Online Gambling Sites Abolishing Affiliate Programs: Could Go the Way of Dodo Bird

Online gambling affiliate programs could be a thing of the past as pressure mounts to do away with the more popular “revenue sharing” models. 

Because many online gambling affiliates profit off of gamblers losses, with some of the more unscrupulous site owners offering long shot losers in an effort to further support financial gain, some organizations have begun to take notice while betting firms the likes of Skybet are already doing away with their affiliate programs altogether. 

In a statement released by Sky Bet, the betting company said it was anticipating new rules in the currently unregulated sector:

“The regulatory landscape in which the industry operates is developing and maturing and operators are experiencing increased obligations regarding their regulatory responsibilities and level of compliance.

“In order to operate in a compliant manner, we feel that operating the [affiliate] programme is no longer viable and that managing the output of affiliates presents a significant risk to our business from a regulatory perspective.”

North American wagering companies are less likely to follow suit in the immediate future as these programs have proven especially lucrative for both operators and affiliate managers during the peak football and college basketball season.  Sites like BetPhoenix, for example, offer up to 35 percent commission on player losses.  Sites like Gambling911.com, which promotes BetPhoenix, do not engage in revenue/profit sharing, instead opting to go with a flat fee marketing model common with offline campaigns.   

A spokesperson for the Campaign for Fairer Gambling said: “Affiliate sites that masquerade as tipsters exist because operators constantly need new customers, as a huge proportion of their existing player base get into financial difficulty as a result of gambling-related harm. So closing down affiliate sites is a necessary step towards a more sustainable sector. If they are serious about preventing harm then other operators will follow suit.”

William Hill could soon follow suit. 

A spokesperson for William Hill said: “We continually monitor our relationship with our affiliates and update our terms and conditions in line with regulatory changes.”

- Aaron Goldstein, Gambling911.com