Joonas Karhu, the Chief Business Officer of online gambling community Bojoko.com, has launched the ‘Professional Gambling Affiliates Association (PGAA)’ to provide ‘contractual security’ between affiliates and igaming operators.
The organisation is formed following concerns related to the ‘imbalance in the business relationship between affiliates and operators’ causing friction within the igaming community.
The PGAA will address its industry concerns with affiliates coming together as one in order to push for contractual security and fair terms and conditions when promoting operators.
At present, operator marketing programs offer no contractual security for affiliates who are forced to sign agreements that can be contractually changed at any time – seeing their life-time revenues slashed or fees increased with little to no notice.
Current igaming practices fall behind wider mass-market sectors in protecting marketing partners and guaranteeing terms of service.
“Operating an organisation without a secured contract is unsustainable, making it impossible to invest in growth and putting jobs at risk,” said the PGAA in its founding statement.
The PGAA intends to create a contract that provides the security its members need to be able to promote operator brands now and moving forwards. The contract will be signed by PGAA members and their operator partners.
Bojoko will handle the initial communication between the PGAA and operators, and will also cover the legal cost associated with creating the PGAA contract. This includes any potential reviews or amendments required now and in the future.
Launching the PGAA, Karhu said: “The situation online gambling affiliates face is unprecedented when compared with other industries and sectors. Running a business without a secured contract is simply unsustainable and puts organisations and their employees at great risk.
“By creating the PGAA, I hope to be able to provide the contractual security that affiliates need to be able to promote operator brands and be confident that the players they send and the revenues they generate are secured over time.
“I am now calling on all affiliates to join the PGAA and for operators and other industry stakeholders to support the association and its mission to level the playing field for affiliates and to provide the contractual security they need and deserve.”