Riding the Google Keyword Wave: Marketing Alibaba’s IPO & Apple’s New iPhone

Monday, 08/09/2014 | 22:35 GMT by Victor Golovtchenko
  • How CFD and spread betting brokers can widen their scope and get help from Google Trends to acquire new clients who have not really looked for their product, but for big market moving events driving trading.
Riding the Google Keyword Wave: Marketing Alibaba’s IPO & Apple’s New iPhone
Google Trends

The Alibaba roadshow is finally kicking off. The Chinese company’s initial public offering (IPO) is destined to be one of the world's largest to date. There is not a person even remotely connected to the financial markets who is not talking about it these days.

Meanwhile, Apple’s new iPhone 6 is set to debut in two bigger sizes and deliver a new way of handling the phone, according to recent reports by various tech-pundits. The company is also preparing to launch its own shot at the wearables market with its allegedly called iWatch.

So what does this gibberish have to do with Forex and CFD brokers? The answer is easy - trends. Google Trends, to be precise.

Alibaba IPO, Google Trends Data

Alibaba IPO, Google Trends Data

We will take a look at a couple of graphs, which speak for themselves and add a spiced up picture of how the industry can use simple tools to ride the waves of Google keywords, which nowadays shape such a big part of a person’s life.

iPhone Search Term Interest Over Time, Google Trends Data

iPhone Search Term Interest Over Time, Google Trends Data

This can be particularly useful to those of you who did not manage to attend this year’s iFX Expo event in Cyprus, in the beginning of May. Google’s keynote did provide a useful insight as to how brokerages can take advantage of every market opportunity.

While most of the companies in the industry are neglecting market developments which drive client decisions, few have already started to realize how they can use these events for their own as well as their clients’ benefit.

The "Gray Market"

UK spread betting companies are spearheading the efforts to deliver curious traders pre-IPO trading on hot companies. In the beginning of this year it was Twitter - a company which socially engages a vast amount of internet aware users - the broadest target group of forex and CFD brokers.

IG, CMC Market, AvaFX and many others have started to make a market for the stock way before it was even floated. Today we are seeing the same happening with Alibaba. And while this brand is not very widely known to the Western consumers, it is bringing a boatload of interest because of the size of the IPO and the mainstream and social media attention it’s getting.

Taking a bet on a price of a yet unlisted company can be the ultimate trigger for a new trader who is exploring new ways to make money (or maybe just gamble). There is no clarity as to what the final outcome of any IPO will be, but the broker's risks are justified for those offering a “gray market."

Putting the broker's brand name as one of the few who offered “that hot stock” before it even got floated can bring in a lot of aficionados, becoming long-term fans assuming that the market is fairly priced.

Everybody Loves Gadgets

Apple Logo

Gadgets have become such a big part of people’s lives in the first half of the 21st century, that arguments of this type are becoming forms of culture, lifestyle and taste. The Apple mania is around the corner again - just like it has been ongoing for the past 7 years since the introduction of the first iPhone.

With the gadget world opening the eyes of the public towards technology purely due to the fact that it is a gateway to new opportunities, these same people are becoming increasingly interested in the stock performance of their favorite brands.

Not an opportunity to be missed, especially once it becomes rather cyclical.

Social Media Engagement

Leaving the pure search aspect of these opportunities aside, it's very worth mentioning that social media pundits and followers are the most exciting bunch of them all. Just days before and after these big announcements, engagement over different social channels goes through the roof.

StockTwits Message Volume for Apple & Alibaba, Source: StockTwits

StockTwits Message Volume for Apple & Alibaba, Source: StockTwits

The charts show message volume on Stocktwits for Alibaba ($BABA) and Apple ($AAPL). Over the past few weeks, these charts have been exploding. It doesn’t get clearer than this - pay attention to what clients are.

In the long run, only brokerages that know and respect their clients will be able to deliver consistent results and long-term profits.

The most certain way to succeed in the forex and CFD brokerage industry, is by keeping a long-term horizon in close view. Just like a successful investor, the successful broker should focus on constantly opening new doors for its prospective and current clients, while getting evermore closely acquainted with those same people. Simply said - treat your clients like investments.

