{"id":166381,"date":"2026-02-02T18:01:17","date_gmt":"2026-02-02T18:01:17","guid":{"rendered":"https:\/\/www.scaleo.io\/blog\/?p=166381"},"modified":"2026-03-26T09:49:31","modified_gmt":"2026-03-26T09:49:31","slug":"ngr-affiliate-commissions-prevent-revshare-disputes","status":"publish","type":"post","link":"https:\/\/www.scaleo.io\/blog\/ngr-affiliate-commissions-prevent-revshare-disputes\/","title":{"rendered":"NGR Definition for Affiliate Commissions: The Clause That Prevents RevShare Disputes"},"content":{"rendered":"\n

Your affiliate program generated \u20ac2.4M in Gross Gaming Revenue last month. You calculated Net Gaming Revenue at \u20ac1.3M after deductions and paid affiliates 35% RevShare<\/a>: \u20ac455,000.<\/p>\n\n\n\n

Three of your top affiliates are now disputing their payouts. They claim you applied “hidden deductions.” Your finance team insists every deduction is legitimate. Your legal counsel reads the contract: “RevShare calculated on Net Gaming Revenue after standard operational costs.”<\/p>\n\n\n\n

That vague clause just cost you three affiliates and \u20ac180,000 in annual commissions.<\/p>\n\n\n\n

\"cyber<\/a><\/figure>\n\n\n\n

We, the team behind Scaleo<\/a>, have migrated hundreds of casino affiliate programs. The pattern is consistent: NGR<\/a> disputes don’t happen because operators are dishonest\u2014they happen because NGR clauses are lazy. Vague deduction definitions and calculations that can’t be audited create disputes even when everyone has good intentions.<\/p>\n\n\n\n

This guide shows you exactly how to define NGR in your affiliate agreements so that RevShare calculations are transparent, defensible, and dispute-proof.<\/p>\n\n\n\n

\n
\n

TL;DR<\/strong><\/p>\n\n\n\n

Net Gaming Revenue (NGR)<\/strong> for affiliate commissions is GGR<\/a> minus a fixed list of player-linked deductions<\/strong> \u2014 nothing else. If a deduction can’t be traced to a player ledger entry, it doesn’t belong in NGR.<\/p>\n\n\n\n

RevShare disputes happen when contracts allow vague “operational costs.” A dispute-proof NGR requires a finite deduction list, player-level calculation, clear timing rules, and full transparency in reports.<\/p>\n\n\n\n

If you can’t show NGR per player<\/strong>, your RevShare is negotiable \u2014 and negotiable revenue always leads to disputes.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n

What NGR Actually Means?<\/h2>\n\n\n\n

Net Gaming Revenue (NGR)<\/strong> is Gross Gaming Revenue<\/a> adjusted by predefined, auditable deductions directly attributable to player value leakage, used as the commissionable base for revenue-share affiliate payouts.<\/p>\n\n\n\n

Not “revenue after costs.” Not “what we feel like paying commission on.” Player-linked deductions only.<\/strong><\/p>\n\n\n\n

The rule that prevents ambiguity:<\/p>\n\n\n\n

\n

“If a deduction cannot be traced to a player ledger entry, it does not belong in NGR.”<\/p>\n<\/blockquote>\n\n\n\n

When affiliates send a player who generates \u20ac50 in GGR, they need to know exactly how much becomes commissionable NGR. If your answer is “it depends on our monthly costs,” you don’t have an NGR definition. You have a future dispute.<\/p>\n\n\n\n

GGR vs NGR: What Actually Changes the Number<\/h2>\n\n\n\n
Metric<\/th>What It Represents<\/th>Why It Matters<\/th><\/tr><\/thead>
GGR (Gross Gaming Revenue)<\/strong><\/td>Total stakes minus total winnings<\/td>Too inflated\u2014includes bonuses and unrealized costs<\/td><\/tr>
NGR (Net Gaming Revenue)<\/strong><\/td>GGR minus approved, player-linked deductions<\/td>The only defensible RevShare base<\/td><\/tr>
“Adjusted NGR”<\/strong><\/td>NGR minus internal operational costs<\/td>Red flag\u2014this is where disputes start<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

If you see “Adjusted NGR,” “Operational NGR,” or “Net Net Revenue,” run. Those modifiers give operators unlimited discretion to reduce commissionable revenue after the fact.<\/p>\n\n\n\n

The Only Deductions That Belong in NGR<\/h2>\n\n\n\n

Hard rule: Deductions must be player-linked, not operator-convenience-linked.<\/strong><\/p>\n\n\n\n

Legitimate NGR Deductions<\/h3>\n\n\n\n
Deduction<\/th>Why It’s Defensible<\/th><\/tr><\/thead>
Player winnings<\/strong><\/td>Core component of net revenue<\/td><\/tr>
Bonuses issued<\/strong><\/td>Direct player acquisition cost<\/td><\/tr>
Bonus winnings<\/strong><\/td>Artificial stake inflation<\/td><\/tr>
Payment processing<\/a> fees<\/strong><\/td>Cost of monetizing that specific player (player-level only)<\/td><\/tr>
Chargebacks<\/strong><\/td>Reversed revenue that was never realized<\/td><\/tr>
Fraud losses<\/strong><\/td>Revenue from fraudulent activity (proven, documented)<\/td><\/tr>
Gaming taxes<\/strong><\/td>Jurisdictional requirement (must be explicitly listed)<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Deductions That Do NOT Belong<\/h3>\n\n\n\n
Deduction<\/th>Why It Causes Disputes<\/th><\/tr><\/thead>
Platform fees<\/strong><\/td>Operator overhead, not player-specific<\/td><\/tr>
Game provider fees<\/strong><\/td>Cost of doing business<\/td><\/tr>
Staff salaries<\/strong><\/td>Not attributable to individual player<\/td><\/tr>
Marketing spend<\/strong><\/td>Double-counting (you already pay affiliates<\/a>)<\/td><\/tr>
KYC\/compliance costs<\/strong><\/td>Business overhead<\/td><\/tr>
Currency hedging<\/strong><\/td>Financial strategy, not player-linked<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

If finance wants these costs covered, negotiate a lower RevShare percentage upfront (30% instead of 40%). Don’t hide them in NGR deductions after affiliates have sent traffic.<\/p>\n\n\n\n

The NGR Clause That Actually Prevents Disputes<\/h2>\n\n\n\n

Most affiliate agreements say:<\/p>\n\n\n\n

\n

The affiliate will receive a 35% revenue share<\/a> based on net gaming revenue after bonuses, taxes, fees, and other operational costs.<\/p>\n<\/blockquote>\n\n\n\n

Why it fails:<\/strong> “Other operational costs” = unlimited discretion = zero trust = affiliate churn.<\/p>\n\n\n\n

The Clause Structure That Works<\/h3>\n\n\n\n

Your NGR definition must include four components:<\/p>\n\n\n\n

NGR definition (dispute-proof version, still readable):<\/strong>
Net Gaming Revenue (“NGR”) means, for players referred by the Affiliate only, Gross Gaming Revenue (“GGR”) less the following deductions, each of which must be attributable to a player ledger entry or payment transaction ID: <\/p>\n\n\n\n