How I Make $10,000/Month In Passive Income with Affiliate Marketing (GaryVee Response Video)

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– All right, so today I’m gonna talk about the buzz word or buzz phrase
that is passive income. Now I’ve talked about
passive income multiple times on this channel but there is
a very famous entrepreneur that chances are most of you
have heard about, Gary V, who has, well shall we
say, strong opinions on this whole passive income thing. – [Audience Member] I have a
question about passive income – Okay – [Audience Member] and
I want to know what kind of trends do you see for a
person interesting in that? I don’t wanna be stuck in office 9 to 5. – When you say passive income, do you mean some…what do you mean? – [Audience Member] I mean not
having to work all day long. (laughing) I wanna be on a beach in Mexico instead of being on a office in Sweden in cold November. – Are you being serious right now? – [Audience Member] Yes yes I’m serious. – Okay. (audience laughs) – The quickest way to not be on a beach in Mexico is to think that
passive income exists. – Yeah as someone who
has made multiple videos on building passive income streams, we clearly don’t agree on this. I’ve had people ask me
what do I think about Gary’s opinions on passive income. And so that’s what this video is. A response to Gary V. So look here’s the thing. Obviously, I disagree with him because I know that passive income exists and the reason why I know it exists is because I have created it. And so in this video I’m
going to show you how I did it and we’ll see if by the end of the video you agree with me or if you agree with Gary V. Now I’ll admit I’ve
definitely become more careful about what type of income
I now label as passive. Anything requiring employees
or virtual assistants to run for me I’ll either state that it requires them or I’ll
call it semi-passive income. Whether that can be counted as passive is more debatable. But this income I earned last month that you were seeing here
this was all automated no staff required. To me I would argue that
this is not debatable it is passive. And all that money was through
affiliate marketing income that I made through this YouTube channel. And the only big reason
that I made this channel in the first place I wanted to diversify my income sources and
have a source of money that didn’t rely on eCommerce. I wanted a source of truly passive income. And you know earlier this year when I had my emergency appendix surgery in Canada where my ability to work just plummeted, I suddenly felt very vindicated and glad that I made that decision. So what is affiliate marketing and what makes it just so passive? Well to explain that
let’s take one product that I promoted last month. And that product is Placeit. A site that provides mark up pictures for print-on-demand products. In the last thirty days I made over $800 in affiliate commissions
with it doing no work. Placeit is very simple. What is does is it lets you take a piece of artwork like this and then it lets you place it onto a huge range of different product
markups that they have available on the site. All you have to do is upload the artwork to their website and then Placeit will digitally put it onto
their model lifestyle markup. You can then download this picture and use it to advertise
your print-on-demand T-shirt that you created and are selling. On this YouTube channel we usually focus on eCommerce business models
such as print-on-demand and one of our
print-on-demand contributors is a millionaire Michael Shih. And as he said in one of our videos a big reason why he believes he made over a hundred thousand dollars selling this print-on-demand T-shirt was because he had this awesome
lifestyle markup picture for it to use in his
Facebook ad campaigns. And so yes obviously I think Placeit is a fantastic service. Because of that, I signed up to the
Placeit affiliate program. When you create an
affiliate account with them, inside your account dashboard, you’ll be given what’s
called an affiliate link. Well then my video a couple months ago, where I taught how to set up a print-on-demand business on eBay, I recommended people use Placeit. And so what I did, was a
placed this affiliate link in my video description using a redirect to make it look nicer, of course. When someone clicks on that link, they’ll get taken to Placeit. When they do, check out the URL. It looks pretty funny, doesn’t it? This data added to the
URL is a tracking code. This URL tracks if people click on my link and then go buy a subscription to it. And if someone does do that,
Placeit will reward me. And I will get a commission
on that sale as a thank you. And so that’s what affiliate marketing is. It’s when you’re promoting a
product or a service online, using an affiliate URL
that’s tracked to you and you get a commission on that sale if someone purchases it
because of your recommendation. Now there are two reasons why I think that this 800 plus dollars I earned from Placeit counts as passive income. The first reason is thus the unique thing to affiliate marketing compared to say eCommerce business models is that when someone clicks
on my affiliate link, and purchases a Placeit subscription, they aren’t my customer. I don’t have to send a
customer the product. Placeit does. I don’t have to answer
their support emails. Placeit does. And that’s because they
aren’t my customer. They are Placeit’s. Now I will admit, not having
the customer be your customer definitely has some disadvantages in terms of how much money you can make from them. On the other hand, unlike what Gary says. – The quickest way to not
be on a beach in Mexico, is to think that passive income exists. – I genuinely did earn some of this money while I was on vacation. Now, admittedly, it wasn’t
on a sunny beach in Mexico, but instead a bunch of it was earned on a recent vacation to the still warm and sunny Tokyo in Japan. The second reason why
I consider that money to be passive is because I
created an automated system to refer potential customers to it. I have utilized organic YouTube traffic. You see, here’s the thing
about this YouTube video that promotes Placeit. Now that I’ve created it
and put it up on YouTube. Well, since YouTube’s algorithm likes it and is sending it traffic, I literally have to do
