What are Digital Products: How to Create and Sell Digital Products in 2024

People ask us the same question repeatedly: What is a digital product, and why should an entrepreneur focus on digital products instead of just their physical counterparts?

We live in an increasingly diverse marketplace. People earn money from various endeavors, whether they hang out a shingle online or start a brick-and-mortar business.

Maybe we’re biased given our industry, but we believe digital products offer the easiest and least expensive entry point for any aspiring entrepreneur. Our Knowledge Commerce customers — entrepreneurs who earn great money teaching what they know — prove our hypothesis.

Today, we will guide you through understanding digital products and determining what you want to sell. Even if you’re already part of the digital economy, you might discover a new revenue stream to add to your business.

We’ll start by defining a few terms, and then we’ll discuss our 17 suggestions for the most profitable digital products to sell online.

What is a Product?

‍A product is any item you can sell to someone else in exchange for cash or barter. It could be a piece of produce, an electronic gadget, or a comfy couch.

Until the Internet altered commerce for the better, a product was always a physical object or item — something to distinguish it from a service. It was something you could pick up, see, smell, hear, or even taste.

That’s changed now that many entrepreneurs start businesses online. The virtual world has opened up a new category of products (which will get into later).

The point, however, is that a product is something you sell. Most often, you ask for money in exchange for the product. That’s how you earn a living.

Products differ from services in that there is no obligation beyond the transaction. The product already exists, so the seller has no further work to perform.

What are Digital Products

A digital product is any product you sell online that doesn’t have a physical form or substance. You can’t hold a website template in your hand, smell an e-book, or taste a software program (Uber Eats does come close, though ).

You can turn digital products into physical products. For instance, many people buy e-books in PDF format and then print them on their computers. The product becomes physical, but it started in a digital format.

Some online entrepreneurs try to take shortcuts. They create poorly constructed digital products and assume they’ll profit from them.

More often than not, those entrepreneurs fail. Why? Because customer retention matters more than customer acquisition.

In other words, your goal as an entrepreneur who sells digital products should be to create more products and convince your existing customer base to buy them. That’s how true wealth becomes possible.

Types of Digital Products

So, you’ve learned what a digital product is and why it’s a game-changer for entrepreneurs. 

Now, let’s dive into the types of digital products that you can create, sell, and profit from in 2024. 

1. Ebooks

Ebooks have long been a staple in the digital product world. They are versatile, easy to create, and can cover virtually any topic. 

An ebook allows you to share your knowledge or creativity with a global audience. You can sell ebooks through platforms like Amazon Kindle or directly from your website, giving you flexibility and control over your sales.

2. Online Courses

The demand for online learning has exploded in recent years, and online courses are at the forefront of this trend. 

If you have expertise in a particular subject, you can package that knowledge into a course complete with video lessons, quizzes, and downloadable materials.

You can then deliver this content through a dedicated online platform that hosts your course and manages sales, marketing, and customer interactions. Kajabi is a standout choice for this purpose, offering an integrated platform that simplifies the entire process from start to finish.

With Kajabi, you can structure your course content into modules and lessons, making it easy for students to follow along at their own pace. Our platform supports various multimedia formats, allowing you to include video tutorials, interactive quizzes, and downloadable materials all within the same course.

Kajabi’s marketing automation tools also let you create personalized email campaigns, landing pages, and sales funnels to promote your course effectively.

3. Digital Templates

Templates are time-saving tools that help users complete tasks more efficiently. 

They can be anything from resume templates and social media graphics to business plans and website themes. 

Creators can sell these templates on platforms like Etsy and Creative Market or even directly from their websites. The key to success here is creating templates that are visually appealing, functional, and easy to use.

4. Software and Mobile Apps

If you have a coding or development background, creating and selling software or mobile apps can be lucrative. These products solve specific problems or enhance user experiences, making them indispensable tools for many businesses and individuals.

