What exactly is a digital business? (And How to Become One!) |

What are the experiences of Doug Neill, owner of Verbal to Visual, who offers memberships and courses for students who are visual; Sadie Robertson Huff is the owner of Live Original, who has an app, a podcast as well as hosts activities for young women who are seeking to develop their spiritual growth and faith; and Ashley Fox, owner of The Wealth Builders Community, that offers memberships to people seeking to increase their wealth. What do they are in the same boat? All three are digital entrepreneurs.

When the world shifts and develops, so is entrepreneurship. If you've got an amazing idea, would like to have some freedom and appreciate a flexible lifestyle, being a digital entrepreneur might be the right fit for you.

What we'll discuss in this article:

• What a digital entrepreneur is.        
  
• Types of digital entrepreneurs.        
  
• The benefits of being a digital entrepreneur.        
  
• How to become an entrepreneur in the digital space.        
  

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What exactly is an entrepreneur in the digital space?

Digital entrepreneurs are people who operates their business on the internet. There is no specific type of digital entrepreneur. They could be anything from an online course creator or virtual assistant, to becoming a blogger or podcaster. Digital entrepreneurs are able to sell products like business coaching digital products like e-books, or physical products such as candles. There are many opportunities.

Being a digital entrepreneur often doesn't require fancy equipment; it's possible that you only require the laptop. It is possible to use social media to raise awareness about your company, establish an online presence, and then use emails to build and build a relationship with your audience. One of the benefits of digital business is that you could earn as much money as you have in a company, without the overhead of physical needs like a storefront.

    Digital versus traditional entrepreneurship

The thing that differentiates an entrepreneur who is digital from traditional entrepreneurs is their location of operation. Traditional entrepreneurs have as a physically-based business such as a pop-up shop or storefront shop. There are benefits and drawbacks to both.

The most significant benefit for online entrepreneurs is the fact that they do not need a lot of funding for their venture (you don't need outside funding for the start-up phase and are able to bootstrap the business) as well as their expenditures are relatively affordable. The challenges to being a digital entrepreneur are:

• You are competing against the entire globe (instead of your geographic area)        
  
• You need to be more diligent in building confidence and credibility        
  
• Potential customers can't see your product in person and must rely on reviews.        
  
• Digital entrepreneurs could find it difficult "turning off" or establishing working times for themselves as they work at anytime and anywhere...even their couch, which can lead to exhaustion.        
  

Traditional business owners can utilize digital tools as well, to for instance, they can use social media platforms to raise the awareness of their company. If they've got a physical storefront, they also have an advantage with foot visitors -- walking by, spotting the gorgeous red dress that is in the window and thinking, "I have to have this !"

Traditional business owners also establish business hours so may be less likely to be exhausted. But of course, the biggest disadvantage to being a traditional business owner is that they need more money to establish their shopfront and have higher costs in order to run their business. This is more in comparison to digital entrepreneurs.

Different types of digital entrepreneurs

It's easy to imagine that there are many instances of what digital entrepreneurship might look like. This is especially true in the event that new technology and tools are released, which means the possibilities are endless. These aren't mutually exclusive examples either; a lot of digital entrepreneurs mix these examples to diversify their offerings. Here are some common types that digital entrepreneurs can take advantage of.

Community Hosts

We know something or two about creating an online community. One great way for digital entrepreneurs to create a community is through their passion. Take, for instance, ArtSnacks Mix built around painting with joy and the Outwild Hub. Hub is a community dedicated to outdoor enthusiasts looking to make outdoor activities more a part of their lives.

communities are becoming successful online businesses We're experiencing them expand to 6, 7-, and even eight-figures!

Digital entrepreneurs are able to earn money from their community simply by creating a membership fee to the members of the community. They could also hold live events, create an application with a brand name, and create a course that they only offer to customers.

And there are a ton of types of internet communities to choose from. These are a few examples:

• Mastermind group: Members gather to share expertise and transform their businesses or lives.      
  
• Group coaching: A community hosted by a coach who brings members together for a change (e.g. the holistic wellness coach ).    
  
• Micro-community: It doesn't take a large community to make an difference. It's just 30 members or less, who are dedicated to learning about a particular subject or interest, goal or even a love.    
  
• Community of Content: Members come together to develop and/or develop content, and to share their knowledge.      
  
