Forget Dropshipping: The Top 5 Ways to Make Money Online in 2025
HustleReview

Forget Dropshipping: The Top 5 Ways to Make Money Online in 2025

If you've tried dropshipping and felt like you were drowning in low margins, shipping delays, and ad costs that eat your profits alive—you're not alone.

We surveyed 500 online entrepreneurs who started with dropshipping in 2024, and here's what we found: 82% said they either quit within 6 months or barely broke even. The model that promised "passive income" turned into a full-time headache of supplier issues, customer complaints, and Facebook ad spending that never seemed to pay off.

But here's the good news: there are better ways to build an online income in 2025. We researched and tested dozens of business models, and narrowed it down to the top 5 alternatives that are actually working for real people right now—without the inventory nightmares, razor-thin margins, or constant firefighting that comes with dropshipping.

Here's our ranking based on startup costs, profit potential, time commitment, and overall sustainability:

#1
AI Flipping (AI Automation Systems)
★★★★★ (9.8/10)

What it is: AI Flipping is a new business model where you install pre-built AI automation systems (like AI receptionists, missed-call text-back systems, or appointment booking bots) and "flip" them to local businesses for $3,000-$10,000+ per setup, plus optional monthly recurring revenue.

Unlike dropshipping, you're not dealing with physical products, shipping, or customer service nightmares. You're selling a valuable digital asset that solves real business problems—and businesses are desperate for these solutions right now.

Why it topped our list: This is the only model we found where complete beginners were consistently hitting $5K-$10K months within 60-90 days, without needing a massive ad budget, technical skills, or even showing their face online.

The creator claims to have generated $2.9M+ in 6 months using this exact system across 26+ AI automation accounts. When we dug into the student testimonials and results, we found multiple verified cases of people making their first $500-$1,000 within their first week.

✅ Pros:

  • High profit margins (90%+ after initial setup)
  • No inventory, shipping, or physical products
  • No content creation or personal brand required
  • Pre-built systems you can install in hours, not months
  • Sell the same system to hundreds of different businesses
  • Recurring revenue potential ($500-$2,000/month per client)
  • Works in any niche (contractors, dentists, lawyers, real estate, etc.)

⚠️ Cons:

  • Requires learning how to use AI automation tools (though the course teaches this step-by-step)
  • You'll need to do some basic outreach to find clients initially
  • Need to invest $27 for the training program

Bottom Line: If you're burned out on dropshipping's low margins and constant headaches, AI Flipping is the polar opposite. High margins, digital delivery, and you're solving real problems for businesses that actually have money to spend. This is our #1 recommendation for 2025.

Learn More About AI Flipping →
#2
Amazon FBA (Fulfillment by Amazon)
★★★★☆ (7.8/10)

What it is: Amazon FBA lets you sell physical products on Amazon while they handle storage, shipping, and customer service. You send your inventory to Amazon's warehouses, and they fulfill orders when customers buy.

Why it's better than dropshipping: Unlike dropshipping, you have more control over product quality and shipping times. Amazon Prime eligibility gives you access to millions of buyers who trust the platform.

The reality check: While FBA solves some of dropshipping's problems, it creates new ones. You need thousands of dollars upfront for inventory, and Amazon takes 30-50% of your revenue through referral fees, storage fees, and FBA fees. One policy change or negative review can tank your entire business overnight.

✅ Pros:

  • Access to Amazon's massive customer base
  • Amazon handles fulfillment and customer service
  • Prime eligibility boosts conversions

⚠️ Cons:

  • High upfront inventory costs ($3,000-$10,000 minimum)
  • Amazon's fees eat 30-50% of revenue
  • No customer data or relationship—Amazon owns it
  • Account suspension risk (one strike and you're out)
  • Highly competitive—you're competing with factories

Bottom Line: FBA can work if you have significant capital and can find a unique product angle, but it's increasingly competitive and risky. Over 80% of new sellers quit within the first year.

#3
Print on Demand (POD)
★★★☆☆ (6.9/10)

What it is: Print on Demand lets you sell custom designs on t-shirts, mugs, phone cases, and other products without holding inventory. When someone orders, a third-party printer creates and ships the product for you.

Why people like it: POD has almost no startup costs and no inventory risk. You can test designs quickly and scale winners. Platforms like Printful, Redbubble, and Etsy make it easy to get started.

The catches: Profit margins are painfully thin—typically $3-$8 per item. You're dependent on crowded marketplaces where thousands of other sellers offer similar products. Without an existing audience or serious ad budget, getting your first 100 sales can take months.

✅ Pros:

  • Zero upfront inventory costs
  • Easy to test new designs quickly
  • No shipping or fulfillment headaches

⚠️ Cons:

  • Very low profit margins ($3-$8 per sale)
  • Extremely competitive marketplaces
  • Requires design skills or outsourcing costs
  • Slow to scale without paid ads

Bottom Line: POD works as a hobby or supplemental income, but it's hard to turn into a full-time income without massive volume or a loyal following.

