How To Create A Passive Income From A fiver- Is it possible?
Before we discuss how to create a passive income let us first of all define “what is passive income?
A passive income is an income received on a regular basis and can come from many sources including property rental, internet marketing or even a pension. But is it really possible to create a passive income from as little as a fiver?
Read on to find out how to create a passive income from a fiver.
Whilst I can personally vouch that property rental and internet marketing are indeed a very powerful way of creating a passive income, there is also an easier way, ( one that is often overlooked), namely making a passive income from information products. But wait, if you are one of the many people that have tried (and failed) at making money from information products before , then before you press x to exit this blog, let me first of all explain a bit more of why this opportunity to make money from information products is a bit differerent…
How To Create A Passive Income From A Shoestring Budget
One of the cheapest ways to make money from home that I have personally come across (and I’ve come across a fair few in my time) is by creating a Cd,DVD or an Ebook on a “how to do” something. Most of us know something that others will pay for. It’s simply a case of turning the info in your brain into cash.
Can’t think of anything to produce an information product about?
If you can’t think of anything of your own, then why not carry out some research on what others want, by using the biggest encycolpedia that there is – the Internet!
Where are the best places to find this information?
- Online forums are one great source as people use them to ask questions or answer questions on a given topic.
- Social Media sites are another great way to find out what people are searching for.
- Or why not research what is selling the most on the big e commerce sites like Ebay and Amazon. For example check out the book section on a given topic as this can be a great way to find out what is popular. You can even take it a step further by checking out the reviews- especially the ones with the fewest stars . This can prove invaluable in identifying solutions to what people need and more importantly what to produce your information product about i.e. what you can provide a solution for within your CD, DVd or ebook.
Are you starting to get the drift? Information products are the biggest selling products bar none at the moment. The secret is to stand out from the crowd.
Once you have produced your information product this, in effect, will become your front end product. You can then charge whatever you want for this product. For a guideline of what to charge simply research what others are charging online for similar products.
It is worth noting that if you compile a set consisting of more than one item e.g. a DVD and Ebook together, then the perceived value will be more ,meaning that you can charge more for it. When you sell them as a set you can charge anything from £67 ,£97 or more!
How To Create A Passive Income Using A Good Sales Funnel
Creating a passive income from information products is much the same as with any other business ,in that you need to have a solid sales funnel in place. By sales funnel we mean having a good front end and back end product with a good marketing system in place.
One of the great things about an information product, as explained earlier, is that it allows you to create a front end product quite cheaply, often for as little as a fiver . But the other great thing is that you can also make huge profits from these types of products too.
When you make a sale of your cheaper front end product you have then, in effect, put your customer into a sales funnel, ready to upsell to them later.
So how exacly does this work? Let me explain, in more depth ,by using an example of one of the sales funnels that I personally use to create a passive income .
How To Create A Passive Income Using Smart Passive Income Ideas
Let’s take an example of a front end product that I personally sell as my front end product which is a DVD set on how to teach small businesses to increase sales using mobile marketing.
I market this DVD set using direct marketing- which consists of sending a sales letter (complete with the website details of my landing page for that product) to customers. I then compile a customer list for all successful sales.
So how does this create a passive income for me?
As explained earlier, to create a passive income you need to have a back end product that consists of your customer paying a monthly subscription to you. There are a number of ways of achieving this including starting up membership sites or enrolling others as your downline to also sell your products. Here is one of the methods that I personally and is a great way of how to create a passive income.
Creating a passive income selling licences for lifestyle products
Remember how in the earlier example I explained how to create an information product to sell for a fiver? Well my back end product takes things a step further and is how I create a passive income .
For a monthly subscription I offer individuals the opportunity to actually puchase a license for a different lifestyle product every month ranging from DVDs on how to teach your child to swim, improving your golfing skills or even a self defence course for you and your family. So why is this so appealing and why has it provided me with the perfect solution on how to create a passive income from home? Here are a few of the benefits that purchasing licences can provide for individuals wanting to make a consitent income from home;
For a monthly subscription you can purchase a license for a ready made,in demand, lifestyle product.
No need to find your own product or to test the market.
Can rebrand and resell the product as your very own product time and time again
You get to charge what you want and keep 100% of the profits.
Full step by step training provided on how to get started.
So there you have one example of how I personally create passive income streams from home. But how can you find customers to subscribe to your back end product?
You will first of all need a good product. Something that actually works.
And you will need to be unique and stand out from the crowd.
How To Create A Passive Income By Standing Out From The Crowd
So now that we have dealt with how to create a passive income through having a good sales funnel (front end and back end product) in place, you now need to make sure that your offer actually gets seen by your target audience- your potential customers. So what are the best ways to get people into your sales funnel?
Getting customers into your sales funnel
Without any doubt , the internet is one of the most powerful places to promote yourself or your product. It’s open 24/7 and can reach a global audience. However, the down side of this is that everyone else knows this too, so there is huge competition out there to get your product to stand out over your competitors.
Even knowing how to cleverly use keywords is no longer a guarantee for success, as lots of others are also using the same keywords. So what other ways are there to get potential customers into your sales funnel?
The secret is to drive traffic indirectly to your website ,without having to rely on the search engines. Here are a few for you to consider;
Write blogs or articles about your product ensuring to create a link to your website or landing page. You can create even more traffic to your site by guest blogging on other high ranking sites too.
Tell others about your products or services via free social media sites like Facebook, Twitter ,LinkedIn and Pinterest. You can also refer your social media followers to your blogs or articles by including a link within your posts.
Use direct marketing. Even though direct marketing can be a more costly option, the results it can achieve outweigh the cost. Think about it, we all receieve less and less mail through the door nowadays, so what better way could there be to attract a potential customer’s attention, than to deliver a sales promotion straight into their hand. I have to say that I have personally achieved great results from using this method of marketing especially when it comes to information products.
So this is how to create a passive income from a fiver.
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