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How To Build Passive Income With Membership Sites

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IF you’ve started a new business online, it can be scary going from a regular paycheck where you know exactly how much you’re earning, to working in your own business without knowing exactly when you’ll get paid.

So how can you achieve a little more stability in your business?

Continuity programs – memberships, recurring payments, monthlies, etc. are a proven business model online that can potentially yield a high return. You can either promote other people’s programs, or create and promote your own.

It’s easier to get started promoting someone else’s program in return for a share of the sale, that way you don’t have to worry about sales funnels, video, content, customer service or anything like that.

You just need to focus on referring customers.

Drive traffic, offer your bonuses and do whatever you have to to get people to sign up. The downside, of course, is that in exchange for less responsibility, you also have less control and more competition.

The membership site owner has control over the content. If s/he takes a “churn and burn” mentality and doesn’t care about keeping members happy, then people won’t stay long. You’ll have to continually make new referrals, which isn’t what you want in the long term; after all, you want stability.

That’s why you want to be selective and only promote truly great membership and continuity programs that deliver a ton of value. And your competition will be every other affiliate who is also promoting the same program. Assuming you’ve built up your own list that likes and trusts you, then this isn’t so much of an issue. So promoting as an affiliate is a give and take. Less responsibility, but no control and lots of competition.

Alternatively, you may want to start your own membership program. Just look at what’s in demand in your niche, and fill that need. Outsource the content creation where possible, so you can focus on the sales and marketing – ie. filling your site with subscribers.

Don’t neglect to promote your membership site either. Use every technique you can think of and track everything. Identify your best sources of traffic, and focus all your efforts on them. For example, maybe 9 out of 10 new members are coming from Facebook Ads, and only 1 out of 10 from Google Adwords. Then it makes more sense to focus all you advertising dollars into Facebook advertising.

As long as you can get your conversions up and your costs down, you will have a viable business.

You can even multiply your efforts by recruiting affiliates to promote your membership site, too. There are plenty of affiliates out there who will appreciate that continuous, month to month income that a good membership site provides. All you have to do is show them that your funnel is converting and members are sticking.

Naturally, there are a lot more details than this to starting a membership site. But hopefully this gets you thinking in that direction. Because, ultimately, the name of the game is financial freedom with as little stress as possible. A membership site is a great way to achieve that.

The first site is the hardest one to build. Once you have a membership site that’s clearing at least a couple of thousand dollars each month like clockwork, continue to build on that one while building your second membership site, and so forth. Create a membership empire to secure your finances, and then you can experiment with anything you like.

Side Note #1: How To Make [SERIOUS] Money Giving Away Courses

Can you earn $5K to $10K a month giving away what other marketers sell? Actually, yes!

I love this because it’s simple and will work in a variety of niches.

There’s this gal in the investment market who gives away her course. Mind you, it’s a great course, complete with videos, pdf’s, and a ton of actionable information.

People would pay good money for the course, but she advertises it everywhere for free.

She uses very professional looking ads, banners and landing pages to give away this free system.

All people need to do is hand over their name, email address and physical mailing address.

I suspect she sells her customers’ info to mail order businesses as well, but that’s not where she’s making the money mentioned above.

And of course she’s building her mailing list so she can promote other products, as well.

But again, that’s not where she’s making the money mentioned above.

In order to start investing, people need a trading account. And the trading account she recommends in the course pays her a commission for every person who signs-up… a fairly hefty commission, at that.

This business model could be expanded to many other niches as well. Simply find something that people need – preferably something they pay for on a monthly basis – and then create a product that leads them straight into buying that product or service, and give the product away for free.

No real selling is involved, and you can make not one, but three different income streams simultaneously.

Side Note #2: Teaching “Buy and Sell” For Easy Profit

There’s a guy who is running a little club online, teaching people how to buy and sell websites.

He has a product, a continuity program and a newsletter.

But here’s the surprising bit: The product is inside his continuity program, and he seldom has to update it or add to it.

So how does he continue to charge monthly fees for a program the members receive in its entirety from day 1?

By giving them a monthly member’s bulletin that just about writes itself.

To do this, you need to know how to make a profit buying and selling something.

It could be…

  • Websites
  • Domain names
  • Real estate
  • Cars, boats, trucks, planes
  • Farm equipment
  • Artwork
  • Or anything that can be bought and sold for quick profits.

The centerpiece of your membership is a bulletin in which you point out good deals and bad deals and why you have the opinions you do.

You’re basically teaching something you already know by example.

Show your readers how to find the deals, how to know it’s a good deal, how to bargain, when to walk away, and how to flip it for fast profits.

Real life examples are so much more helpful than just theory – your members will love it.

And if you’re already buying and selling, then writing the monthly bulletin will be really easy for you.

Add a forum or Facebook page to the mix, so your members can talk amongst themselves and discuss deals.

This is a winner on so many levels. And once you have the how-to instructional materials in place, the rest of it is easy.


Impellium is an online media company focussed on personal and business growth strategies for home business owners and lifestyle entrepreneurs.

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