Passive income is the holy grail of online marketing.
People talk about it all the time and there are great websites dedicated to the topic.
Do you know what passive income really is? Do you know how to make it?
I’m going to share those two things with you in this post, as they relate to running a business online. I’m talking about a REAL Business, not a business that is created to sell selling things to sellers 😉
So let’s jump in!
What is Passive Income?
I just Googled that question and the first thing that comes up is a website telling you that passive income is money you don’t have to do much to make. UGH. That’s NOT my definition of passive income.
Make no mistake about it you need to WORK to create passive income and you need to WORK to maintain it. It won’t last forever on autopilot.
I define passive income as the kind of income you’re going to earn over and over again for a usually one-time effort. You can do that effort in an hour or it might take you twenty hours, the amount of initial time doesn’t matter… what defines it as passive is the fact that you put in this effort and it pays off again and again.
The misnomer here is when people think passive income isn’t much work. Let me give you an example:
I promote Coach Glue as an affiliate. They offer pre-written content for coaches; courses, reports, etc. They have a monthly membership. If I send an email out to my list promoting Coach Glue or do a live webinar with one of the owners and SELL a membership I’ll earn commissions month after month because of that one effort. The passive income would be about $50/month.
But would I stop there? Not if I want to earn MORE passive income! I’d go ahead and keep promoting Coach Glue until all possibilities for passive income dry up. So you see I can spend months if not years just working on building up my passive income! It is NOT a one-time thing if you want it to be significant.
And that example above is my FAVORITE kind of passive income, it’s recurring passive. That means I made that one sale, one time and every single month like clockwork I get another $50 in commissions. I do no more work and I know exactly when and what is coming in from that effort.
How to Make Passive Income
Making passive income isn’t just one thing. It’s any number of ways to structure what you do so that you can remove your own need to be present while it happens. You can do that in so many ways that it would be impossible to list them all.
However, from the keyword research I’ve done I know that people are actively seeking Passive Income Ideas and so I’ve made this list below. When I did my own passive ideas search I came up with lists that range from selling your photos to investing in the stock market to buying real estate and I know there are many people not looking for such a huge range in ideas.
My list below includes only Online Marketing Passive Income Ideas, I hope it helps!
We touched on this already in the example above but here is a good list of passive income sources:
- Affiliate Marketing – Promote other peoples products and let them sell for you. Get registered for a good affiliate program, like mine right here, that will pay you for every sale from a customer that you send them and you very well can end up with nice “surprise” monthly paychecks.
- Create an Online Course – If you set up your course (which takes work) and have a steady flow of traffic to the salespage (which ALSO takes work) then you can earn passive income from that. That will show up in the form of someone buying your course after they go through your site, without any prompting from you directly.
- Email Marketing – You can get someone signed up to an email list on a specific topic and then send them to offers using email automation called autoresponders. This can be a one-time effort where you add a bunch of people to your list and move on but of course, as mentioned, it’s better if you have a working email campaign that you keep promoting.
- Blog – You can earn passive income from blogging, like this post. If you monetize the post (meaning make it possible to make money from it) and you set it up so you’ll get traffic TO the post (this could be search traffic, traffic from other people like your own affiliates, etc) then you could be getting little random paychecks when people read your post and pay for what you offer or recommend.
- Start an Affiliate Program – Your affiliate can be a self-serve way for other marketers to earn THEIR OWN passive income while also providing YOU with passive income. If you run your own affiliate program then your affiliates can log into your program, get their affiliate links and earn you money that you are not directly involved in earning, passively.
- Passive-ize Your Business – I’ve seen a great example of this in my own business mentors Tom & Ariana Sylvester. They have two offline businesses that, as far as I understand, basically run themselves. They’ve done smart processes, outsourcing and automation as needed and they have almost completely removed themselves from the equation. That is to the point that they earn for these businesses, but they don’t have to present to do so (and thank goodness because they’re focusing on helping people like me instead)!
How I Use Passive Income
I’ve come a long way in my own passive income efforts and I have yet a ways to go. Look passive income is all about lifestyle freedom. Call it whatever you want but the goal is to work because you WANT to and not because you have to.
My mission to help people live full, happy and meaningful lives keeps me motivated to create the complete example for myself of myself and that’s why I seek out and grow my own passive income.
The passive income opportunities I’m working on right now include creating funnels like we’re doing in this month’s challenge, creating a strong affiliate program and self-serve so that my own affiliates promote without needing to hear from me, creating an online store of products that people can find online and buy from me and so much more. The possibilities are so exciting…
But for now, there is just one main way I earn passive income and the reason is because it was by far the easiest to get started with: That is Passive Income through Affiliate Marketing.
I’ve been an affiliate marketer since sometime around 2005 and over the years I’ve picked up my fair share of passive income profits sent straight to my PayPal account, even while I’m sleeping!
I’ve learned that in order to successfully create affiliate income you HAVE TO be strategic. It’s never going to be as simple as popping a link in an email and sitting back to watch the commissions roll in.
Over the years I’ve taught a number of programs on affiliate marketing but I’ve NEVER created one central course that I was interested in keeping around for the very long term… until now!
I’m so proud to share with you the Lifestyle Affiliate Marketer program. This program is going to teach you, step by step, how to be a great affiliate marketer. You’re going to get real actions that you can take right away to set up or create commissions fast. The beauty of affiliate marketing is that there are so many things you don’t have to do to see results and it makes it easier to get those results, fast. Get all the details on the course and check it out here: Be a Lifestyle Affiliate Marketer!