There are so many ways to make money in the digital world. You may want to consider a revenue model that’s in line with the type of service your business offers.
1. Product Sales/Online Retail
This is the most direct revenue model – you sell a product and people pay you for it. It works well when you have a tangible good, so that the value of what you’re offering is immediately apparent.
In this model, you make money from the prices of your physical products that are for sale.
2. Subscription Services
This model is generally used by businesses that provide a media service, such as a streaming service or written articles. This revenue model allows you to get a consistent source of income, as your customers will have to pay for their subscriptions on a timely basis, example every month.
3. Ads
The ad revenue model works well if you have a website, whether it’s for your business or a personal blog. This is a great way to generate a passive income. You basically rent out real estate on your website by allowing other companies to advertise on any free space you have.
However, too many ads can make your customers feel bombarded or annoyed, and hurt your search engine optimization (SEO) rankings, so try to strike a good balance in how much content you have versus how many ads are on your page.
4. Freemium
A portmanteau of the words “free” and “premium”, Freemium is a pricing strategy where a product or service is provided free of charge, but money is charged for additional features, services, or virtual or physical goods that expand the functionality of the free version of the software.
This model works well if you’re offering a software service, or a subscription-type service. It allows for consumers to experience your product or service enough so that they’re more inclined to want to pay a little extra to access more of what your business has to offer.