The Income Model for Membership Sites

Entrepreneurs employ a variety of business models. A business model is an overall structure around which someone builds their business. It involves everything from planning how income will be earned, to the sales process, to how products and services will ultimately be delivered out to customers or clients.

Some models are more conducive to particular types of businesses or industries; some are selected out of personal preference. For More Detail Go To: others are deliberately chosen because they can make the entrepreneur more money faster, easier, and with less effort.

Income Models: How You Earn Your Money

There are many benefits attributed to a subscription-based model which outweigh other income models. Let’s take a look at some of the different types of models:

1. Trade your time for money. This is the most common and traditional of business models. This model is used the world over and is the basis for the employer-employee model. This is the same model used by many entrepreneurs, too. They think they are working for themselves, but they are actually working in a pseudo employer-employee model.

For example, most coaches and consultants and other independent business professionals trade their time for money. Their client is the “employer” and they are the “employee”. Nothing is all that different from working for a company. This model has many drawbacks, the main one being that you can only work so many hours in a day so you automatically top out on the amount of income you can earn.

2. Passive income model. The passive income model is one where you sell information or other products which do not require your actual intervention in any way. You can set everything up with an ecommerce system and you can literally make sales while you sleep. You no longer need to trade your time for money; you have an automated system. But passive revenue has its drawbacks too.

Income from this model is fairly unpredictable. For More Detail go to:, you might make some money here and there, but in order to create more income, you’ll need to continuously employ various marketing strategies to promote interest. You can make money around the clock and now you can continue to trade hours for dollars and reap the benefits of having additional income through passive revenue channels.

3. The third income model relates to continuity income or continuous income. This is the model around which membership sites are built. Members pay a monthly subscription fee for access to your content and other members in the group. This income model has many benefits. First, you’re receiving regular income. As long as you have members, you’ll have income.

Also, this model is easily scalable. You can easily add members with very little expenditure of time, money, or energy on your part. You’re adding content regardless of the number of members. So the key is to increase membership. When you focus your marketing efforts on adding new members, every member you add is a future revenue stream. Contrast this with the passive income model, which in our case (not all cases) is assuming a one-time purchase and thus no income continuity.


6 thoughts on “The Income Model for Membership Sites
  1. What is the best niche to start e-business in?Hi! I’d like to hear from genuine achievers working in any type of e-business what might be the most appropiate thing to do online in order to comply with following:
    1) business to be managed in online environment only so selling actual stuff such as on eBay is rulled out
    2) easily expandable without applying much work from my part
    3) my goal is to turn business as my only source of income within 1 year and desired income is around 4k $ a month.

    Right now I am reflecting on which model would be right for me since there are so many of them. So I am looking at running a website and placing ads on it, becoming an affiliate, running a membership site, reselling web hosting and selling drop-shipped poducts. I just don’t know where to start and probably you could give me some hint or suggest some more ways of doing business online. Thank You!

  2. I think you’ve already mentioned a few good niches. Advertising is no doubt a hot niche; web hosting is good but extremely competitive, just check the adwords campaigns on it.

    In affiliate marketing, gambling, credit cards, dating are very hot but also have a lot of competition. It doesn’t mean you can’t make money with it, it’ll cost you more money and work to obtain results.

    My suggestion is that you choose something related to your skills, your hobbies. Besides being possibly a tinier niche it will be something you enjoy working on.

    And by all means DO NOT start five different things at the same time. This is the sure way to failure.References :

  3. Seriously thinking of making money from internet? Then go through this site given below and go through the each and every links given in this site which will change your life. Do you want to earn extra income by working in spare time? Do you have little Internet knowledge? Do you want to earn money for free? Do you want to get paid daily? If your answer is yes, then you have come to the right place. Process Emails on the net and earn high income from home. Work without leaving your present job. Work Part Time only, no need to work full time. Work from Home or Office. Work in your spare time. Enjoy Personal Freedom and Financial Independence. For those who want to earn extra income in their spare time using their computer and internet knowledge.References :

  4. There has been many studies around the trends of the baby boomers. The focus seems to be on health and wellness and continues to rise. There are many ways to start out small on the world wide web and tap into this market.References : MY 2 CENTS!


    This site will show you how to get started in the online business market. It provides tips, tricks, information and ideas for getting a business started.

    Best part is, it’s 100% free and is run by someone who is willing to answer any and all questions you have about starting a business.References :

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>