User Rating: 5 / 5

Star ActiveStar ActiveStar ActiveStar ActiveStar Active
 

In general, revenue share is the best option if you are about to refer advanced and professional traders. A CPA deal is the best option if you are about to refer Forex beginnersCPA vs Forex Revenue-Share -Which is the Best Choice for Forex Affiliates?

When a Forex affiliate signs up with a new affiliate program, he can usually choose between three options: CPA, Hybrid, or Revenue-Share.

 

Defining CPA, Revenue-Share, and Hybrid Affiliate Programs

 

  • CPA (Cost Per Acquisition)

CPA is a standard commission program that pays a certain dollar amount for every referred trader. The Forex CPA programs start as low as $100 and can be up to $1,000.

The requirements for valid CPAs include:

-Only new customers from accepted countries

-The new client must deposit some funds within a certain period (usually 1 year)

-The new client must trade a minimum of 1.0 lot, some brokers demand up to 5.0 lots

 

  • Revenue-Share Programs

Revenue-share is a commission-based model where affiliates earn a certain amount based on their clients trading volumes (on a lot basis, where one full traded lot equals 100,000 USD). The revenue-share percentage can be as low as 15%, and up to 50%. The interesting feature is that usually, these programs offer a lifetime revenue, meaning that as long as a client trades you get your commissions (never expires).

The requirements for valid registrations include:

-Only new customers from accepted countries

-Some Forex brokers will not accept to reward trades last less than two (2) minutes. A tiny detail that can make the difference if an affiliate refers a Forex scalper

 

  • Hybrid Programs

A hybrid affiliate program includes both CPA and revenue share. That means the program starts as CPA and pays a standard cost per acquisition ($50 to $100), and then transforms into a revenue-share program (paying 5-10% of all commissions earned). If an affiliate partner cannot decide which program is the best choice, a hybrid plan is the best option.

The requirements for valid registrations include:

-Only new customers from accepted countries

-The new client must deposit some funds within a certain period (usually 1 year)

-The new client must trade a minimum of 1.0 standard lot, some brokers demand up to 5.0 lots

 

Partners Benefits

 

How to Choose Between CPA and Revenue-Share?

When is the CPA the best Choice?

  1. Better for short-term advertising campaigns
  2. When your potential clients are beginners
  3. When your potential clients are not experienced
  4. When your potential clients execute a limited number of trades
  5. When your potential clients are swing-traders, carry traders, or long-term traders

When is the Revenue-Share the best Choice?

  1. Better for long-term advertising campaigns
  2. When your potential clients are advanced or professional traders
  3. When your potential clients execute a large trading volume
  4. When your potential clients are applying automated strategies (Expert Advisors)
  5. When your potential clients are day-traders, and especially scalpers

 

General Guidelines and Tips for Forex Affiliates

These are some guidelines and tips when choosing between CPA and revenue-shared:

  • Revenue-share is the ideal program for the affiliate who has access to good leads. A good lead means referring a highly experienced trader who is willing to trade heavily. In that rev-share program can make very good money in the long term.
  • Another tip is to close revenue-share deals only with competitive brokers. If a broker charges expensive spreads then an experienced trader will not trade heavily. Actually, an experienced trader will close his account if he finds out that his new broker is not competitive.
  • Furthermore, advanced traders demand the existence of the MetaTrader-4 (MT4) platform. If MT4 is not available most advanced traders will not even open an account with a broker.
  • CPA is the best deal for those affiliates who have access to Forex beginners. Especially, if a trader deposits money from an early stage, a CPA deal means making money quickly. These types of traders require good customer support and a wide variety of funding methods. If these two features are not available, Forex beginners will not deposit any funds.

 

Conclusions

Revenue share is the best option if you are about to refer advanced and professional traders. A CPA deal is the best option if you are about to refer Forex beginners. A hybrid program can be the best solution if you cannot decide. In any case, avoid Forex broker scams. Choose only between reliable and regulated Forex brokers.

 

Compare Financial Affiliate Programs

In the following table, there are a few popular financial affiliate programs. That includes Forex/CFD and binary options affiliate programs.

FOREX BROKER

OFFERS

FUND METHODS

MINIMUM PAYMENT

START HERE

HOTFOREX

(Forex/CFDs)

» HotForex Affiliate Program

Up to $8/lot

Bank, Skrill, Neteller

$10

» HotForex Affiliates

XM

(Forex/CFDs)

» XM Affiliate Program

Up to $10/lot

Bank, Skrill, Neteller

$10

» XM Affiliates

FBS

(Forex/CFDs)

» FBS Affiliate Program

Up to $22/lot  Bank, Skrill, Neteller $10 » FBS Affiliates

CMTRADING

(Forex/CFDs)

» CMTrading Affiliate Program

$250-350 CPA

Bank, PayPal

$250 (same as CPA)

» CMTrading Affiliates

24OPTION

(Binary Options)

» 24Option Affiliate Program

$300 CPA

Bank, Skrill

$250

» 24Option Affiliates

 

Forex Affiliate Programs (CPA vs Revenue Share)

WebForex.net (c)