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New Survey Released from eToro shows Usability Problems with Forex
Written by article default Tuesday, 01 September 2009 13:57
Two-Thirds of Consumers Cite 'Cost' as an Obstacle to Begin Forex Trading.
As the world experiences economic crisis, few markets are attracting new investors like foreign currency exchange. With a monetary value estimated at more than $3 trillion traded per day, the forex market is growing at a time when most investors are taking money out of the stock and commodities markets.
However, according to a new survey conducted by independent research firm, Synovate, the industry still needs to resolve a few barriers for larger audiences to be able to begin foreign currency trading – issues like a lack of usability and the perceived cost of entry.
In association with Chicago market researcher Synovate, eToro -- the fastest growing platform for online forex trading -- asked 1,000 online consumers, “What do you think is the greatest obstacles to begin trading foreign currency online for consumers?”
Here are some of the key findings of the survey:
- 75 percent of total respondents claimed forex trading will be too complicated and/or uninteresting to understand.
- 65 percent perceive the cost of starting forex trading to be out of their reach.
According to the eToro/Synovate eNation study, conducted in early December, 75 percent of total respondents believe that a lack of user-friendliness compose the single greatest obstacle to joining the growing number of global forex trading.
“As these findings suggest, we as an industry need to ensure that consumers have a quality experience every step of the way,” said Jonathon Assia, CEO of eToro. “eToro's online forex trading platform was created precisely to cater to these pain points. Unlike other online forex trading platforms that feature one-view filled with complex charts and tables, the eToro platform features six different "trading arenas" ranging from visualization of trades for beginners to user friendly trading screens for experts, and our service requires only $50 to get started trading."
Among those who cited usability as the barrier to adoption:
- Nearly 40 percent said forex was "too complicated" for them.
- Nearly one in four consumers said that they didn't know how to read the charts and graphs on the typical forex trading platform.
- One out of six participants in the survey believed forex trading to be "too boring" to begin investing.
"Since the mid-September stock market free-fall, new accounts have increased at eToro by 25 percent, easily solidifying our position as the fastest growing forex platform on the planet" said Assia. "We attribute our success to our creative approach: offering practice accounts to our new users, slick tutorials and engaging graphical displays of trades—basically empowering anyone to start forex trading."
Survey Findings at a Glance
- Who’s Cost Conscious? Women are more likely than men to have concerns with cost (67 percent to 54 percent), and more inclined to have issues with the complexity of forex trading (62 percent to 48 percent).
- Youth Driven to Distraction. Perhaps conditioned by encounters with gray screens in various guises and lifeless charts and graphs, the youngest demographic – those ages 18-24 – were substantially more bored with online forex trading (24 percent) than all other age groups.
- Patience Comes with Age...Only 11 percent of those over 65 ranked boredom their top concern. Indeed, the older you are, the less frustrated you’re likely to be with difficult usability: while 29 percent of those 18-24 cited 'too complicated, a whopping 43 percent of respondents 65 years and older cited this as their top obstacle to online forex trading.
The eToro/Synovate survey has a margin of error of +/- 3 percent. For a full copy of the survey results, email info @ etoro.com.
About eToro
With several thousand new user accounts added every month, eToro is the fastest growing platform for online forex trading. eToro uses a unique and creative approach to online forex that incorporates all of the essential tools for forex trading coupled with a highly visual, simple and interactive user interface that actually educates its users from their first foreign currency trade until they reach the level of an expert. Unlike nearly every other online forex trading platform that feature a traditional one-view filled with confusing charts and tables, the eToro forex trading platform features six different "trading arenas" ranging from highly visual beginner to expert arenas.
eToro's platform for online forex trading includes up-to-minute market news and analysis, community forums and chats, Top Trader Tips and frequent cash prize competitions for its global and diverse user base. Whether a trader wants to see a marathon race between country-specific currencies featuring animated caricatures or choose more conventional charts and graphs popular with traditional traders, eToro's platform delivers on its promise to make online forex trading interactive, educational and exciting.
The eToro platform is currently available in eight languages including: English, Spanish, French, Italian, German, Chinese, Japanese, Arabic and Russian.