Let’s face it—who wouldn’t love to earn money while sipping a piña colada on a tropical beach?
Many digital marketers have entered the game not because they want to promote a business but to learn how to use digital marketing for passive income.
There are so many different ways I can mention how you can generate passive income, from investing in stocks and real estate to having a profitable YouTube channel that is almost 100% automated.
However, digital marketing offers some of the best opportunities to achieve it.
In this post, we are going to dive into the top 6 ways to use digital marketing for passive income.
And if that’s not enough, you will also see real examples of people who made it big with each way, plus the right steps to get started.
So grab some popcorn, sit back, and let’s begin!
1) Affiliate Marketing
Imagine dropping a unique link on a blog post or social media and getting paid every time someone clicks on it and makes a purchase.
That’s the power of affiliate marketing.
What’s beautiful about it is that you can promote other companies’ products or services, and you have the option to choose only the winning products of the companies you like the most.
It’s a win-win situation in which both you and the company you promote earn, plus you help the purchaser find the product he was looking for.
Real Example: Pat Flynn
Pat Flynn, the mastermind behind Smart Passive Income, is a legend in the affiliate marketing world.
His story began when he decided to create a valuable blog while promoting hosting services and other online tools in his posts.
Today, Pat earns a six-figure income, largely thanks to affiliate marketing.
You are probably asking right now what’s his secret, right?
It’s building trust with his audience by promoting only products he truly believes in.
This video shows how Pat Flyn has made it in short:
How to get started:
1) Choose a niche you are passionate about.
2) Join the right affiliate programs that suit your expectations.
3) Create content that naturally incorporates affiliate links, such as product reviews, tutorials, or “best of” lists.
The worst thing to do is to put affiliate links in a too-pushy way because it hurts the trust you are so eager to build with your audience.
This post may also interest you: Can You Really Make Money From Affiliate Marketing?
2) Create and Sell Online Courses
Do you have a useful skill or knowledge that others are willing to pay for? There’s an option to turn it into an online course.
Many platforms make the process of creating and selling online courses easy. The most dominant ones are Udemy, Teachable, and Coursera.
What’s cool about those websites is that you can make courses almost on any topic, so if you have superhero knowledge in specific topics, this may be turned into a goldmine when selling it as an online course.
And the best part? It’s completely passive.
Once you create that professional, awesome course you can focus on selling it using digital marketing channels like PPC, social media, etc.
Real Example: Graham Cochrane
Graham Cochrane, founder of The Recording Revolution, turned his passion for music into a passive income powerhouse.
He started sharing his knowledge and providing value to his audience by offering free music production tips on his blog and YouTube channel.
As he grew his audience, he created paid courses teaching people how to produce music at home.
Today, Graham enjoys a 100% passive income from these courses while having free time to focus on different projects, and also enjoy his life to the fullest 😉
How to Get Started:
1) Identify a skill or knowledge area you’re a pro in.
2) Outline a course that solves a specific problem or fulfills a need.
3) Use platforms like Udemy or Teachable to create and host your course.
3) Sell Digital Products
There are plenty of digital products you can create that can be turned into amazing passive income streams.
Some of them are eBooks, printables, stock photos, and templates.
Once you create such digital products there’s no need to take care of inventory or shipping, making it 100% passive.
Real Example: Sarah Titus
Sarah Titus, a stay-at-home mom, turned her love for creating printables into a six-figure business.
The way she did it? By selling planners, calendars, and other printable materials on her website.
Her website is global and once she developed the ability to sell to a global audience, she sky-rocketed her sales and managed to generate a steady stream of passive income.
How to Get Started:
1) Identify a digital product that solves a problem or fulfills a need.
2) Create the product using tools like Canva or Adobe Illustrator.
3) Sell it on platforms like Etsy, Gumroad, or your own website.
4) Start a YouTube Channel
YouTube isn’t just for cat videos – This platform has transformed into a serious one and can be your key to passive income.
Even though there are millions of videos telling you that making money on YouTube is easy, you must know that it is not a walk in the park.
The most important thing you have to do if you really want to achieve success on YouTube is to focus on valuable content and prefer quality over quantity.
Once your audience is big enough, you can monetize the YouTube channel through ads, sponsorships, and affiliate links to turn it into a private passive income machine.
Real Example: Marques Brownlee
Marques Brownlee, also known as MKBHD, started his YouTube channel in high school, reviewing tech gadgets.
The thing that attracted so many curious viewers was his honest and detailed reviews.
Today, this guy is one of the biggest tech reviewers on YouTube earning a very very nice income from YouTube ads, sponsorships, and affiliate links, all while doing the thing he has loved since he was a kid.
Check out one of his recent videos:
How to Get Started:
1) Choose a niche you’re passionate about and knowledgeable in.
2) Create high-quality, engaging videos on a consistent schedule.
3) Monetize your channel with YouTube’s Partner Program, affiliate marketing, and sponsorships.
5) Create a Niche Blog
If you are still reading, I bet you aleady understand that the key to turning digital marketing into passive income is all about bringing value to the right people.
Even though blogging might sound old-school, it’s still one of the most effective ways to generate passive income.
Just focus on a specific niche so you can attract a dedicated audience and monetize your blog through ads, affiliate marketing, and sponsored content.
Real Example: Michelle Schroeder-Gardner
Michelle Schroeder-Gardner of Making Sense of Cents turned her personal finance blog into a passive income machine.
After investing years of work in her blog, she now earns over $100,000 per month and her blog continues to generate income even when she’s sleeping or watching TV.
Who doesn’t want that?
How to Get Started:
1) Choose a niche you’re passionate about and that has monetization potential in terms of audience size and quality.
2) Start a blog using tools like Elementor (WordPress).
3) Monetize through ads, affiliate marketing, and sponsored posts.
6) Develop a Mobile App
If you have a knack for coding (or know someone who does), creating a mobile app can be a lucrative source of passive income.
You can create any kind of mobile app that is valuable to people and monetize it through ads, in-app purchases, or subscriptions.
After creating an app, what’s left to do is take care of its marketing to grow its user base and increase your passive income.
Real Example: David Smith
David Smith, the developer behind the popular fitness app “Pedometer++”, created the app as a side project to track his daily steps.
What’s cool about this story is that David just wanted to create something useful for himself and it quickly became a hit, gaining millions of downloads on the App Store.
The app offers a free version with ads and a paid version without ads, David earns passive income from the app while helping other people get in shape. Sounds like a dream, right?
How to Get Started:
1) Identify a problem or need that a mobile app could solve.
2) Develop the app yourself or hire a developer.
3) Monetize through ads, in-app purchases, or a one-time purchase fee.
Final Thoughts: Start Your Passive Income Journey Today
Many people believe that passive income is a dream that is too good to be true. However, it is true, and the people I mentioned in this article prove it.
It’s important to bear in mind that creating a passive income source using digital marketing is not easy, but with the right strategy and mindset, it is truly possible!
The key is to start small, stay consistent, and keep learning.
Before you notice, you can be on your way to sipping that piña colada on a beach while your digital marketing efforts continue to pay off.
