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How to Make Passive Income With Kindle Direct Publishing

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Kindle Direct Publishing has been a source of passive income for online marketers for a while now and people have been making a lot of money through it. In this article, I will cover how you can start making money through KDP following a system.

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Sometime late last year I was watching some videos on Anik Singal’s YouTube channel when I came across one of his interviews where he was talking to a KDP expert. This expert was talking about how he had a system that was earning him $500 every month for each and every Kindle e-book that he published.

kindle publishing directIn fact, this expert was earning $40,000 per month passively from his published Kindle books. His system was so effective that he had taught the system to his daughter and 15-year-old son and they were making some significant income from doing this.

His son made over $3,000 from his first book in his first month. This is how powerful this system is so much so that it inspired me to get into Kindle Direct Publishing or KDP in short.

It wasn’t the first time that I had come across the Kindle Direct Publishing Model. I had first learned about it as a source of passive income some 2 years ago when I visited the Life Mastery YouTube channel.

What really intrigued me about the system that was being shared on Anik Singal’s channel was it ran contrary to what everyone else was teaching on the subject. The system was well structured and taught in such a way that you got more hits than misses.

The systems that everyone else was teaching was more of a number game. Basically it was about getting as many e-books as possible out and you would eventually hit on a winner. The expert Anik Singal was interviewing was a gentleman called Ty Cohen.

Who is Ty Cohen?

Ty is an entrepreneur who has literally been around from the first day of Kindle. He sold books on Amazon and was asked by Amazon to be part of a test group for a new product they were releasing know as Kindle.

By his own admission, he wasn’t too keen on the idea and did it mainly because he didn’t want to turn down Amazon. This is one occasion he was happy to be wrong because he made some sales which then led to him getting a lot more involved with KDP.

In this article, I will be sharing about his system which is responsible for making him over $40,000 per month in passive income and a system he has taught to thousands of students worldwide.

What is Kindle Direct Publishing?

KDPI would like to believe that we are all familiar with Amazon’s e-book reader, Kindle. When Amazon started out as a company, their goal was to be the world’s largest book store. I would like to believe they have achieved this and become so much more in the process.

As part of their strategy, they gave book authors the ability to publish books without having to go through a publishing house. They provided a platform where you could upload a word document of your book and they would publish then market it.

As a company that is always progressive, they came up with a digital e-book reader which they named the Kindle. As a way of growing their e-book reader base, they started a drive for more people to read e-books. To further broaden their customer base, they released an app each for Google and iOS.

Just as they had a platform for publishing physical books, they now had a platform for publishing digital e-books know as Kindle Direct Publishing or KDP for short. It is now a marketplace of millions of Kindle e-books covering just about every topic under the sun.

You now have the opportunity to make massive passive income through publishing your own Kindle e-books. If you published just 4 e-books, you could be earning $2,000 passive income each and every month without any extra effort on your part.

I hope you are seeing the massive potential that this system has and the beauty of it is that you really don’ t have to write the books yourself if you choose not to. Not all of us are writers but writing is your thing, you can do all this yourself.

The Kindle Publishing Direct System

I’m sure you’ve pretty much had it with the background story and want to know what this system is so let’s get into it now.

The system we are going to be sharing about here is a 3 step system that eliminates your chances of failure with this business model. All people who have consistent success over a prolonged period all have a system of sorts which they follow.

With a system, you can duplicate successful results time and time again. Without a system, it’s pretty much hit or miss, which is what a large portion of Kindle publishers are doing out there.

So, here’s the system:

Step 1: Researching the Market

The first step in the process is market research. Market research, in one form or the other, is the starting point for most successful money-making ventures. You need to be able to know from the get-go if your idea is something that will actually make money.

We have done or seen this before; I know I have. You come up with a great idea that you believe the market is simply going to swallow up. You go about creating a product or service around the idea and probably invest some money into it. You launch the product and……………………………crickets.

This happens because people go in without doing the necessary product market research. This is why it’s the first and integral part of the system.

What I found, with many other Kindle methods that I ever came across, is that they focus on finding small niche market segments which have small audiences that you can sell to. What is different about this system is that you actually look for huge markets with great potential for monetization.

You don’t want 1,000, 10,000 or even 100,000 people in this market. You want it to go after a huge market. Make sure that the universe you are going for is huge.

In fact, with this model, competition is a good thing. If you see a competitive niche, then you know that there are buyers in this market. You want to enter a market that is huge and has people who can spend money.

This second distinction is very important. You might have a huge market but they don’t have money to spend on your products. This is a total waste of your time and possibly resources if you outsourced your book production.

The Research Methods

Let’s now look at how exactly to carry out the research process. I will touch on how you can use Amazon itself to research which topics to create Amazon Kindle books on and will also look at other tools for market research.

How to Use Amazon to Research Your Books

The first product research method that I will talk about is how to use Amazon to do your product research. Amazon will give you a pretty good idea of what will sell once you create the e-book.

To do this, go to the books section then pick a category. Under this category, look for books with a best seller rating of 20,000 or below. This is the sweet spot that you will want to aim for. Anything within that range has a great market and is selling well.

It would be a great idea to buy this book and model it. Don’t just copy it but create your own unique book that you then upload to Amazon Kindle Direct Publishing. Just use the best selling book as a template of something that is already selling which you can use to create your own.  A good way to come up with your own version is to create an outline and give it to a ghostwriter to write it for you.

How to Research on Udemy

Udemy is a great place to research profitable topics.

The second research method is to use Udemy is an online courses platform and a great way of establishing whether or not your book idea will sell. Search for the particular niche you want to write for.

