14 Passive Income Ideas: Exploring Passive Income Streams and Strategies

15 min read

In today’s fast-paced digital world, finding ways to generate passive income has become a priority for many entrepreneurs and side hustlers. Requests for financial freedom often lead us to explore passive income opportunities.

Imagine earning money while you sleep—sounds appealing, right? With the rise of e-commerce, particularly through platforms like Ecwid, this dream is more attainable than ever.

If there was ever a time and era to consider tapping into the passive income world, it is today. Whether you’re an artist looking to sell prints, a blogger aiming to monetize your content, or an entrepreneur with a unique product, platforms like Ecwid provide the tools you need to turn your passion into profit.

Buckle up as we get ready to explore some awesome passive income ideas that won’t break the bank!

Number 1: Start a Print-On-Demand Business

Starting a Print on Demand online store is a top favorite for venturing the waters. It often involves selling made-on-demand products that require no inventory or upfront investments. Even better, the POD market is expected to grow at CAGR of 25.7% from 2022 to 2030.

To start a Print-On-Demand business all you need is a website, a product to sell, and a supplier. Yes, not much else is needed with the help of the right platforms.

During the whole process, you’ll be working with a white-label product supplier to customize and design common items like tote bags, hoodies, baby clothing, women’s clothing, and so much more. The best part about it is that once set up, your store is likely to run on its own, with minimal supervision on your part.

Branded merchandise is a popular way to let your followers support you (Image: Pip The Beach Cat)

If a print-on-demand business model is something you’d like to consider, you can easily open a website with Ecwid’s venture plan, connect with a supplier, and add your products through the use of our Printful app.

At no cost, once you develop a strong customer base, you can expect to make sales and profit without the burden of shipping and restocking your products.

Number 2: Create an App

The mobile app market is booming, and with revenues projected to reach around $190 billion, it presents a significant opportunity for passive income. Creating an app can be a less risky venture compared to other avenues like YouTube, where competition is intense and requires consistent content creation.

The reality is, the app creation market is looking very promising for those eager enough to give it a go. As of now, the competition is fairly decent.

For many, the idea of creating an app sounds eccentric or unconventional. However, hundreds of college-fresh students, or even high-schoolers, have been able to develop and successfully run mobile applications.

The key to success in app development lies in identifying a unique niche, offering real value, and effectively marketing your app. While the competition is growing, there’s still room for innovative ideas, especially in areas like wellness, productivity, and education.

Plus, with the right monetization strategy—be it in-app purchases, subscriptions, or ads—you can create a sustainable passive revenue stream.

Here are some creative and non-complex app ideas that can help you earn without constantly being on the grind:

Create Trivia App

Create a trivia app where users can compete in daily quizzes. Charge a small entry fee for premium quizzes or offer in-app purchases for hints. Think of it like a game show in your pocket—users have fun while you watch the revenue roll in!

Create Travel App

Build an app that curates travel itineraries and offers local deals or discounts. Charge a subscription fee for premium itineraries or partner with local businesses for affiliate marketing. Users explore the world while you make money from their adventures!

Create Habit Tracker

Consider creating an app that helps users set and track personal habits, with features like daily reminders and progress visualization.

Create Flashcards App

Offer a study tool where users can create flashcards for different subjects and quiz themselves.

Create Budget Tracker

A basic budgeting app that allows users to input income and expenses and see their financial status over time.

The beauty behind the app market is that your options are basically limitless.

Once you find your app idea, the developing process is only as difficult as you wish. There are applications that allow users to create a free app without the need for coding experience or any app development background. The best part about it all is that once it is ready, little to no money or effort needs to go into it.

Number 3: Rent Out Unused Space

If you have a spare room or a guest bedroom, you can rent it out on platforms like Facebook Marketplace or VRBO. Short-term rentals are particularly lucrative in tourist-friendly areas or cities with frequent business travelers.

On the other hand, if you’re looking for a more stable and less hands-on option, renting out a room on a long-term basis might be an easier way to secure a steady income. This is especially common in university towns or places with a lot of young professionals.

Number 4: Write an Ebook and Promote it online

Ebooks are a simple way for sellers to monetize their knowledge by creating a product that can be easily purchased and downloaded. In 2020, around 191 million ebooks were sold, with an average of 3.67 ebooks sold per week. This is a promising field that continues to grow as more and more people move away from long hardcover books, preferring to rely on a short ebook to learn about a specific subject.

