Challenges Of Selling Digital Products

While there are many advantages to a digital business with digital products, it doesn’t come without its fair share of challenges. In addition to all the regular tasks of running a business, a digital business also has to deal with unique issues.

First of all, because there is usually minimal cost associated with creating and distributing digital products, the market can tend to be oversaturated. Anyone with an Internet connection and a video camera can create a training video, just like anyone with Microsoft Word can create an e-book. So not only does your digital product have be distinguishable from everything else that’s already out there, it has to be so much better than everyone else that you can actually sell yours and make money from it.

Actually, that’s only partly true.

While you do need to be able to make money off your digital products, you don’t have to make money off all of your products. Because there is no cost to store or copy these products, many businesses decide to give some of their products away for free. In principle, this will help build exposure to their company and their brand, generating return customers, which can then lead to increased sales. This can also help make up for when your digital product gets copied and redistributed without your knowledge or consent, which will happen. (This is another challenge; some people simply don’t want to pay for digital products.) While you can do what you can to help combat piracy, using that detail and actually encouraging people to share it for free may actually help advertise your business.

Speaking of advertising, this can be an additional challenge for this type of product. Online marketing is a completely different world than traditional marketing strategies, and brings with it fierce competition. The world of online marketing can be difficult to master, but is certainly not impossible.

With this business model, you also have to be sure your website is welcoming and easy to navigate, that people can easily and successfully order/download/access whatever they need to (at all times; you can’t just put up a “closed” or “out for lunch” sign), and that you’re website is secure. Customer service can’t suffer just because your product or service is digital.

However, none of these challenges are insurmountable. With the proper education and drive, you can overcome these and other challenges and reap all the benefits digital products have to offer.

How To Sell Digital Products On Bonanza

Digital product authors and licensed resellers have sold their products on eBay for many years. Sadly, for the past couple of years eBay has made this increasingly more difficult. This is due to their restrictions on the sale of digitally downloaded products. As a result many digital product sellers have been forced to find an alternative.

Bonanza fit the bill perfectly!

If you’re not familiar with Bonanza, it’s an online auction site very much like eBay. Bill Harding founded Bonanza in 2007. Today there are over 20 million items for sale on Bonanza. These item listings are available to nearly every country in the world. Among these items are, naturally, digitally downloaded products.

Digital products are not only fully supported on Bonanza, the digital delivery to your customer is also handled. When your product is purchased and payment completed, the buyer is able to download the product immediately.

The ability to easily list digital products, has made Bonanza one of the top venues for selling downloadable software, eBooks, plugins and more.

Listing your digital downloads is easy

  1. Register a sellers account on Bonanza.
  2. Once your account is active, login and go to your seller’s dashboard.
  3. Set up your Seller’s Booth, following the provided instructions/suggestions.
  4. Select items, then add or edit items. This will open your listings page.
  5. Select add an item. This will take you to the listing creation page.
  6. Complete the Give Your Item A Title Field.
  7. Next you will upload your product images.
  8. In the item category field, select Digital Goods, then type of item from the list of options.
  9. Enter the number of items available in the Quantity Available field.
  10. Complete the Detailed Item Description field.
  11. In the Shipping Selection field you’ll upload your digital file. (.zip file)
  12. Set a price for your item.
  13. Click the, Add This Item To Your Booth button.
  14. You’ll receive confirmation that your listing is now live.

That’s all there is to it. When your item sells, payment will be added to your PayPal account, the buyer will be able to download the item immediately. All of this is handled automatically, with no additional action required from you.

Another great feature of Bonanza is the Rewards Program. You earn reward tokens for just about every action you perform on Bonanza. Logging in and listing items are just a couple ways you earn tokens. These tokens can be used for fee discounts, listing promotion and more.

There are many other great venues for selling digital products online. However, if you sell digital products, Bonanza definitely ranks among the best. Even if you currently sell on other sites, don’t overlook Bonanza!

