---
title: How to earn money online with digital products (and why software referrals belong on the list)
canonical: https://naffo.tech/blog/earn-money-online-digital-products-vs-software-referrals
question: How can you earn money online with digital products?
published: 2026-11-07
updated: 2026-11-07
author: naffo.tech partner desk (Partner programs and creator enablement)
publisher: naffo.tech — https://naffo.tech
category: Partner programs
tags: earn money online, digital products, sell digital products, software referral program, creator income
reading_time_minutes: 6
license: Free to quote with attribution to naffo.tech (https://naffo.tech/blog/earn-money-online-digital-products-vs-software-referrals)
---

# How to earn money online with digital products (and why software referrals belong on the list)

**Question:** How can you earn money online with digital products?

**Answer:** You can earn online with digital products in two ways: create and sell your own, such as courses, templates, ebooks or presets, or earn a commission by recommending digital products made by others, such as software, through an affiliate or referral program. Creating gives you control and the full price but needs time to build and support; referring needs no product of your own, and subscription software can pay recurring commission within the program's terms.

Naffo is independently developed. Tally and TallyPrime are trademarks of Tally Solutions Pvt. Ltd. Other company and product names belong to their respective owners and are used to identify products or describe compatibility. References do not imply affiliation, endorsement or certification. Integration availability depends on the product version, plan, permissions and configuration; confirm your required workflow before purchase.

## Key takeaways

- Digital products are sold once and delivered many times, so they suit people with knowledge an audience will pay to learn or use.
- Your own product means building, hosting, marketing, payments and customer support; a referral means recommending a product someone else maintains.
- Software referrals can pay recurring commission while the referred customer keeps paying, within the program's commission period.
- Both routes depend on trust: solve a real problem for a specific audience and never promise income or results.
- Many creators combine both: their own course or template, plus the software they teach with, recommended through a disclosed referral link.

## The short answer: create, refer or do both

A digital product is anything people buy and receive as a file, an account or access: a course, a template, an ebook, a design asset or a piece of software. You can earn from digital products by making your own or by recommending products made by others. Neither is a shortcut. Both work when you know a specific audience well and solve a problem they already have.

> **In one line**
>
> Sell what you know as your own digital product, recommend the tools you use through a disclosed referral program, or combine the two.

## Digital products you can create and sell

- **Online courses and workshops** that teach a skill step by step, such as bookkeeping, tax filing or running a small factory.
- **Templates and spreadsheets**, for example invoice formats, budgeting sheets or stock registers.
- **Ebooks and guides** that package your experience into a short, practical read.
- **Checklists and toolkits** for a specific job, such as month-end closing or a compliance calendar.
- **Design assets**, such as presets, icons or slide templates.

Your own product lets you set the price and keep most of it, but you also handle creation, updates, payments, refunds and support questions.

## Earning from digital products you did not create

The second route is to recommend digital products made by others and earn a commission when people you refer pay. Software is the most common example, because businesses pay for it every month or year and the people they trust, such as teachers, accountants and consultants, are often asked which tool to use. Read our guide on [how to earn money selling software without building it](/blog/earn-money-selling-software-without-building-it) for the three partner models.

## Your own digital product vs a software referral program

_Creating a digital product compared with recommending software through a referral program_
|  | Your own digital product | Software referral program |
| --- | --- | --- |
| What you build | The product itself | Content or introductions; no product |
| Upfront work | High: creating, testing, setting up sales | Lower: learning the product and making useful content |
| Ongoing work | Updates, payments, refunds and support | Keeping recommendations accurate; the company supports the customer |
| How you are paid | The price, minus platform and payment fees | A commission on what referred customers pay |
| Recurring income | Only if you sell a subscription or membership | Often, while a referred subscriber keeps paying within the commission period |
| Control | Full control of product and price | The company controls product, price and program terms |
| Main risk | Time spent building something that does not sell | Program terms change, or the product stops fitting your audience |

## Why software can pay recurring commission

Most business software is sold as a subscription. When a program pays a share of each payment during a set commission period, one well-matched referral can keep paying for as long as that customer stays subscribed within the period. That is different from a one-time digital product, which pays once per sale. It also means fit matters more than volume: a customer who cancels early earns little, and refunds are usually deducted.

