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Thread: What makes you more money, rakeback or rev share?

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    Default What makes you more money, rakeback or rev share?

    I have two options in my Black Chip Poker affiliate manager, one is 8% rakeback(and 27% rakeback for players), and another is 40% revenue share.

    Which one would be better to promote? I'm currently promoting both because I want to offer rakeback bonuses on my site too.

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    Default depends on your site

    hi

    IMHO it depends on your site - but if you have the busiest strategy forum and its active then you've got to factor in the negative if some players get rakeback via you and some dont

    it's a bit like the old FTP mess where players / signups etc would go mental when they find out about rakeback like you've cheated them ...

    so to actually offer both via your site is probably a bit of a no-no

    however having said that in an ideal world you would have a good relationship with the room so you could move your signups over from non RB to RB if they want it and when you have more idea if they actually rake anything worth it.

    That's my take on it - you really have to know your visitors and most importantly know your forum members

    alternatively just offer RB at one site that you have best relationship with where you can change players and also build value - make sure that is on a site / network where RB is pretty standard requirement not one that doesnt really promote it

    there is also the general feeling that now with poker on the decline all the big raking players are already playing and so now its a case of picking up recreational players - which makes their monetary value a lot less and therefore getting the max rev % is vital to make it worth it

    SB
    Last edited by scrawnybob; 02-02-2014 at 04:15 AM.
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    IMO you should always offer players the best possible deal for them, not you.
    Buying: sites with traffic/earnings, also premium .coms - PM Me Offers

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    MJ makes a really really good point -

    and one I think many of us have said before in terms of recommending good sites you really believe in rather than the sites that might pay you the most

    however more and more sites / networks seem to be phasing out rakeback or taking it in house (probably a good thing imho)

    neither of us have really answered your question directly - I guess maybe we are both suggesting it's framed in the wrong way

    MJ is right you should offer the best choices for your players

    to me that is often a non rakeback site with softer games but equally if its a very rakeback driven network then you probably should offer rakeback if you can.

    in terms of the original question - and from an entirely business POV

    you will earn far more money from bigger playing, regular grinding long term players who are loyal to a site
    than you ever will from occasional small stakes recreational players who chop and change - obviously

    so if you have to offer rakeback to keep a more valuable player happy then that is good for the player and long term in your best interests to get and keep those players rather than to lose or never get them in the first place.

    however if your using rakeback to attract small stakes recreational players then your going to be giving rakeback to players who had no idea or interest in the rake etc they are paying anyway -

    I'm not saying small players shouldn't get rakeback but bigger players will want it while smaller players seem to be more interested in getting other things of value - that may actually cost you money to supply (like tournaments etc)

    that's why in the end IMHO it's far better that sites that the RB option out for affiliates and just deal with rewards etc in house and if that means lower % then that's fine.

    gone a bit off topic but MJ is right

    it's just a shame that RB got used more as a scalping tool (to help affiliates get players off other affiliates) than it did as a genuine player acquisition tool / long term retention tool.

    there is now the strong argument that RB (as it worked) is pretty negative force on the health of poker eco system etc channelling reward money up to the top - winning & grinding players

    personally I think it's better to pay affiliates generally less while making sure the room is pumping that money back in at the bottom (the trouble is they dont)

    SB
    Last edited by scrawnybob; 02-02-2014 at 01:19 PM.
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    ScrawnyBob, thanks for the advice and information. I appreciate it.

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    Default

    revshare one

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    I always go with rev share.
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    I have always steered towards the rev share model as this is something that I first stepped into while starting out as an affiliate, however there are arguments to be had for the other options too.

    Think about the traffic that you are going to be collecting and trying to push towards the sites of your choice and think about what potentially habits they could show once they hit the site.

    I had a couple of sites that were created with beginners in mind and it made no sense to go with rev share as the risk of them making a deposit that was them gone within the nights session was too high as often new players feel the need to hit the bigger tables in the thirst for glory but crash and burn, meaning that they are flat out broke before the night is out.

    With me being mostly committed to rev share across the board, I simply sold the sites onto someone that could make use of them on the CPA format.

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    In my experience, revenue share is always the most profitable.

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    rev share always, btw don't they offer some hybrid deals?


 

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