What is RevShare: Types of Payments in Affiliate Marketing

Imagine not just selling your time at work, but investing your efforts into creating a continuous cash flow. This is exactly the opportunity that RevShare offers, a payment model that transforms every attracted client into a source of long-term income.

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What is RevShare

In the world of traffic arbitrage, there are several payment models that determine how an affiliate marketer receives compensation for their work:

  • CPA (Cost Per Action): fixed payment for a specific user action (registration, deposit)

  • CPL (Cost Per Lead): payment for obtaining contact details of a potential customer

  • CPC (Cost Per Click): payment for a click on an advertisement

  • CPM (Cost Per Mille): payment for a thousand advertisement impressions

Revshare is a fundamentally different model that is built not on one-time user actions, but on their long-term activity and the income they bring to the advertiser.

RevShare (Revenue Sharing) is a payment model in affiliate marketing where an affiliate receives a percentage of the revenue generated by users they've referred. Instead of a fixed amount for attracting a client, the webmaster receives a portion of the profits from all their spending over a certain period or even for a lifetime.

Typically, the revshare percentage ranges from 10% to 40% of the advertiser's net profit. In some cases, with individual arrangements or for high-quality traffic, the percentage can be even higher.

How RevShare Works

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The process of working with revshare in affiliate marketing can be divided into several stages:

  1. The affiliate attracts users to the advertiser's site through their promotional materials and links.

  2. Users register and begin to perform target actions (make deposits in casinos, place bets in bookmakers, purchase services, etc.).

  3. The advertiser receives income from the actions of the attracted users.

  4. The affiliate receives a pre-agreed percentage of this income.

The calculation of profits in revshare happens as follows:

Affiliate income = Advertiser's net profit × RevShare percentage


The advertiser's net profit is formed after deducting all expenses—payouts of winnings, commissions of payment systems, providers, and other operational costs.

It's important to understand that the revshare percentage can be calculated in different ways:

  • From net profit (Net Revenue) — from the amount remaining after deducting all expenses

  • From total revenue (Gross Revenue) — from the total amount of deposits or user payments

The frequency of revshare payments can also vary: weekly, biweekly, or monthly. This depends on the policy of the specific affiliate program.

Features of RevShare

Working with revshare in gambling and igaming has its own specifics:

  • No guaranteed payments: income from revshare completely depends on the activity of attracted users. If they don't spend money, the affiliate receives nothing.

  • Focus on gaming verticals: the revshare model is most often used in casinos, sport betting platforms, and online games where users regularly spend money.

  • Long-term perspective: revshare doesn't give quick results, but can provide stable income in the long term.

  • Percentage ladder: many affiliate programs use a dynamic percentage scale that depends on the volume and quality of the traffic being attracted.

  • Lifetime profit: some programs allow you to receive a percentage of user spending throughout their entire period of activity, which can be years.

  • Limits and restrictions: partners may set upper limits on payments or restrict the period during which an affiliate receives a percentage of user spending.

Pros and Cons of Working with RevShare

Pros:

  • Constant income: as long as the user spends money, the affiliate receives their share.

  • Unlimited earning potential: unlike fixed payments, revshare has no upper limit. One active user can bring more than dozens of users with a one-time action.

  • Motivation for quality: the affiliate is interested not only in quantity but also in the quality of the traffic being attracted, as their income directly depends on user activity.

  • Wide opportunities for scaling: successful strategies can be expanded, increasing traffic and income.

Cons:

  • Need for a financial cushion: the first payments may not come immediately, but after a week, month, or even longer.

  • Unpredictability of income: it's difficult to predict how much you'll earn in a particular month.

  • Dependence on customer retention: the advertiser is responsible for user retention, and if they do it poorly, the affiliate's income suffers.

  • Negative balance: in some programs, it's possible to accumulate a negative balance if attracted users win more than they lose.

How to Minimize Risks When Working with RevShare?

To reduce risks when working with revshare, it's recommended to:

  • Diversify income sources: work with several affiliate programs simultaneously to avoid depending on a single income source.

  • Test different verticals and GEOs: don't limit yourself to one niche or region, experiment with different directions.

  • Analyze traffic quality: track which sources bring the most active users and focus on them.

  • Choose reliable affiliate programs: check the reputation of the partner, reviews from other affiliates, and timely payments.

  • Avoid programs with negative balance: prefer partners where each month starts with a zero balance.

  • Check the terms of the affiliate program: pay attention to reporting periods, payment methods, and the presence of restrictions.

Differences from Other Payment Models

Revshare is significantly different from other payment models in traffic arbitrage:

CPA (Cost Per Action): In this model, the affiliate receives a fixed payment for a specific user action (registration, deposit). After the action is performed, the relationship with the user ends for the affiliate. For example, with a CPA of $35 for a deposit, the affiliate will only receive this amount, even if the user deposits thousands of dollars.

CPA is a guaranteed payment for a specific action, but without the potential for additional income.

CPL: a model focused on lead generation where payment is made for collecting user contact information, commonly used in sectors like insurance or education.

Hybrid Model: Combines elements of CPA and RevShare. The affiliate receives a fixed amount for attracting a user and a percentage of their subsequent spending. This model allows you to get quick income and maintain the potential for long-term earnings.

Why Choose RevShare?

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RevShare becomes the optimal choice in the following cases:

  • You have a financial cushion that allows you to wait for the first payments.

  • You're aimed at long-term cooperation and are ready to invest time in developing a stable source of income.

  • You work with quality traffic that brings active users.

  • You've chosen a vertical with high potential for repeated user actions (casino, betting, subscriptions).

  • You can provide a constant flow of new traffic to compensate for the natural outflow of users.

Revshare is the best choice for those who think strategically, rather than chase quick but limited income.

How to Start Working with RevShare

To start working with the RevShare model, follow these steps:

  1. Choose a niche and study its specifics: gambling, betting, and igaming have their own features that are important to understand.

  2. Find reliable affiliate programs: study reviews, working conditions, percentage size, and payment frequency.

  3. Prepare promotional materials: create landing pages, banners, prelanding pages, or other materials to attract the target audience.

  4. Choose traffic sources: determine where you will attract users from (social networks, contextual advertising, SEO, etc.).

  5. Start with small tests: launch small advertising campaigns to test hypotheses and determine effective strategies.

  6. Analyze results: track key metrics such as conversion, average deposit, and user retention.

  7. Scale successful campaigns: increase the budget for working strategies and turn off ineffective ones.

For beginners, a good strategy might be:

  • Creating a YouTube channel with game or betting reviews

  • Running a Telegram channel with useful content

  • Regular publication of materials to retain the audience

  • Gradually building trust with the audience before monetization

Conclusion

Revshare is a model where you trade not in time, but in a share of future revenue. It requires patience, a financial cushion, and the ability to retain an audience, but it can turn into a continuous flow of money that exceeds any fixed payments. If you're ready for a marathon, not a sprint, choose RevShare, and let each new registration bring income longer than the advertising budget spent on attracting it.

2025-07-15

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