Why do so 97% of people fail in business on the www

13 replies
Why do 97% of the people who start a business online fail?

Is it just because things are so different online than in the real world and they cannot cope with or understand these differences.

Or is it because there are so many con artists on line with underhand dodgy deals who want a fast buck before they just disappear into the sunset?

Or is it that the Internet is just full of people selling business setups to people who then have to sell it themselves to make a living and so on and on it goes?

Just curious!
#97% #business #fail #online businesses fail #people #www
  • Profile picture of the author Frank Donovan
    Wow, the failure rate has gone up 2% in little more than 24 hours!

    http://www.warriorforum.com/main-int...statistic.html

    I guess by Sunday, there'll be no more IM.


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    • Profile picture of the author SonnyKing
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      Originally Posted by Frank Donovan View Post

      Wow, the failure rate has gone up 2% in little more than 24 hours!

      http://www.warriorforum.com/main-int...statistic.html

      I guess by Sunday, there'll be no more IM.


      .
      Its usually between 90%-97% if you ask certain people. As marketers we are so fascinated with 7 as the end number, for some reason.

      Why do 90ish% of people fail? Because they treat making money online like its lottery tickets and they hope on a shooting star that there number will come in.

      In fact if we didn't use hype in our sales pages and emails, and really described IM as a an actual job, I'm not sure we would even have a IM industry. The hype keeps the dream alive and then when people buy into the hype, and see that its work, they wake up.
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  • Profile picture of the author Daniel Evans
    Originally Posted by Kevin Walker View Post

    Why do 97% of the people who start a business online fail?

    Is it just because things are so different online than in the real world and they cannot cope with or understand these differences.

    Or is it because there are so many con artists on line with underhand dodgy deals who want a fast buck before they just disappear into the sunset?
    It's maybe because so many people believe hearsay, nonsensical figures and assume themselves to only have a slight chance at success as a consequence.

    Decide why you are going to succeed and dissapear into the sunset.
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  • Profile picture of the author dgui123451
    I don’t know where you got those stats from, but yes a considerable amount of people do fail, but that’s part of the learning curve, especially when you want to try things you don’t have much idea about. Also most of the times the “action” part is lacking.
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    • Profile picture of the author ldenning
      I was at an event of Dan Kennedy's and both he and Frank Kern said that when they sell their boo-koo bucks programs, they know that almost no one is going to make any money from them. It's not because they are withholding information or that the information isn't good. It's mostly because people don't go through the course all the way and/or take action on the information they've been given.

      I personally switched from being a music teacher to becoming a top-tier marketer, and the learning curve was huge. If I wasn't such a bulldog, I would have given up shortly I got started. It's hard to develop the discipline it takes to keep going.
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    • Profile picture of the author Goldbar
      Why do people fail?

      Hmm... I think it is irrelevant @ whether its 90, 95, or 97% of people who fail. As someone who has been selling online since 1997, I have seen a LOT of trends and marketers come and go.

      One thing that remains consistent is that there will always be doers and dreamers.

      Doers will take information, absorb it and apply it fairly quickly as a test.

      When they get results from their tests, they analyze those results, determine what was a winner and what was a loser, they SCALE the winners and either drop the loser or tweak it if it showed SOME promise.

      Do the dreamers do the same?

      In my experience - no they do not.

      The dreamers get the same information but instead of actually APPLYING any of it, they simply read it (or worse yet just curate it on their computer) and file it away and then when some new shiny object comes out (usually a few seconds later) they are off to the next thing, and the next and the next never actually implementing ANY of it in their business.

      Then they ask Why do people fail?

      Now with this all said - there is nothing wrong with being a dreamer - its part and parcel of being an entrepreneur but you must TEMPER your dreamer nature with the ability to actually EXECUTE on your ideas or even the ideas of others.

      If more people did that, then more people would succeed.

      Simple as that.
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      • Profile picture of the author Steve B
        I'm sure there are many reasons that contribute to a high failure rate (whatever it is), but the overriding thing I see is this:

        Internet business has almost no barrier to entry. People come with huge dollar signs in their eyes and yet they don't have the knowledge, the patience, or the discipline to start from nothing and grow a profitable business.

        In the brick and mortar world there are lots of barriers to trying one's hand at starting a business. You've got to have capital, time, and a long range view to withstand the early lean years.

