How to earn a passive income

Making money on the internet is fantastic. All you need today is a computer and an internet connection, and you can earn a passive income from anywhere in the world. Do you also want to make money on the internet? Then you’re likely wondering what’s the best value model.

You can make money on the internet in different ways.

To build a successful online business, it’s important to understand the differences between potential earnings models and make sure that the way you plan to earn money is how you want to run your online business.

For example, some earnings models will require a large investment of your time or money before you start making a profit. Other earnings models will allow you to maintain your current job and build your online business after your working hours.

Still other earnings models are suitable for making money on the internet without being bound to a particular location, so you are free to travel around the world. The choice of the most appropriate earnings model depends also on why you want to start an online business.

When you’re willing to work hard, developing many strategies, constantly seek improvement, and creating constant movement in your internet business, I can guarantee that you can create passive income.

4 ways to earn a passive income


A very big advantage of internet marketing is that you can do it once and you can always work for it.

Let’s see what the most popular online earnings models are, so you can decide which works best for you. The 4 most common earnings models to earn money from an online business are:

1) Selling services

2) Selling products

3) Affiliate Marketing

4) Placing ads

-1. Selling services

You can earn money on the internet by selling services. This is perhaps the most common online earnings model. This is sometimes referred to as freelancing or consulting.

Some examples of online-sold services are graphic design, website building, copywriting, software development, coaching, marketing, …

High revenue per customer is one of the key features of this earnings model. Most freelancers only have a handful of customers a month and earn a decent income.

This means that, compared to other earnings models, you should not get as many visitors on your website to earn your desired income (assuming all other factors are equal).

Selling services is one of the fastest ways to earn money online, especially if you’ve already developed valuable skills during a traditional job.

All you have to do is create a website on which you offer your services, share this with the outside world and then you can start working with your first customers earning money online.

On the other hand, selling services can be stressful. If you are used to exchanging your money for money, you may be inclined to take out a lot of time before you’ll start to feel comfortable with your business.

Sales of services doesn’t really create passive income. Many start-up internet entrepreneurs who start selling services are looking for other earnings models after a while where they don’t have to exchange their time for money, such as selling products.

-2. Sales of products

Secondly, you can earn money on the internet by selling products. This refers to the sale of digital products (information products) as well as the sale of physical products.

When you sell products, you will earn less on average than when selling your services. This means that you will need more visitors to your website to earn your desired income.

Startup time is also usually longer if you want to earn money by selling products as compared to selling services as you need time to develop a product.

After you’ve developed a product, you need to build a website and attract visitors who are interested in your product. For example, you can use paying internet marketing techniques like Google Adwords to quickly attract visitors to your website. Or you can rely on a long term strategy like organic growth through search engine optimization (SEO).

Making money on the internet is fantastic. All you need today is a computer and an internet connection, and you can earn a passive income from anywhere in the world. Do you also want to make money on the internet? Then you're likely wondering what's the best value model.

Imagine writing an E-book, or creating a website, linking an affiliate system so that affiliates can promote it for you. Next, for example, you get one hundred visitors a day, of which on average one in one hundred visitors buy your E-book from, for example, 27 dollars. This gives you passive income!

You do not have to worry about anything, the payment is automated, the visitors come automated … everything is fully automated. The only thing you need to take care of is the customer service. Someone will have to answer your e-mails, of course, but there will not be a lot of money daily if you sell only one E-book.

However, one E-book per day of 27 dollars is already 810 dollars a month if you go out for a month with thirty days. This is almost 10,000 dollars a year. On average, one in one hundred visitors buys, so you only need one hundred visitors a day to get a passive income of 10,000 dollars a year.

An advantage of selling products compared to selling services is that this earnings model can more easily provide a passive income.

-3. Affiliate Marketing

Third, you can earn money on the internet through affiliate marketing. Affiliate marketing is a value model where you get a commission paid when you refer a visitor to another website and that visitor buys something.

Affiliate marketing will earn you less per visitor than when you sell products or services.

As an affiliate partner, you earn a commission for each purchase that you realize. This commission depends on the type of product and can range from 5% to 90%. The commission you get as an affiliate with digital information products is usually much higher than with physical products.

To earn enough money as an affiliate marketer, you will need more visitors to your website than when you would sell your own products or services. Many affiliate marketers build more than one website (some build hundreds of small websites) to reach enough people and earn a good income.

You can start earning money with affiliate marketing, but expect to spend a couple of months before earning a decent income.

The most attractive feature of affiliate marketing is for many internet entrepreneurs it can be a very passive source of income. Once you’ve built up your affiliate marketing income, you can generally choose where, when, and how much you work you do because the work needed to maintain your websites is very flexible.

-4. Ads

Fourth, you can earn money on the internet by advertising. Advertising shows the lowest revenue per visitor compared to the other earnings models proposed above. The amount you can earn per impression depends largely on your niche and the number of visitors on your website.

Imagine buying a website for thousands of dollars today and this website has five hundred visitors a day (i.e.: fifteen thousand visitors a month). If two percent of those fifteen thousand visitors click on AdSense, you’ll have three hundred Google AdSense clicks per month.

If you receive thirty cents per click, you earn about ninety dollars a month. With one year you’ve the purchase price of the website. You’ve earned more than a thousand dollars and your investment has been recovered. In the thirteenth month you’ll be earning pure profits and that’s really passive income.

So you’ll need to get impressive amounts of visitors to your website to earn enough money with ads. However, it is possible to make money as an internet entrepreneur through ads, by integrating Google Adsense ads into your website.

To earn enough money here, you will either have to be good at search engine optimization (SEO) or another internet marketing technique to get many visitors to your website.

Since you don’t have to worry about selling products or services, advertising has a lot of potential to generate passive income. However, maintaining a website that gets enough visitors to make this earnings model viable requires a lot of work.

The power of compounding efforts

So you can earn money online in several ways. It often happens that websites combine a number of different earnings models.

If your goal is to build up passive income, but you need to earn some money right away, it’s a good idea to start selling services. Then switch to selling your own products or other products through affiliate marketing.

The contact with customers you sell your services to gives you the opportunity to market your research. You search for products that you want to make and sell later. Instantly launching a product without first building a tie with your potential target could result in a big waste of your time and effort.

When you set up multiple such projects, automate well, make good systems and work really well, it’s very easy to copy these processes.

For example, when you have written one E-book for example, and visitors to that website get results for example through affiliates or search engine results, it’s quite easy to repeat this process in another market (or possibly even in the same market).

So you have one process, then you build the same process in another market and have two processes for you. From then on, passive income will accumulate.

It’s not so that you earn twice as much money with internet marketing if you do twice as much work. Often it works just exponentially. If you set up multiple projects, gain more knowledge, and build better processes, then a second process—a second website—will run much better than a first website.

A third website will be even better because you learn gradually (grow as you go!). As you learn, you can always adjust and improve things.

Of those very small things—like placing an upsell after a sale—you can already make sure that you go from a thousand dollars to seventeen hundred dollars a month. But if you do not know, you can’t apply it either.


In the first process, you may not know, but probably in the second process, you’ll be able to apply it. Of course you can apply it as well to the first process. It’s about knowledge, which is absolute power when it comes to internet marketing. If you know how to combine this knowledge with action, you will ultimately go to passive income!

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