Online Forex brokers have proliferated in the past decade to serve the people that want to trade currencies. Testament to forex trading’s rise in popularity and to help forex brokers expand their client base, affiliate programs exist so people like you can benefit too.
To become a Forex affiliate, all you need is a partnership agreement with one of them.
Click here to sign up as a Forex affiliate with TIOmarkets or continue reading to learn more first.
Succeeding in this competitive industry, requires some talent and determination. Especially, if you don’t have any prior experience, network or web presence. But it’s worth it, because Forex brokers offer significant rewards to Forex affiliates for their effort.
This article will explain how to become a forex affiliate, the earning potential and how you can refer clients to the trading platform.
Keep reading until the end to get top tips about how to become a Forex affiliate and the different ways you can make money as a forex affiliate.
So, let’s get started!
How to become a Forex affiliate
Let’s start with a definition of affiliate marketing?
Affiliate marketing is the activity of promoting the goods or services of another company to earn commission on qualified sales.
Still unsure how affiliate marketing works? Let me explain the process! In affiliate marketing, a person signs up as an affiliate with a company and markets their products, or services and receives a percentage of the profits from each sale they make.
The company gets a new customer and potentially saves money on advertising costs; it’s a win-win for both parties.
But how do the companies know how many customers a particular affiliate marketer has directed to them? In online affiliate marketing, conversions and sales are tracked through unique affiliate links that connect affiliate marketers to the company’s website.
When someone clicks the affiliate marketer’s links, both the company and the affiliate know about it.
What is Forex trading?
Forex trading, or Foreign Exchange trading, is the act of buying and selling currencies to try to make a profit. Currencies are traded in pairs, so when a trader exchanges one currency for another, they expect it to appreciate in value. Once enough time has passed, they exchange back to the original currency and potentially end up with more than what they started with.
Forex Trading on online platforms is primarily done for speculation but the foreign exchange market also serves other purposes. Such as the exchange of money for tourism, and to facilitate international trade between companies.
What is a Forex affiliate?
Now consider the definition of affiliate marketing in terms of Forex trading. To become a forex affiliate is to market the products and service of online Forex brokers. When a person advertises and directs traffic or potential traders to a Forex broker’s website or trading platform, this is known as Forex affiliate marketing.
Once you fully comprehend the concept of Forex Affiliate Marketing, it will be easier for you to understand the role of Forex Affiliate Marketers.
This is someone who promotes a particular Forex trading platform to others by publishing content on a website, blog, social media platform, podcast, or even by word of mouth.
Forex affiliates are also referred to as Introducing Brokers or IB’s in the financial industry. The difference between a Forex affiliate and an IB is, an affiliate doesn’t communicate with the client but an IB remains in communication with the client after the referral.
Forex affiliates, may or may not trade for themselves but usually provide additional services to their clients as incentive to sign up under them. Including but not limited to trading signals, market analysis and news and education.
How do Forex affiliates make money?
Forex affiliates make money by referring traders to trade on the Forex broker’s platform. They can be compensated in several ways. The first one is;
Cost per lead (CPL)
This is usually the lowest rate however; CPL is beneficial for affiliates because they get paid even when the prospects directed to their Forex broker’s platform don’t deposit money.
All that is required from the forex affiliate is to get people to sign up.
Cost per action or acquisition (CPA)
The commission for CPA is much higher than CPL but the forex affiliate can expect that most referrals to the broker’s platform won’t sign up. Forex affiliates get paid a one-time amount agreed with the broker whenever their referrals complete a specific action. For example, once they have deposited a minimum amount of money and reach a trading volume threshold.
Volume or lot rebate
This too is a low rate compared to CPA but the benefit of this compensation model is that the affiliate continues to earn for the life time of the client. Whenever a trader buys or sells currency, they pay a commission and spread to the broker and they are generating trading volume. The forex affiliate will earn a small percentage of this commission or spread for each lot traded and for as long as the trader is trading.
This can add up to a significant amount over time, depending on how many clients the Forex affiliate refers, how much they trade and for how long they are trading.
Hybrid (CPA + Volume rebate)
Some forex affiliates like the best of both worlds, they like to earn a little something upfront and then to continue to earn while the trader is trading. The hybrid compensation plan involves a smaller CPA and a smaller volume rebate than in the previous two examples.
The last compensation plan is Revenue Share. Usually retained and offered to the best Forex affiliates, who have the most experience and a good relationship with the broker. In this model, the affiliate gets a certain percentage of the broker’s entire revenue from the traders they refer.
What is important to understand is that the commission rate varies from one affiliate program to another and from one compensation plan to the next.
The money forex affiliates earn depends on how many people they refer to the brokers trading platform and the compensation plan agreed. It is possible to make anything from some extra pocket money to hundreds of thousands per month. If you can successfully create your own brand and attract and market to a large enough audience, you will have a greater opportunity to earn larger amounts.
The earning potential can be quite significant!