nothing to it anymore. Case and point, here is another product that I have made affiliate commissions from in the last month. AliDropShip. My subscribers here at wholesale team will likely recognize it. Basically, it’s a
premium eCommerce plug-in to make setting up drop
shipping eCommerce stores with Word Press and
WooCommerce fast and easy. While creating this video, I sign into my AliDropShip
affiliate account and I counted up the commissions I earned in the past 30 days, and what I discovered was that I had made over $1,500 in commissions. And so how did I earn those commissions? Well, surprise, surprise. It was with YouTube. AliDropShip is genuinely a great plug-in and so it’s very popular. Thus, a lot of people want a high quality, step-by-step video tutorial
to follow along with. And, you know, I’ve made two. I’ve made this new updated
one that I released this year. And this tutorial I created last year. Let’s take a look at how
many people are finding it. If we come, we click on the analytics, we can go over to my
YouTube analytic dashboard. And if we head on over to the
reach section inside of it, we will see that surprise, surprise, the biggest way that this
video is getting viewers, is through people using YouTube search bar to search for keywords
related to my video, such as the phrase AliDropShip
or AliDropShip tutorial. And when they do a search for that, do any of these videos
look familiar to you? Here’s the thing, I made
that video and I put it up and I haven’t touched it ever since then. People have found it, watched
it, followed along with it, and in the process purchased AliDropShip through my affiliate link, resulting in passive
money and commissions. And actually those aren’t
the only commissions that I make through those videos. Because to complete the tutorial, you will need to purchase web hosting, and in the video I
recommend one of my favorite web hosting platforms for
beginners, Site Ground. In the last month, or again 30 days, I have made hundreds of dollars with them. So, really, these two videos bring in over $2,000 a month in passive income. And would you believe
that that’s not the only video tutorial series that I
have on my YouTube channel. I have another one that teaches people how to set up an online store using a completely different platform that many of my subscribers
will recognize, Shopify. Out of the two, this is
unashamedly, my personal favorite. And check this out, in the
last month, or again 30 days, I have made over $10,000 from
Shopify commissions alone. Yep, just one single product. My tutorial videos take
viewers through step-by-step how to set up a store using it, and again if we come and
check out the analytics from my most recent 2019 tutorial, you’ll be able to see that the primary way that people find this video is again, through YouTube search. It’s from people coming
to the YouTube search bar and typing in key words
related to it, and boom. Finding my video. I made that video six months ago. I put it up on YouTube and I
have not touched it since then. It’s just sitting there
getting free traffic and bringing in thousands
of dollars each month completely hands off. And so let me ask you a question. When Gary says, – The quickest way to not
be on a beach in Mexico, is to think that passive income exists. – Do you agree with him, or have I convinced you
that passive income made on the internet isn’t
just some fairy tale. So while I may have disagreed with Gary with what he said to
that kid in the audience, there was another video
that he released later that clarified a lot of his views. And a lot of that I actually agree with. – Please make sure that
your passive income has practicality to it. Because of all the people that have tried to create systems and automate their cash, there’s been a very small
percentage of people that have been able to lay on the beach while they collect money on the internet. A lot of that stuff is
completely ludicrous. And I promise you the ones
in the 1% of passive income, spent a boat load of
hard work and hard time to get to that evergreen
place up in the sky. – And, you know, as someone who earns over $10,000 a month with passive income, I obviously disagree with this idea that it’s mostly ludicrous. But, I do agree with
Gary that a lot of people have ludicrous ideas about passive income. You see, in my video earlier this year where I called out Gary on his
opinions on passive income, this very astute viewer
pointed something out. Gary doesn’t disagree that
passive income exists. No, instead what he finds frustrating, are people that are looking for a magical money vending machine. A system where all they’ll have
to do is press a few buttons and boom, they’ll have passive money pouring out of their laptops. But that’s not how passive income works. – I think that there is
an enormous, massive, misunderstanding that there
are almost zero people that have pulled off substantial success without putting in real time and effort. – That 1%, like me, who have achieved it, we achieved it through
a boat load of work. That video that brings
in hundreds of dollars in commissions from Placeit, yeah, that required a
lot of time to create. My tutorial videos that
bring in over $2,000 a month from AliDropShip and Site Ground, yeah, they required even more time. And guess what, those
Shopify tutorial videos bringing in over $10,000
a month, even more time. Let alone the time that has gone into learning those platforms to such an extent that I’m now able to teach others. So, remember that. While the end result we may
have created is passive, the pathway to creating it is not. And so, perhaps Gary and I. – Millions of dollars in
passive income on the internet smoking (bleep) weed in Jamaica while it just keeps coming in, is just not as real as you think, partner. – Might agree more than
I had initially thought. Thanks for watching this video. Now, while I obviously think that I am probably a much bigger expert in affiliate marketing than most people, it isn’t my biggest area of expertise, but I’ve got some good friends who have built million dollar businesses with just affiliate marketing and they’re going to be hosting a webinar showing us how they do it. So if you are someone who is willing to actually put in the work to create a passive income business, then you can join us. And you will find a link
to how to register for it in the video description below.