Software products can range from productivity tools that help businesses manage tasks more efficiently to niche applications that cater to specific industries, such as project management software or invoicing tools.

5. Membership Sites and Subscription Services

Membership sites and subscription services platforms offer exclusive content, services, or products to members who pay a recurring fee, usually monthly or annually.

As the creator, you can offer a variety of content types, from educational materials and exclusive articles to live webinars and community access. 

The recurring revenue model provides financial stability and encourages long-term customer loyalty. To keep members engaged, it's important to consistently update your offerings and provide value that justifies the ongoing subscription.

6. Digital Art and Graphics

If you have a creative flair, digital art, and graphics could be the perfect digital product for you to sell. 

This category includes illustrations, vector graphics, custom logos, digital paintings, and other unique visuals. Businesses, marketers, and content creators who need unique visuals to enhance their branding, marketing materials, or websites highly seek these products.

7. Music, Audio, and Podcasts

For musicians, audio engineers, or anyone with a passion for sound, creating and selling digital audio products is a great way to monetize your talents.

This category includes music tracks and albums, sound effects, voiceovers, and royalty-free audio loops for multimedia projects.

Podcasts, in particular, have grown in popularity. As of September 2024, there are around 4.18 million podcasts worldwide, and listeners are estimated to reach 504.9 million by the end of 2024.

They offer creators a platform to share their insights, stories, and expertise with a global audience.

8. Printables

Another type of digital product is the printables. These are digital files that customers can download and print at home. Printables range from planners, calendars, and journals to party decorations, educational materials, and art prints.

9. Web Elements and Plugins

Web developers and designers have a unique opportunity to create digital products through web elements and plugins. 

These products are essential for enhancing the functionality and aesthetics of websites. 

You can design WordPress themes, create plugins that add new features or develop custom widgets. There's a consistent demand for web elements that improve user experience.

Benefits of Selling Digital Products

You might wonder why you would offer digital products instead of creating your physical product. After all, physical products dominated commerce for hundreds of thousands of years.

Digital products have many advantages over their physical counterparts, especially for the entrepreneur who sells them.

• Inventory never becomes an issue (either in surplus or deficit).

• You don’t have to find a place to store your products.

• Customers can, in most cases, receive the product immediately upon purchase.

• There aren’t any costs related to materials or assembly.


This isn’t to say you can slap together any digital product and generate a fortune. If you want your customers to return, the product still needs to offer incredible value.

You can funnel the time and money you save on creating digital products into making new products available to your customers. Spend your money and time on marketing and advertising as well as branding.

How Can You Market Digital Products More Effectively?

Marketing digital products isn't very different from marketing physical ones. You have to define your audience, target them with brand-appropriate messages, and keep the lines of communication open.

The main difference is that explaining the need for a digital product sometimes proves more difficult than illustrating the benefits of a physical product.

For instance, if you need laundry detergent, you go to the supermarket or a big box store. Scan the shelves, find your favorite brand, and take the detergent to the checkout counter. You need it if you want to wear clean clothes.

Explaining the need for a mobile app or online course can present more challenges. That’s why Knowledge Commerce professionals must focus on educating their audience — through blog posts, webinars, landing pages, satisfied customer reviews, and other marketing assets.

How to Create Digital Products

Creating a digital product isn’t just about having a good idea—it’s about executing it precisely, understanding your audience deeply, and ensuring that your product delivers real value.

Here’s a step-by-step guide to help you create digital products that stand out in the marketplace.

1. Identify a Specific Problem or Need

The foundation of any successful digital product is its ability to solve a specific problem or fulfill a particular need.

Start by conducting thorough market research to identify gaps and a niche in the market. Analyze forums, social media discussions, and customer reviews to understand what your potential audience is struggling with. 

Use Google Trends and Answer the Public to help spot trending issues or questions within your niche.

The key here is specificity. 

Instead of creating a generic product, focus on a niche problem that you can solve uniquely. This targeted approach makes your product more appealing to a specific audience and reduces competition.

