Passive income is a very popular concept in the Internet Marketing space. It’s frequently highlighted in sales copy as a lifestyle. However, there’s a very important thing you need to know about passive income… it takes some WORK to create it! You see, in order to generate steady payments month after month, many marketers develop automated systems to generate the income with little effort. But the systems themselves can take weeks or months of development. If you want to wake up in the morning with a large stack in your Paypal, you’ll want to consider adding recurring billing and some affiliate tripwires to your marketing plans.

Recurring income typically comes from products that charge a monthly fee. It can be in the form of installment payments, where a large purchase price is divided into monthly payments. Or it can be in the form of continued access payments, like your Netflix streaming plan.

A web of affiliate tripwires and backend monetization strategies may also generate a drip of income and new leads. These trip-wires are fairly easy to establish. However, depending on the tactic, there may be some maintenance required to keep your system running smoothly. You may even need to adopt expensive technologies to automate your “passive income” systems.

To create a product that generates recurring income, you will need to do a lot of work UPFRONT. That’s the secret that makes it seem like you’re making money on autopilot. You did a lot of work in advance so you can take advantage of your system’s output. Be prepared to invest your time and resources into a system if you want to generate automated income with!


That’s not an exaggeration, if you’ve set up your recurring billing properly you can go to sleep on Sunday with just a few bucks in your PayPal account and wake up on Monday with thousands. How is this even possible? It’s simple — a product with a monthly payment just completed its billing cycle. Recurring billing is a very popular way to keep a steady stream of income coming in and there are a few things you should know before setting up your first recurring product in JVZoo.

There are 2 basic ways to look at recurring income.

#1 PERPETUAL BILLING CYCLES A billing cycle is the interval of time that elapses before the next payment becomes due on goods, services or ACCESS that a company has sold. A billing cycle is recurring and is most often set to repeat on a monthly basis.

#2 PAYMENT PLANS A payment plan is like a billing cycle in the sense that money is billed in preset intervals however a Payment Plan has a completion date. So after a set number of payments, the billing STOPS.

Generally speaking, these bills/payments are for the same amounts each month but sometimes a vendor may choose to set the first month to be different for a “trial” period. Recurring billing practices will vary from business to business depending on the sales model.

If you want to make a recurring income you’ll need to prepare your product in JVZoo to receive the monthly payments. Fortunately, products can be easily set to automatically bill the customer for the purchase price on a regular basis. The payments taken during this process is often referred to as “re-billing”. You can re-bill for your product on a monthly basis. Some big marketer’s products have returned to the JVZoo leaderboard months after their initial launch due to the re-bill cycle. When a product is re-billed, it counts as a sale. So if a product has a couple hundred re-bill sales, it could potentially hit the top seller leaderboard, again and again, each month!


You can set your re-billing to occur each month for up to 10 years. Setting up your product for re-billing in JVZoo is super simple in just THREE EASY STEPS!


The most important part of creating recurring income is having/offering a service or product that justifies the monthly re-bill. This means creating a product that keeps the customer engaged and excited to continue paying for access. For some marketers, this may be allowing monthly payments for a product that would otherwise have a $300+ one-time price tag. We’ve seen this called “lifetime access vs. monthly access” however we would caution you to avoid the phrase “lifetime access” because that might not sit well with PayPal. “Permanent access” is probably a more suitable word for it.

Other marketers may choose to produce fresh, monthly content to keep the customers satisfied where there monthly purchases. In many cases, they strategically release all the juicy new stuff just before that rebill is about to kick in! Bottom line: Provide the benefit for a customer to keep paying you monthly!

A popular way to keep your customers coming back is to give them only one month’s content at a time. (And the previous month’s’ content too.) Depending on the product, you may choose to automate or “drip” the release of your material. If you have 12 months of PLR stockpiled for example, then you could set your membership site to allow access to each month’s content every 30 days when the re-bill occurs. The ability to control the distribution of content is one factor that may lead to higher customer retention.

Many marketers love to wake up in the morning and find a huge payday in their Paypal. This is easy to accomplish if you create a product that re-bills the customers each month. The trick is to create an awesome product that justifies the monthly payment. Once you have that product, you can easily keep your people satisfied and eager to pay for the upcoming content.


It doesn’t have to be difficult to create a product that bills monthly. Granted, it will take more planning than a small, one-time payment product. You will need to create more volume to distribute over time in many cases. In other cases, simply offering a service for a monthly fee is all that you need. Here are a few ideas to help you get started with recurring billing.