• Online community for brand: This type of community has members-led growth driven by those who love to speak about the brand or product. Consider, for instance, the QuickBooks community. It is a space to help users of the product to get the knowledge they need. Another great illustration of a brand's online community would be Adriene Mishler (who started Yoga with Adriene on YouTube). She built a community to aid her 10 million+ followers go deeper into the practices of Yoga and connect with others, so she launched her own community called the Find What Feels Good (FWFG) Kula Community.    
  

Blogger

If you're a writer and are able to write about something you should consider starting a blog. It could make a good transition into digital entrepreneurship. Once you've found your niche and have chosen a name to your website (make sure to use our blog name generator) you're now ready to offer worth. Bloggers like Seth Godin and Neil Patel share a ton of value by offering marketing wisdom to their readers.

Contrary to what many people believe, you don't need tons of traffic in order to make money from your blog. However, you do need an action strategy (because your blog shouldn't be the place where you keep your journal). You also need to remain persistent and be patient.

Bloggers are able to earn cash through a variety of ways, such as:

• affiliate marketing: When you feature the products you sell on your blog, when someone clicks on a brand-approved tracking link, you may earn commissions.      
  
• Ads: When you let other businesses to advertise through your website, you are compensated. Ads can be paid per view or per ad (also known as the revenue per mille, also known as RPM. ).    
  
• Promotions In the event that you're getting enough traction and are able to attract enough attention, companies can give you a payment for the content for their blog.      
  

Bloggers also make cash by selling courses, e-books, or merch through their blogs.

Of course, the methods for writing content are always evolving and some people opt to create posts on places such as Twitter or LinkedIn instead of the traditional blog platform.

Podcaster

It's never been simpler to create and develop your podcast! There are so many big name podcasts that are making money from podcasting, like "Armchair Expert,"" "Call Her Dad,"" "Office Ladies" and "Freakonomics Radio ."

Even as you're getting started by forming a community which is enthusiastic about your work, you may still make a profit from your podcast. Similar to blogging, you'll need to find your niche (not just something popular however something that you are interested in), have a solid title (use the Podcast Name Generator) as well as an outline for when you will release new episodes, increasing engagement, and lining up the right guest speakers. Be aware that building your fan base is a process that takes time. Be patient and stay steady.

Podcasters earn money through:

• Paid communities: Subscribers pay for access to premium content such as videos, Q&As featuring special guests, early access to new episodes and exclusive group discussions. Podcasters can earn revenue through a community by selling different memberships.    
  
• Create courses: If you have a podcast that offers educational content or helps listeners learn how to do something new, creating a course is a great method to make money off your show. Look at Gretchen Rubin, who has an audio show for self-development, "Happier with Gretchen Rubin." Her self-improvement courses are self-paced. courses that match the theme of her show, such as "Outer Order,"Inner Calm," and "30-Day Relationship Challenge ."    
  
• Affiliate marketing: In the use of affiliate marketing on podcasts, hosts receive a commission every whenever a person who listens to their podcast purchase a service or item that is mentioned in the episode. This is tracked using a discount code (members are usually offered 10-15 discount on the service or product and this gives them an additional motivation to purchase ).    
  
• Sponsorships: You know commercial breaks that pop up while you're listening to a podcast? That's a sponsorship. This is different from affiliate marketing since you are paid only to mention the company's name (e.g. a flat fee to talk about them in seven segments), even if your listeners never spend a cent on them.    
  
• Live events: A lot of the most popular podcasts, such as "Giggly Squad," have accumulated so many fans that they've gone on live tours. Even if your following isn't as big, consider hosting a local live event in a pub, restaurant or a local bookstore.    
  

YouTuber

YouTube is the world's second-largest search engine (and is owned by Google- the most powerful) Top YouTube stars such as PewDiePie, Markiplier, and Like Nastya earn anywhere from between $28 million and $38 millions each year!

Although there's an abundance of competition on YouTube (over 720,000 hours worth of video uploaded each day) The key for building a YouTube audience is to find a really strong niche and crafting content that fits into the area of. Just like with the podcasting industry, blogging requires an enormous amount of determination and persistence to grow a following on YouTube.

Here's the way that YouTubers make cash :

• Ads: In order to be able to advertise, you have to hit an upper limit of 4000 hours of watch time over the past 12 months as well as 1,000 subscribers. The best method is not to make money but it is how YouTubers with huge followings make cash.    
  
• Memberships to channels: Similar to ads, you'll need to get more than 1,000 subscribers and be in the YouTube Partner Program. Then, you can offer members advantages such as badges, stickers as well as live chats and other.    
  
