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What are you able to do to increase the money from passive earnings you earn through your online classes?

Jun 6, 2024

     Reader Disclosure

We could inform that you can earn more cash from passive course by using a self-hosted platform?

What's Inside Toggle

A Misunderstood View of third Party LMS Platforms

You might agree with this statistic that show is 57% of course creators determine their courses' success through satisfaction with their students. 23% take into account the participation of students and 21% are focused on the income of students.

This is the reason that some course designers believe that it's best to choose third-party LMS platforms such as Udemy, Teachable, and Kajabi in light of:

  • They hope it can lower their marketing costs, which will reduce the need for massive upfront investment for hardware and software.
  • They are convinced that it will assist to launch their business onto the market faster.
  • It is assumed that it's easy to use and does not require technical knowledge. This makes it easier for course creators to develop their course, begin the course, and manage their course.

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

  1. A growing revenue-sharing expense.
  2. 75% of course creators have less than $1,000 every year. One percent of instructors earn greater than $50,000 a year.
  3. Some courses may be missed by the crowd, requiring additional marketing expenses to get your message out to the correct audience.
  4. There aren't many opportunities to build connections with students beyond the portal.
  5. Your page cannot be personalized or branded on these platforms.
  6. It's difficult to keep track of the students' progress through the funnel.
  7. Insufficient engagement opportunities because of the absence of gamification or social-related integrations.

     The Self-hosted Course Platforms: Introduction    

If you're an online-based course creator who is frustrated by the expensive cost and limitations in SaaS LMS platforms, you're not the only one. Numerous educators have the same challenges.

However, there's an alternative to host your own platforms for course.

When you choose to host your classes You can control the content of the course content in addition to reducing costs associated with revenue sharing. You can also discover new methods of earning money.

Take a moment to think about it...

Imagine the possibility of being able to design your classes the way you like, and conserving more of the hard-earned money you earn.

Switching to self-hosted websites doesn't result in a reduction in costs, it's about unlocking the potential you have and creating the most successful and sustainable business.

Are you still you not sure? Check out this explanation in the next paragraph.

     The Price is High for Revenue Sharing    

If you are using reputable SaaS LMS platforms to sell and run your online classes, you need to understand their revenue sharing models.

The platforms typically take an enormous portion of earnings and can accumulate fast and reduce the profits you earn.

This is a summary of typical revenue-sharing models of some popular SaaS LMS platforms:

     1. Teachable

Teachable offers a range of pricing choices, as well as their revenue sharing model differs based on the plan you pick. The following is the cost per year for the plans:

  • Free Plan: charges $1 + 10% for every transaction.
  • Basic Plan ($39/month): 5 percent cost of transactions.
  • Professional Plan ($119/month) and Business Plan ($499/month) There's no fee for transactions, however, there is a publishing limit.

     2. Thinkific

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

  • Free Plan: No cost for transactions However, it comes with limited options.
  • Basic Plan ($49/month) The Basic Plan does not charge a fee for transactions but you can only use digital downloads.
  • Plan Premier Plan ($99/month) as well as Premier Plan ($499/month) The Premier Plan has no transaction fees, but limited choices for community-based online functions.

     3. Udemy

Udemy has a unique revenue-sharing system compared to Teachable and Thinkific:

  • Organic sales: Udemy receives 50% of their revenue from transactionsmade through the marketplace.
  • Teaching Instructors Promoting: Instructors keep 97% of their profits of sales that result from the promotional activities they have themselves (using coupons that are offered to instructors) and Udemy charge a three per cent administration cost.
  • Paid User Acquisition (PUA) For those who purchase through Pay-per-Click efforts on Udemy's website, instructors only receive 25% of the revenue.

     4. Kajabi

Kajabi includes subscription fees with other fees that are dependent on the plan

  • Kickstarter ($69/month) and Basic Plan ($149/month) Basic Plan: No transaction fees however, it has limited features and products.
  • Plan for Growth Plan ($199/month) as well as the Pro Plan ($399/month) The Growth Plan has no transaction fees, but a limited number of active students.

The models for revenue sharing highlight the expenses associated with the use of third-party LMS platforms. These platforms are convenient and powerful, however the annual fees and cuts to revenue can significantly reduce the earnings you make.

Self-hosted option can allow you to keep more of your income as well as allow you to have more flexibility in the way you organize and deliver your program.

A thorough analysis of the two platforms.

     A Comparison of Earnings Potential: SaaS LMS vs. Self-hosted Learning Platforms.    

Example: Let's say you could sell an online course for 100 dollars.

