A few days ago, I started looking into Forex as a way to create some extra income. As you might have guessed from my cattle, coconuts, or land investments, I tend to favor non-traditional income sources over typical stocks and shares.

Today, I want to explore website creation. Initially, I thought of it as a source of passive income, but it turns out it requires quite a bit of effort and dedication. Building a website involves more than just setting it up, despite how effortlessly some web experts make it seem.

To start, you’ll need to register a domain name and get hosting, which together can cost less than $100 per year. Your domain name is crucial because it represents your site’s identity. For example, a domain like Janeslittlehobby.com doesn’t really convey what the site is about. Something like knittingwithjane.com is much clearer. Take your time deciding on a domain and hope it’s not already registered. Most registration sites offer alternative suggestions if your desired name is taken.

Once you’ve settled on a domain and hosting, you can begin publishing content. There are several types of websites to consider for generating income:

Niche Websites
Pros: Very specific, targeting sought-after keywords. Once established, they require minimal effort. Revenue can come from adsense or affiliate sales, making it a viable source of passive income if done correctly.
Cons: The more specific the niche, the smaller the audience. While low competition is good, strong SEO knowledge is essential to make your niche site successful.

Drop Shipping Websites
Pros: You sell products provided by another supplier, so you don’t need to store inventory. It’s a low-cost startup since you only forward orders to your provider.
Cons: Low profit margins and high competition. You need high sales volumes to be profitable, and the costs of setting up a payment platform are higher compared to a simple blog.

Starting a Blog
Pros: Blogging can be enjoyable, allowing you to write about whatever interests you. With some effort, it can generate income.
Cons: Blogging is not a passive income source; it demands a lot of time and effort. If you enjoy the process, it’s not a problem, but if you don’t, there are quicker ways to make money, such as waiting tables. It may take several months to over a year to start seeing substantial earnings.

I decided to start a blog because I enjoy interacting with people and lack the expertise to set up a drop shipping site. I didn’t want to face the high startup costs of web design and paid advertising for minimal returns. While I like the idea of a niche site, I haven’t found a creative niche yet and would need to delegate the SEO tasks, as getting that wrong can be costly.

With a blog, you have the freedom to cover any topic you like. Monetization can come from product reviews, affiliate sales, ad banners, sponsored posts, or even receiving free items to review or give away to readers. I appreciate being able to take my blog in whatever direction I choose.

I understand that the best way to create passive income is through an automated niche site. Even if I stop blogging and fill my site with ads, the income wouldn’t match that of a regularly maintained site.

However, like many bloggers, I’m not doing it primarily for the money; I enjoy the process, and any income is a bonus.

Do you have a website? What has been your experience with monetization? Do you consider it to be passive income?