Possible motives for new account

Shay

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Today, we had an informal meeting with an affiliate program we've worked with for years. For them, they want increased exposure. For us, we are trying to understand the account's under-performance. Their proposed solution is to open a new affiliate account with them and give them increased exposure.

Why would the program propose a new affiliate account? We have numerous active players in the old account and I do not understand what a new account would accomplish for anyone... Thoughts are appreciated.
 

Engineer

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If it's a very old account, the commission calculation might be a little different than it is now, such that you might actually take home more with the old account than you would with a new account. It depends on whether they decided to retroactively change the way things were calculated if they introduced a new set of T&Cs at some point in the past. By having you open a new account, you could be on the newer, less favorable (for you) calculation. Maybe your old account has a "lifetime" flat-rate deal, but the new one won't.

If that is not the case, and if the terms and back-end calculations are all the same as before, then I don't see much harm in opening the second account -- as long as they agree to leave your original account alone and allow you to continue sending traffic there if you choose.

With the second account, you can track the earnings from "this point" forward, without worrying about if the residual income from old players is skewing your analysis.

If you can generate enough volume to meet the minimum payment threshold each month, having two accounts instead of one can only help -- because if you get a big winner in one account, it won't affect the other. The more accounts you can have, the better (again, assuming you can live with splitting the earnings into multiple accounts and sometimes waiting months to hit the minimum).
 

Shay

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If it's a very old account, the commission calculation might be a little different than it is now, such that you might actually take home more with the old account than you would with a new account. It depends on whether they decided to retroactively change the way things were calculated if they introduced a new set of T&Cs at some point in the past. By having you open a new account, you could be on the newer, less favorable (for you) calculation. Maybe your old account has a "lifetime" flat-rate deal, but the new one won't.

If that is not the case, and if the terms and back-end calculations are all the same as before, then I don't see much harm in opening the second account -- as long as they agree to leave your original account alone and allow you to continue sending traffic there if you choose.

With the second account, you can track the earnings from "this point" forward, without worrying about if the residual income from old players is skewing your analysis.

If you can generate enough volume to meet the minimum payment threshold each month, having two accounts instead of one can only help -- because if you get a big winner in one account, it won't affect the other. The more accounts you can have, the better (again, assuming you can live with splitting the earnings into multiple accounts and sometimes waiting months to hit the minimum).

The deal is a custom deal with signed paper copy of terms.

Thank you for your insight, as this has me looking at it from an angle I had not seen before.
 

Bombati

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Today, we had an informal meeting with an affiliate program we've worked with for years. For them, they want increased exposure. For us, we are trying to understand the account's under-performance. Their proposed solution is to open a new affiliate account with them and give them increased exposure.

Why would the program propose a new affiliate account? We have numerous active players in the old account and I do not understand what a new account would accomplish for anyone... Thoughts are appreciated.
Which firm is it?

I've opened a new account with another for the same firm and for me it didn't work


Sent from my iPhone using Tapatalk
 

Shay

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Which firm is it?

I've opened a new account with another for the same firm and for me it didn't work


Sent from my iPhone using Tapatalk

The firm is not relevant in this discussion. The request to open a new account is coming from the affiliate manager to us, so my prediction is that it will "work" because the firm is requesting we do so.
 

AussieDave

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Yes they could have their own internal admin reasons or something for you wanting to open the new account. I would just ask them directly

The easiest way, is always the simplest way ;)

I'd be asking them why, straight out, also.

Though as Engineer pointed out, make sure the new account T&C's are inline with your old account T&C's.

I've been caught out like this before and it ended up costing me $'s.
 

Kadabra

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The easiest way, is always the simplest way ;)

I'd be asking them why, straight out, also.

I second that.

Since it is a custom deal, the only reason that makes sense to me is that your previous account was created as sub-affiliate. If it's so then the reason is clear. Otherwise, it doesn't make sense to me (obviously your visitors do no care if you have a new affid :)) and just messes things up for you in terms of tracking the details, payments, etc.
 

Casinodriver

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have you signed up directly with them or are you a sub affiliate? If you are a sub affiliate, they probably thought of getting rid of the master affiliate commission.
 

Shay

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have you signed up directly with them or are you a sub affiliate? If you are a sub affiliate, they probably thought of getting rid of the master affiliate commission.

We did not sign on as a sub-affiliate.
 

AussieDave

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@Shay - have you still not asked the aff program, why?
 

Shay

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@Shay - have you still not asked the aff program, why?

We did ask them. They claim it is because we want to all be sure that the tracking (in the old account) is working correctly and to see if there are similar results with the new account. This was in response to our discussion with them about why their program's conversions are astronomically low and the player value from the players who do convert are about 40% less than history suggests they should be.
 

AussieDave

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lol@Kadabra - yes feels like we're playing charades, without the clues.

@Shay - you wont reveal the program. I can respect that, sure other can too.

But can you tell us please, what was their repsonse to the reason(s) for the new account?
 

AussieDave

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We did ask them. They claim it is because we want to all be sure that the tracking (in the old account) is working correctly and to see if there are similar results with the new account.

I didn't catch that... 1'st thing here, and I'm still without coffee :)
 

Shay

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Is this an IA program?

Yes, it is a program who uses IA. Additionally, this was the second "meeting" we've had with this particular affiliate manager. He is relatively new to our account and was not the affiliate manager we originally signed our custom deal with. The custom deal, by the way, would not have carried over to the new account.
 

Shay

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I will also add that we did not open that second account. Our concern was the under performance and we were looking to reduce exposure. Their idea was open a second account and increase exposure. It just didn't make sense for us to do, given the level of under-performance.
 
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