The reality is, unlike what most people think, writing an ebook doesn’t require a specific degree or specific type of training.

It’s common for many of us to chuckle at the thought of writing an ebook, given our busy lives and limited time. Nonetheless, ebooks don’t have to be lengthy or complex; in fact, shorter versions of about 100-200 pages often perform better than longer ones.

Here are a few strategies to make money selling ebooks:

Research topics that interest you and have demand. Use tools like Google Trends, Amazon Best Sellers, or niche forums to identify potential ideas.
Create a home page or website about your ebook for others to interact with and learn about it. Try Ecwid’s free plan to get started.
Make sure you’re promoting your ebook past launch period. You’ll need to build a strong customer base.
Offer Free Samples. Consider giving away a chapter or a summary to entice readers to purchase the full version.
Create an affiliate program for others to help you promote your ebook.
Make use of social media and Instagram or Facebook ads.
Create email funnels.
Sell your ebook on third-party sellers like eBay or Amazon.

It’s fairly easy to start making money selling ebooks. With platforms like Ecwid, you’ll quickly realize how soon you can have your ebook store set up and begin selling without the need to process transactions on your own.

Number 5: Open a High Yield Savings Account

A high-yield savings account generates passive income by offering a higher interest rate compared to traditional savings accounts. By simply depositing money, you can earn interest over time with no extra effort. Some high-yield savings accounts and certificates of deposit (CDs) offer APYs above 4%.

This interest eventually acts as “free money.” The more savings you build up, eventually, the more money you can earn without any extra effort other than depositing more savings. While the returns may be lower than those from other investment options, high-yield savings accounts provide a more secure way for beginners to start earning and building wealth.

Number 6: Create a Course or Webinar

The market for selling online courses is thriving and holds great potential. In 2015, it was valued at $107 billion, grew to $190 billion by 2018, and is projected to exceed $319 billion by 2029.

For many, online courses provide an accessible and cost-effective way to acquire specific skills or knowledge. For the majority of us, education is typically a worthwhile investment, even more so when it can be accessed online from the comfort of home.

You can develop an online course on virtually any topic or interest, whether it’s photography, nutrition, fitness, cooking, or coding—there are no real limits.

Let’s have a look at some online course ideas:

Digital Marketing Essentials
Introduction to Coding
Personal Finance Management
Mindfulness and Stress Reduction
Creative Writing Workshop

an illustration of an online store selling intensive czech courses

Czech Courses, a private language school, provides Czech language courses for foreigners in Prague and Brno. Using Ecwid, the school enables students to select their preferred in-class or online course and secure their spot promptly.

Last but not least, the reality is no one is going to trust your brand or course without an established website. Also, unless you plan to ask for individual PayPal transactions, it’d be very difficult to process payments. With a website in place you, you quickly gain the opportunity to create more trust, and add more value and relevancy to your course and brand.

Once your course is created, your main task is to build a customer base and promote it effectively. As long as the course remains relevant, it can sell and fulfill its purpose independently. The profit you earn will largely depend on the perceived value of your course, which can be enhanced using various strategies and recommendations.

Number 7: Car advertising (wraps on your vehicle)

Car advertising, also known as vehicle wraps, has become an increasingly popular method of generating passive income. It involves wrapping your car with advertisements from companies looking to promote their products or services.

How Car Advertising Works

There are companies and platforms (like Wrapify, Carvertise, or Stickr) that connect car owners with advertisers looking to put their ads on vehicles. To start making money with your car, you usually need to sign up with one of these networks and provide details about your car, your driving habits, and your location.

Once you’re approved, the network will match you with advertisers who have campaigns that align with your driving routes, frequency, and other demographics.

Number 8: Start a Subscription Business

Certainly one of our favorites, launching a subscription business is a relatively straightforward and popular method for generating passive income. Today, many of us subscribe to at least one service, whether weekly, monthly, or annually. The subscription market offers endless possibilities, proving to be a lucrative opportunity for those who leverage it effectively.

One of the most remarkable aspects attributed to this business model is its ability to foster long-term customer loyalty, create differentiation from competitors, and provide greater potential for enhancing the financial value of your products.

With a subscription business, you can expect recurring purchases from the same customers. Unlike single-product selling, new customers often buy your product once and then never again.

Apart from workouts, FIT subscription provides access to the FIT community

On top of all this, with a subscription business model, a new customer can often symbolize a long-term or lifetime customer, hence creating the perfect opportunity for a smart passive income idea.