How to Become a Forex Affiliate
When you sign up as a forex affiliate or introducing broker, you will be provide with a unique referral link. You can promote these links to your friends, family, colleagues, and other potential traders.
Everything will be tracked in your partner portal!
Those who already have a well-established online presence on any platform, such as YouTube, Facebook, Instagram, or a website, will find forex affiliate marketing easier than those that don’t.
It would be ideal to have a web presence to funnel traffic to your website, decorated with banner advertisements to attract more clicks. Don’t worry if you don’t have one though, you can create one easily enough.
Here is a tried and tested step-by-step procedure through which you can become a forex affiliate.
Step 1: Do proper research about becoming a Forex affiliate
Save yourself time and energy in the long run by being familiar with forex trading and what your target audience is interested in. Since forex affiliate marketing requires zero to minimal monetary investment, consider your research time as your initial investment.
You want to search for valuable information on forex trading and affiliate marketing, to gain industry insights and update yourself with the latest forex news.
Step 2: Affiliate with reputable brokers
Your success and credibility as a forex affiliate depends in part on the broker you partner with.
Think of it from your clients’ perspective – would they be comfortable trading with a reputable broker or one that is unreliable?
Join the best run affiliate program with a reputable forex broker that will also reliably pay you for your time and effort.
Step 3: Become an industry expert
This is where many forex affiliates go wrong – they start marketing for their brokers without establishing themselves as a credible source of information.
This will also help increase traffic to your website.
Step 4: Get in touch with your audience
You can gain your audience’s trust by building relationships with them. Use lead capture forms and pop-ups to collect email addresses.
This will allow you to keep in touch with your audience, so you can send them valuable content over and over again. You can inform your audience about current market trends and send them forex education material.
Step 5: Start marketing your broker’s products and services
Promote your brokers naturally, mention and link to the broker’s website in your blog posts. Don’t forget to include a call to action after each email and blog post.
A top tip is to give enough value upfront then ask for a reciprocal action by asking them to trade with your preferred broker.
During the process of marketing to your audience, don’t forget to stay connected with your broker.
Discuss your marketing strategy with them; keep them informed about what you are doing and perhaps they will also offer you suggestions and guidance.
Brokers usually offer affiliates bundles of educational material, eBooks, videos and other resources to polish your marketing skills.
Since you have come this far, here is a bonus – our top tips! There are many ways to increase clicks to the forex broker you have partnered with.
Apply these top tips to boost your marketing effort and maximize your earning potential.
Tip 1. Create a web presence
Set up a visually appealing, easy-to-navigate website. This will give you some credibility and allow you to build your own brand.
You should create a home for all your content so your audience can access it from anywhere and anytime. Your website will act as your sales person working 24 hours a day, 7 days a week!
Tip 2. Create high-quality, SEO rich content
Establish yourself as an expert with high value content for your audience to read. This will help you to build trust with your audience and influence their decision making. Make sure to offer value to your audience so they keep coming back for more.
Content should be original and optimized to rank in the search engines so you can get organic, free traffic.
Set a publishing schedule and update the website with fresh content regularly and your audience will keep coming back for more. The search engines also prefer this and it will help with rankings.
Tip 3. Use email marketing
Email marketing is a great way to increase clicks back to your website. As effective as this strategy is, many forex affiliates overlook the power of email marketing. But the ones who build their email list and keep in touch with their audience grow the fastest.
Before you start sending out emails, make sure to check with your broker that the content is compliant.
Tip 4. Use social media
Social media holds great power; many brands have a social media presence to promote their products and services on these platforms. You too can utilize this free resource to step your forex affiliate marketing game up.
You can use social media to help you promote your brand and website. Then once you have directed traffic there, collect email addresses to keep in touch and remarket to them!
Tip 6. Guest Posting
Guest posting is an excellent method of gaining traffic without spending any money. You can find relevant blogs and website that already get a lot of traffic and offer to create engaging articles for them. In return, they should allow you to post a link back to your website.
Tip 5. Use paid advertising
Why only use free forms of promotion when you can speed it up with paid adverts?
The only catch here is that you would need to invest a little upfront, but posting a paid advert on a high traffic website where your audience congregates would get you faster results. Before you start, check the advertising terms and conditions of the site of make sure to check with your broker that the ads are compliant.
How to Become a Forex affiliate today
Joining a forex affiliate program is a lot like establishing your own business, but with potentially less risk and investment up front. The main thing to focus on is marketing!
Still not sure what to do or do you have any questions?
Sign up as a forex affiliate today and talk with someone from our partner’s team.
Risk disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Never deposit more than you are prepared to lose. Professional client’s losses can exceed their deposit. Please see our risk warning policy and seek independent professional advice if you do not fully understand. This information is not directed or intended for distribution to or use by residents of certain countries/jurisdictions including, but not limited to, USA & OFAC. The Company holds the right to alter the aforementioned list of countries at its own discretion.