100 COMMENTS

  1. Passive income exists, but you have to put the work in in the first few months/years and reap the rewards later. It's passive, but not truly passive 🙏🏼👌🏼

  2. My issue with passive income is the name we call it. True passivity does not exist, cuz it takes a lot of work. But that doesn't mean you can't build as self sustaining machine. All passive income is really semi-passive.

  3. Uploading YT videos on a regular basis in order to gather enough following for a brand to contact you is hardly passive.
    800 bucks is hardly any money and the fact that you need to promote a mediocre site in order to make them, makes me wonder about your ecommerce income.
    Either it's not that great for all the work you have to put in or you are VERY greedy!

  4. Hello Sarah! Thank you so much for all your amazing videos! You truly put enormous amounts of time into them. I recently discovered your videos a couple of months ago and I instantly fell in love. So much so, I had my parents start a dropshipping store in their name that I design, fund, and research products/suppliers for. I'm sure you get a lot of comments asking for a store review, but I'm in high school and you really gave me the entrepreneur spirit! Since I have a small income, I have been using Instagram shoutouts but I also use Instagram/Facebook ads. I've had one sale but recently I've had a lot of traffic but no sales. 🙁 Please if you have the time I would greatly appreciate if you made an honest review of my store. Thank you for your time.

  5. It's true that you now earn passive income from your channel but it's pretty obvious that you've had to work damn hard to build up a loyal following that will take your advice and recommendations for products. I feel that Gary V is trying to get people out of the mindset that you can have an income for doing nothing, you have to put the work in first and then the money comes after.

  6. to be fair, that video in the beginning has been edited to hell. His point is that it takes a lot of work to even get to that point of living how you want.

  7. I think the crux of this is that Gary was responding to a guy whose stated goal was to create passive income. The way I see it, passive income is an add-on that (might) come later. You have to do and be doing something that isn't passive in order to generate the opportunities for passive income.

  8. I notice in all your videos you always bring up something about print on demand is this way better thzn your average drop shipping technique?