 SaaS MMS Platform Examples:

  • Teachable (Basic Plan): If you offer a transaction fee of 5, you'll lose $5 per sale.
  • The profit per sale is 95 dollars
  • Monthly membership: Monthly subscription $39
  • If you are selling 20 course per month, then the following formula is applicable for you: $95 x 20 + $39 = $1,861.
  • Udemy (Organic sales): In the case of a profit share of 50%, share you'd lose 50 cents per sale.
  • The profit per sale is $50.
  • If you're selling twenty courses per month,, the below formula will be used 50 x 20 = $1,000

Self-Hosted Solution Example

  • The monthly fee for (Most Popular Plan) Cost: $33.
  • For each sale, you earn $100.
  • If you can offer 20 courses each month, this formula will be used for the following formula: $100 x 20 times $33 = $1,967

Comparison:

  1.       Teachable (Basic Plan):      
  • SaaS LMS Earnings: $1,861/month
  • Self-Hosted Earnings: $1,967/month
  • Differential: $106 more in self-hosted
  1.       Udemy (Organic sales):      
  • SaaS LMS Earnings: $1,000/month
  • Self-Hosted Earnings: $1,967/month
  • Differential: $967 more for self-hosted

Over a year, these costs could add up to a significant amount. This is about $11,604 saved in a single year!

     Using self-hosted course platforms like Courses could reduce your costs by thousands or hundreds of dollars, contingent on the amount of your sales.    

Now you know the amount you can earn and save through a self-hosted course solution We'll look at some advantages of making the switch to this service.

     Benefits of Self-Hosted Course Platforms    

Self-hosted course are an alternative to SaaS LMS solutions that give you full control over your course content and operation.

It is regarded as an effective choice, particularly when

Utilizing the power of strength WordPress provides unmatched flexibility and options to customize, enabling you to design an experience for your students that is in line with the brand's identity and goals for business.

If you opt for self-hosted learning platforms like , you gain numerous benefits. This includes lower costs more control, and the capability to utilize various monetization strategies to maximize the amount you make.                Watch >>> Courses Feature OVERVIEW

Let's take a look at the advantages of these.

     Control and the Control of the Ownership of Content    

Being in control is one of the greatest strengths of an artist and the key ingredient in effective branding and advertising.

With self-hosted course platforms like those you're using it is possible to customize each aspect of your classes to fit your unique branding.

From layout and design through the incorporation of multimedia elements Being in full control of your content helps you develop a the same professional and consistent educational atmosphere that is representative of the beliefs and style of your company.

Your content's ownership lets you implement a wide range of marketing strategies without limitations.

You can create and offer promotional content, bundle courses give discounts, or utilize various advertising tools and plug-ins that work with WordPress.

This flexibility lets you get your message out to the correct people more effectively and allows you to modify your strategies based on the actual results and the data.

     Direct Customer Relationships    

One of the major advantages of self-hosted platforms for course delivery is the capacity to create personal, unmediated relationships with your students.

With no limitations of an intermediary platform You can interact directly with your students through personalized emails or feedback along with help.

As the administrator of your platform you have access to a wealth of information about students' behaviour, along with their preferences, interest, and preference.

This is important for understanding what is effective and what's not during your lessons.

By analyzing this data it is possible to tailor the content you teach and the methods you use to teach to meet the requirements for your learners. This could result in higher satisfaction with your students and retention rates.

Intermediary platforms often limit your ability to provide timely and reliable customer service.

If you have self-hosted hosting can set up a full customer support system, including the live chat feature, forum and direct messaging.

The immediate accessibility to assistance and assistance can greatly enhance the experience of students, and also address issues earlier before they become a crisis.

     The Monetization of Membership    

One of the most efficient ways to profit from your online courses even greater with a self-hosted platform is to bundle them in the model of a membership.

Benefits of memberships include that they allow for ongoing engagement and increase customer retention as students continually find value in the benefits of their memberships.

In providing access to an extensive catalog of material at a cost which is regularly recurring, provides significant benefit in getting more students join.

Community-based features such as forums and live Q&A session sessions help to build a strong emotional bond among participants, thereby increasing the dedication of your members.

     This method increases your potential for your students, and ensures that you have a steady income stream.    

Base Body Homepage
Base body babes

They offer both online and individual sessions in their private facility for strength training within Sydney, Australia.

Utilizing a platform , Base Body Babes manages their paywalled content and exclusive offers on their website offering customers access online, as well as gym classes for weight training Tutorials, along with recipes.

This model allows users to make recurring income while also providing value to their community.

     Fixed Costs and Unlimited Growth    

Here's a breakdown of the costs involved:

  •       Web Hosting      
  •       Domain Registration:      
  •       LMS Software/Plugins:      
  • provides four major pricing levels :
  • Basic: $179.50/year, suitable for beginners.
  • Additional: $299.50/year Includes additional options and features.
  • Pro: $399.50/year, ideal for businesses needing advanced features.
  • Premium: $499.50/year ideal for entrepreneurs and creative creators.
  • Additional Charges:
  • SSL certificates for secure transactions ($0 for up to $100/year) are often part of hosting packages).
  • Payment gateway fees (typically around 2.9 percent plus $0.30 every transaction).

Why should you choose ? It's our fee and what you stand to benefit from...

Pricing:

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

ROI (ROI):

In order to better comprehend the potential ROI, let's assume you choose to select the option of Plus with a price of $299.50/year. If you can offer a whole course or a membership for 100 dollars and only sell 3 memberships per month, your monthly income is $300.

In the full calendar year, it's 3600 dollars. When you subtract the cost of ($299.50) as well as hosting ($240 per month at the price of $20) this is an annual gross income of $3,061.

