Congratulations on choosing one of the largest and most profitable industries for affiliate marketers. As with any lucrative industry; big profits come with increased competition. Even with the hundreds of forex brokerages on the internet and thousands of affiliates; the industry is still expanding and new affiliates are still able to claim their share.
Every time I search the internet for various forex topics I will find forex affiliate websites. Normally, after closer examination, I discover the website receives a good amount of traffic and is regularly updated. This shows me that the website owner is making money. Of course, this is no guarantee, however; good updated content and traffic are the two things affiliates need to make money. Regularly I will speak with some large forex brokers and the affiliate managers will confirm that a large number of their affiliates will earn $10k/month or more with some earning in the $30k-$40k/month range and top affiliates earning over $100k/month.
Keep in mind that forex trading and forex traders are a residual income stream for the affiliate. Once the trader has left your website and signs up for a demo account and then moves to a real account or straight to a real account, you are being paid on each real trade; for the life of the trader. This is EXTREMELY powerful. Very few other industries offer passive income to this magnitude.
Trading is difficult. Being an affiliate is easy. Most new (uneducated) traders make little to no money while other (experienced) traders earn substantial amounts. Most affiliates (new and experienced) will make money.
The forex market has a very low barrier to entry when compared with other investment opportunities. This is very enticing to new traders and investors (with little money and even less forex knowledge). Most of these traders are brand new with no experience. These newbies have the ability to make money however they need to employ strict risk management techniques. What occasionally will give forex trading a bad name are the uneducated traders that jump right in and start trading like they are playing slots. It is a much better business to own the slot machines than to play them.
Back in the California gold rush days of the mid-1800s, few people made it rich by actually finding gold; the businesses that sold tools to the miners became rich. Two centuries later, the old adage is still accurate; however, miners are now traders and the store providing the tools is your affiliate website with the actual tool manufacturers being the forex brokers.
The Foreign Exchange Market
The daily volume of every stock market in the world combined is $85 billion dollars but, the daily volume of the forex market is nearly $5 trillion. The FX market dwarfs the combined stock market volume worldwide. This is no wonder why the forex market is the world’s largest financial market.
Traders make money by recognizing and taking advantage of small fluctuations in exchange rates. Unlike other financial markets; there is little to no inside information and is very easy to understand.
• One currency is traded against another.
• Currencies are traded in pairs. For example; GBP/USD represents the pound as expressed in US dollars.
• The forex market is open 24 hours per day, 5 days a week.
• The spread between bid and offer is the difference between the buying and selling price.
Choose Your Medium
Since this page is titled “How To Become A Successful Forex Affiliate,” we will assume you are interested in starting a website and becoming an affiliate for a few brokerages and earning money from the traffic you send to them. However, in forex and binary options, there are affiliates and introducing brokers also known as IBs (IBs are different and we will discuss those in the next section).
Some affiliates are more hands on than others. If you have contact with the trader prior to sending them to the brokerage (like an IB), you will be marketing your service differently and will require a slightly different plan of attack. Most affiliates do not know their traders and merely offer quality content on their website along with links to recommended brokers.
If you already have a financial website, it is recommended that you simply add a forex section to your site and build it out from there. You will save countless hours building and most importantly marketing and updating both websites. Less is more.
Affiliates vs. IBs
Affiliates and Introducing Brokers (IBs) are similar in the sense that they are both partners of the brokerage firm. In addition, they also make money when traders they send to the firm trade forex. If you have done some research in the industry, you will see that some forex brokerages have separate areas for IBs and others for affiliates while on the other hand, certain brokerages will just have one or the other. This is where the confusion begins.
Affiliates simply refer the traders to the brokerage firm. The affiliate might be compensated on a Cost Per Action (CPA) or revenue share model. The affiliate referral process can easily be automated. After a referral takes place; the affiliate has no obligation. IBs provide real services to the traders they refer. It is much less likely the IB will have any part of the process automated. They are providing services before the referral as well as after the referral. In summary, affiliates are less involved in the services of the brokerage firm, while IBs use their services as a foundation for the partnership.
What Type of Website?
A niche makes you rich. Well, in the forex industry, most niches have already been exploited. Choosing a semi unique niche with a new twist is more realistic. This section is dedicated to selecting the type of website you will develop and use for driving traffic to your affiliate links.
The most popular forex affiliate website niches will include; review websites, ratings websites, blogs and forums. It is possible to be successful with one of these types but you will need an individual twist in order to stand out. This may comprise of two of the above for a specific region of the world. For example; a blog and review website for the Gulf Countries or a review and ratings website for certain Eastern European countries etc. The possibilities are endless. People trade forex all over the world. Normally there are only a dozen or so countries where brokers will not accept clients from for various reasons, leaving 95% of the world as your marketplace.
Other Potential Ideas (In Addition To Location and Website Niche):
• Minimal Design
• Less Clutter
• Less Distractions
• Less Ads & Only Quality Ads
• No Pop Ups (Possibly Mailing List Pop Ups Only)
Select the Affiliate Programs
There are literally thousands of different companies on the internet, connected one way or another with forex/binary option services, looking for affiliates. They range from banner advertising companies to forex trading programs and courses to forex brokerages themselves. This leaves a huge opportunity and challenge to the affiliate webmaster for choosing which programs to promote.
You are promoting forex and binary option trading, so the largest and best advertising locations on your website should be populated with actual brokerages. These will be your cash cows, where the real money is made. Of course, they will not monetize as fast as having some Pay Per Click banner since it will require the visitor to sign up and deposit however over the long term, this will be most profitable and should be focused on.
