NGR

Net Gaming Revenue, or NGR, is Gross Gaming Revenue less a defined set of deductions, including player bonuses and promotions, payment-processing fees, chargebacks and, in some agreements, administrative costs or gaming taxes. It is the figure that most accurately reflects what an operator actually retains from a player's activity, and it is the base on which revenue-share affiliate commissions are normally calculated. Worked example: a referred player deposits 500 and ultimately loses 200, giving gross gaming revenue of 200. From that, the operator deducts 50 in bonus credit awarded to the player, leaving a net gaming revenue of 150. If the affiliate is on a 40% revenue-share deal, their commission is 40% of 150, or 60 — not 40% of the 200 gross. The deductions therefore reduce the affiliate's earnings relative to a headline based on gross figures. Why it matters: understanding exactly which deductions a contract permits is essential for projecting affiliate income accurately, because two programmes both advertising 40% revenue share can pay very differently depending on what they subtract before calculating NGR. The common mistake is to model expected earnings from gross losses or deposits and then be disappointed when bonuses, fees and chargebacks have shrunk the base. It is also worth checking how chargebacks and negative months are handled, since aggressive deduction terms combined with negative carryover can erode commission substantially. See also negative carryover related NCO, revenue share and CPA.