Don't miss interesting news
RevShare (Revenue Sharing) is a payment model that has gained considerable popularity in various business sectors in recent years. Along with the development of online ecosystems, more and more companies are implementing RevShare to increase their revenues. In this article, we will look at what RevShare is, how to use it, and how this model differs from other approaches, in particular from CPA (Cost Per Action).
The name RevShare comes from the English “Revenue Sharing”, which means “revenue sharing”. The essence is that two or more parties agree to share the profits (or losses) that arise in the course of their joint activities.
The RevShare concept appeared back in the 90s, when the Internet was just becoming popular. Since then, this model has undergone numerous transformations and adapted to various business segments – from affiliate marketing and advertising to online sales and other areas.
What RevShare is and detailed information on how to work in arbitrage based on this principle was toldin this material.
RevShare (Revenue Sharing) is a payment model where partners receive a percentage of the revenue generated by the users they attract. To start earning on RevShare, there are several important points to consider.
The niche should be large enough to provide a significant amount of traffic, but at the same time specialized so that you can become an expert and attract exactly those audiences that consume the right product or service.
Work only with platforms and advertisers that have a good reputation, transparent payment terms, and high-quality products or services. This minimizes the risks of payment delays and negative transfers.
Evaluate which sources you can get the best quality traffic from (SEO, social networks, email newsletters, content platforms). Plan your advertising budget so that the cost per acquisition (CPA) is lower than the projected RevShare payments.
Track the following key metrics:
Since RevShare income can fluctuate from month to month, always have a reserve fund to cover your current expenses and the ability to test other affiliate programs if the main one does not bring the expected profit.
In the RevShare model, affiliates receive a percentage of the actual revenue generated by the client they attract, while in the CPA (Cost Per Action) model, the payment is always a fixed amount for a specific action (for example, registration or purchase).
In the short term, RevShare revenue will usually be lower, as most of the profit comes from recurring payments, not immediately after the first transaction. With CPA, on the other hand, the revenue comes immediately after the action is performed, so you get paid faster in the beginning.
As for the potential of long-term income, in RevShare it can grow significantly with the increase of the customer’s LTV (Lifetime Value), because you get a percentage of all their subsequent payments. In CPA, this potential is limited to a fixed amount for each action and does not depend on whether the customer makes repeat purchases.
The predictability of income in these models is also very different. In RevShare, it is lower because your earnings directly depend on the activity of users and the total income of the partner. In CPA, however, the predictability is high: you know exactly the amount of payment in advance, regardless of the client’s further behavior.
In general, RevShare is best suited for partners with high-quality content and a repeat purchase audience (for example, in the financial, subscription, or online casino industries). The CPA model is more suitable for one-time transactions or highly competitive niches where it is difficult to retain a customer for a long time (for example, in the FMCG segment or with one-time sales).
RevShare allows you to earn not only on the first purchase, but also on all subsequent customer transactions, while CPA provides instant and predictable income. The choice between the models depends on your audience, financial plan, and monetization strategy: if you are ready to invest time and resources in attracting customers with high LTV, choose RevShare; if your priority is quick results, CPA is the best option.
In the field of Internet marketing, RevShare is widely used within affiliate programs and affiliate networks. It allows website owners, bloggers, and influencers to receive a percentage of the real revenue generated by the customers they attract. RevShare works best in long-term partnerships where both parties are interested in quality traffic and stable conversions.
People who specialize in traffic acquisition can earn not only on the first purchase but also on all subsequent customer transactions. This means that the more actively the users you bring in make purchases or subscribe to services, the more you earn.
Sites with valuable content have the opportunity to monetize their audience through RevShare. You get a percentage of the revenue generated by each user attracted from your resource. This is especially beneficial for niche sites with a loyal audience that makes repeat purchases.
If you are optimizing your website for organic traffic, RevShare allows you to turn that traffic into a steady income. With the help of content optimized for queries with high commercial potential, you can attract targeted users and receive a percentage of their subsequent purchases or payments.
First, decide on a niche that interests you and in which you have expertise. It is important that this area is in sufficient demand and reaches a large audience, but at the same time is not too general. A niche with clearly defined user interests will allow you to become an authority and attract targeted traffic faster.
Once you have chosen a niche, find companies or platforms in it that offer favorable RevShare conditions. Compare different programs by the following criteria:
Before signing an affiliate agreement, read all the clauses carefully:
Use all available channels to attract the target audience:
Analysis and optimization of results
Periodically review your KPIs – conversions, average revenue per customer (LTV), traffic turnover, and advertising costs:
Following these steps – from choosing the right niche to constantly monitoring results and optimizing – you can not only get started with RevShare, but also build a successful long-term business with a stable passive income.
Affiliate receives a commission from each player not only for the first transaction but for the entire period of this player’s activity.
If the player continues to make bets or purchases, your share of the revenue is paid monthly or quarterly, depending on the terms of the agreement. This way, even one active player can generate income for several months or years.
As a rule, RevShare remuneration in casinos and bookmakers ranges from 20% to 50% of the operator’s net income.
The specific percentage depends on the number of attracted players, their LTV (Lifetime Value), and the policy of the casino itself.
Some operators may offer a gradual increase in the rate (for example, 20% for the first 10 players, 30% for the next 20, 40% for more than 50) to incentivize large partners.
If the total winnings of players exceed their total losses, a negative balance (negative carry) occurs. In this case, the casino “deducts” the amount of the excess from your future commission.
For example, if players lost $10,000 in month 1 (your RevShare = 30% × $10,000 = $3,000), and in month 2 they won $4,000 (this win is recorded as -$4,000), then your negative carry will be $4,000. In order to receive new payments, you must first “work off” this -$4,000. That is, until the total loss of players exceeds $4 000, you will not receive commissions.
Try to bring the so-called “high rollers” – players with larger deposits and higher LTV, as they form the main net income of the casino.
Avoid “harmful” traffic (bots, coordinated spins) – it can lead to frequent negative transfers.
Regularly check the reports of the affiliate account: how many bets have been placed, what is the net profit of the casino, and how the negative balance changes.
Use your own trackers or Google Analytics to analyze the effectiveness of advertising campaigns.
If you are working with paid advertising (Google Ads, Facebook Ads), monitor CPA (cost per acquisition) and compare it with the expected RevShare.
Make sure that the cost of acquisition does not exceed the potential commission or at least does not underestimate the margin so much that the deferred negative balance becomes critical.
Look for casinos or bookmakers with transparent terms and conditions: a clear negative carry mechanism, clear payment terms (monthly or quarterly), and stable historical reports on payments to other partners.
Read the affiliate agreement carefully – pay attention to the clauses on fraud prevention, possible fines, and dispute resolution.
Thanks to this approach, you will have a clear understanding of how RevShare works in casinos and betting shops, what risks you need to take into account, and how to maximize your commissions.
By improving your campaigns, optimizing your ads, testing creatives and landing pages, and constantly analyzing your performance, you can turn RevShare into a sustainable source of passive income. The main thing is to choose the right niche, work with reliable partners, and not be afraid to adjust your strategy depending on market changes and user behavior. If you follow these recommendations, RevShare will become a powerful tool for building a long-term and profitable affiliate business.