How affiliate programs "shave" webmasters

casinoduende

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Hi everyone!

Today I would like to touch on the "uncomfortable" topic for many affiliate programs - this is "shaving" (cheating webmasters).
Yes, shaving has always been and always will be. And the more time I work as a webmaster and talk to online casino owners who were affiliates in the past, too, the more often I hear the same phrase: "all casino affiliate programs shaving". And why do they say that? Because they can clearly compare the conversion of their own online casino with other online casinos on their own affiliate websites. And the difference, they claim, is tremendous.

For those who are just starting their difficult journey as a webmaster, here are some common examples of how many affiliate programs cheat webmasters.

The simplest example is to lower your affiliate payout percentage. An affiliate program promises 50% RevShare, but actually pays out much less. From the amount of payments to the webmaster deduct all the expenses of online casinos, bonuses to players, commission payments, the work on the retention of the player, and even pay the janitor in the casino office. Anything at all.

Another example of cheating the webmaster. The online casino affiliate program simply remove players from affiliates. Players sign up, players go to another online casino, it would seem to be a working process and it's normal. The only thing is, do they really leave? Maybe not gone at all, but simply ceased to appear in the statistics webmaster? It is possible to check, but very difficult.

Of course, all of the above methods of deception webmaster affiliate program can apply not immediately to each new player, and after some time, six months, a year, at the time of 5 ... 10 deposits, as long as you do not want to be uncovered in the deception. But the fear of losing their reputation is holding back many online casino affiliate program owners. Bad reputation of the affiliate program is almost a "death" sentence.

In conclusion, I would like to share another example of how affiliate programs are cheating webmasters. Perhaps this is one of the most "ingenious" ways used by many affiliate program managers.

Suppose there is an online casino affiliate program which has a lot of players and a lot of affiliates. At the end of the month, it accumulates a pool of money, which should be shared with affiliates. And then comes the "fun" part.

The affiliate program manager, let's call him "John" sees that affiliate "X" is about to pay out $1000 (for example) and he doesn't want to do it. Then the manager John through VPN, registers at affiliate link of the partner "X" and makes a minimum deposit. Then manager John enters the admin panel of the affiliate program and adds $3000 (for example) to his just-created game account. Then manager John logs into his newly created player account and withdraws these $3000 to any of his payment system. You can do the same with other affiliates, this scheme does not need any additional functionality in admin area, all affiliate programs on any platform can do it.

In fact, all this is certainly sad. Any online casino affiliate program can (if it wants to) shave its affiliates, although it is very difficult to call it an affiliation.

Conclusion. It remains only to save up money to open your own casino (not a cheap business), or to believe in the honesty of affiliate program, but to monitor the statistics for these new players, who randomly put in a negative balance on the webmaster's account.

Many of my colleagues will ask why I wrote all this? The fact is that due to the global pandemic, the bans on online gambling in many countries, the income of many online casinos decreased. And as a consequence of this, cases of cheating webmasters became more frequent.

Reasonable question, how webmasters avoid being cheated? In my opinion, it is necessary for all webmasters to start revising cooperation and work only with affiliate programs created on blockchain technology. As far as everybody knows, using this technology it is unreal to defraud webmasters. The essence of this technology is simple, when a player registers at an online casino via an affiliate link, a smart contract is created and published in blockchain. This technology is already used in provably fair crypto casino games.
I believe that affiliate programs that are interested in honest and long-term cooperation will gradually start using this technology, as it will help to avoid a lot of problems with trust and reputation of the affiliate program in the future.

Thank you very much colleagues for reading to the end and I would appreciate your feedback and comments!
 

Moonlight Cat

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I came to affiliate business in 2008. At this time all was the same. Shaving, cross-marketing e.t.c. from one side. And honest affiliate programs from another side. Nothing new under the moon. Times is changes, but we must changes too.
 

AussieDave

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As I said over at the GPWA... but I'll refine my reply here.

If people (affiliates) want change, then affiliates need to band-together and fight for it, together.

Sadly, this doesn't happen. Instead, most affiliates just bitch and moan on forums, until such time as the thread/tropic dies out. This achieves nothing, all accept showing programs that they can screw their partners, because at the end of the day, most affiliates seem not to care their being robbed blind.

EG - King Billy 35% Admin Fee (thread at GPWA)... King Billy are also an AGD sponsor... A few people say something BUT most don't. We know that the GPWA only cares about its bank balance.

But AGD... why are they still accepting sponsorship money from a program, who is blatantly scamming affiliate partners, with bogus GGR deductions?
 
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Kadabra

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TBH Aussie, i am pretty much always agree with your posts but not fully here.

For me, if the program clearly states what it is charging and what are the terms - that's perfectly fine. they can do whatever they like and it is up to me to decide if i want to work with them or not. If they want to charge 70% fees. Great. Have fun. I will not sign up but that's ok with me.