• affiliates YouTubers earn a percentage of every when a viewer buys a product or service featured in a video (affiliate links located inside the title of the video).      
  
• Merch: If you have a recognizable brand it is possible to market merch.      
  
• Services to sell: Let's suppose you're a fitness instructor and you want to share fitness tips on YouTube and link it to your fitness-related business.      
  

Learn further about how much YouTubers earn per view in this article .

Consultant

If you're an expert when it comes to solving a problem, consulting is a good opportunity to earn money from it. Your expertise can be offered to businesses that are in need, creating your content on LinkedIn and YouTube as a type of advertising. A solid portfolio of testimonials from past clients as well as statistics which prove your worth will make you a credible consultant. Consultants can work either as an hourly retainer or through deliverables and top consultants can charge hundreds of dollars per hour to cover their expenses.

Consulting can range from offering the client data in order to assist clients in enhancing their business. Consulting can assist organizations in their marketing, sales technological, informational understanding, diversity, and inclusive initiatives, as well as the resolution of conflicts.

The most appealing aspect is that digital entrepreneurs can get help from anywhere in the globe.

Subscriptions

Digital entrepreneurs can create an online subscription company and offer subscriptions. The model is similar to an online community but more passive; subscribers simply use software, content, or products that you've created or licensed. Think of software companies like Dropbox and Zoom that provide media like Hulu and Netflix, or even ones with physical items like HelloFresh - they've built empires around subscription services.

Here's how digital marketers can take advantage of subscriptions:

• Premium content businesses when people pay each month, and have access to videos (e.g. fitness videos ).    
  
• A product that is monthly: Certain businesses offer subscriptions for necessities like razors and soaps to more decadent items like wine and chocolate.        
  

The great news is that it can be regular revenue, if you get your business's idea of repeating work for you.

Newsletters have also being used to boost the economy of subscriptions.

E-commerce

It's not just a trend; in fact, it's growing exponentially and projected to hit $3.6 trillion in value in 2024. The great thing about e-commerce is that it's not only for large corporations, it's for everyone, including entrepreneurs in the digital space.

There are numerous platforms to sell your products on such as Amazon as well as Alibaba and if you're creative, consider Etsy. You can also use Shopify to digital-savvy entrepreneurs looking for a platform on which they can build their own online store.

The choices for products that digital entrepreneurs can sell are endless, from physical items like footwear, mushrooms lamps as well as art to digital products including e-books, printed materials and apps (which are projected to hit $755.5 billion in 2027) and online learning courses. Digital products are advantageous as they're scalable and infinitely adaptable, generate recurring revenue, and they can easily be automatized.

Creator of the course

It's not a secret that online learning has skyrocketed in the past few years. Because of online platforms for courses, there's never been a better time for online entrepreneurs to translate their experience and skills into an amazing education experience for anyone around the world can take. In fact, courses are so popular that we watched a blogger as well as an author on Mighty selling 5,000 seats for the value of $997 in only 10 days.

Online courses can be about practically anything, from 2D animation, to learning to draw. Classes can be pre-recorded (asynchronous learning) or live-taught (synchronous learning) and both can be scaled, because even teaching live, you can teach to thousands of people.

However, we're not suggesting that creating courses is simple- you need to find the right niche, design your course, then advertise it. Profitable niches are a combination of being relatively popular, where people are enrolling in courses the area, and willing to spend money on.

Some of the best profitable online courses comprise B2B, entrepreneurship, fitness, marketing, and wellness.

Also, check out our list of online course concepts here !

Host an event online

One of the best things with a virtual conference is the convenience -- for both the host and those who attend. There's no need to fret about the capacity of a venue as well as the logistics such as parking or having an alcohol license The participants do not have to be concerned with travel time or even their clothes.

There's plenty of space for fun with virtual events, provided that you have a compelling message that will motivate and excite people to attend. It's about educating people on the, what, and why around the valuable experience participants will receive. We call this the Big Purpose.

The next step is to identify the ideal member  through asking:

• Where did they originate from?        
  
• What do they care about?        
  
• What issues are they having trouble with?        
  
• What transformation would make them come to life?        
  

The downside of virtual gatherings is that the connection between participants doesn't happen as smoothly as it does in-person. It's the reason it's so important to make connections such as:

• Breakout rooms        
  
• Group projects making use of the whiteboard        
  
• open text questions as well as discussion        
  
• Q&A session        
  

Events can be held at any interval, from yearly to several occasions per month. The sewing group Topstich Makers hosts weekly sew-alongs for people to work simultaneously in a single project.

