Build and Sell APIs [AI-Powered Blueprint]

Ever wondered how those nifty APIs powering your favorite apps can turn into a goldmine?💰

Get ready for the journey of a lifetime – “Building and Selling APIs.”

The global API market is skyrocketing. It’s expected to hit $163.8 billion by the end of this year (2024). We’ve got creative API ideas to fuel your dreams, and you don’t need a PhD in coding to start.

What is an API?

API Stands for Application Programming Interface (No need to memorize or know this 😅).

Let’s make things as simple as possible. API allows programmers and developers to interact with a specific platform or access data and tools directly from their custom application (code).

Example:

Suppose a programmer wants to develop social media management software like Buffer or Hootsuite. 

In that case, he will need access to Facebook, Twitter, Pinterest, and other social platforms directly from his code so he can publish, schedule, access analytics, and do other stuff from his application.

But this is not possible by default because if you want to post on social platforms, you must use their interface. So what to do?

How do social media management tools access platforms like Facebook and Twitter?

Here, the API solves this issue and acts as a gateway or a broker between the programmer and the target platform.

For example, Facebook allows programmers to access Facebook through Facebook API, just like Twitter, Pinterest, Google, and many other platforms.

Another Example of APIs is allowing programmers to access data on a specific server or database.

We can’t give programmers public access to our servers and databases, so we created an API that can manage and handle this securely.

And if you like reading technical definitions, here it is:

API stands for Application Programming Interface. It is a set of rules and protocols for accessing a web-based software application or web tool. Simply, it allows communication between different software systems and enables them to exchange data.

I think that’s enough; hopefully, you’ve grasped the concept of APIs.

The API Business Blueprint 

How can we, as simple human beings, establish an online income stream with APIs?

We mainly have 2 ways to make money with APIs:

1. Build and Sell APIs
2. Consume an API and Build Your own tool or SAAS.

1. Build and Sell APIs.

And this is what this post is all about. You will find an idea that can solve a specific problem for certain people.

Then, You will build and host the API. After that, you will list the API on Marketplaces like RapidAPI. Then, you will promote the API. And you will establish a recurring monthly income.💸

The Idea may seem complicated, but it is not. Believe it or not, you can do this every month!

2. Develop a tool, app, or SAAS based on APIs.

The second method is to build a tool’s website based on APIs. This website can be a free tool or a SAAS subscription-based website. Or even a mobile app!

I built many tools based on third-party APIs. For example, the SEO analyzer tool is built on top of the website SEO analyzer API.

This method is out of the scope of this post. So, let’s get to our main point, the whole step-by-step strategy:

Step 1: API ideas

APIs are like any business. You need to find a profitable idea and build an API around it. Here are the 3 top strategies I use:

1. Market Analysis

To help you brainstorm a couple of ideas, you can visit websites like RapidAPI, search for a specific niche like Domain Authority, and check for some APIs.

Choose APIs with high popularity and low service levels/functionality that need improving. Then, you can build a new API with a topic already in demand with improved stats.

2. Combining Multiple Endpoints

This strategy is about using multiple endpoints in the same API to create another API.

I’ve used this method to develop my YouTube Popular Videos Free Tool, which combined the “Find videos” and “Channel” endpoints from YouTube V2 API. This resulted in a new unique API that provides a different functionality.

Then, by understanding this concept, you can create complex APIs combining a ton of endpoints.

3. Using AI

And no, we’re not talking here about using ChatGPT to brainstorm ideas (You can do it tho😂).

The idea here is about using the power of Artificial Intelligence to build APIs. There are 2 methods that you do this:

1. RJP Technique: Reverse Engineering APIs with AI and create a new one.
2. Function Chaining: You can use it to create 100s of APIs easily!

Step 2: Building APIs

We have two main methods: you can build the API by coding if you have the specific expertise to do so, or you can use no-code tools like Xano. You can check how to do that here.

However, in this guide, I’m gonna help teach you how to create APIs with the help of AI. Go to ChatGPT, craft a good prompt, and ENTER. Here’s a sample prompt you can use:

As an expert Python programmer with 20 years of experience.

Your task is to build an API with Python Fast API framework.

Style: Write the full code without skipping any part, and make sure to comment and explain every step, write for beginners!

API Idea: quote generator

And here’s what ChatGPT would generate:

Voila 🎉

The API is all set and ready to use. However, you have to take into consideration that ChatGPT can’t do everything for you. Many times, it generates the wrong output. So, you have to invest some time in learning how to code.

But don’t worry, I got you. Here’s a Free Python Course!

You may be asking yourself: “Why should I learn to code if I can just use no-code tools or hire someone to do that for me?”

Trust me on this one; AI can help you save a lot of money and time, so learn any coding language and do it yourself.

Step 3: Host and Publish

Your API should be hosted online and published on marketplaces so people can learn about it and use it.

You need to pick a service to host your API on, such as Heroku, Digital Ocean, Kinsta, Contabo, or your own server. I already use Contabo for hosting services, so I also used it to host my APIs.

Then, you need to publish your API to marketplaces like RapidAPI. It’s very simple and straightforward to publish your API; just follow the steps, and you’re good to go.

Plus, keep in mind you can always ask AI for help. Just enter your problem, and it will help you seamlessly. For example, you can ask: Generate a full beginner step-by-step guide on how I can host my API on a [my hosting service].

Step 4: Promote Your API

Important Tip: Dont sit down waiting for clients!😂

Do some work and promote your APIs. Here are my top 3 methods to do so:

1. Build Free / Paid tools

You can build tools using your API and promote the API in them. For example, I have an Email Validation Tool that is free to use, where I can promote my Email Validation API, and with a small CTA make users go and subscribe to it.

So, I work on getting a lot of traffic to these free tools, and then the popularity of the API will increase.

Here’s an example of what the CTA can look like:

2. Indirect Promotion with Guides

You build a step-by-step guide (can be a blog post) to do something using your API, and you promote the API inside it.

For example, I have this blog post about Building a Full Online Business—An Email Validation Service (With ChatGPT). It’s a guide that shows you how to build an email validation service, and within it, I can link to my email validation API.

Then, you can promote APIs indirectly in a guide. When people follow your guide and follow the steps, they’ll have to use an API, and they’ll buy your API to do so!

3. Publishing Open-Source Projects

If you dont know what open-source projects are, they provide free access to the source code, allowing anyone to use, modify, and share the software. This provides collaboration and innovation among a global community of contributors.

If you are a developer, you can build your own open-source project, upload it to GitHub, and promote your API in it. However, in order for people to use your project, they’ll also have to access the API.

There are many other methods of promoting your API, such as paid ads, outreach, libraries, content creation, etc. But these are the top strategies that I use to promote my APIs.

Final Step: Rinse and Repeat

You can repeat this method multiple times, build a ton of APIs and have multiple monthly recurring income streams just from APIs!💰💲

I did this and now I have a ton of APIs on my RapidAPI account, you can check them if you like.

If you would like to know more details about building APIs with the help of AI, you can check my full YouTube Video here:

In case you would like to go more in-depth on the topic and get private support on our premium forum and discord server, you can check out my full course:

Build and Sell APIs – Establish a New Income Stream!