CFD Affiliates Set to Profit from Supply Concerns
Even before the Russian incursion in Ukraine sent shockwaves through the global financial sector, commodity prices were already unusually high. Following the invasion, the costs of crude oil and wheat rose by approximately 25%, and it is expected that other oil-dependent goods will follow suit.
The agriculture sector is severely disrupted due to ongoing conflict, with crop yields predicted to be significantly lower than usual. Consequently, agricultural products like wheat and corn may experience sharp price increases alongside the rapid surge in energy and precious metals. Furthermore, the price of fertilizer, which relies on natural gas, could also rise, affecting the prices of other agricultural commodities. Demand for military supplies is driving up base metal prices, resulting in the largest weekly increase in raw material prices since the 1974 oil crisis.
Considering the disruption in the commodities sector, significant unpredictability is expected, with potential inflationary pressures further impacting pricing. While predicting trends is challenging, rising food prices seem inevitable, and supply-side issues may lead to further price hikes. The only certainty is the unpredictable nature of global commodity prices. However, for brokerage affiliate partners who promote commodities, this could be excellent news.
High Commodity Prices Benefit CFD Affiliates
High commodity prices generate engaging news stories and capture the interest of traders in the commodities markets. Assets like gas, oil, gold, maize, wheat, and metals such as aluminium will become the primary topics of discussion. It is anticipated that commodities will receive media attention previously reserved for high-ranking investments like Bitcoin.
The volatility of commodity prices and potentially significant increases (especially when combined with inflation) will impact everyone’s standard of living. If overall living costs rise and disposable wages decline, individuals may explore alternative sources of income and practical ways to earn extra cash. This may lead to an increase in the number of new traders registering with brokerage firms.
How Can Broker Affiliates Promote Commodities?
Many online brokerages offer commodities as Contract for Difference (CFD) trading options. Traders can engage in simple and fast CFD trades on assets like gas, oil, corn, and gold to make substantial profits. If you are a member of a reputable affiliate partner network like BlackBull Partners, you already have the necessary tools to market these commodities. Commodity traders can offer significant commissions, making your partnership program eager to receive high-quality traffic you can bring to them.
If you have already joined BlackBull Partners, you can skip the following section. Otherwise, the next part serves as a helpful introduction for those new to online affiliate networking on how to become a successful broker affiliate.
Start by using the broker’s free demo account to learn the fundamentals of online trading, with a particular focus on the commodities market. Stay updated by reading economic press daily and subscribing to online publications and alerts, as your efforts will heavily rely on important news. Engage in online discussions about commodities to stay involved, as unstable commodity prices affect everyone, even those without direct involvement in online trading.
Which Products Should I Promote as an Affiliate?
Expect some volatility in the commodity markets. We strongly recommend focusing on gas, oil, gold, maize, and wheat. It is crucial to understand how rising commodity prices will impact the lives of potential traders and the traffic to your website and social media channels.
In your promotional materials targeting potential traders, ensure you communicate four key points effectively. By doing so within the first month as an online brokerage affiliate, you should be able to attract a significant amount of high-quality traffic.
Online Incentives a CFD Affiliate Should Offer
When creating your material and promotion strategy, take into account providing incentives such as free trading methods and tutorials. High-quality learning resources have a great conversion potential and help to establish confidence with traders. They are especially helpful for novice online traders who are unsure of their capacity for financial success and lack market knowledge.
Professional traders and re-joiners can benefit from more sophisticated rewards as conversion tools. These online learning tools will have to be more in-depth and advanced. You’ll receive suggestions from your partner program on how to write sophisticated eBooks and trade courses. They will also give you free promotional materials with a high conversion rate.
