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How-to Earn Passive Income with Social Impact: 3 Interesting Ideas

Discover how to earn passive income and make a positive social impact. Check out three cool ideas for 2023.

After a traumatic couple of years, everyone could use something to believe in, even if it’s just a brand. As we continue to heal from the pandemic, we notice plenty of companies inspiring hope, many of which practice a form of business referred to as social entrepreneurship. In this post, let’s discuss how you can engage with social entrepreneurship and implement ways to earn passive income while supporting mission-driven businesses. 

The primary goal of social entrepreneurship (also known as a social business) is to implement widespread improvements in communities through novel business applications that can solve social problems. Now, in the post-pandemic era, I think everyone can agree that society has many more problems than we realized. Unfortunately, it has also been made clear that the US government lacks the aptitude and resources to solve most of them. Thankfully, mission-driven businesses have stepped up to the plate and delivered much-needed hope in times of great uncertainty.

Good business 101

As the COVID crisis began to climax, social media flooded with wholesome stories of companies big and small dedicating resources to help fight the pandemic. Some pivoted operations to manufacture desperately needed PPE, others shared their services to provide respite to front-line heroes, and a few rolled out innovative solutions to heal underserved communities hardest hit by the pandemic. Social entrepreneurship effectively solves social problems and will play an essential role in rebuilding a better world. This is how business should work, and this is how business can work.

As consumers, we also play an essential role in the global COVID recovery. By purchasing goods and services from social enterprises, we enable the continued effort to create a positive impact. For conscious consumers passionate about good business, sharing favorite brands and products on social media will accelerate impact.

Increasing Consumer Interest

Are people really into social entrepreneurship stuff? Any credible expert in market research and consumer behavior would say – yes, most consumers, particularly millennials & Gen Z, want to purchase brands with a social benefit. As expected, the survey results confirmed consumers’ interest. When asked about interest in social business, 89% of respondents said they were interested. About the same number of respondents think it is essential to purchase products with impact.

The survey asked respondents if they considered themselves “conscious consumers.” In general, a conscious consumer describes an individua­­l who makes thoughtful purchasing decisions that have a positive social, environmental, or economic impact. 63% of respondents said yes, and 14% said no. 

The question included an option for ‘not sure,’ which 23% selected. It is worth considering why a significant number of respondents felt unsure. Could the consumers need more exposure and education to feel like they fit into the persona of a conscious consumer? Future research into this question could be beneficial. For now, we can dig deeper by looking at the next question.

The survey asked respondents if they wanted to be more conscious consumers. 77% said yes, and 23% said no. What is interesting about these results is that even those who consider themselves conscious consumers are interested in doing better. Likewise, some respondents who are unsure if they are conscious consumers want to become more mindful.

Most people consider themselves conscious consumers and want to consume more consciously. It is clear—the market is interested in social entrepreneurship and thinks purchasing products with impact is essential. Considering the demand, it begs an important question—how do consumers connect with social businesses? 

Market challenges for social businesses

Before exploring insights from the survey, it’s necessary to recognize that social businesses face unique marketing challenges. Most companies divide customers into segments and focus on attracting their target audience. For social enterprises, the target audience tends to be more complex because there is more than one customer segment that needs to be sold and satisfied. 

Take Vi Bella Jewelry, a jewelry company that provides ethical jewelry. As a jewelry company, they share similar customer segments as the mainstream industry. But Vi Bella must target customers within the standard segment and further target customers interested in ethically made jewelry. Many companies have a complex target audience, but organizations that successfully execute this strategy have large marketing teams with access to a massive budget.

It is also worth considering that a cultural stigma surrounding marketing frequently negatively depicts marketers (special thanks to Mad Men, Fyre Festival, and Kylie). Since social entrepreneurs are on a mission to create social impact, they may see marketing as a necessary evil. They view their business’s unique function as social impact, not marketing. 

The truth is that marketing needs to be as important as impact. The innovative solutions created by social entrepreneurship will only produce results if the market knows the benefit. Stigma or not, social ventures must embrace marketing to spread maximum impact.

Unfortunately, marketing for social enterprises seems behind the rest of the market. When surveyed, most people said finding ethical products with impact online takes work. Furthermore, finding products that impact requires research – 66% of respondents do a moderate amount of research when making an impact purchase. But when asked about their confidence in finding ethical products online, only 53%  of respondents felt confident. Despite the widespread interest in conscious consumerism, there are opportunities to improve the customer shopping experience.

