Most new forex affiliates will at some point have been marketing for casinos. There is a new player in town now, with the legislation tying up American players many affiliates are moving into the Forex trading environment. Offering an opportunity to make a lot of money from the comfort of your home is an enticing prospect for many people who may currently be out of work or even students.
With $300bn plus being traded monthly via retail Forex brokers, there’s certainly an appetite for it. Traders change brokers more often than casino players change operators. knowing how brokers compare is an important thing for traders as Forex has moved to similar marketing strategies as casinos employ with deposit bonuses given to new traders. Similar to rake in gaming, there are spreads in Forex which is a small charge for each trade someone makes. Traders want as low spreads as possible to maximise their profits and will change brokers if another is offering significantly lower spreads.
So how do you tap into this market and make the move to being a forex affiliate? One of the major drawing points for affiliates is that traders are always looking for quick gains and many experienced people can develop a winning system that rewards them with consistent profits. This has led to discussion boards being very popular as a place rife with ideas and methods being thrown around in search of the Holy Grail.
Traders who own blogs documenting their trades and methods along with the broker they use is effective also. Those following the blog naturally want to emulate someone’s success and choosing the same broker is important.
People new to the trading environment will do some research before depositing their money and probably create a demo account with a broker. Many brokers offer CPA commission on traders introduced to demo accounts (leads). As well as a CPA on any deposit the player makes. A select few brokers offer a new commission model called Lot-Rebate which will give affiliates a fixed fee for each lot traded by their referrals.
But what is a Lot-Rebate I hear you ask? It is a measure of volume in currency trading. For example, if you go to the grocery store, you’ll see that each kilogram of a vegetable is worth a certain amount. Lots work in a similar way, a lot of a currency is valued at a certain amount which is variable by account size (by vegetable in our analogy). So a broker may offer you $1 per lot for one low net worth trader where it may offer you $5 for another who deposits much more. So regardless of whether the trader makes or loses money, you as the forex affiliate will get commission on each lot the trader trades. Win-win situation!