Turnover-Based Commission

Turnover-based commission is a commission structure where the affiliate earns a percentage of the total wagering volume (also called handle or turnover) generated by their referred players. Unlike RevShare, which is calculated on net revenue after deducting player winnings and adjustments, turnover-based commission is calculated on the gross amount bet, regardless of whether the operator made a profit on those wagers.

This model originated in sports betting but is also used in some casino and exchange betting contexts. Typical turnover commission rates in sportsbook are much lower than RevShare rates -- often ranging from 1% to 5% of total handle -- because the calculation base is significantly larger. A bettor who wagers $10,000 in a month at a 2% turnover rate generates $200 in commission for the affiliate, regardless of whether the sportsbook profited or lost on those bets.

The primary advantage of turnover-based commission for affiliates is predictability. Since the payout is tied to wagering volume rather than net revenue, affiliates are not exposed to the volatility of sporting outcomes. There is no risk of negative carryover and no month-to-month earnings swings caused by large bettor wins. For operators, the trade-off is that they pay commissions even in months where referred bettors are net winners.

Turnover-based commission works particularly well for affiliates who refer high-volume bettors, especially those active in in-play betting markets where turnover per session can be significantly higher than pre-match betting. However, affiliates with low-volume but high-margin referrals may earn more under a RevShare model. The choice between turnover and RevShare depends on the affiliate's traffic profile and risk tolerance.