Google Trends

The Alibaba roadshow is finally kicking off. The Chinese company’s initial public offering (IPO) is destined to be one of the world's largest to date. There is not a person even remotely connected to the financial markets who is not talking about it these days.

Meanwhile, Apple’s new iPhone 6 is set to debut in two bigger sizes and deliver a new way of handling the phone, according to recent reports by various tech-pundits. The company is also preparing to launch its own shot at the wearables market with its allegedly called iWatch.

So what does this gibberish have to do with Forex and CFD brokers? The answer is easy - trends. Google Trends, to be precise.

Alibaba IPO, Google Trends Data

Alibaba IPO, Google Trends Data

We will take a look at a couple of graphs, which speak for themselves and add a spiced up picture of how the industry can use simple tools to ride the waves of Google keywords, which nowadays shape such a big part of a person’s life.

iPhone Search Term Interest Over Time, Google Trends Data

iPhone Search Term Interest Over Time, Google Trends Data

This can be particularly useful to those of you who did not manage to attend this year’s iFX Expo event in Cyprus, in the beginning of May. Google’s keynote did provide a useful insight as to how brokerages can take advantage of every market opportunity.

While most of the companies in the industry are neglecting market developments which drive client decisions, few have already started to realize how they can use these events for their own as well as their clients’ benefit.

The "Gray Market"

UK spread betting companies are spearheading the efforts to deliver curious traders pre-IPO trading on hot companies. In the beginning of this year it was Twitter - a company which socially engages a vast amount of internet aware users - the broadest target group of forex and CFD brokers.

IG, CMC Market, AvaFX and many others have started to make a market for the stock way before it was even floated. Today we are seeing the same happening with Alibaba. And while this brand is not very widely known to the Western consumers, it is bringing a boatload of interest because of the size of the IPO and the mainstream and social media attention it’s getting.

Taking a bet on a price of a yet unlisted company can be the ultimate trigger for a new trader who is exploring new ways to make money (or maybe just gamble). There is no clarity as to what the final outcome of any IPO will be, but the broker's risks are justified for those offering a “gray market."

Putting the broker's brand name as one of the few who offered “that hot stock” before it even got floated can bring in a lot of aficionados, becoming long-term fans assuming that the market is fairly priced.

Everybody Loves Gadgets

Apple Logo

Gadgets have become such a big part of people’s lives in the first half of the 21st century, that arguments of this type are becoming forms of culture, lifestyle and taste. The Apple mania is around the corner again - just like it has been ongoing for the past 7 years since the introduction of the first iPhone.

With the gadget world opening the eyes of the public towards technology purely due to the fact that it is a gateway to new opportunities, these same people are becoming increasingly interested in the stock performance of their favorite brands.

Not an opportunity to be missed, especially once it becomes rather cyclical.

Social Media Engagement

Leaving the pure search aspect of these opportunities aside, it's very worth mentioning that social media pundits and followers are the most exciting bunch of them all. Just days before and after these big announcements, engagement over different social channels goes through the roof.

StockTwits Message Volume for Apple & Alibaba, Source: StockTwits

StockTwits Message Volume for Apple & Alibaba, Source: StockTwits

The charts show message volume on Stocktwits for Alibaba ($BABA) and Apple ($AAPL). Over the past few weeks, these charts have been exploding. It doesn’t get clearer than this - pay attention to what clients are.

In the long run, only brokerages that know and respect their clients will be able to deliver consistent results and long-term profits.

The most certain way to succeed in the forex and CFD brokerage industry, is by keeping a long-term horizon in close view. Just like a successful investor, the successful broker should focus on constantly opening new doors for its prospective and current clients, while getting evermore closely acquainted with those same people. Simply said - treat your clients like investments.

About the Author: Victor Golovtchenko
Victor Golovtchenko
  • 3424 Articles
  • 21 Followers
About the Author: Victor Golovtchenko
Victor Golovtchenko: Key voice in crypto and FX, providing cutting-edge market analysis.
  • 3424 Articles
  • 21 Followers

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