If you’ve ever read some of the popular books on wealth building or self-employment strategies, you have probably heard of the idea of generating passive income as a way to working for yourself. Passive income is income that is created with minimal effort on your part once you’ve set it up. Examples of this could be things such as real estate investments, stock market investments, and affiliate marketing.
I want to touch on affiliate marketing because out of the other methods, it is generally very low to start up and can be done primarily on the internet. This means you can reach millions of customers, 24 hours a day, 7 days a week! Affiliate marketing means you are promoting other companies products and/or services for a percentage of the sale price. One of the most common affiliate marketing programs today would be Amazon.com. As of this writing, they offer a 4% commission on any sales you generate through your marketing efforts. These types of affiliate programs are called “CPA” (Cost Per Action), meaning you earn money when the customer takes action, which is making a purchase.
There are also affiliate programs called “PPC” (Pay-Per-Click). PPC programs usually consist of text or image ads you place on your web site(s) and when users click on them, you earn money. How simple is that? You can see why affiliate marketing is favored as one of the best passive income generators. Not only that, but affiliate marketing can become very lucrative over time after you’ve gained some experience.
I have even dabbled in it and there is a lot to learn and a lot of trial and error. In fact, I have become so fond of affiliate marketing, I will be dedicating a majority of my blogging to the very subject and to the products that you can promote to help you earn another stream of passive income.