My issue is with programs that don't state things clearly, then you are just screwed and those are the problematic ones.

But there is big difference between the two.

If some shop wants to sell me the new iPhone for $2000 - sure. they can do that. I wont buy.
If someone sells me for whatever it supposed to be, but after I buy charges me twice, that's a problem.
 

AussieDave

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If some shop wants to sell me the new iPhone for $2000 - sure. they can do that. I wont buy.
If someone sells me for whatever it supposed to be, but after I buy charges me twice, that's a problem.

Regardless whether a program states X and charges X, if X is scammy then, that's the problem.

These Admin Fees are a scam. A means by which casino owners claw extra profit from affiliates, pockets.

Thing is, while you, I and other informed affiliates know what's acceptable and what is not, there is a large majority of affiliates who now think, that 40%, 50% and even 60% commission is the norm.

They have also be conned into believing these Admin Fees, as well as deducting bonuses (those not meeting wagering) from GGR is OK too.

It's fast become 'death by a thousand bogus GGR deductions'...

As we see on mostly a weekly basis here at AGD, these inflated commission percentages, take massive hits, and are brought back to the real commission value paid.

It's all smoke, mirrors, bullshit, lies and scams.

Reiterating, regardless if a program states X and charges X, if the program's X is dodgy, then X-value is scammy.

If a program is only paying the affiliate 15% BUT marketing that commission as 40%, then that's just lies.

I refuse to work with programs who lie. Because if they will lie to your face, to the public, what are they capable of doing behind closed doors, in private...???!!!

Furthermore I will ensure newbie affiliates or anyone who doesn't know what's realistically fair commission payments & or fair GGR deduction, I'll inform them about that too.

In closing to use your analogy... buying an iPhone for $2,000 most people would know is a rip-off. However, I bet there are certain folks who simply would not know this.

It's these people who need to know, and I make it my job to tell them ;)

To put it another way... I blow the whistle on programs acting unethically.

AKA - I keep the bastards honest!
 
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CL-Ed

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Ok so now I am sure this is spam as I saw the exact same rubbish posted on GPWA. The OP will be back soon to share an amazing new affiliate program they discovered that uses a blockchain. The big problem is this piece of misinformation...

Reasonable question, how webmasters avoid being cheated? In my opinion, it is necessary for all webmasters to start revising cooperation and work only with affiliate programs created on blockchain technology. As far as everybody knows, using this technology it is unreal to defraud webmasters.

I take it English is not your first language as calling something "unreal" where I live is equivalent to calling it "awesome". I'm sure you aren't trying to say that using a blockchain is awesome for defrauding webmasters though. Freudian slip perhaps?

Anyway assuming you actually meant to say "impossible" then no. That is wrong. "Everybody" does not know it. It is simply not true.

The essence of this technology is simple, when a player registers at an online casino via an affiliate link, a smart contract is created and published in blockchain.

This is a typical example of "the oracle problem" with blockchains (look it up). The website and your affiliate links exist outside the blockchain so ultimately you're relying on an "oracle" (the affiliate program) to honestly tag players that come through from an external system (the web) into the blockchain. I'm sure everyone can see the potential issue right there, as it is no different whatsoever to current systems in that it allows the operator to shave by simply not tagging a player.

Ok but once a player is honestly tagged the operator can't shave subsequent wagers by the same player, right? Wrong. The operator could encourage or force a tagged player to open a new account, or get them to play at another site of the operator's where they are not tagged. Or allow players to play anonymously without logging in. Or get them to play games that aren't recorded on the blockchain. I thought these things up in 30 seconds, I'm sure others could think of more.

Sure, there are potential advantages to using a blockchain such as players not having to actually transfer money to be held by the operator, and accurately recording and provably determining the outcome of individual wagers, but don't delude yourself. There are still many, many ways you could be shaved by an affiliate program using a blockchain.

OP you really should stop trying to spam your snake oil affiliate program under cover of being a concerned webmaster. You're either being deliberately dishonest with your claims about the use of blockchains, or you actually believe what you are saying which would mean you don't understand the things that you are talking about. It isn't a good look either way.
 

AussieDave

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Ok so now I am sure this is spam as I saw the exact same rubbish posted on GPWA.

OP you really should stop trying to spam your snake oil affiliate program under cover of being a concerned webmaster. You're either being deliberately dishonest with your claims about the use of blockchains, or you actually believe what you are saying which would mean you don't understand the things that you are talking about.

It isn't a good look either way.

I had a suspicion the OP wasn't actually a "concerned" webmaster. Instead, trying to peddle BS, wrapped in a covert agenda. Thankfully I'm not only one who holds these views.
 

CL-Ed

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Yep.. and has decided that he wants to run his own casino and affiliate program...

Conclusion. It remains only to save up money to open your own casino (not a cheap business), or to believe in the honesty of affiliate program, but to monitor the statistics for these new players, who randomly put in a negative balance on the webmaster's account.
 
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