this the new thing to claw back earnings from affiliates? forget quotas--
     
  5.  
    Guard Dog

    Guard Dog Guard Dog Staff Member

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    This is pretty typical as of the last couple of years for sure... probably longer. Called 'Admin' Fees. Here are some examples:

    CasinoLuck
    Casino net revenue is calculated as Player bets minus player winnings minus player bonuses minus transaction fees and admin fees.
    Transaction fees are the fees the different payment providers charge on the player´s deposits and withdrawals. This fee is set to 6,5% of all deposits.
    Admin fees are the fees covering the cost of handling the gaming customer. This includes for example finance, risk surveillance and game software licensing. This fee is set to 20%.

    So - it actually looks like my calculations are off. Deposits would eat into your commissions as well.

    Tivoli Affiliates
    a) Net Revenue is defined as: =Bets - Wins - 20% Admin Fee* – Paid Bonuses** – Transaction Costs & Chargebacks - 15% UK Gambling Tax or 19% German VAT

    Honest Partners
    a) The Net Revenue (applying to all products) is defined as: = Bets – Wins – 23% Admin Fee1 – Paid Bonuses2 – Transaction Costs & Chargebacks – 15% UK Gambling Tax3

    Casino Extra Affiliates
    Casino net revenue is calculated as follows: Gross Revenue – 22% Admin Fee

    Definition of Gross Revenue
    Gross Revenue = Total Bets – Total Wins – Payment Transaction Costs – Chargebacks – Bonus Costs

    Definition of Admin Fees
    Admin Fee is a fixed value of 22% which consists of License fees, Game Provider Fees and Platform Fee (Income Access)

    MBit Casino Affiliates
    Commissions are paid out as a percentage of the Net Gaming Revenue.

    a) For Affiliates which signed up after 21st of December 2013:
    NGR = (((Bets – Wins) – Paid Bonuses) - Admin Fee) - Bonus Cost

    Whereof the Admin Fee is a value which contains the License Fee, Game Provider Fee and Platform Fee.

    Yako Affiliates
    Commission structure:
    Commissions are paid out as a percentage of the Net Revenue.
    a) For Affiliates which signed up after the 26th March 2014, the Net Revenue (applying to all products) is defined as; =Bets - Wins - 20% Admin Fee1 – Paid Bonuses2 – Jackpot contributions -Transaction Costs & Chargebacks

    4Grinz Affiliates
    • Commissions are paid out as a percentage of the Net Gaming Revenue (NGR).
    • NGR equals (Bets – Wins) – (Admin Fee*) — (Negative Carryover)
    • The NGR Share is dependent on monthly active users and monthly gaming revenue.
    * Per Coingaming; The Admin Fee is comprised of the License Fee, Game Provider Fee, and Platform Fee.



    I could go on and on and on..... It is a way to artificially increase revshare. So - a program that has a 25% admin fee can say they have 35% revshare as their tier 1 when they really have only about 20%.
     
  6.  
    DaftDog

    DaftDog Affiliate Guard Dog Member

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    [​IMG]

    [​IMG]

    They need to update their website to show 24% instead of the bullshit 30%.
     
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    Guard Dog

    Guard Dog Guard Dog Staff Member

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    I agree. There are many, many programs that need to update their websites :)
     
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    CaseyM

    CaseyM Affiliate Guard Dog Member

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    Guard Dog

    Guard Dog Guard Dog Staff Member

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    Wait... every program definitely does not do this. Not even close. But it is becoming more prevalent.
     
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    KasinoKing

    KasinoKing Player turned affiliate.

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    I think what Casey meant was all NetEnt casinos deduct licensing fees from the gross revenue. It was told a long time ago that it was 15%, but that could be wrong or could have changed, or maybe Luck add another 5% for something else.

    It looks worse at Casino Luck because they list it AFTER net revenue, instead of before it.
    But at the end of the day, all operators deduct this fee, and it doesn't make any difference WHERE it's shown (if at all), the amount of commission is still the same.
    The only bad thing is Luck say 30% of Net Revenue, but the Net Rev figure in their reports is actually wrong.
    They do need to address this.

    KK
     
    Last edited: Mar 3, 2016
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    AussieDave

    AussieDave 17 years & still going!

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    Yeah, themselves :D

    On a serious note... F0r arguement sake, lets say a program is paying 25% on NGR.

    Now lets say I'm in business with 3 partners and we both have equal shares in the business. Which is 33.333%. Hypothetically if each partner had to pay the outgoings etc etc, out of their own pocketed each month, then they'd each pay 33.333%.

    So why is it then that affiliates, who are only on 25% (insert other commssion % here), are slogged 100%?
     
    Last edited: Mar 4, 2016
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    DaftDog

    DaftDog Affiliate Guard Dog Member

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    I sent an email to my aff manager (who is pretty sharp and responds quickly to my emails) regarding this issue. I also included a link to this thread. She forwarded my complaint on to the casino manager who has responded. I'm sure they won't mind the managers reply being posted here.

    ps. thanks for managing my account for free. ;)
     
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    Guard Dog

    Guard Dog Guard Dog Staff Member

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    I find the part funny where he says this:

    No - in fact, the fee for YOU having a casino is what WE pay. Instead of having a cost of business, you force the affiliates to pay your cost of business and artificially inflate your revshare to entice them. lol.

    And, seriously, 'the work we do for free'? That's also the cost of business. Do affiliate programs have NO IDEA how much we do for free before gaining a single player? It's completely arrogant, IMO.
     
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    slotplayer

    slotplayer Affiliate Guard Dog Member

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    Bonus money? Gets me every time.
     
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    Frank

    Frank Affiliate Guard Dog Member

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    We send you thousands of dollars worth of clients.. in return you will only take 70% of the 80% and do the admin for free lol @free
     
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    AussieDave

    AussieDave 17 years & still going!

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    Well said Andy :)
     
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    bonustreak

    bonustreak Administrator Staff Member

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    jopaa

    jopaa Affiliate Guard Dog Member

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    Lately a lot of my work is FOR FREE also! Very sad! I miss the old times 2008-2010 :( when my only concern was driving traffic to my websites.
     
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    Mikew

    Mikew Affiliate Guard Dog Member

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    I have heard about admin fees a lot, although I am not for that, it just doesn't surprise me anymore to see it.
    The admin fees could actually be divided in 2. Half for the operator and half the affiliates.

    On the other hand, what shocks me the most here is "minus bonuses"
    Why should we be deducted from that especially when it's the operator who decide on their welcome and reload offers.

    I'm seeing it as a rip off now.
     
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  20.  
    DaftDog

    DaftDog Affiliate Guard Dog Member

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    No rip off. When a bonus is claimed by a player it will reflect as extra cash in Net Revenue once it has been played through their account. It, therefore, has to be deducted to reflect the correct Net Revenue.
     
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