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Digital Product

A digital product is something you sell as a file or as online access, such as a template, an ebook, a preset pack or a course, with no physical item to ship.

Filed under
Digital Products
Also called
Digital download, Digital good, Info product
Reviewed

How it works

The defining feature is that each extra copy costs almost nothing to produce. You make the product once, and a platform delivers it automatically to every buyer. Common types are templates and planners, ebooks and guides, presets and design assets, spreadsheets, courses, and paid communities or memberships. Software and apps are digital products too, though they are usually discussed separately.

The costs are real even though they are not counted per unit. Marketplaces and checkouts take fees. Payment processors take a cut. Sales tax or VAT may apply, depending on where your buyers are. Some buyers will ask for refunds or help. And the largest cost is usually attention: a product nobody sees does not sell, so most of the ongoing work is marketing, not making.

Creators arrive at digital products as a way to earn from knowledge or skill without trading every hour for money. The sensible order is to find a specific problem that a specific group has, check that they will pay to solve it, make the smallest useful version and improve it from feedback. There is no typical income. Results depend on demand, the offer, your reach, the price and your costs, and many products sell very little.

A worked example

A teacher wants to sell a lesson planner template.

  1. Problem: teachers in her subject rebuild the same weekly planner every term.
  2. Check: she shares a screenshot in two teacher groups and asks who would use it. Thirty people ask for it.
  3. Build: one editable file with a short instruction page, priced with the pricing calculator linked on this page.
  4. After launch she tracks sales, platform fees, refund requests and the hours she spends answering questions, so that she knows what each sale really leaves.

An illustration, not a real account. Any numbers in it are made up to show the method, and are not benchmarks.

Common mistakes

  • Building first and looking for buyers afterwards. Check demand before you do the work.
  • Ignoring fees, tax and support time when you set a price.
  • Assuming a marketplace will bring the customers. Each listing competes with a great many others.
  • Selling files you do not have the rights to, such as other people's fonts, images or licensed characters.

Questions people ask

What digital products can a beginner make?

Start from a skill or a problem you already understand. Templates, checklists, short guides and spreadsheets are quick to make and easy to improve.

Where do people sell digital products?

On marketplaces that bring their own traffic, on creator storefronts that handle checkout and delivery, or on their own site. Each has different fees and rules. The fee calculator linked on this page compares them using your numbers.

Is selling digital products passive income?

Not really. Delivery is automatic, but marketing, support, updates and platform changes are ongoing work. See the entry on passive income.

Go deeper

Free, no card needed

Start with the free Starter Kit.

Five working files, one from each program. Enter your email and they open in a free account, in your browser.

  • 32 fill-in-the-blank hooks
  • An AI character bible
  • A pricing worksheet
  • A unit economics calculator
  • A position size calculator