With Ecwid subscription feature, it’s easier than ever to collect automatic recurring payments from your customers, making it easy for you to start a subscription business and collect passive income.

Number 9: Start an affiliate marketing business

Affiliate marketing involves promoting products or services to an audience and earning a commission whenever someone makes a purchase through your referral link. You don’t have to create your own product or service; instead, you market existing ones. It’s an excellent way to generate passive income.

You don’t have to create your own product or service; instead, you market existing ones.

Here’s how you can use affiliate marketing as a passive income stream:

1. Choose a Profitable Niche

Focus on evergreen topics: Evergreen content stays relevant over time. Niches like personal finance, health and wellness, technology, and education tend to have steady demand.
Target a specific audience: A highly targeted niche allows you to reach a smaller but more engaged audience, which can lead to higher conversion rates.

2. Research Affiliate Programs

Next, find affiliate programs that align with your niche. Popular affiliate networks include Amazon Associates, ShareASale, ClickBank, and CJ Affiliate. These platforms offer a wide range of products and services you can promote, and many have competitive commission structures. Research each program’s payout structure, reputation, and the types of products they offer.

3. Create High-Quality Content and Grow Your Audience

Blogging: Writing in-depth, SEO-optimized blog posts can rank on search engines and drive organic traffic for years to come. Articles like “best products for X” or “how-to guides” often perform well.
Use SEO, paid ads, social media, and email marketing to drive traffic to your site. More visitors lead to more opportunities for clicks and conversions.

Number 10: License Your Photography or Art

If you’re a photographer or artist, you can license your work on platforms like Shutterstock or Adobe Stock.

Licensing your photography or art is a smart way to generate passive income by allowing others to use your work while retaining ownership of the intellectual property.

Every time someone buys or uses your images, you earn a royalty.

In addition, you can build an online store and sell your photos without commissions.

Number 11: Self Storage Units Rentals

Another popular option for passive income generation is investing in a self-storage business.

Self-storage businesses generate revenue by renting out storage units to individuals or businesses that need space to store their belongings.

The basic model revolves around:

Rental fees: Customers pay monthly fees to rent storage space.
Ancillary services: You can also offer services such as insurance for stored items, moving supplies (boxes, tape, locks), and vehicle storage, among others.

Number 12: Start a Job Board

Starting a job board can be a lucrative way to make money by tapping into the demand for talent acquisition and recruitment services.

The most direct revenue stream is charging employers to post job openings on the board. You can offer different pricing tiers based on visibility (e.g., basic listings vs. featured listings) or the length of time the job stays live.

Charge employers a subscription fee for posting a certain number of job listings each month. This model ensures consistent revenue, as employers will pay for a regular stream of job posts.

To stand out and succeed: attract a targeted audience, it’s essential to choose a specific niche. Some job boards cater to general listings, while others target particular industries, job types, or regions.

A job board isn’t just a place for transactions. Encourage conversations, share tips and success stories, or host webinars. Create an ecosystem that fosters networking and knowledge sharing.

Number 13: Monetize a Blog

Last but not least, launching a blog as a source of passive income can be a great idea.

Each month, around 70 million new posts are published on WordPress alone.

Focus on a topic that has a demand for information and products but also one that interests you.

Here are a few strategies to monetize your blog:

Subscription-based content: Provide exclusive content or services to subscribers for a recurring fee.
Affiliate marketing: Promote products or services and earn a commission on sales made through your affiliate links.

You can also choose to promote ads on your blog for extra revenue.

Number 14: Sell Templates on Etsy or Canva

Last but not least, if you’re comfortable creating digital designs, Canva allows you to create and sell templates (like social media posts, business cards, resumes, flyers, etc.).

This is a great way to make passive income. Once your templates are created and listed, you can list them on Canva or Etsy and earn money each time someone purchases them.

Final Thoughts On Passive Income Ideas

Overall, tapping into the idea of passive income generation can lead to the luxury of making money in your sleep as we often hear. Moreover, it’s crucial we venture it with the knowledge and understanding that it does require time and dedication when just getting started until you reach that point where you can sit back and watch your profits effortlessly flow in.

passive income strategies

If you’d like to start your own ecommerce business or store website, try Ecwid’s free plan today or update to our more advance options to begin selling online and promoting your products.

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Selling Online

Sep 9, 2024

About the author

Max has been working in the ecommerce industry for the last six years helping brands to establish and level-up content marketing and SEO. Despite that, he has experience with entrepreneurship. He is a fiction writer in his free time.