COURSES – If you’re working with a large training course, consider making it a monthly training course instead. Aside from the benefits of re-billing, you’ll be able to provide more guided experience for your customers by providing content monthly. This keeps them from seeing everything and becoming overwhelmed with information overload. Holding monthly or weekly training via webinar really streamlines the content creation process because you can simply record the webinar and add it to your member’s area. Large-scale, or on-going training is a solid candidate for monthly re-billing.

SAAS – Software-As-A-Service (SAAS) is something you probably already pay for on a monthly basis. Let’s say your software makes eBooks using the customer’s images, text and affiliate links. The customers will come to your website to use the software as often as they want. In order to log in and use that tool, their account must be in good standing. As long as they like making eBooks with your service, they’ll keep paying for access. This model has a few great benefits to sustain the business, and one of them is called “stickativity” or “Stick Rate” this basically means that if the user cancels their rebills they lose access to the items they created with the tool. Kind of like hosting, if you stop paying your hosting fees you lose all the sites and files you’ve uploaded

LIBRARIES – Private Label Rights materials and stock image vaults are great newbie-friendly recurring opportunities. PLR is especially popular for bonus material, so affiliates are always in need of fresh content for their campaigns. If you’re a writer or have access to a team, you can easily put together a monthly source of fresh materials. Same goes with photography and graphics, anything that your customers will need on a regular basis can be made available in a library for a monthly fee!

There are plenty of product ideas that can be converted into monthly revenue. It can be as simple as taking a large course and breaking into monthly bites. You can also provide access to a software that requires a monthly fee to use. And don’t forget that anything your customers will want repeatedly can be sold for a recurring fee.


Passive income can be generated through your marketing and even INSIDE your website, long after your launch period by inserting “tripwires” in strategic locations. Tripwires are discrete funnel entry points or “side doors” that lead your customer down a new and exciting purchase path. These trip-wires can be pointing to your own continuity products or to recurring AFFILIATE offers too. In addition to discrete trip-wires, there are also “pattern interrupt trip wires” which we’ll talk about later.

Revenue sharing is a super smart tactic that you can do inside all of your websites. This is where you invite your customers to become your affiliates. Many online courses call this the “Earn While You Learn” program and they basically dedicate a page in each of their websites to teach the customer how to earn money by promoting THIS product through JVZoo. They can earn money promoting the very product that you just bought by just sharing it with friends.

Banners are great, but one of the things that we’re going to caution you with here is don’t make your member’s area or your download page look like Time’s Square. Too many banner ads on a website will have an adverse effect on your marketing. People will develop “banner blindness” over time. You’ll find that when you laser focus the user’s attention onto one banner, you’re going to have a lot more success. Many vendors just put one big banner down at the bottom of your page and you can make a ton of money with that.

Many site creators advertise the very products that they used to build the website with an affiliate link. Perhaps you’re using the Buzzinar plugin in one of your funnel pages, and at the bottom of the app there’s a little line of text that says, “Powered by Buzzinar.” That little text is always in there, and eventually, somebody’s going to get curious. They click on it and they’re like, “Oh wow, this is the tool he’s using to get people to share on Facebook, Twitter, and all that. Man, I want to put this on my site.” Then, they’re going to buy Buzzinar because they saw that little “Powered by Buzzinar” link on your link. Footer links, not just in the footer of your site but in the footer of web apps and things like that.

DISCRETE TRIPWIRE IDEA #4 – Additional Resources
If you’re discussing a tool in your product, let them know what it is and tell them where to buy it. These can be little tiny tripwires or links right within your text OR you can dedicate an entire page in your website to “Additional Resources”.

Resource pages can also serve as a great way for you to reciprocate for your affiliates buy placing a banner or recommendation to one of THEIR products in exchange for them promoting yours.

Many vendors get their videos transcribed. In the transcription text, they include links to things that mentioned in the video. You can create download items beneath your videos, things like transcription, reports, and stuff like that. Those things can contain all of your affiliate links to the recommended products as well.

DISCRETE TRIPWIRE IDEA #6 – Fast Action Bonuses
The cool thing about bonuses is people love them. A fast action bonus is generally an offer made on the bottom of the welcome page of your members’ area. The key is to make them some sort of an offer that is super congruent with what they’ve just joined. Perhaps you can negotiate some sort of a deal for them, like a free month of hosting, or maybe a free “whatever” if they sign up through this banner for this service. Affiliate marketers spend a lot of time and effort creating bonuses for other people’s launches but then they forget that they can have a bonus offer INSIDE their own launch.


Trip wires are cool and strategic when they are discrete but they can also be super effective when they are super obvious. As long as the trip-wire offer is congruent with the action that the visitor is currently undertaking on your website, the profits can roll in. Certain actions can be “interrupted” strategically with tripwire offers.

