7 Recurring Online Income Models

recurring online income models

In this course I’m going to show you seven different recurring online income models. There’s nothing like recurring online income where you make the sale once and then you get paid for as long as people stay a member of your program.

Recurring Online Income Models

Before I go ahead and show you the seven recurring online income models, I want to first provide you with a couple of tips. You have to convince people to sign up and become a paid member and to basically pay you on a recurring basis. Whether it be weekly, monthly, quarterly or annually depending on your model.

Quick Tips

OK, so let me just share a couple of tips with you. You can offer free gifts for signing up. As an example, years ago,¬†Sports Illustrated¬†magazine offered people a free telephone designed to look like a football as a free gift when people signed up for a subscription. They focused their marketing campaign on that free gift and barely mentioned the subscription or their magazine. So that’s an idea for you. If you want to get people to sign up, offer a free gift. Something that would make them subscribe to you just to get that free gift. And try to emphasize that free gift.

Another method you could use to sign people up to your paid membership or whatever type of recurring online income model you have, is to offer a trial. It could be a free trial for seven days. It could be a seven dollar trial. And then after a week they’ll get charged thirty dollars a month. Try to offer some type of trial membership. You could try to get ideas from other membership sites or other recurring income models.

Traditional Membership Sites

A traditional membership site is one where people would sign up to receive some type of content from you on a recurring basis. In turn, they get charged a subscription fee. This can occur on a weekly basis, monthly basis, quarterly, annually, or however you set up your membership site.

The beauty of traditional membership sites is that you get recurring online income for as long as your members stay with you. Now of course, there are some drawbacks to having a traditional membership site.

One of the main ones is that it’s time consuming to have to consistently create content for your members. There are ways around this. You can outsource the content. You can also create several months or even a year’s worth of content in advance. This way you don’t have to worry every month about creating new content.

Now, in terms of sending the content to your members. You can send the content via email which does take a bit of work, but then again, you know, having a business is like a job. If you want to automate things a little bit more, what you can do is buy a membership software tool or plugin. There’s many out there in the market. You could use these tools to create a private member’s area where you place your content and your members would just check in on a weekly or monthly basis to to get your content.

Fixed Term Membership Sites

traditional membership siteA fixed term membership site is different from a traditional membership site in that it does not go on forever. A fixed-term membership site ends after a certain period of time.

For example. you could have a fixed term membership site for six months or even a year. Members would get content every month and then after six months, or a year, the content (and effectively, the membership) ends. The members know that they’re going to get content for a certain amount of time.

Now, you might say, “Why do this? Why not just get a traditional membership site where you get paid forever or as long as members stay?”

The Problem

The reason is a lot of members drop out of the traditional membership sites. On average, members only stay around four to six months. That’s average, which is dependant on the quality of the content and the type of content. Now, you can most certainly have a traditional membership site where people stay members for years. So don’t think that just because I said on average they stay for 4-6 months means that they’re going to drop in 4-6 month.


Now the thing about fixed term membership sites, the benefit of them is members are more likely to stay because they want to get what they were promised. Having a fixed-term membership site may not be as profitable as a traditional membership sites, but it is more profitable than selling a regular product where you just sell something for once. With a fixed term membership site you’re at least getting 6-12 months of recurring payments.

You can also automate fixed term membership sites. For example, somebody signs up as a member to recieve content on a monthly basis. You could easily set it up where they could just receive content on the monthly basis through your autoresponder system.

SaaS (Software as a Service)

Another great recurring online income model is software as a service. Otherwise known as SaaS. This is where you provide a software but instead of people downloading it, they would access your software through a membership site. Some examples of that are an autoresponder service, such as AWeber, or ebook maker software. Other examples would be research software or tracking software. Another one is website building software.

The advantage of the Software as a Service (SaaS) model is that it’s got a very good stick rate. People tend to stay for a very long time. The disadvantage is the cost of creating software unless you’re a programmer. You would have to pay a lot of money for someone to create and maintain the software for you.

Private Forum

Now this is probably the easiest type of recurring online income model that you can set up and it’s a private forum. There are scripts and software tools out there that you can use to quickly create forums. Unfortunately, it is difficult to convince people to sign up as a paid member of a private forum when there are hundreds of forums out there and I’m referring to the free forums.

It’s best to to market your private forum as a back-end product to another product. So part of the funnel basically. So if you’re selling something such as software, ebook or physical product, you can offer a private forum to people that have bought your product. This provides a way for these people to network and learn from each other and also for you to help them out.

Group Coaching

Another way to earn recurring income is through coaching. Specifically, group coaching. There’s a few different types of coaching available. There’s a high priced high end mastermind where people would meets four times a year or more and this can cost anywhere from $1,000 to over $10,000.

Then there’s a medium price point where you provide coaching one on one. Lastly, there’s a low price option which is probably going to be the easiest for you. This is where you coach a group of people. You could do this once a month, or maybe once a week through your computer or your phone.


One tool you can use is Google Hangouts. However, you’re limited to only nine people when you’re trying to share your screen and you’re training. Another option for you would be to do a webinar once a week or once a month based on how you set up your coaching program. If you’re just going to do regular phone calls with no visual training required, you can use a tool called FreeConferenceCall.

Sell or Giveaway Websites and Charge Monthly Hosting

Here’s an idea for you. Sell or giveaway websites to people and then charge them a monthly hosting fee. This is possible through WordPress Multisite. You just simply download WordPress Multisite. It’s just like downloading the regular WordPress software.

So you install WordPress multi-site on your server and then you can run as many sites as you want from that one installation. In terms of an example, let’s say you are in the health niche. You can offer health-themed blogs to your customers who want to blog on health related topics. You can even offer a basic and premium fee whereby those paying a little more each month get access to better templates, etc.

Offer a Monthly Service

If you don’t want to go through the hassle of creating products you can offer a service. This of course, can be a hassle too because it does take up your time unless you outsource the service. This is simply another way you can go in terms of recurring online income models. You’re really only limited by your imagination here.

If you don’t have any ideas, just do a quick brainstorm. Some examples of services you can provide are SEO services. While I may not have the desire to offer this service personally, I can see myself providing that service. There are a lot of people out there that you could hire for very cheap and they will do the SEO tasks for you and your clients.

Another example would to be to create and provide website templates or graphics. Again, you could hire people for cheap to provide these types of services. I recommend you brainstorm a list of at least 50 or 100 services that you can possibly provide and earn a recurring online income from.

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