If you find a course which has 1,000 students enrolled, this will most likely sell well as a Kindle book. The only thing you need to ensure is that the courses are not by well-known influencers otherwise this formula won’t work.

Step 2: Creating Your E-Book

Step 2 in the process is to create your e-book. You can create the e-book in 2 ways. The first way is to write the book yourself and the second way is to have it written for you. If you are going to write the book yourself, bear in mind that you need to format it for Kindle e-book reader.

This is pretty easy to do as there are many templates that you can use available online. Simply Google “Kindle book templates and you have a ready-made template and all you have to do is edit the content.

Writing it Yourself

About half the people who come across this method will choose to write the books themselves while the other half will choose to have the books written for them. When I say books here, I am not talking about 200 or 300-page books here.

The books we are talking about here are simple 28, 30 or 50-page e-books that are anywhere from 6,000 to 10,000 words. You can write these in a day to 3 days depending on how well you know the subject matter.

That’s about the length of what is known as a pillar post in the blogging world. When people buy books on Kindle especially “How To” guides, they are usually looking for a quick solution to a problem. If you are able to deliver it in a 20-page e-book, they are happy to pay you for it.

All you need to do is deliver something that they will be happy with and they will be glad to give you their money.

The major reason that most people will write their own books is that they don’t have the money to invest in having a book written for them. If that’s the case and you are a decent writer, you can easily write some books.

When you start making some money, you can then transition to hiring other people to write the books for you. Doing it this way helps you to scale your Kindle business much quicker.

Outsourcing Your Book Writing

If you are not into writing or you want to do this faster and have the budget, you can get someone else to write the book for you. There are a number of Freelance websites where you can writers to create e-books for you and it can range anywhere from $50 to $150 to have your Kindle book written.

Outsourcing websites you can use include:

Epicwrite is the cheapest service of the three but also has the best writers surprisingly. If you can, test out the different services and see which one gives you the best results.

When you hire a writer, you can give them the book outline or just give them the topic and have them send back an outline for your approval. When you are on a platform like Upwork and post a writing project and writers are bidding for it, you can use this as a way of testing just how good they are.

You can ask them to send you an outline of what they will be writing about in order to see if they know the subject matter or have good research skills.

Step 3: Creating a Cover

The next step in the process is to create the e-book cover. The cover is one of the most important marketing tools for your book. That and the book title are what will draw people to your book. You need to create a cover that stands out.

If like me, you can work with a graphics editing software like Photoshop, CorelDraw or Illustrator, you can create your own book cover. If, on the other hand, you are not able to do it, you can outsource this process.

I highly recommend Fiverr for this step. There are many gigs which are able to provide you with excellent book cover creation services. Just make sure that they have great user ratings and some good feedback.

Step 4: Formatting Your E-Book For Kindle

Once your book is written and your cover has been created, the next thing to do is format your book for Kindle. Kindle requires that your book be formatted in a way that makes it look good on a Kindle reader or their mobile apps.

There are people who can do it for you on the freelance websites I’ve mentioned here but I will show you a little secret tool that you can use to do this for free if you use Microsoft Word.

Kindle have a plugin which is currently in the Beta testing phase which you can use to format your e-books for uploading. It will format page numbering, paragraphs, chapter titles and more. You can download it here.

Once your e-book and cover are ready,the next step is to upload them to Kindle. It’s a straight forward process where you are asked to input all the required information until your book is live.

Some Tips

When uploading your book, I would like to mention two important steps in the process that you need to take particular note of. The first is that must write good copy for your book description. Other than the book title and cover, this is the part that is responsible for making you money.

This is how your potential buyer will know what your book is all about and whether or not it will satisfy a need they have at that particular point in time. Make sure that you write good copy. Invest the time or money to get this part right.

Copy-writing is one of the skills that I learned over the years and if you are willing, you can learn it too. It is a skill that is in high demand and there are numerous resources, free and paid, online. If you don’t want to or don’t have the time, you can hire a copy-writer to do the work for you.

The second tip I want to give is something that will give your book some traction early on and help it rank quicker on Kindle. When you first launch your book, Amazon will give you the chance to promote your book by giving it away for free for 5 days.

When you do this, it helps your book get traction and rise up the search rankings on Amazon. Once the 5 days are up, set the price at $0.99 for about two weeks then raise the price to around $2.99 and not higher than $9.99. At this price range, Amazon pays you 75% royalty and only 35% for any other price points.

Step 5: Promoting Your E-Book

The last stage of this process is to promote your e-book. When your book begins to rank well on Amazon, you will start to make some sales and you won’t have to do much to make some sales. As a matter of fact, once your book starts to make some sales, Amazon will promote it themselves.

They will sometimes go as afar as buying Google ads for well-performing books. It’s simple really; when you make money, they make money so they really do want your books to sell as long as you are making sales and have good user reviews.

You can also promote by using Amazon paid ads or Google to drive those early sales until your book begins to rank well in Amazon. At this point, you can let it run passively and watch the money come in.

How Much Can I Expect to Earn With KDP?

So, how much can you expect to earn from Kindle Direct Publishing? The answer is not fixed as there are a lot of variables. Ty Cohen says that when you follow his system, you are expected to earn around $500 for each e-book that you publish.

This figure was derived from his and his students’ results and they discovered that that’s roughly how much people were expected to earn on average. You can do the math then and decide for yourself.


Kindle Direct Publishing is a simple system that involves a shorter learning curve and fewer moving parts when compared with other ways of earning money online. It’s a great way of earning passive income and the system I highlighted here will set you well on your way to doing that.

I would love to hear your thoughts and comments below.

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