Whether you are looking for some additional money every month or operating a side hustle, passive income can be an amazing way to help you create an extra cash flow source.
Passive income ensures that you stay afloat during tough times like what was the case when the still ongoing Coronavirus pandemic hit, or if you somehow need a break from your regular 9 to 5. It is also a major plus knowing that you have one more or several other avenues where you are making money from.
Having passive income essentially means that you have other revenue that are actively making you money even as you carry on with your main job. Because of the extra financial security passive income provides, it is indeed possible to eventually leave your 9 to 5 without having any worries with regards to the sustainability of your finances.
If you have set certain retirement goals for yourself and worry about whether or not your earnings from your 9 to 5 will be enough to achieve said goals, then passive income is definitely something you should consider.
Passive Income could include ventures, that bring you earnings from sources besides contractors or employers. These ventures or avenues must of course be legal. Your passive income could come from a business where you are actively participating. An example of this are dividends from stocks. Passive income could also be rental property.
There is a common misconception that passive income is basically you getting something out of nothing, as a sort of get rich quick plot. The reality however, is that it requires work and varying levels of investment. This could also include some labour along the way, maybe even maintenance too in order to ensure that the money it generates continues and grows depending on, what your passive income is exactly.
Having an effective strategy and staying true to that strategy will more than guarantee the financial security having passive income provides.
mpesapay.com’s Passive Series, will put you on game and open your mind and eyes to the quite numerous business ventures available in today’s world that can potentially put more money in your pocket, increase your purchasing and spending power, keeping you adequately occupied and providing you with passive income.
Our previous article in this series, touched on how to make passive income – Information Products and Rental Properties Investments. Today’s article will show you one more passive income idea that you can tailor to suit you, strategies for effectively executing said passive income, along with the various risks you may encounter.
With no further ado, let’s get down to them!
Affiliate Marketing
When it comes to Affiliate Marketing a blogger, website owner or social media influencer simply promotes or markets a product owned by a third party by simply attaching a link to the product on either their social media accounts, or on their websites. Some affiliate partners that are significantly more popular in Africa include Amazon, Jumia, and Kilimall. Social Media platforms like TikTok, Twitter, Instagram and Facebook have become the go to platforms for influencers looking to grow their following to the point where they can monetie said following via passive income ideas like affiliate marketing.
If you have exciting content on any of those social media platforms and a large following, then affiliate marketing might just be for you.
If you have a blog or website, you can begin to create an emailing list. Doing this, will bring more attention to your blog or website which will in turn expose your visitors to the products you are marketing, that might suit them.
With affiliate marketing when a visitor clicks on your unique affiliate link and subsequently makes a purchase, you get a commission from that purchase. Said commission can be anything from 3 percent, 7 percent to even 10 percent. As a result of this, your blog or website will need to be generating a serious amount of traffic in order to generate proper income from affiliate marketing. One way to generate great traffic, would be to figure out a niche that works for you and your blog or website. This could be health, fashion, business, sports, etc.
Affiliate marketing is seen as a passive income stream because, at its simplest explanation, it makes it possible for you to make money by just adding a link to your blog, website, or social media account. As is the case with all things however, nothing is ever that simple. You will not be able to earn any proper money, if you are not able to attract enough visitors to your page, website, or website, or get products that are useful or at the very least interesting enough for said visitors to decide to buy.
Keep in mind that if you are just starting out, Affiliate Marketing might feel like an intense process. This is because you will need to create engaging content and build up your traffic. Doing that can take a considerable amount of time that not everyone might have the patience for.
Another thing to keep in mind is that sometimes the audience might not stay. There will always be a new trend, new influencer or a new blog or website that could potentially take their attention away from you. You will need to always stay ahead of the curve and or constantly evolve.
And there you have it! Today’s passive income ideas courtesy of Mpesapay.
Are the passive income ideas in today’s article, the ones best suited for you to get into? That question, is up to you to think on and answer. The aim of this entire Passive Income series at mpesapay.com, is majorly to open you up to the various entrepreneurial opportunities that abound in the country of Kenya.
How informative was this article? Are there any other news topics, categories, or How To topics, that you would like us to write on? Feel free to reach out to Mpesa Pay in the comment section.
