How I Generate Life Changing Passive Income
TLDRPat Flynn shares his insights on 10 diverse passive income strategies, including YouTube ad revenue, book publishing, digital and physical product sales, and more. He emphasizes the importance of starting, learning from mistakes, and the value of niche markets. Pat also highlights the potential of community building, coaching, and affiliate marketing, suggesting that these methods not only generate income but also create meaningful impacts on people's lives.
Takeaways
- 🎥 YouTube ad revenue can be a significant source of passive income, but it requires consistent video publishing and meeting certain subscriber and watch time thresholds.
- 📚 Publishing books, even self-published, can provide a steady income stream over time. The key is to start with a rough draft and refine it, focusing on niche topics.
- 🔢 Selling digital products like online courses can generate substantial earnings once set up. The value lies in solving specific problems efficiently, not in the quantity of content.
- 🛠️ Co-creating physical products requires identifying a specific problem, prototyping, and patience. Success can be achieved through crowdfunding and understanding the niche.
- 🤝 Membership communities offer a platform for like-minded individuals to connect and learn, with a premium model providing more engagement and support.
- 💡 Coaching involves asking the right questions to help clients uncover their own solutions, rather than simply providing advice.
- 🏫 Cohort-based courses are interactive, live versions of digital courses that can command higher prices due to increased interaction and accountability.
- 🔗 Affiliate marketing involves promoting existing products and earning a commission for each sale, with the key being to recommend products genuinely and based on personal experience.
- 🎙 Podcast ad revenue can be a lucrative addition to a podcast, with potential for higher earnings through strategic ad placement and a loyal audience.
- 👨💼 Being an advisor to companies involves offering strategic advice and insights, often growing from an affiliate relationship, and can lead to significant rewards including shares and acquisitions.
- 💰 Smart investments of passive income earnings into assets like stocks, real estate, or other businesses can lead to financial growth and diversification.
Q & A
What is the first passive income strategy discussed in the video?
-The first passive income strategy discussed is earning YouTube ad revenue. The speaker started a YouTube channel in 2009, which began earning income once ads were turned on.
What are the requirements to start earning income through YouTube ad revenue?
-To start earning income through YouTube ad revenue, a channel needs to have a thousand subscribers and four thousand hours of watch time.
What was the biggest mistake the speaker made with YouTube?
-The biggest mistake the speaker made with YouTube was worrying about being perfect and not publishing content for a two-year period because of fear that the videos weren't good enough.
How did the speaker get started with publishing books?
-The speaker got started with publishing books by writing a 'crappy' first draft, emphasizing that the first draft is usually the worst and that it's important to get ideas out on paper first.
What is the speaker's advice for someone looking to sell digital products?
-The speaker advises to talk to an audience, discover their problems, and focus on solving one problem for one customer. The speaker also emphasizes that value is not tied to the amount of content but to the convenience and results promised.
What was the speaker's biggest mistake in creating a physical product?
-The speaker's biggest mistake in creating a physical product was thinking that they could build a solution overnight. It took 14 to 15 months to create 13 different prototypes.
How does the speaker describe the future of business?
-The speaker describes the future of business as community-based, where building an audience is different from building a community, and the community is a place where people with shared interests and challenges can connect and support each other.
What is the speaker's approach to coaching?
-The speaker's approach to coaching involves asking questions to help the person being coached unpack their business and personal challenges. The speaker emphasizes that coaching is not just about giving advice but about guiding the person to find their own solutions.
How does the speaker suggest starting a cohort-based course?
-The speaker suggests starting a cohort-based course by finding a group of people who want to go through a certain process and teaching them that process. The speaker also advises using the feedback from these courses to create digital courses.
What is the speaker's strategy for affiliate marketing?
-The speaker's strategy for affiliate marketing is to recommend products that they have experience with and that can help solve the problems of their target audience. The speaker emphasizes the importance of showcasing personal experience with the product and not just promoting it for the commission.
What was the speaker's biggest mistake in podcast ad revenue?
-The speaker's biggest mistake in podcast ad revenue was waiting until they had a large number of listeners before including advertisements. They later realized that advertisers value the trust and loyalty of smaller audiences, which can lead to high conversion rates.
How does the speaker describe their experience as an advisor for companies?
-The speaker describes their experience as an advisor as a way to influence a company without having to do the day-to-day work. They offer advice, build relationships, and make connections that can benefit the company. The speaker also mentions that they became an advisor for companies that they initially promoted as an affiliate.
Outlines
🚀 Unveiling 10 Passive Income Strategies
The speaker introduces 10 different passive income strategies that have been successful for them, highlighting one that has earned over four and a half million dollars. The focus is on sharing how to get started with each strategy and the common mistakes to avoid. The first strategy discussed is YouTube ad revenue, emphasizing the importance of content creation and the pitfalls of perfectionism. The speaker shares their personal journey with YouTube, including the challenges faced and the eventual success through consistent video publishing.
📚 Publishing Books and Digital Products
The speaker transitions to discussing the second strategy of publishing books, sharing their experience with three self-published books that continue to generate income. They emphasize the importance of starting with a first draft and the misconception of needing to include everything in one book. The third strategy involves selling digital products, such as online courses, which can be automated once created. The speaker's own digital products have contributed significantly to their earnings, with a focus on serving the audience's needs and receiving valuable feedback.
