Firms like FXCM, GFT, and ODL all know that providing mobile trading solutions to retail FX traders enables brokerages to differentiate themselves from their competitors, increase client retention, and profitably generate more revenue.
In a market where it is very difficult to differentiate a brokerage strictly on the spreads offered, value-added services, such as WebMT4, are crucial to expanding client and deposit base. According to InterBank FX’s recent Anatomy of a Forex Trader1, 33% of traders already follow markets or make trades through mobile devices. That’s a substantial chunk of the potential clients that currently demand mobile access, and like other areas of mobile adoption, this percentage is sure to increase. Clearly it is important to be in a position to be able to win these traders’ business and set the brokerage apart from the crowd by making mobile trading possible.
Beyond adding another marketing arrow to the Forex brokerage’s quiver, WebMT4 increases customer loyalty and retention. Simply giving the traders access to the MetaTrader 4 platform on mobile devices adds another touch point between the clients and the brokerage, which increases adoption and switching costs for traders. Some brokerages have leveraged more creative approaches, offering for example, a WebMT4 enabled iPad in return for a minimum initial deposit amount, or a 12 month contract. Certainly, there are even more areas a creative brokerage can use mobile MT4 trading access to increase customer loyalty.
While making marketing easier and retaining more traders are critical elements of building a successful Forex brokerage, these goals need to be accomplished profitably. Fortunately, WebMT4 is not expensive and actually increases revenue of a brokerage. All brokerages prefer traders to be active, especially those offering volume based execution model. By putting the power to trade in the client’s hands, literally, the brokerage facilitates more frequent trades, and captures more revenue. This makes it easy to recuperate the cost of adding WebMT4 services, even if the brokerage doesn’t want to impose minimum deposit amounts to be eligible, or simply pass along the additional cost directly to the trader.
Be sure to contact a Boston Technologies Business Intelligence Specialist for pricing information on WebMT4 pricing and the advantages the service brings to a brokerage.