Well the initial appeal of passive income might be to make money without any effort at all, with a greater understanding of what passive income is and how it really works. When people get a more realistic idea of the power and the potential of this alternative way of earning a living and he starts seeing it not necessarily as an easy way to get rich but instead of strategic way to diversify their income and create greater financial security and because of course creating, a streams of passive income does take effort in fact quite a lot of it varies but the long term gains make that effort worth it.
Though what's the best way to earn passive income should you sell courses or publish a book or should you set up a drop shipping website or a membership program or perhaps you should build an entire business and sell it or simply invest your savings into an existing business or into dividend earning stocks.
Today we're going to look at 3 of the best passive income options, all strategies that are easy to get started with and proven to be able to earn at least two hundred dollars every day.
1) Membership Site.
It was right about four years ago when i launched my first membership site to my small audience and to my great surprise exactly a three hundred people immediately signed up, paying nice thirty three dollars every single month which meant that i immediately had a brand new stream of revenue that instantly was earning $10000 per month and that was incredible.
So a membership site is a website where either people are paying for some information or education on a specific topic or they might be paying to simply be part of a club and what makes the membership site different from a key course or some other model is that with a membership site.
Your members are paying subscriptions which means that they're paying you every single month to continue to have access to that content. Now there's this big myth out there that with a membership site you have to create a lot of new content every month and so that they are very time consuming to run but that's simply not the case if you create good quality content on your membership site and people will continue to paid have access to it because it will take them more than a month to get through in fact. Most people take many many months if not years to get through online course material.
I know plenty of people who have created online courses and then simply paired them with a community and spell that as a membership site and do so very successfully and now regardless of exactly how you decide to structure your membership site, there are three things you're going to need to turn your membership site into a success:
a) Clear and specific value that the membership site provides. So may be you are teaching people how to get a specific outcome or may be is all centered around one very specific topic, but if you try to make your membership site too wide or broad or diverse then you're going to find that people don't really see the value in it and you'll struggle to get people to sign up. So first of all you need to have a strong value.
b) You need to have some sort of process that sells it. This is essential if you want it to be passive because you can have a membership site. Without this you can actively sell it to one individual at a time, but it will be a very active income source in that case. So you need to have some sort of automated sales funnel that can sell your membership site without you having to do the work if you wanted to be passive.
c) You need have some sort of traffic source that is fueling that sales funnel also you need have some way that you are automatically getting traffic and leads that than that sales funnel converts into customers. Most membership site somewhere between $5 to $250, a month obviously a huge range although there are definitely some even outside of that range and so if we're look an example here.
Let's say your memberships site was $95 or $100 a month while then in that case you would need about sixty members in order to reach $6000 a month which should be about $200 a day or if you had a hundred paying members than you'd be earning $10000 a month which is obviously bit more than $200 a day but that means you'd have plenty to pay for your expenses and have your take home profit be about two hundred dollars a day.
2) Royalties.
You're probably most familiar with royalties as a part of the music industry where a musical artists get paid royalties every time someone purchases one of their songs or albums. But royalties actually exist in many other industries as well and one of the very easiest ways to start earning royalties yourself is to create an e-book, Write an e-book or write a book yourself and publish it on amazon, where people can purchase it. By doing so you will earn a royalty of anywhere between about $1 to $10 for every copy of that book that someone purchases on amazon, a few years ago i did this for myself.
I wrote and published in a book about organization strategies and decline strategies that i personally used in my own life and found really helpful now at the time i did not have any audience myself at all and so i definitely wasn't going to be able to turn this ebook into a success or really make any money from it with just telling my friends and family about it.
So what i did was i when into a few dozen different free facebook groups and these groups were focused on organization and decluttering and minimalism and things like that and i told them that i had a book that was coming out soon and that i was going to be giving it away for free for the first three days after it was published and so this got people really excited about it.
I also got a couple hundred people to say sign up for a launched him to help me promote it when it did come out so i had these few hundred people who i had actually told about it myself and they win and downloaded it for free and that was enough to start pushing it up the amazon charts and that got it more visibility on amazon so more people who didn't know me at all started downloading it for free.
It ended up getting up to number one on the charts in it specific category in the free section and so then when the free promotion ended and i switched it to a paid book people actually kept buying it and i ended up selling a few thousand copies of that book which brought and several thousand dollars of revenue from those royalties and ever since then i've continued to sell copies of it every single month and earn up for me about $2 to $5 in royalties for every copy that sells and that's all from is one time project.
I did where he spent about a month writing that book and then i spent a few dozen hours connecting with people online to promote the free version of it. As you may know you too pay creator is for clicks on ads that are driven by views on those creators videos. so if you make videos on YouTube, people watch your videos a tiny percentage of those people will click on your ads and you will get paid for that. now the way this is typically calculated is with something called CPM (cost per Mille)am a cost per mil which means a average amount that you're earning per thousand views now this rate can be anywhere between $1 to $50 per thousand views but most you tube creators see it land somewhere between $5 - $20 per thousand views and on my channel.
I typically see around $10 per thousand views now this makes the math really easy if you're ever curious about how much someone is earning for a video that they created whenever you're watching a video on you to just take a look at the view count and then all you need to do is divide that number by one hundred and that will tell you roughly how many dollars they're earning directly from the ads on that video.
Now ofcourse there is plenty of effort associated with creating content on you tube but what's really cool is that the videos keep ranking up views long into the future so all videos that i've created over the past four or five years on youtube there are still earning the money even for far after that time when i invested five to ten hours to make each of those videos and so every single month i earn around six thousand some knows ten thousand dollars is completely passive ad revenue and i would keep earning that revenue for quite some time even if i quit or took a break.
Now of course when you're first starting out it is a really tough to stand out and you won't be earning anything at first because you have to wait until your channel gets monetize which typically happens once you reach one thousand subscribers and get four thousand watch hours here on YouTube, so you'll be doing a lot of work and not getting paid much that's the same with a lot of passive income strategy is where you have to do a fair amount of up front work getting paid a little to nothing but then long term you get to reap the rewards of that effort that you put in.
3) Podcasts and Blog.
If you have your own recorded audio or having any hand written content of any information about. You can publish them on your website and make them monetize. There are two ways of monetizing content on your website:
a) First one is putting ads on website. When you start publishing any hand written content or audio podcasts on your website, it should not copy from any other websites and these should be unique than others. Viewers should visit again on website, when you put informative content. When you start getting enough traffic on your website, you can request for Google Adsense approval.
Then Google starts observing your website, checking content uniqueness, checking website theme and many more.
You have make your website look nice and easy to find all content on website. You should have different category pages on website, so people can easily visit those pages in one click only. After having proper website, google will give approval of google adsense and ads starts showing on website.
When people visit your website and clicks on the ads, then you are going to make money by Google Adsense.
b) Second one is making money by sponsoring other products on blog. You can put other companies product in between your blog and when people shows interest in that product through your website, then you are going to make money by that company.
But you will not get the whole price for that. If somebody buys one product of anything, then you will make money according to the contracted fix percentage of commission on that product. Suppose there is product of $50 and people bought through your website. You contracted for 10% commission on that product by company, then you will get 10% of $50 that is $5 per product.
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