The analysis shows that even with a tiny quantity of income The return on investment is high, making it an economical choice for you!

Assessing the Potential for Scalability without additional costs for Content or users

One of the main benefits of self-hosting course is the possibility to scale.

In contrast with SaaS platforms, which are priced per user, or are based on a percentage of revenues generated, SaaS can allow you to grow your business with no additional expenses.

Here's how:

  • unlimited users: After your website is up and running, you can have an unlimited number of members without any extra cost. The costs will be predetermined regardless of how much your members base increases.
  • Flexibility of Content You can create and host unlimited classes and lessons, as well as membership levels. This allows you to expand your choices and diversify your revenue streams without worrying about the cost of growing.

The fixed cost structure of self-hosted websites like this can be characterized as predictable and has substantial potential for growth.

With a scalable platform and no extra costs per user You can increase the amount of users you've got and contents you provide which will increase your profits and ensure the sustainability of your expansion.

There's more.

     Integration with other Business Tools    

Self-hosted services like these also allow integration into a range of applications for business use and general operation improvement as well as providing insight into how students behave and their course performance.

Here's how:

     2. CRM Systems:

     3. Analytics Tools

     4. Calendar/Scheduling Tools:

     5. Form/Survey Builders:

     6. Payment Gateways:

More details are provided about ways to integrate your business account.

check out the video below for more information on how to improve your membership site using the help of integrations and add-ons

     Moving from Self-Hosted Hosting to Self-Hosted    

Once you've convinced yourself of all the benefits of switching the SaaS LMS platforms to self-hosted platforms, here's the information you need to do following:

Modify it!

Moving from a SaaS LMS platform to self-hosted platform for courses like these can be daunting, but you are able to accomplish it if you've the right strategy.

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

     1. Make a start with a plan

  • Review Your Present Platform Check out the current SaaS LMS platform's features, details, and restrictions.
  • Set goals Choose the objective you're aiming to reach through the process of transition (e.g. cost reduction or better control).
  • Create a Migration Plan outline timelines, tasks, and obligations. Make sure you've an all-data backup.

     Step 2. Set-Up the Self-Hosted platform you have built.

  • Install: Purchase and install the plug-in on your WordPress website.
Take note of this: How Do I Install the Plugin?

     Step 3: Export Data from SaaS Platform    

  • Backup data You should ensure you have copies of all course contents, including information about the user, course content, and other relevant information.
  • Export Content Utilize the tools for export offered by the SaaS LMS in order to download the entire data you need, which includes lessons, data about the user and media files.

     4. Import the Data to    

  • import users Make use of software or manual methods to import data from users to ensure an uninterrupted access to students.

     Step 5: Setup    

  • Members Levels You can set up levels of membership to fit the model of your business.
  • Payment Gateways: Configure payment gateways, such as Stripe or PayPal to ensure safe transactions.
  • Customization You can customize the look and layout of your site to reflect your brand.

     Step 6: Test All    

  • Functionality Testing Test that every function such as access to classes as well as membership levels and payment processing function correctly.
  • UX Test the course's user experience from registration to the time of completion, to ensure a an effortless experience.

Now, it's now time!

     7th Step: Launch and Promote    

  • inform users Let your current customers about the new platform and provide specific directions and support in navigating the platform.

5 Tips for smooth transition

  • The plan is comprehensive, that includes details on timelines and backups for data.
  • Provide modifications clearly to users and provide support.
  • Test this function thoroughly so that disruptions are not caused.
  • Make use of accessible resources and guides, starting with tiny portion of the information which addresses problems early.
  • Offer ongoing support through FAQs and help desks, and measure results, and adjust according to the feedback.

If you adhere to these rules it is possible to transition seamlessly from to the SaaS LMS to a self-hosted system that gives you full control over the content you publish as well as maximizing the profits you earn.

     A Quick Review    

We're amazed at how far we've achieved.

We started by looking at the drawbacks of using third party LMS platforms to oversee your online course's commercialization.

Also, we discussed the key advantages self-hosted platforms on courses offers, including full ownership of content, a lower costs, and greater control over branding and marketing efforts.

We also did some comparisons and were able show you how self-hosted learning platforms such as Courses is a great change in your company.

It's also crucial to keep in mind that if you eliminate high revenue-sharing fees and use tools like Courses, you will be able to build a sustainable and profitable business for online education.

Make sure you evaluate your current platform's cost against the benefits. If you're currently using WordPress it's time to think about an effective solution for maximizing the profits you earn and increasing your development.

Tell us in the comments section whether you're looking switching to self-hosted course platforms such as Courses. We're eager to respond to any queries you might have for us.

Sarah O Sarah is passionate about reducing the technical aspects of web-based sites and plugins, as well as digital marketing. As a writer for content for Member Press, she has the ability to create captivating and informative writing. Sarah is a key player in teaching and inspiring users with the full power that are available through Member Press plugins. She brings a combination of knowledge in the field of technology, and an artistic style, she aims to make sure that every piece of content not just instructs but also inspires. In the spare moments she can be found reading she enjoys her most popular content and is interested in exploring the latest developments in technology and marketing. She's always searching for innovative ways to improve customer experience.

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