Best Forex Affiliate Program – What Options Are a Must
June 20, 2019
Forex affiliate program
comes in many shapes and forms. While brokerage houses “steal” models from one
another, there are still some differences affiliates need to know about.
Forex affiliate market
is a straightforward process, tailor-made
for each broker’s needs, possibilities and budgets. The budget is the first
thing that makes the difference between one affiliate program and another.
the process for an affiliate
marketing for a Forex broker starts with the affiliate posting an ad on
their website. Generally, everything is made
online. The more popular the website, the
more visible the ad is, which is beneficial to the affiliate promotion.
the client clicks the ad and is redirected
to the broker’s website. Through a tracking link, the broker knows where the
client comes from.
the client opens a live account, starts trading, and the affiliate gets paid. It is as simple as that.
process, known as introducing
broker appeals to anyone able to generate relevant web traffic and bring
clients for the broker.
models of affiliate programs exist. In Forex trading, one of the things to consider
before becoming affiliate is the CPA. The
acronyms stand for Cost per Acquisition
and the Forex affiliate gets paid a CPA commission for
every client that opens a trading account and starts trading.
amount differs from one Forex affiliate program
to another, with brokerage houses competing for the best introducing agents by
offering a higher CPA. In general, look for a few hundreds of dollars as a proper compensation for a CPA, but in some
cases (again, depending on the budget) it can go much higher.
The CPA depends a lot on the amount
deposited in the trading account too. If the client deposits a large sum, the broker will compensate the affiliate adequately.
possibility to gain from an affiliate
program is to apply for a CPL or Cost
per Lead. In this case, the broker pays from the moment that it receives
the lead: telephone number, email address, or even physical address. Also,
opening a demo account fits in this category too.
(RS) is a controversial type of commission. It all comes down to the way the
broker makes its money. Under such an agreement, the brokerage house agrees to
share parts of the revenue with the affiliate.
Typically, the broker earns from the
spreads offered (the difference between
the bid and ask quotes of a currency pair), but not only. Some brokers,
especially MM (Market Makers), trade against their clients’ positions, meaning
they’ll make money when the client marks a loss. Hence, the affiliate will earn
as well when the trader takes a hit. The reason why RS is controversial comes
from the ethical side of the story. In the end, it is a business model with
risks on all sides, both the broker’s and
options exist as well, but these are the
most popular types of commissions. The best Forex affiliate program is a
combination of the types of commissions mentioned here, thus
becoming a hybrid option. Sub-affiliate programs exist too, and
they generate revenues by introducing second-tier
the end, the proper program depends on the broker’s budget and the affiliate’s
ability to attract clients. It is a partnership where both the broker and the affiliate work on the same side of the