  9. I think the key point is perpetual passive income can’t be fully depended on. Yes, you receive many streams of passive income but you’re also one of the most prolific youtubers on the subject of dropshipping. The point Gary V is making is you couldn’t continue to have fun on a beach or fly business class if you were rested on your laurels after one successful YouTube video. You’re both right. Passive income is a thing, and you must continue to create multiple streams, otherwise the beach days will come to an end.

  10. I tried to find for passive income without daily work or one time work. And also ask someone is it possible? They replied with angry and said ' without doing to Passive income is impossible. It's not a machine.

  11. So, basically you're saying “passive income “ means finding the way to charge for your time exponentially more, instead of not having to work for it at all. Maybe it should be called recurring income.

  12. Maybe the word "passive" is the wrong terminology to use… "of, relating to, or being business activity in which the investor does not actively participate in the generation of income". At the end of the day, you're an online business professional with various "revenue streams". This so called "passive" income would not exist without running your main business.

  13. I tend to think from what I saw that Gary Vee was telling the questioner that you get nothing for nothing because that is what the guy was wanting to do. Taking you at your word you have built up income streams and at your word a passive income machine which s automated but if you still had to built it with time and effort or you would have had nothing.to gain income from. In other words you both answer the question. about passive income. Gary says it takes effort to produce income and you prove "passive income exists after you put the work in.so your both right ,

  14. Thank you for yet another great video. I do believe passive income works but it doesn't fall from the sky. Interested in this affiliate link seminar 🙂

  15. 1st off Gary V comes off as a total condescending dick. The guy paid money to be there asked a sincere question and got mocked by this Jack a** in front of the audience. Passive income exist h*** yes that exist in many forms too, you do have to do the work to get there no doubt work to manage and grow. GVee just took advantage of s sincere question w an ego answer.

  16. I believe that passive income exist definitely , but as far as affiliate marketing goes. I believe that if you don't already have a strong social media following it would be hard to make money at this am I wrong?

  17. Sarah. Kindly see the another video. He says making 100k/year is believable. But not millions of Dollars.
    YouTube income is not passive. There is another youtuber you may know, awarded YouTuber 2016.
    He also believes in that.
    Dont take one point and jump into conclusion.
    Every story has its own side.
    Tomorrow YT can do something strange which may plummet your YT videos view to zero.
    So no Passive income from YT and also from affiliate commisions.
    This is not from me, a lot of YouTubers belives same. I can list down all. But that will just create more noise. Isn't it???

  18. Great video! Useful and to the point as always! Btw passive income definetly works, I know it worked for me to a certain extent. But I really had to push a lot and put a lot of hard work. Not so easy.

  19. Passive income is clearly real, just real easy to blur the right mindset.
    I regularly consume Gary Vaynerchuk’s content and love it, but I think he was trying to address (as he always does) people who think you can win in passive income with little to no work like some magical money machine with some notion of a large dollar amount.
    He stays rooted in his own experience and the practicality of how everybody should focus on self awareness and happiness around doing what they love and anything else runs counter to that.
    I think it comes down to perception.
    Like the debate on the phrase “Follow your passion” another topic I find a wide range of misconceptions.

  20. YOU Making some serious cheddar out there doing nothing.. HOWEVER not everyone is as charismatic and entertaining as you to make Videos on YouTube, or Rap songs… Another way of passive but slow income is investing in good stocks, or property and renting out.

  21. Hi, is Aliexpress "Willam Shang Store" legit? I am struggling to determine. Also $2000 usd of items have to be purchased in order to get shipping for $90, does this sound about right? Thanks,

  22. Money got me freedom, time, and power to move things in motion. What money couldn't do was protect me from negative people living frustrating lives that are lashing out at me on the internet. It took me a tremendous amount of wisdom and guts to see through their rationale and figure out where their anger is coming from. But then again, it was just another reasonable motive for me to progress further up forward.

    I just wanted to say, you are one of the most admirable person I've met, Sarah. Hope I've got you to reinforcing the idea that you are not alone in the struggle.

  23. Passive is not Fully automated … If you don't create the videos on YouTube you won't earn from youtube similarly if you don't take look of your eCommerce store it won't grow or possibly die

  24. True passive income is extremely rare. Receiving dividends on investments is passive. There is little or no work in buying an investment vehicle such as stocks, bonds, mutual funds.

