Two of the most popular ways to make money online in 2025 are affiliate marketing and dropshipping. While both offer potential for income, each has strengths, weaknesses, and different startup requirements.
You promote someone else’s product and get paid a commission for each sale or lead. You don’t handle inventory, shipping, or customer service.
You run an online store, but instead of storing products, you forward orders to a supplier who ships them to the customer. You set your own prices and handle support.
| Feature | Affiliate Marketing | Dropshipping |
|---|---|---|
| Startup Cost | Low (often free) | Moderate (store setup, ads) |
| Profit Potential | Moderate to High (commissions) | High (you set prices) |
| Risk Level | Very Low | Medium (returns, supplier issues) |
| Workload | Low to Medium | Medium to High |
| Customer Service | None | You handle it |
If you want passive income with low risk, go with affiliate marketing. If you're comfortable running a storefront and dealing with logistics, dropshipping offers higher margins.
Many entrepreneurs combine both: promote affiliate offers on their store blog or YouTube channel while selling their own dropshipped products on Shopify or WooCommerce.
Both models are profitable when done right. Start with your comfort zone, then expand. The goal is freedom — and both paths can lead there in 2025.