Baseline is a specific threshold (sum of money) that a player must reach to be considered active. This term in affiliate marketing is usually used in Gambling and Casino verticals because any casino must implement measures and pay affiliates for customers who do generate income or profit.
Baseline Meaning
Baseline means a reference point or minimum sum of money that any customer has to bring in to be of interest to the casino. To make profit, casinos have to generate revenue from players exceeding the payouts given to affiliate marketers. Otherwise, the casino would operate at a loss.
When a user makes a minimum deposit, it helps cover a portion of expenses, but not the entirety. In addition to the minimum deposit, the user is required to pay an additional amount to contribute adequately towards the casino’s costs.
A baseline can be achieved through a single payment or multiple payments made within a month.
What is the Difference between a Baseline and a Minimum Deposit?
A beginner in affiliate marketing often has a question, what is the difference between baseline and minimum deposit. In order for an affiliate to receive a payout, it is not enough to simply bring a client to the offer. Minimum deposit is an amount that must be paid by a user after registration.
If a user makes a minimum deposit, it will cover some expenses, but not all of them. Therefore, in addition to the minimum deposit, the user must deposit a certain amount on top to be considered active. Therefore, the minimum deposit plus that amount is the baseline.
Depending on the offer, its value can vary. Affiliates should pay attention to the value of the minimum deposit. If the amount seems too large to users, they will not be converted into leads. Accordingly, the affiliate will not receive commissions.
How does Baseline Affect Affiliates Earnings?
Offers with larger baselines have higher payouts, and offers with smaller baselines tend to have smaller payouts. Therefore, affiliates have the task of attracting quality leads, who generate the baseline, to earn. If the lead doesn’t follow the minimum sum, affiliate doesn’t receive money. When selecting which offers to promote, affiliates should carefully consider the baseline level to optimize their earnings potential as well as to check the baseline in a certain GEO.
By establishing a baseline, advertisers can evaluate the performance of their partners and determine whether they are meeting the desired targets and earning expected revenues.
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