Affiliate Marketing Models in iGaming Explained

Affiliate marketing is one of the most powerful growth engines in the iGaming industry, but it is also one of the most misunderstood. While many view affiliates simply as traffic sources, top-performing operators treat affiliate programs as structured distribution channels aligned with long-term brand growth.

This guide explains the core affiliate marketing models used in iGaming, how they work in competitive markets, and why the right model selection directly impacts player quality, retention, and profitability.

Part of our industry analysis series in iGaming Insights.

What is affiliate marketing in iGaming?

Affiliate marketing in iGaming is a performance-based partnership model where third-party publishers promote online casinos or betting platforms in exchange for a commission tied to player activity.

Affiliates typically drive traffic through SEO, content marketing, paid media, email lists, or social channels, while operators provide tracking, conversion assets, and payout structures.

This model plays a central role in online casino player acquisition, especially in markets where paid advertising is restricted or highly competitive.

Why affiliate models matter in competitive markets

In saturated iGaming regions, acquisition costs are high and margins are tight. The affiliate model an operator chooses affects:

• Player lifetime value (LTV)
• Cash flow predictability
• Affiliate loyalty and scalability
• Compliance and brand risk

Top brands align affiliate incentives with long-term player value—not just first deposits.

1) Revenue Share (RevShare)

Revenue share is the most common affiliate model in iGaming. Affiliates earn a percentage of the net revenue generated by players they refer for as long as those players remain active.

How revenue share works

• Affiliate sends traffic to the operator
• Players register and deposit
• Affiliate earns an ongoing percentage of net gaming revenue

Pros of revenue share

• Long-term passive income for affiliates
• Lower upfront cost for operators
• Aligned incentives around player quality and retention

Cons of revenue share

• Delayed profitability for affiliates
• Higher accounting complexity
• Potential disputes over negative carryover

Revenue share works best when combined with strong CRM and retention systems, which we cover in our analysis of
SEO and growth strategies used by top iGaming brands.

2) Cost Per Acquisition (CPA)

CPA (Cost Per Acquisition) is a fixed payout model where affiliates are paid once a referred player completes specific qualification steps, such as registration and a minimum deposit.

Typical CPA qualification criteria

• Verified account
• First deposit completed
• Minimum wagering requirements met

Pros of CPA

• Immediate payout for affiliates
• Clear acquisition costs for operators
• Easier short-term scaling

Cons of CPA

• Higher fraud risk
• Lower player quality if poorly managed
• Limited alignment with long-term value

In competitive markets, CPA-heavy strategies often require strict compliance checks and advanced fraud detection.

3) Hybrid affiliate models

Hybrid models combine CPA and revenue share to balance risk between affiliates and operators.

For example, an affiliate may receive a smaller CPA upfront plus a reduced ongoing revenue share. This encourages both acquisition volume and player quality.

Why hybrid models are gaining popularity

• Improved affiliate motivation
• Better cost control for operators
• Shared long-term upside

Many mature iGaming programs now default to hybrid structures for high-performing partners.

4) Sub-affiliate and network models

Large affiliate networks often operate sub-affiliate structures, allowing publishers to recruit other affiliates and earn a percentage of their earnings.

While this model enables rapid distribution, it introduces additional layers of tracking complexity and compliance risk.

External reference: Best practices around affiliate transparency and advertising standards are reinforced by regulators such as the
UK Gambling Commission.

5) Choosing the right affiliate model

The optimal affiliate model depends on market maturity, regulatory environment, and internal capabilities.

General guidelines

• New brands: Hybrid or controlled CPA to gain traction
• Established brands: Revenue share for sustainable growth
• Highly regulated markets: Lower CPA + strict compliance
• Content-driven affiliates: Revenue share alignment

Successful operators continuously optimize affiliate terms based on player performance data.

Key takeaways

• Affiliate marketing remains a core acquisition channel in iGaming.
• Revenue share aligns incentives with long-term player value.
• CPA offers speed but requires strict quality controls.
• Hybrid models balance risk and scalability.
• Compliance and transparency protect brand authority.

Recommended reading:
How Online Casinos Acquire Players in Competitive Markets.