Email marketing is one of the best online sellers. In 2013 and 2014, it was the third highest contributor to online sales, only direct visitors to a website and organic searching performed better. For many businesses, email marketing is a way to generate income by selling their products / services. Yet this isn’t the only way to generate an income from the tool. You could try passive income.
This article will describe how email marketing can be used to create a passive income.
What Is Passive Income?
The definition of passive income is relatively simple. It is defined as the regular income that requires little effort to maintain. It is often closely related to unearned income.
A further definition of passive income is given by the American Internal Revenue Service that states passive income is generated by one of two sources: either it is rental activity or “trade or business activities in which you do not materially participate.” Therefore, being an affiliate of another business is a way to generate passive income.
What Is An Affiliate Program?
An affiliate program is where one person, the ‘affiliate marketer’ actively advertises a product / service of another business. When the customer is ready to make the purchase, the product owner takes over and the marketer receives a commission. There are numerous programs available, including those on Amazon and webspace hosts.
Signing up as an affiliate partner is easy. Amazon allows you to do so in just a few clicks and their commission scheme allows you to collect on any purchases made by the referral (the person visiting from your website) within a certain amount of time, regardless if it is the product you advertised.
Why Is Passive Income So Good?
There are many reasons why passive income is such a great revenue stream. For starters, it allows you to sell products without the need of stock, warehousing, packaging or delivery costs. The only cost you have the generation of content. Secondly, you can sell your own products right next to the affiliate products, giving you great access to plenty of value.
Those who earn their living as affiliate marketers are often seeing high profits for the year and many claim to have the great lifestyle.
However, that doesn’t mean that it’s` easy. You still need to gain the traffic and trust of an audience and build an email list. Many affiliate marketers clearly state that an email marketing list is the most useful tool they have and their best selling tool.
But once you’ve developed that list, how can you use it to develop a strong passive income? What are the main types of content you can send?
The number one reason why people sign up to email marketing lists is because they want to know about the latest offers and deals from a brand. So by ensuring you are working closely with your affiliate partner, you can offer your list the best deals first and watch as they proceed to the website.
Sometimes customers want to know what they will get when making a purchase. Reviewing products, books, movies and music is one of the largest affiliate marketing industries because so many people use the internet to find out this information.
3. How-to Guides
You don’t have to actively promote a product to collect passive income. You could mention them in passing. For instance, you write a how to build a website guide and include a link there to several hosting platforms, these hosting platforms could have affiliate programs where you can collect a commission from them.
Affiliate marketers often don’t have one site. Usually they are members of several programs and own more than one site to widen their opportunities and their revenue. Having more than one site offers you significant opportunities to sell and widens the audiences that you can appeal to. With the cost of website hosting and design at its lowest rates for years, you could easily be earning a lot of passive income in no time.
Do you earn a passive income? What are your best tips?
Let us know in the comments below.
- Sign up to an affiliate program.
- Promote their products through reviews and how to guides.
- Create a passive income revenue stream.