Many forex affiliates starting out will be most concerned with how much they will make per signup. This of course is important however; it is not the most important and in no way is a guarantee of a successful partnership. Affiliates and forex brokers are partners. One handles marketing while the other handles the rest of the business. Serious forex brokerages will have a dedicated affiliate staff. The staff will assist their affiliates with; tons of marketing materials (images, tools, banners etc.) in addition to a dedicated affiliate manager who will answer any questions and correct any problems that may arise.
The reputation and licensing/regulation of the forex brokerage are other deciding factors. Check the brokerage’s regulation and reputation before signing up with them. The largest brokerages are very similar in the sense that they will have multiple licenses/regulations and have been in business for a while with limited negative reviews.
The commission structure should be reviewed and understood. Most of the large brokerages have similar commissions and are paid on a revenue share or per lot basis (which is a reason why commissions are not the most important factor). Some brokerages pay on a Cost Per Action (CPA) style structure but this is not a route recommended since the big money is in the residual commissions. In summary, commissions are very similar among the large players. Per lot and revenue sharing commissions are recommended.
Getting Started In Forex Affiliate Marketing
Getting started in forex affiliating marketing is the easy part. The hard part is staying focused on your goal. It will take time and patience to tap into the profitable forex affiliate industry. Effort is required to succeed in any form of affiliate marketing, especially forex affiliate marketing. Your success is entirely in your hands and normally is proportional to the time you have invested in researching and building your affiliate business.
What You Will Need To Get Started As A Forex Affiliate:
1. Determine Your Niche And Site Layout
2. Domain Name
3. Traffic Planet Hosting (Traffic Planet Is The Best – Click Here)
4. AWeber Email List Program (AWeber Is The Best – Click Here)
5. Design Of The Website
6. Affiliate Programs
7. Marketing And Optimization
Forex Affiliates Should Have:
• Facebook Page
• LinkedIn Page
• Twitter Page
• YouTube Channel
• UNIQUE Content
Marketing and Optimizing Your Website
Once you have determined the site layout and the niche, it is important to arrange your website for easy navigation. Setup subcategories and take website organization ideas from other affiliate websites. Choosing subcategories and niches will help catch the interest of more forex traders. Your ads should be strategically placed in certain areas of your site to generate the highest conversion possible without creating clutter. This will ensure your website is easy to read by visitors and search engines. If you have specific niches, they can be targeted by creating a specific section for each niche. This will dramatically assist your website with search engine rankings.
Your website’s content must actually be helpful. No one will return to your website or even stay for more than a couple minutes if your content is poorly written or worthless. Post original, helpful and educational content to achieve success. Everything you publish should be meaningful and current. Your website needs to become a credible source of forex information.
Social media should be a cornerstone of your marketing effort. Traditional marketing (Pay Per Click) is expensive, especially in the forex industry. Social media is easy to setup and manage. Create a following on your social media pages and share information between your social media pages and your website. Add the plugin JetME; it will post your new website blog posts on your social media pages automatically. This is a very powerful tool.
Lastly, use the tools provided by your forex brokerage affiliate programs. The larger brokers have massive amounts of helpful marketing materials and tools. Maximize your partnership by utilizing everything that is provided to affiliates.
Words To The Wise
Before any forex affiliate starts to see income, they must first understand the workings of affiliate marketing. Below we have outlined some beginner recommendations to assist you as you build your new affiliate business.
Frequently Save and Backup EVERYTHING
Today, our lives are centered on computers and phones. Imagine if you lost the data from one of them, it would be devastating, unless if it was backed up. Websites are no different. Even though I have not lost files from a web hosting company since the 90s, there is always the chance one of my designers (or me for that matter) will delete something unintentionally. Once you have setup your wordpress website, you need to install an automatic backup plugin (IE: BackWpUp). It is free and includes a backup scheduler so you don’t even need to remember. Do it a couple times a day if you are making many changes or you can set it to do daily backups. Having a backup program on your local machine is HIGHLY recommended as well.
Complete Your Website Before Launching
Do not start promoting your website until all of your navigational links and pages are complete and operational, as well as any other pages you have live. The website should look complete when you start marketing it. As a marketing affiliate, you will always be adding to your website but don’t turn the new pages/posts live until they are 100% complete.
Partner With The Best Affiliate Programs
Don’t waste your time promoting an affiliate program that supposedly guarantees the highest payout. It makes more sense to promote brokerages that will keep your traders happy and in turn provide a long-term residual stream of money. These are the large and stable regulated brokerages that provide trading services to tens of thousands of traders on a daily basis.
Patience and Consistency
Affiliates must set aside a minimum amount of time each day/week in order to be successful in the forex industry. Some affiliates say they make money in 6 months from launch while others say 16 months. Getting traffic takes time, getting regular visitors takes time and getting visitors to convert to traders takes time. It will most likely take you 1 year to start seeing income.
Thinking outside of the box is a fantastic way to increase your earnings without the high cost of normal traditional internet marketing tactics (Pay Per Click) that will cost you huge sums of money in the forex industry and provide you with few results.
Websites catering to the competitive forex market should utilize non-traditional marketing tactics. Experiment with new marketing avenues and see which one performs the best. It is very easy to track and review the performance of a certain campaign by using specific landing pages and/or specific banners from the forex brokerage (ForexGator.com can help you set this up).
Please contact ForexGator.com with any questions and we will walk you thru the process of being a forex affiliate.