How to differentiate your brand and win traders

Noam Stiekema

In cooperation with Bart Burggraaf, Partner, MediaGroup Worldwide There are hundreds of brokerages using MetaTrader or other off-the-shelf trading platforms. The commercial advantages are lower start-up cost, a faster route to market and a fully formed marketplace with a great number of traders familiar with the platform. So many brokers go this route and find […]

landing pages

In cooperation with Bart Burggraaf, Partner, MediaGroup Worldwide

There are hundreds of brokerages using MetaTrader or other off-the-shelf trading platforms. The commercial advantages are lower start-up cost, a faster route to market and a fully formed marketplace with a great number of traders familiar with the platform. So many brokers go this route and find themselves with the issue of differentiation.

In other words; how do we effectively acquire customers with many competitors offering the exact same ‘product’?

Doing a lot of good advertising is one way to gain market share, but not all brokers have the budgets to compete on that level alone, plus going at it by brute force certainly is probably not the most effective way to grow your brokerage. Don’t get me wrong, advertising IS required, but with a differentiated brand and product offering things get a lot easier.

 

 

So, research has shown that the main broker selection criteria for traders are Price (spreads), Platform, Service, Trust and Product (trading products/markets).

In addition to physical location and language, those are all items that brokers can use to gain a unique selling point over the competition.

The best advice is not to be all things to all people. You can be the number 1 broker focussing on EM equities with a high priced, high service proposition on the German Market, or you can be the 263rd broker that focusses on low spreads globally and offers all trading products on MT4. Once you have cornered a niche market, it is much easier to grow out from there.

Once you have chosen a niche differentiated brand position, become a thought leader in that space and have traders recognize you as such. That means content marketing and PR in addition to good, differentiated advertising. And nothing stops you from using the FMCG approach of having many differentiated brands at the same time. In the age of the internet and technology, it has never been easier to launch and test a differentiated brokerage brand.

Read this next

Digital Assets

BlackRock digs further into crypto with metaverse ETF

BlackRock, the world’s largest asset manager with almost $10 trillion in AUM, is set to launch a new metaverse ETF to help investors securely monetize on the booming immersive version of the internet.

Digital Assets

Binance wins license in New Zealand as rival Huobi shutters derivatives

Binance, the world’s largest crypto exchange by traded volume, has obtained licenses to operate in New Zealand, even after rival Huobi shutdown derivatives trading last month due to concerns about regulations.

Retail FX

Hong Kong busts perpetrators of ‘ramp and dump’ scam

Hong Kong’s financial watchdog, the Securities and Futures Commission (SFC), has charged thirteen suspects of market manipulation in a joint operation with the local police.

Institutional FX

TradingView integrates market data from German Tradegate exchange

TradingView announced that it ‎has increased data coverage to allow its users to receive information from ‎and get free access to the intra-day and tick data from Tradegate Exchange.

Retail FX

Spotware Systems introduces Custom Push Notifications for cTrader mobile apps

Spotware Systems, a technology provider for the electronic trading industry, is introducing a new push notification feature to alert mobile users of price swings and market fluctuations through their cTrader app.

Market News

The Week Ahead: 30 September from David Madden, Market Analyst at Equiti Group

Sterling dominated the headlines last week, as there were concerns the UK government might struggle to service its debt.

Inside View

How does the quality of signal providers affect your business?

A must-have onboarding process for brokers with investment services like PAMM, MAM, or copy trading

Technology

DBS deploys Nasdaq Trade Surveillance

“The confidence that markets and our clients have in DBS as a safe and trusted banking group is anchored on our ability to detect and respond to anomalous activity, which in turn calls for a robust surveillance and prevention infrastructure.”

Industry News

SEC charges Justin Costello and David Ferraro for securities fraud and posing as billionaire veteran

The Securities and Exchange Commission charged Cannabis executive Justin Costello and David Ferraro, an associate of Costello’s, for promoting the stock of several microcap companies on social media without disclosing their own simultaneous stock sales as market prices rose.

<