    What you do still requires work, active involvement. It’s true, you can automate receiving orders and making affiliate sales. But you still have to put in the work to set up the automation. It’s a great system for sure… but it is not passive. A better phrase that describes what you are calling passive income is “leveraged income.” You put in the work up front, and then let your automated systems work for you. Of course those systems still require some maintenance and monitoring.

    I agree with Gary V.

    But that doesn’t diminish what you are doing. As you said, you put in a “boat load of work.” I think we would all be better off dropping the use of the phrase “passive income” to describe the leveraged income opportunities (which require a lot of front end work) you so generously share here on your channel. Thank you for the wealth of info you share.

  25. Sarah, i know 2 people earn over $1,000,000 nett per year passive income year after year. Not sure why Garry V thinks it is not possible to earn passive income.

  26. I think Gary is tired of hearing the same old question from people who don't want to put in the effort up front. However, with e-commerce being worth a billions for the whole planet, I don't think he should be shooting down people like that. The poor kid wanted encouragement, and Gary could have explained better on the spot. Also, he also has a vested interest in the topic, as he helps people build their companies, so it doesn't pay for him to tell the rest of us it's easy peasy. If he did, then we wouldn't think we need companies like his to help us grow…

  27. exactly how you said: it required work, then is not passive income. Passive income is: your money make money doing nothing or almost. if your affiliate links required a video to be attached to and that video required work… well then you worked.

  28. Fully agree with both of you, success takes a lot of hard work, there's no shortcut. Even successful reality tv stars who you'd think are super lazy are actually hard workers.

  29. You are right. I have a shopify store and my mentor teach me is to test and test more product ( which is right but I am in a loss for now ) and I am sending them money each month as I purchased through their shopify aff link . I am thinking of switching to aff marketing build audience in my passion niche.

  30. Gary Vaynerchuck has clearly achieved a great deal and has a lot of experience, but it's just not possible to have a lot of experience/knowledge about everything. It's interesting that he didn't pause or think much before answering the audience member's question, and to the answer it in the way that he did. I don't know if it is still the case now, but there was a time when mortgage companies paid mortgage brokers a kick back on the anniversary of a client's mortgage each year, and so after 5-10 years it was possible to have a pretty healthy set of residuals coming in. Likewise, I have affiliate arrangements with some companies that pay a percentage of the customer's account fee every month, for the life of that customer, and so am getting paid many years later for a little piece of work I did a long time ago with a client in explaining the tool they needed and making a recommendation.

    Gary V is certainly an interesting character and one can certainly learn much from what he has to say, but on this occasion, not so much.

  31. What Gary mean, is more that it is not "ever green", it works for a short period of time, not especially long term consistent … unless as gary say, you have stocks with dividens, properties ….

    And, how long have it taken You to build up this channel, before you could start earn "passive income"? and how long can it run without You uploading any new vids?

    My longest run in "passive income" with affiliate marketing, before I had to put in some work to it again, was 30 months

    So, yes I agree with Gary …

  32. Dear Sarah!
    For you to have working affiliate links you need to build an audience in youtube first, or have an already popular channel where you upload videos and that has enough subscribers…its not as easy as it sounds.
    With 355.000 subscribers you can reach enough people to do affiliate marketing.

  33. i think garryvee is right.. the earning are you showing that is the result of your long time efforts like you have made lots of tutorials. IF you stop creating content then you will she a big crisis in your earning.

  34. its like you have invested your whole life or your parents whole life income in a property and now you are living your life on the rent of the property. Yup! you can say property rent is passive income.

  35. I watch a lot of videos on these subjects as I'm looking for a new way to create income but being an aussie with some kiwi lineage I naturally are drawn to my own people but that aside would you say that your YouTube videos linked with affiliate marketing are your biggest income source now and this is similar with the American gurus on YouTube? No disrespect I'm just curious as my tech knowledge is limited. Thanks

  36. I totally agree with you Sarah . The thing is as you know to create that magic passive income requires upfront hard work and the passive income comes after you give the big value .

