Benefits of selling digital products
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| sunbal110.blogspot.com |
Looking to join the digital product game or
just need some convincing? Below, we’ve outlined eight of the top benefits of
selling digital products:
Lower production costs
First off, selling digital products requires
relatively little investment compared to selling physical products. Why?
Because digital products are created and sold online using digital tools, which
are much more affordable than their real-world counterparts.
Traditionally, to sell physical merchandise,
you’d need to rent a brick-and-mortar retail location and a warehouse to store
all your inventory. With digital products, there’s no need for an IRL
storefront or a warehouse.
Instead, digital products are sold online
through a myriad of digital venues, including creator storefronts, online
marketplaces, online shopping carts, or your very own website.
In order to use these platforms’ file-hosting,
storefront, and payment processing services, sellers will usually pay a monthly
subscription fee or a transaction fee (i.e. a slice of each sale) to the
platform. Sure, most of these platforms come with a fee — although there are
free solutions like The Leap, however, the costs end up being significantly
less than what you’d be investing in your physical products.
Higher profit margins
When it comes to selling physical products,
sellers also need to invest tons of time and money into maintaining a physical
inventory. With digital products, however, you can kiss inventory worries
goodbye.
Because digital products are downloadable
files, they only need to be produced and published online once. From there,
copies can be sold over and over (and over). This means you never need to
invest time, effort, or money in producing additional units.
No shipping logistics
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| sunbal110.blogspot.com |
If shipping logistics already give you a
headache as a consumer, imagine dealing with them as a seller.
With digital products, you’ll never need to
deal with shipping headaches ever again. This is because digital products exist
in cyberspace, and are purchased and delivered, digitally, just like an email.
Here’s how it works: when a customer purchases
your digital product, they’ll download a copy of your product directly to their device. Most online storefront platforms
will provide customers with a unique download link (typically via email) after
they’ve hit “purchase.” In other words, no one involved needs to deal with
shipping, ever.
This is great for your customers because they
don’t need to wait for their products to arrive. But this is even better for
you because you’ll never need to deal with the hassle of shipping logistics.
And that’s a small miracle.
Generate passive income
All this is to say that digital products are a
powerful source of passive income (which is the best kind, if you’re asking
us!)
Because you only need to produce them once and
don’t need to be constantly hands-on, maintaining your inventory or shipping
your orders, you can earn digital product income while focusing on other
aspects of your content creation — or while just sitting back and taking it
easy.
Own your revenue streams
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| sunbal110.blogspot.com |
Another benefit of selling digital products?
It’s a revenue stream that you own, 100%. In other words, you have full
financial and creative control over your digital product income stream.
Well, historically, content creators have
relied on revenue from third-parties like brands and social platforms). Relying
on others for income can put you in a financially precarious position,
especially when the economy takes a downturn, and brands decrease their
marketing budgets or social platforms shut down their creator funds.
When you sell digital products, you don’t need
to rely on anyone else to get paid, which gives you more financial freedom and
stability in the creator economy.
“It’s important to diversify your income
streams and build different revenue channels as a creator, so you have more
control and security over your monthly income,” says Taylor Loren, digital
creator and founder of Reels Tips. “So if influencer marketing budgets get cut,
you can still be earning income from selling digital products, merch, or
affiliate marketing.”
On top of that, selling digital products gives
you more creative control over your brand. Because they’re created and owned by
you, your digital products represent who you are as a creator, rather than
another brand’s marketing agenda.
Easily scalable
Want to grow your income as a creator? Selling
digital products is a great way to do it.
The reality is that it’s much, much easier to
scale an income stream that centers on digital rather than physical products.
This is because the infrastructure of a digital product business exists online
rather than IRL, where growth can be stifled by the expense and clunkiness of
tangible tools and services, like brick-and-mortar stores, warehouse locations,
and shipping logistics.
What’s even better is that scalability is
often built into the plans offered by online storefront providers. This means
that, if you’re looking to add more digital products to your offering or
onboard more employees to your team, you can simply upgrade your subscription.
In other words, scaling your revenue stream is just a few clicks away.
Sell globally
As a creator, your content is likely alreadyreaching viewers at all four corners of the globe. And, guess what? Your
digital products can, too.
Because they exist online, digital products
don’t need to be shipped across the world to get into your customers’ hands.
This means your potential pool of customers won’t be reduced by arbitrary
shipping restrictions or other blockers, like too-high shipping costs and
surprise duties fees.
Grow your audience
Like content, creating digital products
specifically for your audience shows them that you get them. You understand
their pain points, their struggles, their needs, and desires, and you want to
help them find solutions. In other words, it’s another way to engage with and
bond with your followers.
By providing your followers with high-quality
digital products also enables you to expand your audience. If your existing
followers love your product, there are certainly more like-minded potential
customers out there. And if you can continue promoting your products through
content, those leads will find their way to you.