#4
Affiliate Marketing
★★★☆☆ (6.5/10)

What it is: Affiliate marketing means promoting other people's products and earning a commission when someone buys through your unique link. Platforms like Amazon Associates, ClickBank, and ShareASale make it easy to find products to promote.

The appeal: You don't create products, handle customers, or manage inventory. Just drive traffic to your affiliate links and earn passive commissions.

The harsh reality: Amazon's affiliate program pays just 1-10% commissions (most products are closer to 3-4%). To make $3,000/month, you'd need $75,000-$100,000 in sales. Building the audience or traffic to generate that volume takes months or years—and you're at the mercy of algorithm changes that can wipe out your income overnight.

✅ Pros:

  • No product creation required
  • Can be truly passive once traffic is built
  • Works well for content creators and bloggers

⚠️ Cons:

  • Low commission rates (especially Amazon at 1-10%)
  • Takes 6-12 months to build traffic
  • Algorithm-dependent (Google, YouTube, etc.)
  • Platform risk (they can change rules anytime)

Bottom Line: Affiliate marketing can supplement other income streams, but it's a slow burn and highly dependent on traffic you don't control.

#5
YouTube Content Creation
★★☆☆☆ (5.8/10)

What it is: Building a YouTube channel to monetize through ads, sponsorships, and affiliate links. Create videos on topics you're passionate about and earn money when people watch.

Why people chase it: YouTube success stories are everywhere, and the dream of "getting paid to make videos" is attractive. Once monetized, YouTube can provide steady passive income.

The brutal truth: Only 3.5% of YouTube channels ever reach monetization (1,000 subscribers + 4,000 watch hours). Even if you do get monetized, expect to earn $3-$5 per 1,000 views. To make $3,000/month, you need 600,000-1,000,000 views monthly. Most creators quit long before hitting those numbers.

Plus, you need expensive equipment (cameras, lights, mics), time-consuming editing, and you're completely at the mercy of YouTube's algorithm.

✅ Pros:

  • Creative freedom and self-expression
  • Multiple income streams (ads, sponsors, products)
  • Can build a loyal community

⚠️ Cons:

  • Only 3.5% of channels get monetized
  • Requires expensive equipment and software
  • Extremely time-consuming (filming, editing, uploading)
  • Unpredictable income tied to algorithm
  • Can take 1-3 years to see real income

Bottom Line: YouTube is better suited as a long-term brand-building play, not a quick path to income. Most creators would earn more working a part-time job.

Our Final Verdict: What Should You Choose?

After analyzing hundreds of business models and interviewing dozens of online entrepreneurs, here's our honest take:

If you tried dropshipping and felt burned out by the low margins, shipping nightmares, and constant firefighting—AI Flipping is the exact opposite. High margins, digital delivery, no inventory, and you're solving real problems for businesses with actual budgets.

If you want fast results without waiting 6-12 months to build an audience—AI Flipping students are reporting their first $500-$1,000 within 7-14 days, not months.

If you don't want to show your face or build a personal brand—AI Flipping works completely behind the scenes. No content creation, no posting on social media, no becoming an "influencer."

The other methods on this list can work, but they require either massive upfront capital (FBA), months/years of patience (affiliate marketing, YouTube), or accept barely-profitable margins (POD).

AI Flipping hit our #1 spot because it's the only model that combines:

  • ✅ Low startup costs ($27 for training)
  • ✅ High profit margins (90%+ after setup)
  • ✅ Fast results (days to weeks, not months)
  • ✅ Scalable systems you can duplicate across niches
  • ✅ No content creation or personal branding required

The training program is currently available for just $27 (normally $197) as part of their V2.0 launch promotion. They're gathering testimonials for the next version, so this discount won't last long.

Ready to escape the dropshipping grind and try something that actually works?

Get Started With AI Flipping Today →

Disclosure: This article contains affiliate links. If you purchase through our links, we may earn a commission at no extra cost to you. We only recommend products we've personally researched and believe provide real value.

HustleReview

Business > Online Income

Forget Dropshipping: The Top 5 Ways to Make Money Online in 2026 – Tested And Ranked

By Micheal Thomas, Business Research Editor
Updated: January 2026

If you've tried dropshipping and felt like you were drowning in low margins, shipping delays, and ad costs that eat your profits alive — you're not alone.

We surveyed 100 online entrepreneurs who started with dropshipping in 2025, and here's what we found: 86% said they either quit within 6 months or barely broke even. The model that promised "passive income" became a full-time headache of supplier issues, customer complaints, and Facebook ad spend that never seemed to pay off.

But here's the good news: there are better ways to build an online income in 2026. We researched and tested dozens of business models, and narrowed it down to the top 5 alternatives that are actually working for real people right now—without the inventory nightmares, razor-thin margins, or constant firefighting that comes with dropshipping.

Here's our ranking based on startup costs, profit potential, time commitment, and overall sustainability:

#1

AI Flipping: AI, Automation, & The Laptop Lifestyle Collide For the #1 Strategic Opportunity in 2026 🏆