2. Leverage Your Existing Skills and Knowledge

Creating a digital product is far easier when you build on your knowledge.

Assess your expertise and experience to identify where you can add the most value. 

For instance, if you’re skilled in graphic design, create design templates or digital art assets. If you’re an educator, an online course could be your ideal product.

Don’t try too hard to reinvent the wheel. Use your strengths to create something that stands out. The more aligned your product is with your expertise, the higher the quality and the more credible it will be.

3. Develop a Unique Value Proposition

The digital marketplace is crowded, and differentiation is crucial. Your unique value proposition (UVP) sets your product apart.

This could be the depth of content, the ease of use, or an innovative approach to solving a problem. 

Your UVP should be clear and compelling, directly addressing why someone should choose your product over others.

To craft a strong UVP, conduct a competitive analysis:

• Look at what similar products are offering
• Identify areas where you can provide superior value

This might involve adding features that competitors lack, improving user experience, or offering better customer support.

4. Focus on High-Quality Content Creation

Quality is non-negotiable. Your digital product should be well-researched, professionally presented, and meticulously crafted. 

This means investing time in content creation, whether writing an ebook, recording video lessons, or developing software. 

Use the best tools and resources to ensure your product is polished and professional.

For example, if you’re creating an online course, invest in a good microphone and camera to produce high-quality videos. If you’re designing templates, use professional software like Adobe Illustrator or Photoshop to create visually appealing designs.

5. Test and Iterate

Before launching your product, test it with a sample of your target audience.

This could be through a beta launch, where you offer the product at a discounted price or even for free in exchange for feedback. Collect insights on what works well and where improvements are needed.

Testing allows you to refine your product before it hits the market, ensuring it meets your audience’s needs and expectations. Use the feedback to make necessary adjustments, such as tweaking the content, fixing bugs, or enhancing the user interface.

6. Optimize for SEO and Discoverability

To improve your digital product's ranking, focus on SEO (Search Engine Optimization) from the outset. 

Research keywords your target audience is searching for and incorporate them into your product descriptions, titles, and marketing materials. 

Tools like Ahrefs or SEMrush can help you identify high-traffic keywords relevant to your product.

Additionally, optimize your product for various platforms. If you’re selling on a marketplace like Etsy or Amazon, ensure your product titles and descriptions are optimized for those search engines. This will increase your product’s visibility and drive more traffic to your listings.

7. Create a Marketing and Launch Strategy

Your digital product’s success depends heavily on how well you market it.

Develop a comprehensive marketing strategy that includes content marketing, social media promotion, email campaigns, and possibly paid advertising. 

The goal is to create anticipation and excitement around your product before it launches.

A strategic launch can make all the difference.

Offer early-bird discounts, create a landing page with a countdown, and engage your audience with teaser content leading up to the launch day. Post-launch, promote your product through regular updates, customer testimonials, and user-generated content.

8. Choose a Platform for Distribution 

The platform you choose will affect how easily your target audience can find and purchase your product and your ability to scale your business.

There are several types of platforms to consider:

• Ecommerce Platforms: If you’re selling directly to consumers, platforms like Shopify, WooCommerce, or BigCommerce offer robust solutions for setting up an online store.
• Online Marketplaces: If you prefer to leverage the audience of an established marketplace, platforms like Amazon, Etsy, or Creative Market might be the way to go.
• Course Platforms: For digital products like online courses, specialized platforms like Kajabi are designed to handle everything from content delivery to student management. These platforms often include marketing tools, making promoting your courses to a broader audience easier.
• Content Platforms: If you offer subscription-based content or membership sites, platforms like Kajabi, Patreon, or Substack might be ideal. These platforms allow creators to monetize their content through subscriptions.

Your choice of platform should align with your product type, target audience, and business goals. 

Consider factors such as ease of use, cost, scalability, and the specific features that each platform offers to support your product.

