In this article I’ll talk about five ways that you can make money on Facebook. Before we even get into the different ways that you can make money, I just want to preface this by saying I know that that might sound a little bit scammy or weird, like one of those sketchy make money at home sort of deals that you are not quite sure that are legit. Well there are quite a lot of people who are promoting illegitimate, scammy ways to try and make money on Facebook, but those methods don’t really work, and here is why:
The basic idea of making money, or commerce, is that you’re exchanging value with other people, so you’re giving them something of value and in return they’re giving you money, which is also something of value, and thus that’s a fair exchange, and every sale transaction works in this way. Someone gives you money, and you give them a service or a product, that is how all legitimate sales happen.
Any method of making money where you’re not giving up value in exchange for making that money, you know probably won’t work, and probably isn’t very ethical. However, all of the methods that I’ll talk about here for how to earn money on Facebook, are completely legitimate. You’re going to be giving a lot of value to other people either in form of services, or products, or helping them in some way and in exchange you can earn fair money.
Facebook offers an incredible opportunity, and that’s because it is the biggest gathering of people that has ever happened in history, and it’s the biggest gathering that is currently happening today. What I mean by that is there are 2.5 billion users on Facebook at the time of this writing, and all those people are connected with each other via Facebook, so it’s easy to understand why using Facebook can be a great tool for reaching clients.
Whenever you have something of value that you may want to exchange for money, the biggest difficulty that most people run into is getting the word out: telling people that you have this thing and why it holds value. However, Facebook pretty much completely solves that problem because they provide a means for you to be able to connect with other people. You can do this by just networking or use powerful tools like Facebook Ads or networking inside the Facebook groups to supercharge those effects. Without further adding let’s jump to the first method on how to make money on Facebook…
1. Promoting an e-commerce product
Before you think, ‘oh I don’t have any product to sell’, ‘I don’t know how to make a product’, ‘I don’t want to store inventory’ and things like that, I just want to say that it is actually quite a simple idea and is probably one of the easiest way I probably found to make money for myself. Because it is so simple you don’t have to keep a product inventory at all. So, this is basically drop shipping products: you can set up a simple website such as a Shopify store, then you find a supplier who have a product that they want to sell, you advertise the product on your website and then you promote that product on Facebook.
Whenever someone decides to buy that product, you simply give their information like name and shipping address over to the product supplier, and the supplier will ship the product directly to the customer. Basically all that you’re doing is helping the customer buy the product you recommend, so you act like a business middleman, and of course getting your share out of it. The sky is the limit on how much money you could make with this. It all depends on the products you choose, how you will promote it and how high the out-of-pocket cost for the product is, meaning how much you’re selling it over the supplier price.
If this is something that sounds interesting to you, basically all you need to do is first set up a website. Like I said earlier, you can use a service like Shopify because they make it really easy to set a nice looking e-commerce store and the processing of payments will go very smoothly. Then you search for products that you want to sell. You can use a service or a website like Aliexpress that connects you with a whole lot of distributors internationally.
Once you find the product that you want to sell you just add it to your website. I would recommend adding several different (but still related) products. For example you could add a whole bunch of different golf products or a whole bunch of different makeup products, preferably whatever it is that you’re also passionate about and you see it as a good opportunity.
Once your story is completely ready to go then you can start promoting it on Facebook. You can either share your products in groups, talk about them in your time-line, or you can use the power of Facebook Ads to reach thousands of targeted people for literally pennies each. When the traffic starts to roll in, all you have to do is take the information that the customers give when they check out, turn around and give it to the supplier. The supplier will ship that product to the customer and you will keep the difference between what the customer paid on your site and the supplier standard price.
This is a really easy way to make money, but it also require some sort of marketing skills. You might find some products that doesn’t sell very well or you may need to try a few products before finding the right one to promote. There are plenty of people who make a full-time income selling products like that, so if you keep at it enough you can surely get there also.
2. Affiliate marketing
If you’ve heard about this before you might know that there are different types of affiliate marketing. Basically either be selling digital products or it can be selling physical products. Affiliate marketing is actually similar with drop-shipping except this time you’re not processing the sale yourself. Someone else is selling something, you refer a customer to them (by using a tracking link) and if the customer completes the purchase then you get a share out of the profit. The commissions can range from about anywhere between 4 percent all the way up to 50 percent of the selling price, depending on the type of product. Usually, physical products pay around 4-8 percent and digital ones are having more generous rates ranging from about 20 to 50 percent of the selling price. If you refer a customer that buys a digital product which costs $100, you can make as much as $50 on that transaction. If you refer a customer to buy a physical product that costs $20, you could get a maximum profit of $1.60 on that sale.