Why becoming a digital business entrepreneur?

Clearly what you can offer as a digital entrepreneur is infinite. However, if you don't offer something worth it is possible to be thinking what else could be in it for you?

Flexibility

In contrast to a traditional 9-to-5 job, becoming an entrepreneur implies that you get to dictate your work schedule. You are able to work 4 each week days, whenever you'd like or even take a longer lunch, all without asking permission. Being a digital entrepreneur grants the user more flexibility as an entrepreneur in the traditional sense as you're not bound to any specific location. Digital entrepreneurs have the flexibility to work from any place in the world and starting from Boston up to Bahamas and living that"digital nomad" lifestyle.

Scalability

Scaling your business means growing your customer base and the amount of revenue you earn faster instead of just increasing expenses. There's no one-size-fits-all when it comes to growing your business. It will depend on the state of your business. But, when you have the proper foundation and you can then create an ongoing, long-term strategy for growth there's no limit to what you can achieve!

Amazon is a prime example of a limitlessly scaling technology firm. The initial idea was the first bookstore turned into an online marketplace application that increased thanks to the network effectbecoming more valuable every time a user joined. The market is now valued at $1.8 trillion.

When businesses think of scaling, their minds go to the courses. With an expected value of $62 billion by 2027, there's good reason why this first web-based product that is scalable remains a go-to option for scalability. The process of scaling for coaches may mean the only offering of 1:1 coaching in order to offer engaging and interactive courses.

One idea that entrepreneurs tend to overlook when it comes to growing their business is the idea of virtual events. The most challenging part is designing and hosting your very initial virtual event. Once you've gotten over that plateau and received positive feedback from participants, you can easily refine the event and hold more. Plus when your virtual event has high-value or high-quality entertaining (or both) the attendees are likely to spend money and attend! Select a virtual event platform which allows you to build and scale easily.

Accessibility

You can not only work from anywhere, you can connect with anyone around the world. In contrast to traditional entrepreneurs, which can only connect to those in their geographic zone, online businesses are not confined to one area.

By using a superior digital marketing plan, you can reach your target audience. Make use of social media to your advantage write blog articles that will get noticed by your targeted people's attention through search engine optimization (SEO) offer valuable information for your readers as well as use emails to draw visitors to your site.

Adaptability

It's important to be able to change with changing market trends is beneficial -- keeping your creativity flowing while trying out new things so you're never bored. If you discover there's less demand for your service it is possible to quickly adjust the offerings you offer to meet your market's needs. Unlike a large corporation it is possible to easily alter or alter your offerings and pricing without losing too the time or money.

Naturally, it's not a good idea to suffer from the syndrome of shiny objects when it comes to entrepreneurship (offering the newest and most popular simply because it's trendy) however, you need to know what's the market's demands.

Profitability

We're not saying once you start your own business you're going to make $100k in your first year However, as your expenses are minimal, your possibilities for earning is virtually unlimited -"cha-ching.

It's all about perfecting your skills, knowing who the customers you're trying to sell your products (having a niche is super valuable -- that way you're more focused and not selling to everyone) and completing the basics of business while transitioning from a creator to entrepreneur, and working on the way you think (self-doubt can be a nagging way of creeping up upon you). Making your digital business in a part-time job could be the most effective way to get more experience and confidence before diving in head first.

While the earning potential of digital entrepreneurship is unlimited however, it's usually the time freedom that individuals choose entrepreneurship in the first location. This could mean time spent with family and friends or more travel time, making memories. It could also mean more time for yourself all around.

How do you become a digital entrepreneur

The best thing about being a entrepreneur is that it looks slightly distinct for each person based on the location they operate their business and how they manage their company, and who the clients they serve. However, when you're first starting out there are some basic steps that everyone must take to become a digital entrepreneur.

1. Lay the foundation

Like building a house, creating a company requires a solid foundation to work on. Each business begins with an idea or a vision or an the spark of inspiration.

Global businesses like Starbucks were born from an idea. Two teachers and a writer pooled their money and resources to start a Seattle-based coffee bean business and established what is now among the top recognizable cafes across the globe.

The majority of business ideas stem from a requirement that you've encountered or from a gap you see in the market.

If you're still stuck there's another option to think about:

• Area of expertise Review your knowledge and the fields that you know about. In the world of Mighty, we often see people building thriving businesses around topics they're familiar with. Digital businessman Ryder Carrol, whose approach to bullet journaling sparked a movement, a publication, courses and a community centered around visually organized.    
  
