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What can you do to earn more passive Income from Your Online Courses |

Jun 4, 2024

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If we could tell you that you could earn more passive income from your online courses using self-hosted platform?

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Untruths about third Party LMS Platforms

You might agree with this statistic that shows is 57% percent designers decide the success of their courses by student satisfaction, while students' enrollment is a third of the focus while 21% concentrate on income.

This explains why many instructors believe it's best to choose third-party LMS platforms such as Udemy, Teachable, and Kajabi because:

  • They think it will minimize their marketing costs reducing the need for massive initial investments in hardware and software.
  • They think it will aid the brand to be introduced into the world at a faster pace.
  • They assume it's user-friendly and doesn't require any technical expertise This makes it much easier for course creators to design, launch, and manage their course.

 However, these advantages come at a steep cost for example:

  1. The cost of revenue sharing is growing.
  2. 75% of course creators have less than $1,000 each year. Only 1 percent of instructors make more than $50,000 annually.
  3. The course may be missed in the crowd and require additional advertising costs to reach your target audience.
  4. Limited opportunities to nurture friendships with students that aren't on the platforms.
  5. Your page cannot be personalized or even your logo on these platforms.
  6. It's difficult to track the students' progress through the funnel.
  7. Limited engagement opportunities due to the lack of gamification and community-based integrations.

Introduction of Courses that are self-hosted

If you're an online class creator frustrated with the high prices and restrictions of SaaS LMS platforms, you're not the only one. A lot of educators are facing the same issues.

However, there's a better option that is self-hosted platforms for courses.

By choosing to self-host your courses, you can take charge of your courses and save money on fees for revenue sharing and discover fresh possibilities to earn money.

Take a moment to think about the idea...

Imagine the possibility of being able to customize your courses exactly how you want and keeping more of your hard-earned income.

Making the switch to self-hosted platforms isn't just about cutting expenses, it's about unlocking the full potential of your business and creating the most profitable and sustainable enterprise.

You're still not convinced? Check out this explanation below.

The high cost of Revenue Sharing

If you are using the most popular SaaS LMS platforms to sell and manage your online courses, it's essential to understand their revenue-sharing model.

These platforms often charge a substantial percentage of your profits, which can add up quickly and eat into your profits.

This is a summary of common revenue-sharing plans of a few popular SaaS LMS platforms:

 1. Teachable

Teachable has a variety of pricing options, and their revenue-sharing structure varies based upon the plan you select. Here is what their pricing for the year is:

  • Free Plan: Charges $1 + 10% per transaction.
  • The Basic Plan ($39/month): 5 per cent transaction fee.
  • Professional Plan ($119/month) and Business Plan ($499/month) The Professional Plan has no fee for transactions, but a limited course publishing cap.

 2. Thinkific

Thinkific has a range of pricing tiers with different revenue-sharing implications

  • Free Plan: There are no transaction fees, however, it has limited capabilities.
  • Basis Plan ($49/month) The Basic Plan has no charges for transactions, however it is limited to digital downloads.
  • Premier Plan ($99/month) as well as Premier Plan ($499/month) There are no transaction fees, but limited online community features.

 3. Udemy

Udemy is based on a distinct income-sharing system than Teachable as well as Thinkific:

  • Organic sales: Udemy takes 50 percent of their revenues from transactionsmade through their marketplace.
  • Instructor Promotion: Instructors retain 97% of earnings from sales that they make through their own promotion (using an instructor coupon), with Udemy taking a 3 percent administration charge.
  • Paid User Acquisition: In the case of sales generated through Udemy's paid advertisement strategies, instructors only receive 25% of the revenue.

 4. Kajabi

Kajabi offers subscriptions that combine extra charges based on the plan:

  • Kickstarter ($69/month) and Basic Plan ($149/month): No charges for transactions, however they are limited in features and products.
  • Plan for Growth Plan ($199/month) and Pro Plan ($399/month) There are no fee for transactions but limited number of active student enrollments.

The models that are based on revenue share emphasize the expenses associated with using third-party LMS platforms. These platforms are convenient as well as robust capabilities, regular fees and reductions in revenue can significantly reduce your earnings.

In contrast, a self-hosted solution can help you keep more of your income and provide greater flexibility in how you organize and deliver your course.

Here's a thorough review of both platforms.

A Comparison of Earnings Potential: SaaS LMS vs. Self-Hosted Course Platforms.

 Example: Let's suppose you sell your online course for $100.

