Affiliate Lifetime Value

Affiliate lifetime value (ALV) quantifies the cumulative financial contribution of an affiliate partner from their first referred conversion to the end of the relationship. Unlike single-period metrics such as monthly revenue or EPC, ALV captures the full trajectory of an affiliate partnership, including ramp-up phases, peak performance periods, and eventual decline or churn. This long-term view enables operators to make informed decisions about how much to invest in acquiring, supporting, and retaining each affiliate.

Calculating ALV requires aggregating all revenue or profit attributed to an affiliate across their entire active period, then subtracting the associated costs: commissions paid, dedicated account management time, custom creative production, and any bonus or incentive payouts. For RevShare affiliates, the calculation must account for the ongoing revenue from players or traders they referred, which can continue generating value long after the affiliate stops actively promoting. For CPA affiliates, the value is more front-loaded.

ALV is most useful as a segmentation and investment tool. Operators who track ALV can identify which affiliate types, traffic sources, and geographic segments produce the highest long-term returns. This data drives decisions about commission tier structures, dedicated support allocation, and co-marketing budget distribution. It also reveals when a previously high-value affiliate is declining, triggering proactive retention efforts before the partner churns entirely.