How much do you have left after paying off your personal debts? Are you comfortable with the figure or would you like to supercharge your income? This article will give you four ways that you can boost your residual income and improve your capacity to do more with your money. I will focus on online activities that will help you achieve this goal and because I have tried and tested the channels I want to share with you.
You have probably heard of how guys are making loads of cash selling products online and would like to know how they did it. This is one of the simplest residual income business models because all you need to do is connect a product to a willing buyer, but is it?
Although the chances of being successful with this type of business are quite high, it is important to ensure that you get your research right. Try answering the questions below.
- What is your product?
- What are you trying to solve for the consumer or rather what pain point will your product relieve?
- Who is your customer?
- What is the size of the market/potential customers for your product?
- What are the available channels to reach these customers?
- Which are the most effective channels?
- Which channel is accessible to you based on your resources?
These questions will be repeated in all business models because they help assess the potential success of your business idea.
Answering these questions before you even begin will help you develop a framework that you will follow to establish your business and the best part is you will know right off the bat what is working. This will further help you to tweak the system to improve on performance and then you can rinse and repeat for the intended results.
So enough of that let’s get back to e-commerce. I have discovered 3 routes that you can take to start you off. You can either develop a product. I know of someone doing good selling lip balm and hair products that they have produced at home.
You can also source cheap products and sell them online for a margin
Lastly, you can look for customers and get into an agreement with a supplier to fulfill your orders (dropshipping). The benefit of this business model (dropshipping) is that you don’t need money to buy or produce the product and neither do you need to worry about inventory because all this is handled by the supplier. All you do is gather your orders and collect the money to pay the supplier after taking your cut.
Of course, you will need a product to sell but where do you sell it. There are two ways you can achieve this, you can either sell your products on established storefronts such as, Amazon and Ebay or develop your own storefront by building a website.
Using the second route you can use WordPress and install Woocommerce to make your WordPress site an e-commerce site or you can use Shopify, which is dedicated to helping you build your e-commerce site. I must say the process is also not that difficult.
Another passive income generator is affiliate marketing. You have probably heard about this and maybe you are aware of success and horror stories about this business model. Affiliate marketing is rather simple for those of you who don’t know, it is basically selling products for commissions.
There are affiliate marketplaces where affiliates select products to promote but there is also private affiliate programs controlled by individual businesses (for now steer away from the private programs because some of them don’t provide protection to the affiliate and you can easily lose your hard earned money).
Places where you can access products to promote or affiliate offers include MaxBounty, Commission Junction, Rakuten Linkshare, Clickbank, JVzoo, Amazon also has an affiliate program. These programs handle commissions automatically and they also have the capacity to track the potential buyer.
The affiliate programs provide you with a product link that is specific to your account. You then promote the link targeting buyers looking to buy the product and if they end up buying after clicking your link then the agreed commission is directed to your account.
The important things to look at when selecting products to promote include reviews, price, % commission, how long the link is tracked after the initial visit and the marketability of the product (how will you reach the potential customers).
Working as a freelancer also provides opportunities to increase one’s residual income. The internet has provided skilled individuals with an opportunity to reach potential clients directly. Consequently, freelancing has become a lucrative passive income channel for most. Websites have been developed to enable clients to reach out to an international pool of freelancers with different skills from accounting to graphic design. Some of these places where you can meet clients and find work include
Some of these places where you can meet clients and find work include Upwork, Fiver, and 99 Designs among others. However, this is not the only way to meet and connect with potential clients. Another way would be blogging by targeting your content to be about what you actually do or the skill that you have.
The advantage of this is that it improves your skill status and qualifies you as an expert in your field. You can post your articles on LinkedIn and share the content on different social media platforms to generate interest and reach out to your potential customers.
Some of the guys who have done this well include Neil Patel of Kissmetrics and Quicksprout or the Brian Dean behind Backlinko. These guys are consultants in their fields of expertise and they help their clients achieve the goals they have set out.
So if you have not started selling your skills as a free agent you can start by blogging about topics in your field and use the platform as your consultation office.
Selling Info products
Last but not the least is developing info products or courses. This model is best suited for individuals who have a skill and they don’t mind teaching others how to gain the particular skill.
Basically, in this business model, you take the role of a teacher or instructor responsible for teaching students something of value. Courses can be packaged in a variety of ways and this includes webinars, video courses, and ebooks. All these are products that can be sold to potential students who in this case, are your customers.
There are sites dedicated to the online education industry and they include; Udemy, Coursera, and Lynda among others. These sites provide you with a platform to upload your courses and allow students to access them either paid or for free.
The process to host your course with these websites is almost similar and entails developing high-quality tutorial videos. However, this only caters for video courses. You can always sell your ebooks through affiliates on Clickbank and other affiliate marketplaces.
In addition, you can also promote your webinars through advertising. Remember your goal is to share valuable knowledge with students.
It is pointless to share with you these methods without at least sharing with you ways in which you can promote your product or business to potential customers and clients. I would like to categorize promotions into two; organic (free) and paid campaigns.
Organic campaigns take a bit more effort to develop but the main advantage is once they are up they can bring in customers sustainably and the best part is it will be for FREE. On the other hand, paid campaigns are easier to implement because all you need to do is pay a certain amount for exposure. However, the downside is that the level of exposure is tied directly to the money you spend. Thus, I suggest finding a balance between both at the earliest opportunity when building your passive revenue stream.
The best-paid sources include advertising on Google, Facebook, and Twitter. Currently, I can help with the first two. You can also visit my Google Partners Profile to view my qualifications.
The organic sources include SEO, influencer marketing (which can also be paid), and using affiliates to promote your product.
The internet provides many opportunities to increase your residual income. However, you must be willing to learn and apply what you have learned because practice makes perfect.
Before I forget, I also have a short course on Udemy about validating your business ideas, which I believe will provide you with all that is needed to quickly evaluate the potential success of your business ideas especially if you are starting out building your passive income streams.