        But with Internet business, the barriers to entry are nearly non-existent and the ease and hype surrounding quick Internet fortunes spews from every wannabe marketer trying to sell his "can't fail" system.

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  • Profile picture of the author JohnRyserson
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    In my opinion, the obscenely large failure rate in IM has to do with the lack of focus that most people have.

    It takes a lot of work and its not easy to be disciplined and laser beamed focused on a single goal.

    What most people do is jump from project to project without ever actually seeing anything through, then when they've exhausted all their resources they give up.

    Only a few people have the "succeed no matter what it takes" attitude that is necessary to find lasting success online.
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    • Profile picture of the author Frank Donovan
      Originally Posted by SonnyKing View Post

      Because they treat making money online like its lottery tickets and they hope on a shooting star that there number will come in.
      Originally Posted by dgui123451 View Post

      I don't know where you got those stats from, but yes a considerable amount of people do fail, but that's part of the learning curve, especially when you want to try things you don't have much idea about. Also most of the times the "action" part is lacking.
      Originally Posted by ldenning View Post

      It's mostly because people don't go through the course all the way and/or take action on the information they've been given.
      Originally Posted by Goldbar View Post

      The dreamers get the same information but instead of actually APPLYING any of it, they simply read it (or worse yet just curate it on their computer) and file it away and then when some new shiny object comes out (usually a few seconds later) they are off to the next thing, and the next and the next never actually implementing ANY of it in their business.
      The point is, in order to fail at something, you actually need to have started it. That's why the sort of blanket question posed in this thread keeps on coming up.

      If you want anything like a useful answer, first define what you mean by an internet marketing business (clue: throwing a few affiliate links on a basic blog is unlikely to qualify as one), then define what you mean by success. That's more subjective and depends on individual perspectives.

      But without such parameters, you'll be including everyone who ever bought an IM product or wishfully browsed an IM forum.


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      • Profile picture of the author Jeff Schuman
        It takes skills and hard work to market online and 95%-97% of the people who fail do not realize this and give up quit.
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  • Kevin,

    Originally Posted by Kevin Walker View Post

    Why do 97% (edit: a significant percentage) of the people who start a business online fail?
    I guess it could have something more to do with one or a combination of the things below. Don't want to touch things like "focus", "tenacity", "attitude" and so on, since I'd want to assume that the OP's referring to people serious enough to spend a significant amount of their resources so as to try and make this work...

    Offer
    Audience
    Traffic Generation

    They probably failed to sell the right offers to their targets, or failed to sell their offers to the right targets, or failed to reach and grab the attention of their targets, or any combination of these things...
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  • What? Today it's 97%?

    Yesterday it was only 95% !!

    http://www.warriorforum.com/main-int...statistic.html

    This is not looking good at all!!

    Edit: Oops... Just saw that Frank Donovan mentioned this already.
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  • Profile picture of the author ronrule
    Originally Posted by Kevin Walker View Post

    Why do 97% of the people who start a business online fail?

    Is it just because things are so different online than in the real world and they cannot cope with or understand these differences.

    Or is it because there are so many con artists on line with underhand dodgy deals who want a fast buck before they just disappear into the sunset?

    Or is it that the Internet is just full of people selling business setups to people who then have to sell it themselves to make a living and so on and on it goes?

    Just curious!
    The same reason 97% of people fail in every other business: Being a subject matter expert doesn't make you a business expert.
    • EVERY master mechanic I've ever met; great guys who can fix anything using nothing but elbow grease and duct tape, horrible businessmen.
    • EVERY contractor I've ever met; amazing craftsman who can build anything they visualize in their head, horrible at running a business.
    • EVERY high-level programmer I've ever met (sorry guys) - you're geniuses when it comes to figuring out how to make cool stuff, but horrible at running a business.

    IBM almost went bankrupt in the 90's because they had been engaging in the practice of promoting from within. They would take their best programmers and move them up into management positions, which caused two problems: (1) Because the best programmers weren't usually good managers, and (2) Because it left the programmers who weren't as good doing all the programming.

    Being great at your trade doesn't mean you'll be great at running a company and making executive-level decisions, and running an Internet business is no different. This is the real reason why most businesses fail.
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