Also called downloadable, digital download
A digital product is something sold and delivered as a file or online access — a template, a preset, an ebook, a course — with no physical inventory.
The economics differ from physical goods in one decisive way: the cost of the second unit is essentially zero. That removes inventory risk, shipping, returns of the physical kind, and the working capital needed to stock anything, which is why digital products are the usual first product for a creator.
What it does not remove is the cost of the first unit, which is entirely your time, and the cost of support, which scales with buyers. A €19 template with a confusing setup can generate more support hours than a €300 course with a clear one.
Because supply is unlimited, price signals value instead of scarcity. The same file at €9 and at €49 attracts different buyers and different expectations.
In practice
A Lightroom preset pack takes a weekend to make and can be sold indefinitely; a hundredth sale costs the same as the first.
Common mistake
Pricing by production time. Buyers pay for the outcome, and the time it took you is invisible to them.
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