Opportunities to earn passive income

1. Earn passive income with affiliate marketing

Social Media Influencers have a unique opportunity to spread awareness of social entrepreneurship and make money promoting good. Influencer marketing enables brands to build trust and brand awareness through authentic endorsements. By working with influencers, brands gain direct access to an established and trusting customer base. When making purchasing decisions that have a social impact, trust is essential. 72% of respondents said they would likely purchase more products with impact if they had a shop they could trust.

Social Media Influencers have a unique opportunity to spread awareness of social entrepreneurship and make money promoting good. Influencer marketing enables brands to build trust and brand awareness through authentic endorsements. By working with influencers, brands gain direct access to an established and trusting customer base. 

When making purchasing decisions that have a social impact, trust is essential. 72% of respondents said they would likely purchase more products with impact if they had a shop they could trust. The best part about affiliate marketing – build your audience and content upfront, then let it grow and earn passive income while you work on other projects. 

2. Become an Amazon Affiliate

It is frustrating having to jump from site to site, researching products to learn about their social benefit—consumers like roaming a marketplace and knowing that every product matches their values. In fact, 89% of survey respondents said they are interested in a shop where every purchase makes an impact. 

Consider creating becoming an Amazon Affiliate, where you can earn passive income by curating products with a social benefit. Through Amazon, this unique program allows users to create an online store that promotes products listed for sale on Amazon. Influencers receive affiliate links to the product and share it with followers. In return, the influencer earns passive income through commission on each purchase made via the link. Starting a store is easy; many blog articles and YouTube videos can help. Go to the Amazon Affiliate Program site to learn more.

It’s worth considering starting an online store and stocking it with favorite ethical products for followers to browse. If you are telling your followers about great ethical products, this is a great way to provide them extra value by having a direct link they can easily click. You can earn passive income through your website or create a page on Amazon. 

Recommending ethical brands is a great strategy to earn passive income and provide value to your target audience. If you are new to making product recommendations, experts advise newcomers to define a particular niche and target those customers. Consumers interested in brands with a social mission are an excellent niche to target!

Need more ideas for earning money? Here’s another post that might inspire you; check out: What is Quora & How to Use it to Make Money in 2023.

3. Start a newsletter or blog that earns passive income

Consider being a source for the latest and greatest news on up-and-coming social entrepreneurship. Creating a weekly newsletter could appeal to 84% of people interested in learning about new and upcoming social entrepreneurship. With this defined interest, influencers who meet this need can expect an engaged and loyal audience.

The newsletter can help drive traffic to your site and increase ad revenue. For maximum results, connect the newsletter with a blog. Dedicating all or part of a blog to socially focused business content is an opportunity to capture the attention of most consumers while also capturing commissions and followers. 59% of people said that if they had a source to keep them updated on mission-driven businesses, they would likely purchase more products in that category.

Websites like Wix or Squarespace make it easy for anyone to start a blog. Both platforms have user-friendly features to help guide you. The most ambitious creators prefer WordPress, an excellent platform used by 40% of all websites. It requires some learning and patience to get started but allows for the most customization of your site.

Conclusion

2023 is a year for healing – for our society, economy, and ourselves. We have seen how business can have a positive impact. The trend of social entrepreneurship has been steadily increasing in recent years, and the covid pandemic has accelerated the growth.

As the market shifts towards ethical brands, there is an opportunity to support the acceleration of this positive shift. There needs to be more accessibility to social brands. Influencers are in an excellent position to seize these opportunities to improve the reach of social entrepreneurship and feel good while making money.

Research shows people are interested in finding trusted shops where every purchase has an impact. They are interested in learning about new and upcoming businesses, and most would probably purchase more impact products if they knew about them.

Influencers are in an excellent position to seize these opportunities to improve the reach of social entrepreneurship and feel good while making money. Those looking to promote positive change should consider options in affiliate marketing with socially conscious brands or becoming an Amazon Affiliate and starting a shop to promote good products. 

Current or aspiring influencers could be trusted sources of the latest information on ethical products and brands by creating a reoccurring newsletter. Incorporating a newsletter into a blog is a great way to engage followers while generating revenue. A blog is always ideal for sharing your brand or Amazon affiliate links. Influencers that incorporate these tactics into their strategy can have the best of both worlds, profit, and impact.

As the world re-emerges from the ashes and starts to heal from the widespread damage of COVID-19, we need to consider – what kind of influence do I want to have in this new world?

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