9. Launch and Market Your Product

Finally, plan a launch strategy to introduce your digital product to the market. This may include building a pre-launch email list, creating promotional content, and setting up advertisements.

Use various marketing channels such as social media, email marketing, and content marketing to reach your target audience and drive sales.

Collaborate with influencers or industry partners who can help promote your product to their audience. This can extend your reach and lend credibility to your product. Be strategic in choosing partners who align with your brand and audience.

The Most Profitable Digital Products To Sell Online

Now that we’ve covered some definitions and obstacles, let’s jump into the opportunities. After all, you probably want to generate as much cash as possible from your online business, so you’ll want to sell the most profitable digital products.

We’ve identified 17 options, many of which you can create and sell directly from the Kajabi platform.

Resist the urge to try to create them all. It’s tempting, but it will spread you too thin. Start with a single product — one that will resonate with your target audience and provide them with maximum value.

Once you’ve established your flagship product, you can branch out. At some point, you might be able to hire staff members to help handle administrative work while you focus exclusively on the creative process.

Without further ado, let’s look at this list of digital products and explore how they might be able to help you grow your business.

1. Courses

We’re obviously big fans of online courses here at Kajabi. In fact, courses are the primary way by which our Kajabi Heroes generate income.

An online course is just like an in-classroom course, except that you teach it online using text, video, and audio assets. Your customers learn through distinctive modules based on the course name and the material you want to convey.

Customers can take your course in their own time without worrying about meeting deadlines or stressing themselves out. Plus, you can create courses of different sizes and price points.

Some of our customers have created dozens of courses, while others stick to one flagship course. It’s entirely up to you. Plus, down the line, you can create other digital products that complement your courses.

2. EBooks

E-books are growing in popularity month over month. In 2021, eBook revenue reached 1.1 billion dollars in the United States.

You can write an e-book on any topic you like. The best news is that once you complete the product, you don’t have to do any further work — other than marketing. It allows you to earn passive income over months and years.

As the entrepreneur, you decide on the e-book’s length and content. You can either self-publish it on your Kajabi website or seek a traditional publisher. When designing the ebook, hire a sought-after web designer or use a template to make it look polished.

If you already have customers who have bought your online courses and other digital products, you can introduce them to your e-book. You have a built-in funnel of potential customers.

Some entrepreneurs also create eBook series. They sell them individually and in bundles, allowing them to upsell. You could also cross-sell them with your online courses.

3. Photography 

Since millions of people publish content on the web daily, there’s a constant demand for unique photography. Stock photo sites, such as Fotalia and iStockphoto, buy images from creators just like you.

Alternatively, you can sell your photographs from your websites. Many fine art photographers take this route so they don’t have to share their profits with established marketplaces.

A great way to get people excited about your photography is to post your images on sites like Flickr and Instagram. These platforms allow you to retain all rights to your photos, which protects your intellectual property while exposing you to potential customers.

Keep in mind that you can sell photographs in many different ways:

• Digital files only

• Small prints

• Large canvases

• Novelty products (such as mugs and T-shirts) with your images on them


The sky’s the limit if you’re a shutterbug.

4. Music

Major labels no longer control what music makes it into the headphones of your average consumer. Indie musicians can make excellent livings by selling their creations by themselves.

Musician and singer Amanda Palmer, for example, launched what was, at the time, the most successful crowdsourcing campaign in history to fund her next album. Since then, she has relied only on grassroots marketing to sell her band’s music.

You can record your music, then sell it anywhere you wish. The freedom to explore your musical talent and retain creative control over your output can be freeing as a creative.

Furthermore, you don’t have to worry about dealing with bureaucratic red tape. Instead, you can focus exclusively on your music.

Since you no longer need to produce a physical product, such as a CD, you can make your music available exclusively as digital files. People can then listen to them on MP3 players, their computers, and other devices.

5. Web Elements

There’s a huge demand for web elements in today’s economy. For instance, many people earn six or seven figures by selling WordPress templates.