So many people will get to the wrong page. They’ll try to type in their own URL, they’ll try to do something in the browser and they’re taken to this useless waste of real estate called a 404 Error Page. It’s a page that says “error,” that’s all it says. Putting a banner on that page, or putting a funny video, or putting any kind of pattern interrupt offer on a 404 error page will lead to sales. It’s just a numbers game. The page will display enough times to enough people and it will generate sales for you. Why not monetize it? Error pages are a great place to advertise. How about the password reset page, why not put a banner on there for RoboForm or OnePassword?

You know what is the guaranteed thing that every single person that visits your site will do? They will leave, EVERYONE eventually has to either log out or close the tab.

When they log out of your website or close your page, you can trigger an event. You can take them somewhere else. You can take them to a page of your choice. It can be an offer, it can be a page with a video of you saying, “Hey, thanks for visiting the site.” It can be a page where you say, “Wait, before you go,” it could be any number of things.

We’re not saying that every single time that someone leaves your site, they’re going to buy something. BUT, by you making the offer every single time that somebody leaves, it’s just a number’s game now. Eventually, people will buy and you can test that conversion. If it doesn’t work out as well as you want, then change the offer, change the exit redirect.

TRIP- WIRE IDEA #3 -Internal Popups
Popups are awesome when used correctly on the right page and at the right time. We’ve seen some people overdo it with popups to the point that it makes the website difficult to use or navigate. (Don’t be that guy) However, when you sporadically and congruently display a pop up at the right time (i.e. when the user needs something) you’re bound to get a positive reaction.

There are various times that you can implement a pop-up offer on your website. Whenever you are promoting a product or you are involved in a product launch and offering a bonus, you should go into your membership sites, and put a pop up in there.

TRIP-WIRE IDEA #4 – Help Desk
Yes, your help desk can be a HUGE source of revenue and you are probably ignoring it aren’t you? You’re not alone, many marketers outsource their support because they just don’t want to be bothered with help tickets. You know what though? The people that are at your help desk are your action takers. They are the most valuable of all of your customers. They Are the ones that are encountering problems because they are actually trying to DO something. The cool thing is is that you can sell these action takers more stuff on your help desk with a banner. You can even have an 800 number that generates a sales lead. You can create a survey that leads to an offer for coaching, you can do so many profitable things on your help desk.

Some recurring income is generated by automated passive trip wire systems rather than product re-bills. With careful planning, you can easily set up the right sequences to keep sales flowing in every day. There are also some automated features your site can offer that will allow you to make sales as a vendor or as an affiliate. All you have to do is set a course and put your systems in place.


Marketers from across the world in a wide range of niches agree that one of if not THEE most reliable method for creating consistent money long term is email marketing. Not just any kind of email marketing, we’re talking about strategically planned autoresponder sequences that go out to your customers automatically AND promote recurring billing products!

A solid, well thought out auto-responder sequence may help you passively acquire sales on a daily basis. You’ll want to start with a list of products that you’d like to promote. Then decide the order in which you’d like to promote them. From there you can write the email sequences that will bring your list to the right bonus page or sales page.

Your AR sequences can bring in sales every day if you plan correctly. It’s a great idea to promote and follow through with your members via email and regarding the same continuity offers that you’ve strategically placed in your trip wires. This will reinforce the promotion and get them to look at it again with a fresh pair of eyes.

Create an abundance of email campaigns. Seriously, if you’re not going to monetize the list through consistent emails then what was the purpose of building it? Your autoresponder sequences can be as long as you want them to be, we know marketers that have over 365 emails queued up and ready to go out daily to each new subscriber over the course of a year! Don’t be intimidated by that. Remember that you don’t have to write all these emails in one sitting. As a matter of fact, you don’t have to do much writing at all because most of the products you’ll be promoting already provide swipe files!

Creating a powerful email campaign to generate recurring passive income for you can be as easy as copy – paste – schedule. And by “schedule” we mean telling your autoresponder whether to send that email on day 1 or day 301. Each product that you sell should have its own corresponding customer list in your autoresponder. Automation rules can be set up in your auto-responder to move subscribers from list to list. This is helpful in moving buyers of a product to a new sequence selling a different product.

Whether you are launching your own recurring billing product or you are just placing tripwires on your websites, the key to longevity in your online business is a passive income strategy. We recommend that you create a business plan which implements each of the tripwire income strategies mentioned in this article so that you can see passive income from JVZoo piling up in your PayPal account month after month.





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