Commission Model

The structural rule set that determines how affiliates are paid for the traffic and users they refer, covering trigger events, calculation basis, deductions, and payout frequency.

What it means in practice

A commission model is the structural answer to two questions: what event triggers payment, and how much is paid for it. The main families across iGaming, Forex, and Prop Trading are CPA (flat fee per qualifying conversion), revenue share (recurring percentage of user-generated revenue), hybrid commission (a smaller CPA combined with revenue share), lot-based commission (a fee per traded lot in forex), spread-based commission (a share of broker spread), and multi-tier commission (a percentage of sub-affiliate earnings). Each model rewards different traffic behavior and shifts risk differently between affiliate and operator.

Operators select a commission model based on user lifetime value, traffic source predictability, and cash-flow tolerance. High-LTV verticals such as iGaming and IB-driven forex favor revenue share because it aligns affiliate incentives with long-term retention. Short-LTV traffic or unproven affiliates often start on CPA to limit operator exposure to retention risk. Hybrid models are common for affiliates who deliver consistent quality, since they pay enough cash up front to keep the affiliate active while preserving the operator's share of long-term revenue. The commission structure document should specify trigger event, calculation basis, deductions, qualification rules, and payout cadence.

Common pitfalls in commission model design include over-simplified comparisons (CPA versus RevShare without considering the actual cohort economics), unclear deduction rules, payout thresholds that trap small affiliates, and tier escalators that are mathematically unreachable. Comparing alternatives directly via CPA vs revshare or revshare vs hybrid commission helps both sides understand the tradeoffs. Operators that change models mid-relationship without renegotiation create reputational damage that lasts longer than the cost saving, so the model design needs to fit both current economics and a realistic 12-month outlook.

How Commission Model works across industries

See how commission model is applied in the verticals Track360 supports, from qualification logic and payout structure to the operational context behind each model.

iGaming

Commission Model in iGaming affiliate programs

iGaming programs commonly run hybrid models combining a [first-time depositor](/glossary/first-time-depositor) CPA with revenue share on [NGR](/glossary/ngr). CPA ranges 100 to 500 EUR per FTD, with revenue share at 25 to 45 percent. Tier escalators are typical: higher monthly FTD or NGR volume opens higher percentages. Negative carryover policies and bonus cost handling are the most contentious clauses in the affiliate agreement.
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Forex

Commission Model in Forex partner and IB models

Forex programs split between lot-based commissions (a fee per round-turn lot, common in [IB rebate](/glossary/ib-rebate) structures) and spread-based or revenue share models. IB programs add multi-tier commission so a [master IB](/glossary/master-ib) earns from sub-IBs. CPA exists but is less common because deposit-only fraud makes the model risky without strict qualification rules around minimum trading volume.
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Prop Trading

Commission Model in prop trading acquisition flows

Prop firms primarily use CPA on [challenge purchase](/glossary/challenge-purchase), often 20 to 40 percent of the challenge fee. Some firms add revenue share on retries, scaling plans, or a small profit split on funded-trader payouts. Hybrid structures are less common because the operator revenue per trader is concentrated at challenge purchase rather than spread over a long lifetime.
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How Track360 handles this

Track360 supports CPA, RevShare, hybrid, lot-based, spread-based, and multi-tier commission structures with deduction handling, tier escalators, and per-affiliate overrides so operators can mix models across partner segments without spreadsheet workarounds.

FAQ

Frequently Asked Questions

Common questions about commission model, how it works in affiliate programs, and where it shows up across Track360's supported verticals.

The decision usually comes down to user lifetime value and risk tolerance. CPA suits short-LTV products and unproven traffic sources because the operator pays a fixed amount at conversion. Revenue share suits high-LTV verticals where the operator wants to align affiliate incentives with retention. Hybrid models bridge the two when neither pure model fits the traffic profile.

Related Terms

Commission & Payouts

CPA (Cost Per Acquisition)

iGamingForexProp Trading
Read Definition

CPA is a commission model where an affiliate earns a fixed payment for each qualifying action, such as a deposit, registration, or purchase, that a referred user completes.

Commission & PayoutsRead More →
Commission & Payouts

RevShare (Revenue Share)

iGamingForexProp Trading
Read Definition

RevShare is a commission model where an affiliate earns an ongoing percentage of the revenue generated by their referred customers, typically calculated on a monthly basis.

Commission & PayoutsRead More →
Commission & Payouts

Hybrid Commission

iGamingForexProp Trading
Read Definition

Hybrid commission combines two payout models, most commonly CPA and RevShare, in a single affiliate deal so operators can reward both conversion volume and long-term customer value.

Commission & PayoutsRead More →
Commission & Payouts

Multi-Tier Commission

iGamingForexProp Trading
Read Definition

A commission structure where affiliates earn from their own referrals and from referrals made by affiliates they recruited, creating layered earning opportunities across partner tiers.

Commission & PayoutsRead More →
Forex & IB

Lot-Based Commission

Forex
Read Definition

Lot-based commission is a broker affiliate or IB payout model where partners earn a fixed amount for each traded lot generated by their referred clients.

Forex & IBRead More →
Forex & IB

Spread-Based Commission

Forex
Read Definition

A commission model in Forex IB programs where the introducing broker earns a portion of the spread (the difference between bid and ask price) on every trade their referred clients execute.

Forex & IBRead More →
Commission & Payouts

CPA vs RevShare

iGamingForexProp Trading
Read Definition

CPA pays a fixed amount per conversion. RevShare pays an ongoing percentage of revenue. The core difference is where risk sits after the acquisition happens, and which model aligns with your program goals.

Commission & PayoutsRead More →
From the Blog

Related Articles

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