Premium web design templates create a passive income because you only have to create them once. You might have to update it occasionally because of changes to the content management system (CMS), but that’s far less work than creating a whole new product from scratch.

Additionally, you can create as many web templates as you want. The more you provide, the more customers you can potentially convert.

Other web elements can also prove popular in the marketplace. You might sell thematic elements for a web design, such as navigational buttons, header images, font combination suggestions, social media sharing buttons, and more. If you’re creative and artistic, there’s no limit to what you can create and sell.

6. Research And Data

Conducting one’s own research and data can take considerable time. Some people don’t want to expend that energy gathering data in one convenient place.

That’s where you come in. Selling data — such as information about your industry or the results of your studies — can prove massively popular. People who buy that data can then use it to inform their businesses.

7. Tutorials And Guides

It’s true that many people post free tutorials and guides online. However, if you can create one that’s longer, more in-depth, and of higher quality, go ahead and sell it as a digital product.

We live in a DIY culture. People want to learn how to do things themselves. They’d rather save their cash than pay somebody else.

Plus, consumers want to learn everything they can about subjects that interest them. Documentaries and similar forms of television remain extremely popular for their educational value.

You can create a tutorial or guide in any format you wish. Some Knowledge Commerce professionals prefer to create videos, while others prefer text or audio. You decide.

8. Software Programs

If you’re a computer whiz, creating a new piece of software might launch you into the stratosphere in terms of potential revenue. People love software because it inevitably cures a pain point.

Many software programs have stood the test of time, from productivity and web insights to designing and drawing. They remain popular because their core audiences are loyal fans.

These days, many software programs are sold as subscriptions instead of licenses. In other words, your customers pay a nominal monthly fee to use your software. As long as they pay, they retain access.

In many ways, the subscription model offers better revenue potential than licensing. If you sell licenses, you get paid just once. The customer never has to give you another dime. However, you can decide what payment model makes the most sense for your business and wallet.

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Use our FREE idea validation worksheet to identify your ideal customer and the solutions you can offer to make money.

9. Recipes

Cookbooks are among the best-selling books of all time. People always look for fresh takes on their favorite recipes, and many consumers want to explore cuisine worldwide.

Sure, you can find recipes for free online, but there’s a reason people pay for actual cookbooks. It’s assumed that a paid product offers better quality and higher value.

If you’re a chef — amateur or professional — you could put together a cookbook with your best recipes. Consider grouping them based on a specific theme, such as comfort food or recipes from a specific country or city.

A theme makes the book more marketable and, therefore, more likely to gain traction in the market.

Of course, cookbooks aren’t the only way to release recipes. You could create an app or subscription service that delivers recipes to subscribers. Think outside the box to create a unique digital product to get everyone talking.

10. Apps

Speaking of apps, mobile applications may have become even more popular than software packages. However, they’re essentially the same thing—just on a different platform.

For instance, people used to play games installed on their computers via CD-ROM. Today, they can play similar games via an app on their phones or tablets.

Some apps charge a small fee, while others are so-called “freemium” releases. In-app purchases can be included for people who want more features, benefits, or information.

You don’t even need technical skills to develop an app. You can hire IT people on a freelance basis to help execute your idea and pay a flat fee. Many entrepreneurs take this route.

There are also software programs that make creating a simple app fairly easy. However, if the app doesn’t offer many features, it will become a hard sell for savvy consumers.

11. Podcasts

Most podcasts are free. Entrepreneurs and creatives use them to promote their brands, products, or services.

However, you can also create a subscription-based podcast that offers more features, in-depth guidance, and more. There are numerous ways to do this.

For instance, you could create a subscription-based podcast for which people pay you directly. It would work just like a traditional membership site except that the content is exclusively audio.

You could also take the freemium route. People can listen for free but get bonus features, extra audio, and other incentives if they pay.

Kajabi offers a podcasting tool that makes it easy to sell private podcasts or offer free podcasts for marketing.

