Meaning of CPA: CPA is Cost per Acquisition, in a CPA program contract; a poker room pays a set fees or incentive to an affiliate when on every player that they bring in irrespective of their earnings.
Revenue share is a share wherein the affiliate gets a percentage, normally starts at 20%, of all the players' revenue that they generate.
Study suggest that organization just started out for the short-term to go for CPA program, while long-term look more towards revenue share, however then you have to remember this old adage.
Does CPA program justify good earning?
There is no specific conclusion as it has its own advantages and disadvantages. There are affiliates who prefer CPA program. However, in long term prospects than it has been suggested that affiliates shall opt for revenue share and not CPA program.
Let's see what other poker affiliate programs offer their affiliates, Affiliates of other poker sites are given two options. Lets assume with CPA program, an affiliate gets $65 per player or can get a revenue share of 20% on each player.
Let's take an example to explain these plans. With CPA program, get in 5 new players, all with "bonus whores" deduct 20% to $100 sign-up bonus at $0.5/$1 and withdraw. The total revenue paid for the players would be approximately negative $300. On a revenue share plan, you would earn no money at this point and would actually be in the red. You may consider CPA program as a good plan. lets see the other side of the coin. The account manager looks at your stats and understands that you are owed $325 affiliate funds due to CPA program. Also he sees that your account is negative therefore he blocks the amount not allowing it to be withdrawn until the stats turn out positive. This is a ethical and a standard business practice.
With revenue share program, if an affiliate gets 5 new players and all of whom start playing the $10/$20 tables, multi-tabling. They would generate $8,000 in revenue in the first month. Here you may get 20% of that, or $1600. On CPA program, you'd get just $325.
The poker rooms are established with the interest to make money and would only appreciate or except affiliates that would bring consistent business to them. They're not going to entertain or pay an affiliate who is actually losing money for them. This is practiced by most of the online poker rooms, and there's nothing wrong with what the poker room is doing; it's just yet another reason why CPA program is not considered.
This article provides suggestive information for people who are willing to be an affiliate or want some information on it. If a poker room offers a choice then it is been suggested that affiliates should opt for revenue share program and not CPA program as this program is considered to be profitable on a long term business prospects and also to create a recognition or status among online poker rooms .