Back in 1998, e-commerce giant Alibaba, was in the brink of failure. His company had not turned a profit during its first three years in business and Executive Chairman, Jack Ma, had no way of processing payments and no bank wanted to work with him. Ma found himself at a crossroad and instead of closing down the business, he decided to start his own payment program, Alipay, which transfers payments of different currencies between buyers and sellers across the globe. After being told by friends that his idea was the stupidest idea they had ever heard, the company looked at innovative ideas to make the business work and today, Alibaba attracts over 100 million shoppers daily.
They say desperate times call for desperate measures, but the truth is that your business doesn’t have to be in the brink of failure for you to be innovative. A successful business should constantly look for innovation as a way to remain at the forefront of its industry and keep customers interested in its products and loyal to its brand.
Below are some ways in which Forex and Binary Options companies can innovate:
- Mobile: The use of mobile phones is prolific across pretty much every industry. Routine tasks are done on smartphones more that 2x over desktops. The financial trading industry, which has traditionally kept traders tied to their desks, can bring incredible benefits to its traders by implementing mobile technology and offering mobile platforms. A brokerage should have a mobile site that is designed for mobile, taking into consideration the user’s habits, screen sizes and devices. The site should be engaging and informative and entice visitors to open an account and download their app. Your tech provider can supply you with a customizable and brandable trading platform so your customers can take their trading with them wherever they go.
- Social: Implementing social trading in your existing trading platforms is a great way to innovate, by allowing even newbie traders to feel empowered and confident to begin trading. It harnesses the power of the natural tendency humans have to be part of a community, removes the obstacle of a new traders’ lack of knowledge and acts as an added value proposition on the part of the broker.
- Automation: Technology has enabled many industries to cut down on staffing expenses and reduce human error by having processes become automated. In FX, systems like SIRIXActive allow brokers to optimize the conversion and retention processes, yielding higher ROIs. In essence, automation guides new customers through the conversion funnel with minimal human interaction. It also expands a brokerages’ market with availability of multiple languages and the ability to work across multiple time zones without the need for a large sales team.
- Marketing: Although for most brokerages, 70 to 90% of leads are generated through affiliates and IBs, looking into a broader and more varied marketing mix can prove extremely successful. Display advertising (banner ads, rich media, etc), SEM, SEO and video advertising are great innovative tools that can generate additional traffic for brokerages.
- Retention processes: Understanding that an FTD is when the work actually begins -as repeat business and referrals is where the big income comes from- plays a vital role in a broker’s success. Having a good retention team is standard in the industry, but what are some innovative ways in which brokers can improve their retention processes? Reaching out to dormant customers is one of them. According to research, 25 to 60% of your dormant customers will be open to regenerate their business if they are approached correctly and with the right offer. Pursuing excellence to keep customers satisfied will bring you referral business. Make sure every employee in the company is dedicated to providing extraordinary service, provide immediate response to problems and disputes, and deliver what you promise.