12. Printables

‍As mentioned above, digital products don’t always have to remain virtual. Printables have become a popular commodity for crafters and for people who like to stay organized.

You might create printable agendas, schedules, planners, artwork, scrapbooking assets, or something else entirely. You just need an idea for which someone would be willing to pay.

Just package the printables like you would any other digital product. You deliver the package when the customer pays.

13. Swipe Files

A swipe file is a document that contains valuable assets for a particular goal, hobby, or job. For instance, writers often keep swipe files filled with examples of good copy they might want to emulate in the future.

However, swipe files can contain anything you want. If you’re an artist, you could create a swipe file full of icons and other graphics your customers might use on their websites, marketing assets, or other deliverables.

You could also create a swipe file filled with research, data points, checklists, etc. Crafty professionals might sell swipe files with DIY projects, while parenting experts could sell swipe files with indoor activities for children of various ages.

The possibilities are limitless. The important thing is to make sure the information in your swipe file is truly premium. In other words, it should not be regurgitated content from your blog or contain information people could find freely online.

14. Templates And Calculators

Similar to tutorials and guides, templates and calculators have become increasingly popular. People want the easiest way to get from Point A to Point B.

Templates could be for anything from interior design to music composition, while calculators might help people determine the ideal interest rate for a mortgage or the best combinations of investments.

You can get creative with these types of assets, but make sure they offer more than the free examples available on the Internet. Your template or calculator should be so sophisticated that you wouldn’t dare give it away for free.

15. Patterns

If you’re crafty, creating your own patterns for cross-stitching, knitting, crocheting, watercoloring, and more can help you assemble a salable digital product. People are always looking for fresh, new patterns to create and decorate their homes.

16. Graphic Arts Bundles

Most people don’t know how to create graphics, icons, and other graphic assets. They rely on free or premium products for those needs.

In this case, the DIY and commercial markets converge. Entrepreneurs like you want to build their websites, but they need attractive assets to populate their designs.

Of course, it’s not all just about web design. A creative might use someone else’s graphic assets to design T-shirts and other consumer products. They don’t know how to create the actual art, but they can arrange a pleasing design for sale.

Companies like DesignCuts offer bundles from multiple creatives at a significant discount. This allows people to buy many premium products at a low rate, benefiting both the consumer and the seller.

You can also sell graphic arts bundles on your own. Do a mix of different types of graphics or create a bundle for each type. Potential assets could include the following:

• Backgrounds

• Textures

• Clipart

• Woodcuts

• Fonts

• Overlays

• Stencils

• Shapes


The list goes on.

17. Coaching Packages

We mentioned before that the commercial marketplace has changed over the last few years. Products and services aren’t as carefully delineated as they were 20 years ago.

You might have noticed that you can now order clothing, sunglasses, and even razors as a service. You subscribe to the service and you receive your deliveries at set intervals.

However, you can also sell services as a package deal. As part of your Knowledge Commerce business, you could offer coaching packages to supplement your income and to create more intimate relationships with your customers.

For instance, let’s say that you teach people how to be better leaders. You’ve created online courses, e-books, and other digital products, but many customers would like one-on-one tutoring.

To respond to that need, you create a coaching package. For $300, you’ll spend 30 minutes on the phone with your customers once a week for one month. Of course, you’d adjust the numbers to your liking.

It’s a digital product because you’re selling it as a bundle. It’s also a service because you’re working with your customers one-on-one.

You don’t have to live near one another. You could set up email, telephone, or Skype consultations with your customers. It’s never been easier to accrue customers from the other side of the world.

Where to Sell Digital Products

Choosing the right platform to sell your digital products is crucial to reaching your target audience and maximizing your sales.

Here are some of the best options available, each suited to different types of digital products and business goals:

1. Your Own Website

Selling digital products directly from your website offers the most control over your brand, customer experience, and pricing.

Platforms like Kajabi, WordPress with WooCommerce, or Shopify allow you to create a customized storefront where you can sell products ranging from ebooks and courses to software and digital art.