 SaaS LMS Model Platform:

  •   Teachable (Basic Plan):  With a 5% transaction fee that means you'd be losing $5 for each sale.
  • Earnings per sale: $95
  • Monthly membership: $39
  • If you sell 20 courses per month: $95 divided by 20 - $39 = $1,861
  •   Udemy (Organic Sales):  With a 50% income share, your company would lose the equivalent of $50 for each sale.
  • Earnings per sale: $50
  • If you are able to sell 20 courses per month the following formula is used: $50 per course x 20 = $1000

 Self-Hosted Solution Example

  • Monthly membership for (Most Popular Plan): $33
  • Earnings per sale: $100
  • If you sell 20 courses each month: $100 x 20 - $33 = $1,967

 Comparison:

  1.   Teachable (Basic Plan):
  • SaaS LMS Earnings: $1,861/month
  • Self-Hosted Earnings: $1,967/month
  • Difference: $106 more with self-hosted
  1.   Udemy (Organic Sale):
  • SaaS LMS Earnings: $1,000/month
  • Self-Hosted Earnings: $1,967/month
  • The difference is $967 higher with self-hosted

In the course of a year they are significant. That's about $11,604 saved in an entire year!

Using self-hosted course platforms such as Courses could reduce your costs by hundreds or even thousands of dollars, based on your sales volume.

You now know the amount you could save and earn using self-hosted courses, let's see some benefits of switching over to this system.

Advantages of Self-Hosted Learning Platforms

Self-hosted course platforms offer a powerful option to SaaS LMS solutions by giving full control over the content you publish and your operations.

In the list, is regarded as a solid choice particularly in the event of

By leveraging the power by leveraging the power of WordPress It offers unrivaled possibilities for customization and flexibility that allow you to create the perfect learning experience that is in line with your brand's image and goals for business.

If you select self-hosted courses platforms, such as those offered by e-learning.com, you enjoy many advantages. These include lower costs, enhanced control, as well as the capability to use various monetization strategies to maximize your earnings.

Watch >>> Courses Feature OVERVIEW

Let's take a look at these benefits in detail.

Control and Control of Content Ownership

Control is among the greatest strengths of an artist and is a key element of successful advertising and branding.

Self-hosted courses like , you can tailor every aspect of your classes to reflect your unique brand style and.

From layout and style to the integration of multimedia elements having complete control over your content allows you to create a cohesive and professional learning experience that is reflective of the values and style of your company.

The ownership of your content allows you to implement a wide range of marketing strategies without restrictions.

It is possible to create and distribute promotions, bundle classes, provide discounts, and use various marketing tools and plugins to WordPress.

This flexibility enables you to get your message to the right people more effectively and adapt your strategy based on live results and data.

Direct Customer Relationships

One of the standout advantages of self-hosted course platforms is the capability to create personal, non-mediated connections with your students.

Without the constraints of an intermediary service, you can interact directly with students by sending them personalized messages as well as feedback and help.

If you manage the platform, you gain access to comprehensive data on the behavior of your students, preferences, and progress.

It is essential in understanding how to make the best decisions as well as what's not within your classes.

Through analyzing the data, you can tailor your content and teaching methods to meet the specific needs of your students. This can lead to higher satisfaction with your students and retention rate.

The use of intermediaries can limit your ability to provide timely and reliable customer service.

Self-hosted solutions allow you can implement a robust customer support system, including live chat, forums as well as direct messaging.

The immediate accessibility to assistance and help can dramatically improve the student experience and deal with issues prior to them becoming more serious.

The Monetization of Membership

One of the most effective methods to make money from your courses using a self-hosted system is by bundling them into an e-learning model.

The benefits of memberships are that they encourage ongoing involvement and increase customer retention because students constantly benefit from their memberships.

If you can provide access to a vast catalog of contents at a cost that is regular that you can provide significant value in enticing more students sign up.

Community features like forums and live Q&A sessions build an emotional connection among members, enhancing the commitment of your community.

 This strategy increases the value you offer to your students as well as creates an ongoing stream of revenue.

Base Body Homepage
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They also offer online and person-to-person training sessions at their boutique fitness center in Sydney, Australia.

Utilizing , Base Body Babes manages their paywalled content as well as their exclusive services through their website. They provide customers with access to online and gym weight training courses as well as tutorials and a recipe library.

This lets them generate regular revenue while offering significant benefit to their customers.

Fixed costs and unlimited growth

 Here's the breakdown of the costs involved:

  •   Web Hosting:
  •   Domain Registration
  •   LMS Software/Plugins
  •     Four pricing levels are available.    :
  • Basic: $179.50/year, suitable for beginners.
  • Plus: $299.50/year, includes additional functions and connections.
  • Pro: $399.50/year, ideal for firms that need advanced features.
  • Premium: $499.50/year, great for entrepreneurs and creative creators.
  • Additional Charges:
  • SSL certificates to ensure secure transactions ($0 up to $100/year), often included in hosting plans).
  • Fees for payment gateways (typically about 2.9 percentage plus $0.30 per transaction).

Why should you choose ? This is our price as well as what you stand to get...

  Pricing:

  • The Basic Plan $179.50/year
  • Plus Plan: $299.50/year
  • Pro Plan: $399.50/year
  • Elite: $499.50/year

 Return On Investment (ROI):

To determine the return on investment, let's assume you opt for the Plus option at $299.50/year. If you offer the course bundle or membership at $100, and you sell three memberships each month, your monthly revenue is $300.

Over the course of a year, it's $3,600. After subtracting the costs of ($299.50) and hosting ($240 per month for $20) that's an annual net income of $3,061.

