RAKEBACK DEBATE CONTINUES (Update)
10 July 2009
Rakeback site operator takes issue with Will
Hill exec
The debate on the desirability of affiliates offering
rakeback on Internet poker sites (see previous InfoPowa
report) continues, with Karim Wilkins, the CEO of poker
rakeback website Rake The Rakeback.com, entering the
fray with the observation that questionable skins on
poker networks, and not rakeback affiliates are at the
root of problems with the practice.
Earlier, a
William Hill Online executive had urged other operators
to clamp down hard on rakeback practices by affiliates,
claiming that these cannibalised the business, and
suggesting that there should be a clear division of
responsibilities between player acquisition (affiliates)
and customer retention (operators).
Without being
specific, Wilkins asserted that some online poker
networks do not have a clear rakeback policy with skins,
and this is thye cause of their problems, not affiliates
giving rakeback.
“These days networks like
iPoker, Entraction, Boss and Microgaming will seemingly
give an online skin to anyone with a few hundred dollars
and a small database of players," Wilkins claimed. "And
it’s a majority of these skins that are cannibalising
existing network traffic, by contacting players through
player chat at the tables and so forth in order to poach
them across for higher rakeback”.
Networks make
the situation worse by giving away skins to affiliates
looking to diversify within the industry, the rakeback
specialist accused.
“This represents a clear
conflict of interest for the networks as some of these
affiliates still promote other skins on the network.
This means they can easily identify players from those
other skins and try and convert them for a higher
margin.”
Wilkins suggested that networks
re-examine their rakeback policies to ensure these are
clear, sensibly capped and adhered to by every
interested party on the network.
“What’s
frustrating is that the networks without clear policies
are too proud to ask for or take advice from the people
who know rakeback best, the big established affiliates.
It’s the big affiliates who provide checks and balances
for the whole system via self policing and caps, and it
is they who can gauge what the players are after at the
kickback level,” he said.
Online Casino News Courtesy of
Infopowa
More news here.
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