Advantages

• Complete control over branding and customer experience.
• No commission fees beyond payment processing.
• Ability to build and own your customer list.

2. Online Marketplaces

If you want to leverage established platforms' traffic, online marketplaces are an excellent choice. 

These platforms have millions of active users, making reaching a large audience quickly easier.

Popular marketplaces include:

• Amazon: Ideal for selling ebooks, audiobooks, and software. Amazon’s Kindle Direct Publishing (KDP) is a popular platform for self-published authors.
• Etsy: Best for creative digital products like printables, design templates, and digital art.
• Creative Market: Focuses on digital design assets, such as fonts, themes, and graphics.

Advantages

• Access to a large, established customer base.
• Built-in marketing and search capabilities.
• Easy setup with minimal technical knowledge required.

3. Course Platforms

For educators and experts looking to sell online courses, dedicated course platforms offer tools tailored to this purpose. 

These platforms often include features like video hosting, quizzes, certificates, and integrated payment systems.

Kajabi is an all-in-one solution for creating, marketing, and selling online courses, with robust tools for managing students and tracking progress.

Advantages

• Purpose-built for educational content, with features like student management and progress tracking.
• Access to students who are actively seeking online courses.
• Marketing tools to help promote your courses to a broader audience.

4. Subscription-Based Platforms

Subscription-based platforms can provide a consistent revenue stream if you offer ongoing content, such as weekly tutorials, digital magazines, or membership communities.

Popular subscription platforms include:

• Patreon: Allows creators to earn income from subscribers by offering exclusive content, early access, and behind-the-scenes insights.
• Substack: Ideal for writers and journalists looking to monetize newsletters and long-form content.
• Kajabi: Supports membership sites where you can offer exclusive content, coaching, or training programs on a subscription basis.

Advantages

• Recurring revenue from subscribers.
• Strong community-building tools.
• Flexibility to offer different membership tiers with varying levels of access.

5. App Stores

App stores like the Apple App Store and Google Play Store are essential platforms for developers of mobile apps or software.

These stores provide a global distribution channel and access to millions of users looking for apps.

Advantages

• Global reach and exposure to millions of potential customers.
• Built-in payment processing and security.
• Easy updates and version management for your software.

How To Sell Digital Products in 9 Steps

Selling digital products can be highly profitable, but success depends more than having a great product.

It involves strategic planning, targeted marketing, and effective customer engagement. Here’s a step-by-step guide to help you sell your digital products effectively:

1. Identify Your Target Audience

Before you even begin to sell, you need first to understand who your customers are.

Research your target audience by identifying their demographics, interests, and pain points. This knowledge will help you tailor your marketing messages, choose the right platforms, and create a product that meets their needs.

Example: If you’re creating a course on advanced Excel techniques, your target audience could be data analysts, accountants, or business professionals who use Excel daily but need to learn more advanced functions.

To ensure you're on the right track, validate your product idea using our FREE idea validation worksheet. This tool will help you identify your ideal customer and the solutions you can offer to make money, giving you the confidence to move forward with a product that truly resonates with your target market.

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2. Create a Compelling Value Proposition

Your value proposition explains why customers should choose your product over others. It should clearly state the unique benefits and features your product offers.

If you’re selling a digital planner, your value proposition could highlight its unique features, such as customizable templates, integration with popular calendar apps, and a minimalist design that reduces overwhelm.

3. Set Up a Professional Online Presence

Your website or landing page is crucial for converting visitors into customers. It should be easy to navigate, visually appealing, and optimized for conversions.

To build trust, include clear calls to action, high-quality images, and testimonials.

Let’s say you’re selling online courses. Ensure your website has a clean design, clear categories for different courses, student testimonials, and a simple checkout process.

Use the Kajabi website builder to create a professional site that effectively showcases your product. 

4. Leverage Multiple Sales Channels

Diversify your sales channels to reach a broader audience.

