The term “digital products” describes any kind of product that is sold, delivered or transferred to a consumer digitally. Other names for digital products include “e-goods” and “e-products.”
Put simply, a digital product is something you can’t actually physically hold or have access to tangibly. Sometimes, however, a digital product can also come in a physical format, too. Common examples of this are books or music files. Both of these can be downloaded and consumed digitally or can also be available physically in the form of a CD or paperback/hardback book.
Other examples of digital products include video or streaming files (like movies or TV programs), media files, ebooks, a website or templates for a website, digital photography, graphic design, and computer games. Digital products can also include currency if it’s stored in a digital format inside of a bank account.
If you’re buying advertising for your company then interestingly, online advertising also falls into the category of being a digital product. If you’re purchasing software for your company to keep an eye on customer retention and activity, that’s a digital product too. As are computing programs such as cloud-based systems for your company. Another excellent example of a digital product is businesses that offer online-only education courses.
The Advantages of Digital Products
The advantages of selling digital products may be apparent: You don’t have to store any products in a warehouse or fulfillment center, costs are usually lower to develop digital products, the purchasing process of digital products can usually be completely automated, and there aren’t any shipping costs because you don’t actually ship physical items to your customers.
However, it’s still important to offer excellent customer service and a great product if you’re selling digital products. Just because it’s digital doesn’t mean it can be a lower standard. Customers will (and should) still expect the same service and quality as they would with a physical product.
Some of the most profitable digital products are e-courses, coaching services, ebooks, photography, music, website themes and templates, software programs, podcasts, apps, and graphics.
An important thing to note, don’t assume that just because it’s digital, it’s easy. You still have to attract and retain customers and grow your traffic and conversion rates. So, before you start selling digital products, research the art of online marketing and look up the best practices for selling online. This will undoubtedly come in handy!