🛠️ Co-creating Physical Products
The speaker shares their experience with co-inventing a physical product called the SwitchPod, a compact and lightweight tripod for videographers. They discuss the lengthy prototyping process and the success of their Kickstarter campaign. The fourth strategy highlights the immediate results and fulfillment from physical products, contrasting with the delayed gratification of digital products. The speaker also cautions against the misconception of quick solutions in physical product development.
🤝 Building Paid Membership Communities
The fifth strategy revolves around establishing paid membership or community models, which the speaker believes is the future of business. They share their experience with SPI Pro, a premium community that has been highly successful. The emphasis is on creating a valuable space for members to connect and engage, rather than just consuming content. The speaker warns against the misconception of communities being a passive endeavor, highlighting the need for active engagement and ongoing effort to maintain a thriving community.
🎯 Offering Coaching and Cohort-Based Programs
The speaker discusses their personal involvement in coaching and the sixth strategy of offering one-on-one coaching services. They recommend starting with reading 'The Coaching Habit' to learn effective coaching techniques. The speaker also shares their experience with cohort-based programs or boot camps, which are intensive, interactive courses that offer live teaching over several weeks. These programs command higher fees due to the increased access and interaction with the instructor, and the speaker advises on the importance of encouraging communication among participants.
💰 Leveraging Affiliate Marketing
The speaker's favorite strategy, affiliate marketing, is the eighth to be discussed. It involves recommending products that already exist and earning a commission for each sale made through the affiliate's recommendation. The speaker stresses the importance of choosing products that genuinely benefit the audience and sharing personal experiences with them. They also caution against the mistake of prioritizing high commissions over product quality and the value it brings to the audience.
📱 Podcast Advertising and Revenue
The speaker explores the ninth strategy of generating income through podcast advertising. They share their experience with including advertisements in their own podcasts and the potential earnings from this method. The speaker advises podcasters to reach out to potential advertisers, even with smaller audiences, as the trust and engagement levels can lead to high conversion rates. They also reflect on their own delays in starting podcast advertising, which resulted in missed opportunities.
🏢 Becoming an Advisor to Companies
The speaker discusses the unique opportunity of being an advisor to companies, which is the tenth strategy. They share their journey from affiliate relationships to formal advisory roles, which often involve offering advice and support to help companies grow. The speaker emphasizes the importance of not underestimating one's own value and contributions, and the potential for significant financial rewards, including shares and profits from the companies.
💼 Investing in Smart Assets
As a bonus strategy, number eleven, the speaker talks about investing the earnings from passive income streams into smart assets. This includes investments in the stock market, real estate, and even other companies. The speaker shares their personal experience with angel investing and the excitement it brings, emphasizing the potential for earnings to grow and compound over time.
Mindmap
Keywords
💡Passive Income
💡YouTube Ad Revenue
💡Publishing Books
💡Digital Products
💡Physical Products
💡Membership Communities
💡Coaching
💡Cohort-Based Courses
💡Affiliate Marketing
💡Podcast Ad Revenue
💡Advisory Role
💡Investments
Highlights
The speaker reveals 10 different passive income strategies that are currently working for them, with one strategy alone generating over four and a half million dollars in earnings.
YouTube ad revenue is highlighted as a significant source of passive income, with the speaker's channel starting in 2009 and earning income after turning on ads much later.
The importance of starting and publishing videos regularly on YouTube is emphasized, as it helps to understand what works and what doesn't, and to gain momentum in earning income.
The speaker shares their experience with publishing books as a source of passive income, with three books still providing monthly earnings and one making six figures even as a self-published author.
Writing a first draft is recommended as the best way to start publishing books, with the understanding that the first draft is typically the worst and serves to get ideas out on paper.
Selling digital products is another passive income strategy discussed, with the speaker's digital courses generating nearly five million dollars in total earnings and offering the benefit of automation.
Physical products are introduced as a fourth passive income strategy, with the speaker sharing their experience in co-inventing a product called the SwitchPod, which targets a specific niche of videographers.
The speaker emphasizes the importance of talking to potential customers when starting with physical products, to understand their problems and create a solution that addresses those issues.
Paid memberships or membership communities are highlighted as the future of business, with the speaker's community SPI Pro earning hundreds of thousands of dollars per year and serving as a valuable space for members to connect.
The speaker shares their experience with coaching as a passive income strategy, recommending the book 'The Coaching Habit' by Michael Bungay Stanier as a starting point for those interested in this approach.
Affiliate marketing is presented as an easy and effective way to generate passive income, by recommending products that already exist and for which people are already paying.
The speaker advises focusing on the target audience's problems and goals when engaging in affiliate marketing, rather than prioritizing high commission products that may not be the most helpful.
Podcast ad revenue is introduced as another source of passive income, with the speaker's podcasts including advertisements and charging between twenty-five to fifty dollars CPM.
The speaker encourages podcasters to approach companies for advertising opportunities, regardless of their audience size, as smaller podcasts with loyal audiences can offer high conversion rates.
Being an advisor for other companies is presented as a passive income strategy, where the speaker has become a formal advisor and shareholder for companies they have a relationship with.
The speaker emphasizes the value of not underselling oneself when considering advisory roles, as their own experience has shown that their contributions can be highly beneficial to other companies.
Investments are mentioned as a way to grow passive income, with the speaker investing in the stock market, real estate, and other companies, including a recent experience with angel investing.
The speaker encourages the audience to consider which of the 11 mentioned passive income strategies resonates most with them, suggesting the creation of future content based on audience interest.