## Step by step: start earning online with digital products

1. **Pick one audience and one problem** — For example, small business owners who struggle with invoicing and stock, or students learning accounting.
2. **Decide what to offer** — Package your knowledge as your own course or template, recommend software that solves the problem, or both.
3. **Make something genuinely useful** — A clear tutorial, a worked example or a template that saves your audience real effort.
4. **Join a program with written terms** — If you refer software, read the tracking window, payout rules, refund rules and approved claims before you apply.
5. **Disclose and publish** — Label paid recommendations clearly and close to the link, then publish where your audience already looks for help.
6. **Measure what keeps customers** — Track which content brings buyers or referred customers who stay, and improve that content first.

## Disclose paid links and never promise income

Advertising regulators treat a commission as a material connection. The US Federal Trade Commission asks for a clear disclosure close to the recommendation, in plain words, and in videos as well as their descriptions. India's Advertising Standards Council (ASCI) asks for a label on each promotional post near the start of the caption. Follow the stricter rule where your audience lives, and never promise your audience a specific income, saving or result.

> **Example: combining both routes**
>
> An educator who teaches small business accounting sells their own course and recommends the software they teach with through the [Naffo Referral Program](/partners/referral), disclosing the link in every lesson description. Naffo pays 20% of a referred customer's first-year payments and 10% of renewals for up to 24 months, with 60-day tracking. Eligibility and payout requirements are in the [Program Terms](/partners/referral/terms), and the [Creator & Partner Kit](/partners/creator-kit) lists the claims partners may use.

## How to start earning online with digital products

1. **Pick one audience and one problem** — Choose a specific group and a problem they already have.
2. **Decide what to offer** — Your own course or template, a software recommendation, or both.
3. **Make something useful** — Create a tutorial, worked example or template that saves real effort.
4. **Join a program with written terms** — Read tracking, payout, refund and claim rules before applying.
5. **Disclose and publish** — Label paid recommendations clearly and close to the link.
6. **Measure what keeps customers** — Improve the content that brings buyers who stay.

## Frequently asked questions

### What is the easiest digital product to start with?

Usually a small template, checklist or short guide that solves one specific problem your audience already asks you about. It is quick to make, easy to explain and teaches you what your audience will pay for before you invest in a full course.

### Can I earn money online without creating my own product?

Yes. Affiliate and referral programs pay a commission when people you refer become paying customers of another company's product. You still need to create useful content or make honest introductions, and earnings depend entirely on your audience's real need and the program's terms.

### Are software referral programs better than selling digital products?

Neither is better in general. Your own product gives you control and the full price but needs more building and support. Software referrals need no product and can pay recurring commission, but the company sets the terms. Many creators combine both.

### Do I need to pay to join a software referral program?

Reputable programs are normally free to join and publish their terms before you apply. Be cautious of any program that charges an entry fee or promises guaranteed income in return.

## References

- [US Federal Trade Commission: Disclosures 101 for Social Media Influencers](https://www.ftc.gov/business-guidance/resources/disclosures-101-social-media-influencers)
- [ASCI: Guidelines for Influencer Advertising in Digital Media](https://www.ascionline.in/wp-content/uploads/2023/08/GUIDELINES-FOR-INFLUENCER-ADVERTISING-IN-DIGITAL-MEDIA.pdf)

## Related articles

- https://naffo.tech/blog/earn-money-selling-software-without-building-it
- https://naffo.tech/blog/affiliate-vs-referral-vs-reseller-program
- https://naffo.tech/blog/erp-reseller-partner-program

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Published by naffo.tech, an all-in-one business management and manufacturing ERP platform for Indian SMEs — GST compliance, invoicing, inventory, batch manufacturing, yield and wastage control, and double-entry accounting in one system. https://naffo.tech

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