Passive Income Strategies aren’t very Passive

Membership

passive-incomeNot all of you spent late nights like me watching television. Not all of you watched infomercials that made incredible promises that sounded too good to be true. And not all of you had that deep desire, going way back, to be rich and “make it” in today's world.

But some of you were. Some of you were just like me.

Maybe you remember Passive Income King Don Lapre.

Who wouldn't want Passive Income?

I've heard the pitches. I've paid for the programs. I know about the cheap ones and the expensive ones. And why wouldn't I? Who doesn't want to make money while they sleep?

Who wouldn't want to stop trading dollars for hours?

And while passive income strategies exist, there's something not everyone knows….

Passive isn't Passive at all

Sure you can create a membership site. You can even attach it to an e-commerce site and collect money while you sleep.

So in that sense, you can make money while you sleep.

But there's more to that story…isn't there? Did you know that:

  • Most membership sites don't / can't charge $50/month. They charge, on average, $11/month.
  • Most sites don't keep members for a year. They're lucky to keep them for 4 months.

The ones that succeed?

They're run by people who constantly add content. Constantly focus and spend on marketing. Constantly work on dealing with high attrition.

See what that sounds like? Does it sound passive to you? Doesn't sound passive to me at all.

Lying Helps No One

Here's what you should know – people who are out there pushing you to create a membership site because it's a $10B industry – are not being all that honest with you.

It hurts them and it hurts you. Hard work and consistent effort will pay off, but it's not all that passive. Only sort-of passive.

My WordCamp Orange County Presentation

This weekend I shared this message with folks in Orange County. To be clear, the first screens in the deck are part of a mock infomercial. I'm not really a jerk and I don't normally talk about all the vacation places we have (timeshares) via Hilton Grand Vacation Club. Just know that the first part isn't for real…

https://speakerdeck.com/chrislema/members