  37. Hahaha…Gary 'V' is a "Gary JOKE" !!!…AB-SO-LUTE-LY Passive income exist. Thank the Great Lord I learned that years ago !!!…Gary has a "Un-Happy" problem or just a TERRIBLE attitude !!!…Its Clowns like him that cause up and coming Entrepreneurs to FAIL before they even get started !!!…I loathe people like him !!!…Any Newbies watching… stay FAR FAR AWAY from Gary V., Good job Sarah !!!

  38. Wow the garyvee he really has a lot of hate doesn't he and we said something something just that in the other and then he comes out with something something PARTNER! What a dick

  39. Have been living from passive income (less than 30min/week maintenance) for almost over 6 years now. It's very real. The thing is, if you want to grow, create new income revenues and guarantee a retirement in a beach in Mexico you need to work a little bit more than that.

  40. Gary Vee is 100% right. Passive income is not this "relax on the beach and work nothing" bullshit. You have to work hard to earn money "passive" and you are perfect example for this.

  41. I guess it depends on your definition of Passive income, I believe you can have a passive ish income but not a actual sit on the beach forever and watch your money roll in without some type of continued adjustment of your different streams of income eventually those links will not exist anymore and the money will dry up, Try this from today head to the beach and stop producing youtube videos, it would be very interesting to see what happens to your affiliate passive income in 12-18 or maybe even 36 months but at some point you will have to get back on the bike and pedal.

  42. Hey Ted,
    since dropshipping from aliexpress to USA takes 2-3 weeks in order fulfillment. So my question is, do US Customers wait that long for their orders or they keep on complaining and canceling the order

  43. In trying this too on a blog that will eventually go into YouTube videos and the like, on your part about ali dropship program the status of your commissions were "unpaid" even going back to August which you should now be paid for, why is this? Do they take ages to pay out their commissions on ali dropship?

  44. I always want to have passive income, so I don't have to work full time every day through year after year. haha. I have been doing dropshipping from China for my foreign customers. But I need more.

  45. I think what Gary meant was to stop wasting time in the results and be focus with the process…it's what he always says,, be willing to eat shit, execute the process until you love it and keep doing it…. in the long term is going to payoff …

    For you now is easy to make those passive income…because you already built a big audience on YouTube that took years….but how about when you first started?….when you didn't even now how to start?….the person that made that question is in this kind of situation …..I think his answer applies only for that particular situation…

  46. Gary's not God, and a lot of people look to him for odd things he only has opinions about. He made something for himself doing what he does, but he doesn't know everything. People should be motivated for themselves, not what others say is possible or not. Thanks for being a great motivator in my journey.

  47. Passive income is a necessity to humanities evolution & the faster we can build more systems for people to plug into the faster we can spend time on what really matters. Gary is coming from the perspective of working hard on something you love doing which is great but even then for an entrepreneur to reach their highest level they definitely need to set up multiple streams of passive income. Most people do not love what they are doing so the more humans that can free themselves and refocus on what they really love the better! Thanks for sharing 🤑

  48. I'm with you! I believe passive income exists and I'm willing to put in the time and effort to CREATE the businesses that will EVENTUALLY result in passive income. I don't understand why some think that there isn't any work involved. Listening, Learning and applying the knowledge learned is part of it. I can't wait to be on your level, hopefully within the next few years!

  49. Sara, how do I handle customer orders from multiple suppliers when dropshipping. This has been a set back for me and I don't really know if it's a good idea to dropship from multiple suppliers. But the thing is, one Aliexpress supplier can't get you all the products you'll need for your shop. This a very important issue but few YouTubers talk about it.

  50. People like him are agents to Rothschild's or part of a secret society with groups like satanism. Just ignore them it takes their power away. They want slaves and not free people.

  51. Lol. My normal job gives me 3 weeks passive income per year. It's called vacation pay. Same thing, if you spend all day every day NOT WORKING you will NEVER get to the beach. Or maybe you will be living in a tent on that beach cuz you are homeless. Lol. Working at affiliate marketing is still working, and the initial set up is ALL work and NO PAY. You have to do the work to get the income. Every where. Any job.

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