There are lots of companies that offer affiliate programs you can work with. But some of the most common opportunities for selling affiliate products include Amazon.com, which mostly sells physical products, where you can refer customers to buy any of their hundreds of thousands products and you will get a commission for any of them. Amazon pays anywhere from 4 to 8 percent depending on your selling volume, the more products you sell the bigger the commissions paid.
Another opportunity is the software as a a service (SaaS) companies, which will pay about 50%, and some of them even pays ongoing fees like for example if you refer someone to a web hosting service then you could make anywhere from about $10 to $100 every month. There are several different websites on which you can find a whole host of different digital products to sell, all from different creators. These programs are usually giving you high commission rates but you have to sift through them because some of them are not very high quality, thus you’ll want to make sure that you test any product before you’re referring people to it, so that you don’t accidentally refer someone to a product that isn’t very good and that would damage your reputation.
3. Selling your services
The third way on how to make money on Facebook is to sell a service. You probably have a lot of different things that you can do that people will be really happy to pay you for. For example maybe you could do video voice over, or you could do social media management, or maybe you can edit and enhance photos or arrange some data in excel files. People are looking for others to provide these services for them, and these can be simple services that anyone can offer. If you decide to offer this type of services, you can start promoting on Facebook that you’re offering the service. If you target the people well enough, the orders will start to appear. Remember that Facebook groups offer a great way to spread the word about your services. You can also run Facebook Ads as your service offering business will start to gain more traction. Many people are earning a full-time income by just promoting their services on Facebook and I also did earn a portion using this technique.
4. Sponsoring posts
The fourth way to earn money on Facebook is completely different and it is sponsoring posts. If you have a large following like about anywhere from 10.000 or more, then there are a lot of companies and businesses which are interested in working with you so that you will promote their products to your following. This can be done by posting a picture of their product on your news-feed; by writing a recommendation and posting it on your feed; showing pictures of yourself using that product throughout your daily life. Regardless of how their sponsorship are formatted, companies will pay anywhere from $20 to $2000 (depending on the volume of your following base, their engagement level and how targeted they are) for you to be the face of your product or service.
If you have a large following which are interested in a specific thing that relates to a product and if they are a very active community where they’re talking to you and each other, then brands would love to work with you, even if you only have a few thousand followers, people might be still interested in working with you if your audience is very active and engaged. If however they are less active and engaged, then you probably need at least 10.000 followers and there will be still a lot of companies interested in working with you to promote their products and to grow their own audience.
5. Selling your own digital products
The fifth and last method on this article on how to make money on Facebook is to create and sell digital products yourself. Maybe you could create an e-book that teaches someone a skill; or a simple time management or web analytics application; a video or only-audio guide course and so on. Then you can present it on your website or another third-party marketplace. Once you created your digital product and the site is ready to take orders, you can start promoting it on Facebook with the same tactics we talked in the methods above. Either by networking or using Facebook Ads.
On one hand this is one of the easiest opportunities because you don’t have to deal with physical products at all, and you can scale indefinitely because you can sell as many copies of the digital product as you want and you’ll never have amendment or issues. On the other hand digital products do tend to be a little bit harder to sell, and that’s because it’s harder to convince people that they are worth their money. Because it’s an intangible product people can be a little bit hesitant and concerned that it might not be worth paying for. However, there are plenty of people who make six figures per year selling online course and even e-books.
If it happens to have expert knowledge or even just above-the-dinner average in any specific area then there are probably people interested in learning about that topic or learning how to do what you do. Maybe you could even teach people how to do the job that you do, whether it’s a day job or a freelance job. You can package your expertise into a course or a e-book and then promote it with Facebook Ads or in groups.
This pretty much covers the five different common ways that you can make money on Facebook. i know that none of these methods are completely automatic or completely hands-free, but honestly there isn’t such a thing as making money without putting out any effort, because you really have to provide value for others in exchange for that money that they’re giving to you. I don’t want to say that there is not such thing as passive income, there definitely is, but you need to create that value in the first place and then you can continue to sell it indefinitely. Once you do the initial advertising work it could grow by word of mouth and you could have a passive income stream for the future. However, all these methods and other way of making money does require at least some initial upfront work.