It is evident that even with a small amount of revenue, the return on investment is substantial, making it the most cost-effective option for you!

 Analysis of Scalability Potential Without Additional Costs Per User or Content

One of the significant advantages for self-hosting courses is the ability to scale.

In contrast to SaaS platforms that charge per user or take a cut of the profits, this platform lets you scale your business without additional costs.

Here's how:

  • unlimited users: When your web site is up and running it is possible to have an unlimited number of members without incurring any additional cost. That means that your costs remain predictable, regardless of the amount your members base grows.
  • Content Flexibility: You can create and offer unlimited lessons, courses as well as membership levels. It allows you to broaden your offerings and diversify your revenue streams without stressing about the increase in costs.

In short, the fixed-cost structure of self-hosted platforms like this one offers predictable expenses and substantial expansion potential.

With a scalable platform and no additional per-user costs You can increase the number of members you have and your the content you offer, increasing profitability and ensuring sustainable increase.

There's more.

Integration with Other Business Tools

Self-hosted platforms like also offer the ability to connect with numerous business tools, enhancing the overall efficiency and providing insights on student behaviour and performance.

Here's how:

 2. CRM Systems:

 3. Analytics Tools

 4. Calendar/Scheduling Tools:

 5. Form/Survey Builders:

 6. Payment Gateways:

Below are additional details about how you can integrate your account with business tools.

Watch >> Supercharge your memberpess site by integrating add-ons and integrations

Making the Switch to self-hosted

After you've been convinced by all the benefits attached to moving from SaaS-based LMS platforms to self-hosted platforms. Here's the steps you must take following:

 Change it!

Moving from the SaaS LMS platform to self-hosted courses like these can be overwhelming, but it's doable with a clear plan.

 Here's a step-by-step guide to help you with the process

First step: Start with a plan

  • Review Current Platform Examine your currently installed SaaS LMS platform's features, data and restrictions.
  • Set goals Define what you aim to achieve with the migration (e.g., lower costs or more control).
  • Make a Migration Plan Outline your tasks, timelines, and responsibilities. Make sure you've got an all-data backup.

Step 2: Configure the Self-Hosted platform you have created.

  • Install Install and purchase the plug-in on your WordPress website.
Watch >>> How To Install The Plugin

Step 3. Export Data from SaaS Platform

  • Backup Data: Ensure you have backups of all course content as well as user data as well as other pertinent information.
  • Export Content: Use the export tools provided by your SaaS LMS in order to download all the data you need such as information about the user, as well as media files.

step 4: import data

  • import users: Use software or manual methods to transfer user information to provide seamless access for existing students.

Step 5: Configure

  • Membership Levels: Create membership levels which fit your company design.
  • Payment Gateways Configure payment gateways like Stripe or PayPal for secure transactions.
  • Customization You can customize the look and layout of your web site in line with your company's branding.

6. Test Everything

  • Functionality testing Check that all functions like the access to courses, levels of membership as well as payment methods are working in a way that is correct.
  • user experience: Test the course's user experience from registration to course completion to ensure a smooth experience.

Now, it's the right time!

7th Step Start and promote

  • Inform Users Inform existing customers about the new platform by providing clear directions and help to access the new platform.

 5 Tips for a Smooth Transition

  • Plan thorough, including detailed timelines and data backups.
  • Communicate changes clearly to users, and provide support.
  • Try the functionality thoroughly to avoid disruptions.
  • Utilize the available resources and guidebooks, beginning by introducing a tiny portion of content to address the issues before they become.
  • Offer ongoing support through Help desks and FAQs and monitor efficiency, making changes in response to feedback.

Following these steps, you can transition smoothly from to a SaaS LMS into a self-hosted system like , gaining full control over your content and increasing your profit.

A Quick Review

See how far we've made it.

The first issue we discussed was the drawbacks that come with relying on third-party LMS platforms for online course commercialization.

We also discussed the major advantages that self-hosted platforms for courses offer, such as full ownership of content, lower costs, and increased control over your branding and marketing strategies.

We also conducted some comparatives and we were able to convince you that utilizing self-hosted course platforms like Courses is a major game-changer for your creative business.

It is also important to note that when you eliminate high revenue-sharing fees and use tools like Courses, you are able to create a scalable and profitable online educational business.

Take the time to evaluate the cost of your current platform vs. the benefits. If you're using WordPress think about an efficient solution that will maximize your profitability and growth potential.

Let us know via the comments whether you are planning to switch to a self-hosted platform for courses like Courses. We're looking forward to responding all questions you might ask us.

Sarah O       Sarah is passionate about simplifying the technical aspects of plugins, websites, and digital marketing. As a Content Writer for Member Press, she has an eye for creating interesting and useful writing. Sarah is a key player in teaching and inspiring users on the full potential of Member Press plugins. Combining expertise in technology and a creative flare, she ensures that each piece of content not just informs but also encourages. When not writing her favorite content, she is interested in exploring the latest developments in technology and marketing. She's always searching for innovative ways to improve user experience.