The digital product world is bigger and more exciting than ever. Every day, thousands of creators publish new eBooks, online courses, templates, toolkits, planners, and all kinds of downloadable solutions. But for many people, the hardest part is not creating the digital product. It is choosing which one to create.
Should you write an eBook?
Should you record a course?
Should you design templates?
Should you build a toolkit?
Should you do all of them?
Different formats serve different audiences, solve different problems, and require different levels of time, skill, and strategy. Choosing the right one can mean the difference between building a digital product that sells effortlessly—and creating something that sits in your online shop untouched for months.
In this guide, we break everything down in a friendly, clear, and practical way so you can decide confidently which product suits your skills, your goals, and the needs of your audience.
Why Picking the Right Digital Product Format Matters
Most people assume all digital products are created equal. But the format you choose dramatically impacts:
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Your workload
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Your earnings potential
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The speed of creation
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How easy your product is to market
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The type of audience you attract
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Your long-term brand positioning
When you choose the right type of digital product, everything becomes easier. When you choose the wrong one, everything feels like a struggle.
Let’s explore each product category deeply so you understand exactly when to choose it, how it helps your audience, and what makes it successful.
Understanding Each Digital Product Format
We will break down all four major digital product types:
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eBooks
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Courses
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Templates
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Toolkits
For each one, you’ll learn:
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What it is
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Who it’s best for
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When to create it
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How hard or easy it is
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How fast it sells
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Its long-term earning potential
Let’s dive in.
1. eBooks: Best for Teaching Concepts, Frameworks, and Ideas
eBooks are among the easiest digital products to create. They allow you to teach something in depth without recording videos or designing complex layouts. They work extremely well when your value is based on knowledge, experience, stories, or strategy.
When an eBook is the Right Choice
Choose an eBook when:
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Your topic requires explanation, storytelling, or step-by-step guidance
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You want a low-cost entry product for your audience
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You are good at writing
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You want a scalable product that’s easy to update
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You want to build authority in a niche
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You want something quick to produce but valuable to your readers
Examples of winning eBooks:
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“How to Start a Profitable Online Business”
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“A Beginner’s Guide to Forex Trading”
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“The Ultimate Freelancing Handbook”
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“Content Ideas for 365 Days”
Pros of eBooks
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Fast to create
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Low production costs
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Easy to sell at affordable prices
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Position you as an expert
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Great for lead generation
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Perfect for Amazon KDP, Payhip, Gumroad, and your website
Cons
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Some audiences prefer video over text
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Lower price point compared to courses
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Many niches are saturated, requiring strong marketing
If your knowledge is deep but your time is limited, an eBook is perfect.
2. Courses: Best for Deep Transformation, Demonstrations, and Skill Building
Courses are powerful but time-intensive. They allow you to teach visually, guide learners step-by-step, and deliver transformation. Courses usually command higher prices, making them ideal for creators with strong expertise.
When a Course is the Right Choice
Choose a course when:
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Your subject benefits from visual explanation
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Your audience needs guidance, practice, or demonstration
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You want to charge premium prices
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You want to build long-term authority
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You have the time and energy to record video
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You enjoy teaching
Examples of strong course niches:
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Graphic design
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Social media marketing
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Forex basics
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Digital product creation
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AI tools tutorials
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Photography
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Coding for beginners
Pros of Courses
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High earning potential
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Strong audience engagement
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Builds authority faster than any other format
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Creates a deep impact
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Can be repurposed into multiple products (PDFs, worksheets, templates)
Cons
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Requires time, scripting, and recording
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Requires tools (even if basic)
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Customers expect high quality
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Refund rates can be higher if expectations are not set properly
If your topic is complex and people need step-by-step demonstration or motivation, a course is the best choice.
3. Templates: Best for Saving People Time and Giving Instant Results
Templates are among the fastest-selling digital products because they solve problems instantly. People love shortcuts. They love plug-and-play solutions that eliminate guesswork.
Templates work well when your audience:
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Is busy
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Wants to save time
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Wants professional results quickly
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Does not want to start from scratch
Templates can include:
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Canva templates
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Business proposals
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Contracts
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Social media packs
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Content calendars
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Planning sheets
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Financial spreadsheets
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Resume templates
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Branding kits
When Templates Are the Right Choice
Choose templates when:
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You are good at design, structure, or organization
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Your audience needs speed more than explanation
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You want instant, frequent sales
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You want products you can churn out quickly
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You prefer practical problem-solving
Pros of Templates
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Often sell faster than other formats
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Easy to create once you know the software
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High demand across all industries
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Great for marketplaces like Etsy
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Can be sold in bundles for more income
Cons
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Competition is high, so you need a strong niche
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Some buyers may expect a lot of customization
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You must keep updating designs to stay modern
If you want fast-moving products and love design, templates are the best option.