7 Tips Why You Should Start Your Digital Products Business Online

The Internet has become a very important source for a person to effectively market his/her digital products online because it gives the user benefits that every financial transaction can be conducted online without making use of any other mode of communication. Usually online selling of digital products consist of products like software, ebooks, digital downloads, audio or video files which can be purchased online. This way you can easily start making money online.

With the coming up of internet in such a big way, things have considerably changed now and it is the best time for any seller to make utilization of the Internet for selling digital based products. But to be fully successful in this regard one would need an excellent online marketing strategy for the maximum exposure of the digital goods that can lure prospective customers in purchasing them.

When you sell digital products, you have no inventory costs, no shipping costs and no material things to deal with. Everything can be automated, so your online business can run on auto pilot. But creating a website is not enough for your business success.

The following 7 tips can really help an online digital product seller in getting higher sales.

o The foremost thing that a person would need for selling digital goods online is the creation of a simple and attractive website which can cater to all the needs of the buyers and act as a perfect online store for the display of digital goods.

o Utilize affiliate marketing networks to help you sell your product. Such networks can list your product, so the affiliates can easily find and start promoting them. Affiliates make your product promotions for you, so with their help you can sell even more products without any costs!

o One can make use of the pay per click method and blog or article marketing for popularizing the website.

o It is very convenient for a customer to purchase digital products online and he/she just needs to click on your download link button, pay the specified amount of money and the download will be provided for the buyer automatically.

o The customer can make payments via Paypal account created through a pay link button. A customer can conveniently buy any kind of product that he/she desires with the help of a simple product code and a digital product download URL.

o Try to ensure complete customer ease with regard to the payment method and accept payments in all modes like bank transfers, credit cards and debit cards.

o Make efforts to integrate credit card payment methods into with the customer ordering so that the customer can conveniently choose any product to his shopping cart and easily make payments. This kind of a payment method will help all the customers in making payments without any hassles and also in a safer way without the risk of any credit card theft.

In an online digital marketing scenario, Click2Sell.EU (http://www.click2sell.eu) is an online affiliate marketing network that allows you to sell your digital products online. You can start selling in just few minutes and accept payments instantly. Run your affiliate program, recruit affiliates. Affiliates can easily help your business grow and sell your downloads for you, so it’s a great way not only to earn money from your own sales, but also this way you would be able to increase your profits at no cost – with a help of affiliates.

What Are the Best Digital Products to Sell Online?

Digital products are great and have the advantage of being delivered immediately rather than having to wait days or even weeks for delivery. Of course, not every product can be sold online – yet, although in a few years digital printers may solve some of that (I can just imaging printing a pair of Crocs!) as the technology becomes more popular. But what are the best digital products to sell online currently?

Your own digital product

This offers the highest possible margin as you get to keep 100% of the retail price, less a small consideration to Paypal or your credit card provider.

If you’ve built up a list of potential customers, this has the added advantage that you can email them and make some immediate sales.

Of course, it assumes that you’ve created your own digital product such as an ebook or software or a series of audios or videos. But that actually takes surprisingly little time, so don’t rule this out as a possibility.

Apps

Anyone with a smart phone is a potential customer. Which makes this a big and growing market, especially when you add in the number of apps that the average smart phone user has on their device.

Apple and the other app providers offer an affiliate program. You need to apply for this in the usual way (filling out basic details, etc) and may have to wait a short while for approval but after that you’re free to start promoting these digital goods.

Kindle books

These could be books written by other authors or by yourself or a mixture of the two.

Kindle books tend to be cheap – anything from 99 cents upwards – so it’s unlikely you’ll grow rich selling them. Although, that said, there are authors who’ve sold in excess of a million Kindle books so it’s definitely possible.

You can achieve 70% royalties on your own books if you price them between $2.99 and $9.99 or 35% royalties outside that price range.

And selling cheap Kindle books on your own site can help take the percentage Amazon pay out up another level or two because Amazon put their commission bands in terms of units sold, not value sold.

Other people’s digital products

There are lots of affiliate programs out there who include digital goods in their mix.

Clickbank has a majority of their products in digital format, Commission Junction includes various suppliers including those of digital products. And there are lots of other programs that you can find – usually as simply as adding the word “affiliate” to a regular search.