Recurring Income vs. A One-Time Sale: How Digital Products Actually Make Money

You’ve probably heard the phrase:

“Make money while you sleep.”

It’s one of the most popular lines tossed around when people talk about passive income.

Sounds pretty great, right?

But here’s the truth I wish more people were saying (especially to busy moms trying to build a business that works with real life):

It’s not passive. It’s work.
It’s just a different kind of work.

Yes, with a digital product business, you can absolutely create something once and continue to earn from it over time.
But it takes upfront effort, smart strategy, and consistent care to keep it going.

This isn’t a “set it and forget it” kind of thing.
But it is a way to build flexibility, freedom, and a little breathing room into your business.

Let’s talk about the two most common ways digital products generate income:
recurring income and one-time sales.

And let’s be honest about what it really takes to make them work.

What’s the Difference Between Recurring Income and One-Time Sales?

Recurring Income

Recurring income means customers pay you consistently over time, often monthly or annually, as long as they keep using your product or service.

Think of it like a subscription to Netflix or Spotify.
As long as the value keeps showing up, people stay subscribed.

If it offers fresh or evolving value over time, it’s a strong candidate for a recurring income model.

Common examples of recurring income digital products:

• Communities

• Membership websites

• Subscription-based online courses

• Premium newsletters or podcasts

• Templates (new designs or resources delivered regularly)

• Stock Asset Subscriptions (Monthly bundles of stock photos, video clips, icons, fonts, or Canva templates)
• Digital Resource Clubs (monthly journaling prompts, lesson plans for teachers, or “kits” of ready-to-use material in your niche.)
• Audio files (guided meditations, songs, or sound effects for content creators)
• Content libraries (A growing vault of resources like workshop replays, lesson recordings, or swipe files)

• Coaching (Ongoing access to group coaching or Q&A calls paired with digital resources)

• Software-as-a-Service (SaaS) Tools (If you're tech-savvy, simple no-code tools, calculators, planners, or plugins)

The beauty of recurring income is that it offers business owners predictability, which makes it easier to plan, grow, and reinvest in your business without feeling like you’re starting from scratch every month.

But here’s the key:
Recurring income only works if your product keeps delivering value. (Otherwise, your subscribers are going to be like 'peace out.')

One-Time Income

One-time income happens when someone buys your product once, no strings attached. You create it. They buy it. Transaction complete.

One-time income digital products are often finished, polished resources that solve a problem or deliver a transformation without needing continuous updates.

Examples of one-time digital product sales:

• eBooks and PDFs

• Online courses (with lifetime access)

• Single Workshop or Masterclass Recordings (Purchase once, access forever)

• Individual stock photos or graphics

• Music, audio clips, or sound effects

• Design templates or swipe files

• Printable planners, journals, habit trackers, art prints.

• Workbooks (PDFs that walk someone through a transformation or process.)

• Website Themes

• Digital Art Packs (Bundles of illustrations, backgrounds, or icons.)

• Mini-Courses (Shorter educational products sold as one-time purchases)

• Toolkits (A combination of templates, checklists, scripts, and swipe files packaged around a single goal.)

• Photo Presets (Buy once to edit photos or videos more easily.)

One-time sales are an amazing way to generate income. But because the sale is a one-time event, you’ll need to keep attracting new customers (or offer new products to past customers) to sustain your revenue.

“Passive Income” (Let’s Talk About This Buzzword for a Second)

I’ll be honest with you:
Passive income is one of my least favorite phrases used in the world today.

Not because the idea of making money passively is bad, but because the way it’s sold is often misleading.

People make it sound like you can whip up a product, toss it on a website, and then head to the beach while the dollars roll in.
(If only, right?)

Here’s the truth:
Most digital product businesses are not passive.
They’re scalable. They’re repeatable. But they’re not work-free.

If we’re being technical, residual income (like royalties from a book or dividends from investments) is truly passive.

But most of what people call passive in the online world still takes thoughtful marketing, customer care, and updates to keep it running and keep it selling.

I’m not saying that to scare you off. Quite the opposite.

I’m saying it because when you understand how this really works, you can build a business that actually supports your life instead of chasing promises that never come true for you.

Which One Is Right for You - Recurring or One-Time Income?

There’s no one-size-fits-all answer here. Anyone who tells you otherwise isn’t putting your life and goals at the center of this conversation.

The first thing you should do is talk to your ideal customers to see what they want and need, and then figure out how to package it. 

But here’s another way to think about it...

Just a not for busy moms:

If you’re brand new to online business (or your time is really tight), starting with a one-time product might feel more doable.

If you’re ready to go all-in and you have time to nurture your audience, recurring income could offer the stability you’re craving.

Personally? I like a mix of both. I have a self-paced online course that's a one-time purchase, and I also offer coaching that includes the same course.

A one-time product is a great way to invite people in and serve them well from the start.

Recurring income adds predictability and allows you to build deeper connections over time.

The Bottom Line (Because I’ll Never Tell You There’s One Right Way)

Whether you’re creating one-time products, recurring offers, or a mix of both, what matters most is this:

• Build your business around your real life, not someone else’s idea of success.

• Choose what feels right for you, your energy, your schedule, and your audience.

• Focus on providing actual value, because that’s what keeps your customers happy, returning, and sending you referrals.

And if anyone tries to sell you the idea that this is easy or passive, you can smile, nod, and then get back to building something that’s honest, sustainable, and truly yours.

Want to learn more? Here are some other helpful posts that you may be interested in:

• 3 Steps to Start an Online Business That Actually Supports Your Life
• What is a Digital Product?
• 7 Common Mistakes New Entrepreneurs Make (and How to Build Smarter)