With the recent closure of Banc De Binary, one of the largest binary options brokerage firms, the online marketing community is in a state of turmoil. It’s hard to immediately reconcile the fallout.
To unlock the Asian market, register now to the iFX EXPO in Hong Kong.
However, looking beyond the recent closure, online marketers along with Affiliates are desperately looking over their own operations for flaws in their long-running schemes in order to adjust to a new environment. What exactly this environment entails is subject to scrutiny however it is clear that binary options will need to move forward in a different world.
The tide has been turned
Just to make things clear, the situation has already changed and there’s no going back now. A set of bans and restrictions imposed on the contracts-for-difference (CFD) based financial products through the years have finally taken effect, and it is shrinking the industry to the point of non-existence.
And there are only unregulated brokers with underhanded online marketers to blame for that. It is so frustrating to watch how these predatory entities hurt venues as well as clients – ultimately the effort needed to police these has been lacking. However now it’s time for the honest party to rise up.
Old tricks won’t work anymore and it’s high time for the majority of companies to come up with new ones, or ideally honest marketing schemes. An even better exercise would be to cut out the tricks altogether and stick to a more sincere paradigm.
Indeed, according to a recent analysis on the binary options industry: "The affiliate messages about flashy cars, new houses and new lives should remain in the past if the binary options industry is to succeed." I wholeheartedly support this point of view, and the same can be applied to all kinds of financial products, whether it be binary options, FX or for instance PDL.
Traffic sources shift
Previously dominant referral and organic search traffic sources are also taking a back seat with social sources moving up front. Social networks are now a major asset for online marketing purposes more than ever before.
This is even more the case with the switch to mobile platforms. The whole story of online advertising is not about what users want, it’s about what users don’t mind. And what they don’t mind right now is a little bit of advertising here and there while surfing Instagram or Facebook apps, something that is seamlessly blended into everyday online routines.
There was a time when social networks weren’t even considered as sources of financial traffic, but that is simply not the case anymore. Due to harsh advertising rules and guidelines it was near impossible to promote Forex or binary options offers on social networks using the crude methods that unethical online marketers were practising.
Presently, these companies simply have no choice but to abandon their ways and adapt to a new reality. The very nature of financial products needs to be reformed in order to be relevant. That is a simple fact, which many seem not to be realizing.
Bloomberg
What’s Next?
The future of financial traffic does exist, although it is not the reality that everyone is getting used to. The first thing is denying products that rely on outdated methods, such as unrealistic promises, shady schemes, straight-up lies, etc. Thankfully, those are history now and will never be effective again. That is kind of putting us on top of the marketing food chain, but we always welcome healthy competition.
We are stepping into an era of honesty and purity. What does this mean exactly for financial offers? It means that marketers must provide an opportunity and clearly state that there are risks involved.
It is important not to succumb to basic instincts or to urge acting on an impulse, but to make an emphasis on the intelligence of the user offering partnership. Only then financial traffic can be redeemed from the impression of something negative and vile. Which in turn will grant access to a vast community that had previously been avoiding binary options and such.
Additionally, there are several ways of turning the bad guys into the good ones:
Signal-based software
Something that has been around since the beginning, yet not appreciated by many. It is now a good moment for signals to step forward. Unlike automatic trading software, signal-based apps give users an opportunity to make a decision for themselves. Moreover, they are more suitable for the mobile platform, which is extremely handy.
Education programs
It is a good idea to focus efforts on developing online courses, ebooks, educational videos, etc. Only now they have to contain valuable information, which users would be willing to pay for.
Investment opportunities set
The advertising targeting those who seek investment opportunities is the priority here. Any binary options or forex product should state that it is not a 'get-rich-quick scheme' but a solid long-term investment. Eventually people will be considering it just as another way of putting savings to work.
Overall I would like to cheer up all online marketers and affiliates. It is never the time to abandon your calling, especially when the circumstances are dire.
It is truly exciting to observe the changes in your industry in real time. And it is quite challenging to adjust to them, but that’s what makes our line of work so fun. The possibilities for online marketing are genuinely boundless and thinking ahead is a must-have quality that defines success.
This article was written by Pavel Bykov, Chief Development Officer at Faunus Affiliate Network.