4. Toolkits: Best for Comprehensive, All-In-One Solutions
Toolkits combine multiple resources—templates, checklists, guides, swipe files, eBooks, scripts, and sometimes mini videos. These products provide a complete solution rather than a single item.
Think of toolkits as “done-for-you systems.”
They work well in niches where people want to:
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Start a business
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Fix a major problem
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Organize their work
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Build content faster
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Streamline their workflow
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Learn something with practical tools included
A toolkit is powerful because it allows you to bundle many things without needing to create a full course.
When Toolkits Are the Right Choice
Choose a toolkit when:
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Your audience has a complex problem
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You want to offer everything they need in one pack
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You want to charge more than an eBook but less than a full course
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You can create practical resources, not just text
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You want a premium product without video recording
Examples of toolkits:
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Small Business Starter Toolkit
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Content Creator Toolkit
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Freelancer Contract & Proposal Toolkit
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Social Media Manager Toolkit
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Real Estate Marketing Toolkit
Pros of Toolkits
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High perceived value
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Medium to high pricing potential
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Solves problems fully
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Perfect for professionals and small businesses
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Allows creative bundling of existing content
Cons
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Requires multiple resources
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Takes longer to produce than an eBook or template
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Requires strong organization and clarity
If you want high-income products without recording videos, toolkits are the sweet spot.
How to Know Which Product Type Is Right for You
Here is a simple decision framework based on your skills, audience, and goals.
1. Choose an eBook if:
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You love writing
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Your topic is knowledge-based
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Your audience wants explanations
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You want a low-cost product to attract new buyers
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You want something quick to create
2. Choose a Course if:
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You want premium income
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Your topic is complex
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You enjoy teaching with your voice or screen
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You are ready to invest time recording
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You want to build long-term authority
3. Choose Templates if:
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Your audience wants fast solutions
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You enjoy design and structure
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You want products that sell frequently
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You want simple, quick creation
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You are targeting freelancers, businesses, events, content creators, or students
4. Choose Toolkits if:
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You want a high-value product with multiple resources
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You dislike recording videos
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You want all-in-one packages
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Your topic solves big problems like business growth, content creation, or productivity
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You want higher prices without the complexity of course creation
Choose Based on Your Audience’s Urgency Level
Different audiences buy different formats.
High Urgency Buyers
They need solutions now.
Best products: Templates, Toolkits
Medium Urgency Buyers
They want solutions within a few days or weeks.
Best products: eBooks, Toolkits
Low Urgency Buyers
They want to learn casually.
Best product: Courses
Choose Based on Your Strength
If your strength is communication → eBooks.
If your strength is teaching → Courses.
If your strength is design → Templates.
If your strength is organizing systems → Toolkits.
You succeed fastest when your product aligns with what you naturally do well.
Choose Based on Your Time
Need to launch in a few days? → Templates or eBooks
Need to launch something premium? → Toolkits or Courses
Need a long-term authority brand? → Courses or eBooks
Have minimal time? → Templates
Have free time and want recurring evergreen income? → Courses
Choosing Based on Long-Term Passive Income
If your goal is consistent monthly income:
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Courses have the highest earning potential
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Toolkits generate strong mid-level recurring income
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Templates sell frequently in high volume
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eBooks work best when paired with other products
Most creators eventually build a combination of all four, but you must start with the one that matches your strengths and your audience’s needs.
Final Advice: Don’t Choose Based on Trend—Choose Based on Fit
Many creators get frustrated because they create what is trending instead of what fits their skill set. A trend may attract attention, but long-term success comes from choosing the format you can deliver consistently at high quality.
Start with what feels natural.
Start with what you can complete.
Start with what your audience is asking for.
Start with what solves the biggest problem.
That is how digital product success begins.
If you want to shortcut your learning and instantly access knowledge that helps you create high-demand digital products, check out the Tabitha Gachanja Book Bundle Offer on Payhip. For only $25, you get more than 30 powerful books covering business, marketing, personal growth, and online income.
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