The forex industry is a little bit of a cookie-cutter industry. With the proliferation of white label FX solutions, it is easy for every single broker out there to offer the exact same thing to traders: a nice looking trading platform, the same old bonus structure and a mediocre customer service standard. If you are a broker looking to enter the FX market or an established small to medium size broker, the same old same old won’t cut it in today’s extremely competitive market.
If you wish to maintain a competitive edge, then the following are 3 of the things you can do in order to increase your conversion rate, strengthen trader engagement, lower your operational costs and ultimately boost your brokerage’s overall performance.
Also known as copy trading or mirror trading, social trading is a tool in which traders are given the ability to copy the actions of other traders automatically. Social trading isn’t a new tool per se. Its introduction to the market took place a little over a decade ago, but it wasn’t until recently that social trading began experiencing rapid adoption.
It is deeply ingrained in human nature the desire to fit in, to be part of a larger community. It is also common human behavior to ask for peer approval and opinion. Social trading answers both needs. Moreover, social trading lowers the barriers of entry and shortens the learning curve not only for newbie traders, but also for seasoned traders looking to begin trading a different instrument or to shift their strategy.
As a broker, implementing a social trading tool within your platform, can boost your conversion levels by reassuring new traders that even without much trading knowledge in their baggage, they can follow the success of other more experienced traders until they learn to fly solo. Social trading can also help you increase engagement, by making the platform more interactive, thus lengthening client stickiness and lifetime value.
Leverate’s SIRIXSocial is the first-ever regulation compliance social trading platform. By working under EU regulation parameters, traders can be confident that the broker is keeping a responsible handle on their funds. Through a series of qualifying questions, SIRIXSocial helps traders determine what their stop loss levels should be, the proportion of funds that should be allocated per master, per instrument and between social trading and traditional trading. SIRIXSocial is also cross-community, allowing traders from one brokerage to follow the actions of another trader in a different brokerage. This creates a much more dynamic platform that increases the chances of traders come back time and time again to the platform.
Automation is changing the way in which entire industries operate. Across the board, companies which implement automated processes see a significant boost in performance and a reduction in costs in the form of human resources and human error.
The Forex industry in particular can benefit tremendously when implementing automation tools in various aspects of the business operation.
The launch of SIRIXActive allows brokers to implement an automated action flow that will assist in improving the conversion and retention processes in an exponential way. Today’s customer is autonomous. He/she begins the purchasing process well before ever contacting the company, by way of recommendations from friends and online research. According to a study performed by Google and CEB, customers reported being nearly 60% through the sales process before even contacting a sales representative. FX brokers need to play catch-up and give customers the tools to assist them in making a decision in favor of their company. SIRIXActive does just that. Through a series of pre-programmed actions, traders are contacted by the system at various key points during the conversion process. Emails, SMS and push notifications are automatically dispatched upon the customer completing certain actions or when the system detects certain hesitancy from the customer. During the retention process, SIRIXActive can increase the client lifetime and volume by encouraging them to open or close trades according to certain news events, make deposits when their accounts are nearing a certain margin threshold, etc.
By implementing an automated set of actions, a brokerage can reduce the number of personnel required at a call center, which with the increasing pressure from regulators, is becoming a must in order to survive.
From scrolling through social media networks to getting the news, checking e-mails and taking pictures, we spend more time on our smartphones that we ever did before. Recent studies reveal that people use their mobile devices more than twice as much as they do their desktop computers to connect to the internet.
With the advent of mobile sites and mobile apps, long gone are the days in which traders were tied to their desks because the market could take an unexpected turn. Mobile trading provides traders the opportunity to trade from wherever they are, whenever they want, so long as they have access to an internet connection, which gives brokers the opportunity to be at a trader’s fingertips both literally and figuratively.
Brokers who have a mobile trading app, be it though a white label provider or a proprietary one, have the ability to increase volumes by being constantly available. In addition, brokers can be in touch with traders via notifications and alerts that call for an action from the part of trader, such as the fact that their account may be nearing margin call or that the EUR/USD is on the rise. Special sales and promotions can be sent through push notifications or SMS, creating the possibility of an immediate reaction.
SIRIXMobile, Leverate’s white label mobile trading platform, allows brokers to enjoy all the benefits of mobile trading without the headaches of developing their own platform.
Tying it all in
Multi-platform use is on the rise. The average consumer may begin the purchasing process on their mobile phones by way of research, jump online on their tablets to do price comparisons and culminate the buying process of checkout and payment on their PCs. The average Forex trader is no different; he/she will toggle during the day between platforms for analysis, to get the news, open trades, set stop loss levels and exit trades. For brokers to keep up with consumer demands, they must provide multi-platform access to trader’s accounts that have easy access tools, such as one login and one-wallet.
Leverate’s platforms tie in the availability of multi-platform trading with social trading and automation tools in order to help brokers differentiate themselves from the bunch and meet traders’ needs on their terms.