Well, this is a level of transparency we rarely see here in our hush-hush retail forex industry: FXstreet, one of the largest forex portals on the web, has just disclosed its record income in April 2011. Bottom line income, from all media deals, is over $515,000.
This is a run rate of over $6 million a year. I imagine that average monthly income is a bit lower, as with all record months, and during last 12 months FXstreet probably saw an income in the region of $5 million. This is an absolutely stunning figure which even beats some of the forex brokers. I estimated FXstreet was making around $4 million but it seems that its recently introduced strategy of going multilingual and adding affiliate sites to its media network has paid off faster than expected.
Francesc Riverola, FXstreet’s CEO, cites the following reasons for this growth:
- The extraordinary performance that FXTimes, ForexCrunch and MyFXbook sites are having in both traffic growth and acceptance among advertisers.
- The huge jump in revenue generated by FXstreet English site.
- Great popularity of FXstreet’s White Label solutions – 24/5 Forex News feed, Real-Time Economic Calendar and Learning Center – for Forex and Finacials Web sites and Brokerage Firms.
I may also add here that as this industry keeps growing and maturing media forex sites are getting bigger and better as well. Forex traders are seeking for more and more information and the average trader now is more educated and sophisticated than it used to be several years ago. These people require more accurate and up to date information and hence visit forex portals and forums more frequently.
Another reason is that CPM prices are slowly but steadily going up. I’m sure that average FXstreet’s CPM price a year or two ago was lower than the current average. Forex media sites brings better and more targeted traffic to their advertisers, who in turn make bigger profits from these clients, and in turn are willing to pay more for this kind of traffic. It’s an eco-system where everybody profit as account sizes become larger and as more of the “old-money” is entering this market.
Congratulations to FXstreet, it’s a well deserved achievement.