• Your skills: Starting from your strengths can be a fantastic approach to becoming a digital entrepreneur. In essence, you should work in your area of creativity, not what you find hard to complete (e.g. Don't be a coach if your people abilities aren't the greatest). ).    
  
• Passion: Do you know those subjects you just can't get enough of or the topics you can't stop talking about? What about the things you enjoy doing just to have enjoyment? All of the things can point to your interests.    
  

Here are a few questions you can ask yourself to get a better understanding of your venture in digital entrepreneurship:

• What do I know about X topic?        
  
• What problems have I solved successfully on my own?        
  
• What issues have I succeeded in solving for others?        
  
• What could I teach an individual who's just beginning to learn?        
  
• Why do I want to be a digital business owner?        
  
• What am I bringing to the to the table? What's my unique perspective?      
  

2. Find the ideal client

There's a saying that goes, "When you sell to everyone, you sell to nobody." And it's true. There's no way to possibly sell to everyone, which is why you must decide the people you're going to be serving.

Also, you must ask yourself, "What problems will I assist them in solving?"

Customers purchase goods or services due to a motive that is related to more inner peace, find a partner, or just feel better about themselves They're seeking a change.

Here's what to think about when it comes to the ideal client:

• Demographic, geographical and psychographic traits.        
  
• Transitions and life states (e.g. new parents, first-time home owner, parents who are empty nesters, changing careers ).    
  
• The hopes and dreams of their children.        
  
• Beliefs, fears, and challenges from them accomplishing their objectives.        
  

You can go even deeper and conduct market research. Whether it's through a survey and group Q&A or an individual interview. Ask potential customers these questions to get a better understanding of what they need:

• What challenges are you currently facing in your journey with X?        
  
• What challenges do you have accomplishing X by yourself?        
  
• What solutions or services have helped you with your problems?        
  
• What services or products have you used that didn't solve your issues?        
  

3. Test out your ideas

After you've acquired an idea of what your ideal client wants and needs, you can now design a product or service to match.

If your perfect customer is looking for the perfect partner for them but have a difficult time gaining confidence and making the decision to go out and putting themselves out there, think about all the ways you could help them.

They could also include:

• An online event for singles looking to mix.        
  
• An online course that teaches them how to step outside their comfort zone to make new friends and meet a potential companion.        
  
• A matchmaking service that is 1:1.        
  
• A group coaching program that is designed specifically for single women. Each week will be a different topic that is related to loving yourself and finding that ideal partner.      
  
• A book about confidence building and how it will help them to improve their lives in all areas of life, even love.        
  

After coming in with as many suggestions as you can, you're ready to test these ideas with your prospective customers. See which ones they find intriguing and interesting, as well as those they're not so thrilled about.

Visit our Corporate Name Generator for creating an unforgettable company name.

4. Figure out business requirements

It's not necessary to go into too much of the nitty-gritty here, but just like the traditional business owners, entrepreneurs who are digital still need to adhere to the laws and rules of business ownership.

In essence, you must know how to sell and collect the appropriate taxes and report to the government. It is also necessary to figure out proper invoices and pay taxes at year-end. You can ask other digital entrepreneurs on how they invoice (which software they utilize) as well as use the accounting software, or even an accountant to help with taxes.

5. Make sure marketing is working in concert

Now that you have all the pieces in place, it's time to put your name out there! It's not necessary to have an online presence (especially if you're selling services) however it will make your appearance more professional. There's no question as to whether you should market your company through social media. It's completely free and simple to make content, that can grow your audience. It's a matter of picking the most appropriate oneschoose where your ideal customers hang around the most.

Next, you could create an email marketing system. One way to grow your list of email addresses is creating a freebie (also called the lead magnet) so that in exchange to receive email addresses.

Or start a community! It is our experience that a thriving community can eliminate the need to have a conventional sales funnel and becomes a community flywheel business that expands.

Digital entrepreneurs need the best platform

Digital entrepreneurship is vast, but we hope you are inspired to investigate this ever-expanding field.

If you're considering digital entrepreneurship to create the content you want to share, create a community and/or events, courses and/or commerce, come build with Mighty! We're a one-stop digital-entrepreneurship platform that allows memberships that allows you to livestream, conduct live or pre-recorded classes, host discussions, and live events in which participants are able to talk and communicate with each and each other.

Additionally, you can earn money in 135 currencies, and make payments directly on the platform.