While your website is essential, consider selling on online marketplaces or social media platforms as well.

A photographer selling digital photo packs could use their website for direct sales, upload some of their work to stock photo sites like Shutterstock, and promote their products on Instagram, linking to an Etsy store where users can purchase digital downloads.

5. Utilize Content Marketing

Create valuable content that attracts and engages your audience. This could be blog posts, videos, or podcasts related to your product.

For example, if you’re selling an ebook on personal finance, start a blog that offers tips on budgeting, saving, and investing.

Each blog post can subtly lead readers to your ebook as a deeper dive into the subject matter.

6. Implement Email Marketing

Building an email list is crucial for maintaining contact with potential and existing customers.

Here are some of the latest statistics that highlight the importance of implementing email marketing:

• 99% of email users check their inbox daily, with some checking up to 20 times daily.
• Email marketing generates an average return on investment (ROI) of €42 for every euro invested, which translates to a 4,200% ROI

Use lead magnets like free guides, templates, or mini-courses to encourage sign-ups.

You can offer a free downloadable budgeting spreadsheet in exchange for signing up for your email list. Then, use your email campaigns to promote your full suite of personal finance products, including ebooks, courses, and templates.

7. Set Up Payment and Delivery Systems

Ensure that purchasing your product is a seamless experience. Use reliable payment gateways and automate the delivery process to make it easy for customers to receive their digital products instantly.

If you’re selling software, integrate payment gateways like PayPal or Stripe on your website and use a service like Gumroad to handle the automated delivery of download links once payment is complete.

For delivering your digital products, automation is key. Customers expect to receive their downloads immediately after purchase. With Kajabi, you can easily set up automated delivery systems for your digital products. 

Kajabi’s Payments then allows you to accept and manage payments right from your dashboard with Kajabi Payments, with no additional fees or the hassle of third-party integrations. This improves your customers' overall experience and reduces the workload on your end.

8. Launch Targeted Advertising Campaigns

Paid advertising can drive targeted traffic to your product.

Use platforms like Google Ads, Facebook Ads, or Instagram Ads to reach potential customers based on their demographics and interests.

If you’re launching a digital marketing course, create a Facebook ad campaign targeting small business owners, freelancers, and marketers aged 25-45 who have shown interest in entrepreneurship and online marketing.

Use precise targeting options to ensure your ads reach the right audience.

9. Engage with Your Community and Gather Feedback

Building a community around your product helps customer retention and provides valuable feedback for improvements. Encourage your customers to share their experiences, leave reviews, and provide suggestions.

For example, after launching a new mobile app, create a dedicated forum or social media group where users can share tips, report bugs, and suggest new features.

This fosters a sense of community and gives you insights into how to improve your product over time.

Frequently Asked Questions

What is an Example of a Digital Product?

An example of a digital product is an online course, which is a series of educational materials, such as videos, quizzes, and downloadable content, that users can access online to learn a specific skill or topic.

What is Meant By Digital Products?

A digital product is any product that exists in digital form and can be sold, distributed, and consumed over the internet, such as software, ebooks, online courses, or music files.

What is the Best-Selling Digital Product?

Online courses and ebooks are among the best-selling digital products due to their high demand in the education and self-improvement sectors and their ability to be easily scaled and distributed globally.

Can You Really Make Money Selling Digital Products?

Yes, selling digital products can be highly profitable due to low production costs, the ability to reach a global audience, and the potential for passive income, particularly when leveraging effective online marketing strategies.

How Do You Create a Digital Product?

To create a digital product, identify a specific need or problem. Then, using appropriate tools, develop a solution as a digital asset, such as an ebook, software, or video course, and package it for online distribution.

Is a Website Considered a Digital Product?

Yes, a website is considered a digital product because it is a digital creation that provides users with information, services, or functionality online. It often forms the core platform for selling other digital products or services.

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Read the 2024 State of the Creator Economy Report to get the latest data on industry trends and growth for knowledge content creators.

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