How Do Betting Affiliate License Holders Get Rewarded?
The Reward System Behind Betting Affiliate Licenses
The Global Betting Affiliate Industry and Reward Structures
The global betting affiliate industry is projected to reach a staggering revenue of US$23.03 billion by 2024. This presents a lucrative opportunity for betting affiliates who drive traffic and sign-ups to betting sites in exchange for commissions and rewards. Becoming a licensed betting affiliate allows individuals to tap into this booming sector without having to gamble themselves.
This article overviews betting affiliate programs, including how they work, the typical commission structures used to reward affiliates, and the steps to get set up. With the right know-how, strategic partnerships, and targeted promotional efforts, betting affiliates stand to earn substantial rewards as online betting continues its upward trajectory.
What’s the Biggest Draw for Affiliates?
Cost-per-acquisition (CPA) and revenue share (RevShare) are common ways affiliates earn from partnering gambling companies to reach new clients. CPA refers to the rewards affiliates get when their referrals complete tasks such as registration, deposits, placing their first bet, or placing a unique combination. RevShare refers to rewards that affiliates receive from the revenue gambling companies generate from referrals for as long as they remain active on their platforms.
Gambling promoters can usually choose from both methods, but CPA is the most popular method in the gambling market. If you read up on how to get a sports betting license, you’ll discover that obtaining a CPA gambling license is easier. Affiliates can earn $50,000 monthly or more from a single affiliate resource; you can significantly raise your affiliate earnings by partnering with several sportsbooks and reaching more clients.
What Are the Fundamental Concepts behind Affiliate Programs?
Affiliate programs exist for two primary reasons: to reach more clients and to help potential clients find the right products. Betting promoters operate diverse methods of getting clients, from direct to passive marketing and various marketing channels. The goal is to earn affiliate rewards by connecting bettors with the right bookmakers and to do so in a legal and regulated way.
All affiliate programs adhere to four core concepts:
- Partnership:
Gambling affiliates partner with brands offering franchise and proprietary bookmaking and can reach their target audiences for gambling companies. This partnership entails various activities, such as receiving unique referral codes and collaborations to generate and put out promotional content such as videos, scripts, ads, etc. Partnership is fundamental because it sets the tone for other activities that impact brands.
- Performance:
Affiliate programs operate an input-output process that rewards affiliates based on their performance; your affiliate earnings should increase as you reach more bettors with promotional campaigns. But you’ll need to get specific objectives set by the betting brand. For instance, a deposit bonus affiliate program will only reward you when your referrals complete a first-time deposit, not just for registering and verifying their accounts.
- Flexibility and Independence:
Brands have affiliates who do not rely on one method to reach clients. Flexibility and independence are crucial to affiliate marketing as they allow affiliates to explore different tools, platforms, techniques, and strategies to crush their goals. Independence will enable affiliates to choose their preferred affiliate programs, marketing channels, and the efforts they commit to earning.
- Inclusiveness:
Gambling affiliates can explore any marketing channel for their programs unless it is illegal or anti-social. This all-inclusive factor allows betting brands to have a large affiliate base with diverse ideas for spreading promotional content.
These core concepts ensure gambling affiliates can compete globally in the multibillion-dollar market.
What Are the Precise Legal Guidelines for Online Gaming and Sports Betting?
Sports betting is legal in most states, regions and countries. Wagering is usually regulated by national gambling commissions, which set rules and guidelines for online gaming and sports betting. For example, in Europe, there are strict rules for gambling companies. These rules are in the Gambling Act of 2014. They cover things like getting a license, paying taxes, protecting customers, and making sure gambling is done responsibly. Some European countries have even more rules. Like in Italy, they don’t allow much online gambling advertising. In Sweden, gambling companies can’t give out welcome bonuses. The UK also has tough rules. It’s a big market, and companies need a special license. They also have to pay a lot of tax on the money they make from gambling.
In the United States, the laws about gambling can be confusing. Each state has its own rules and sometimes it’s not clear which laws apply.
In other countries such as India, there is no clear-cut legislation governing this practice, however, all licensed betting sites in India must adhere to guidelines to maintain their licenses.
Some general guidelines for betting include:
- The age limit for bettors is usually 18 and older. Some places set 21 as the minimum age for sports betting.
- Tax rules apply, typically 8% for retail and 10% for online gambling. Massive winnings may attract higher rates.
- Minimum bet/stake amount, ranging from $1-$20 or more.
- States and regions may set up additional laws that apply within their jurisdictions.
What will the Affiliate License Cost?
Obtaining an affiliate license varies from country to country and even from one state to another. In the US, the cost of gambling affiliate licenses varies according to the gambling types. Ten states in the US provide betting affiliate licenses, with costs ranging from $1,500 for the initial license and $500 per renewal to $7,500 and $2,000, respectively.
How to Get a Sports Betting License?
The process is usually straightforward, but you could hire a certified licensing professional.
- Select a region/jurisdiction for your betting business.
- Choose an affiliate path: online sports betting, casino, revenue share, fantasy sports, etc.
- Prepare the required documents and submit them to the gambling commission.
- Pay the license fees and wait to receive a decision.
A betting affiliate license allows you to promote one or more bookmakers and earn rewards when your referrals are made.