Top Five Killer Reasons Why Online Businesses Fail

Ever wonder why only 5% of business owners rake in 95% of the Profits, why some people succeed and some people always face failure despite their hard work as they believes. Why there are so few online individual millionaires out there compared to the countless others who try building a business and failed every year? Well I am trying to give you at least five reasons which according to me lead to the failure of your online business. These are not related to the technical aspect of blogging or online business but rather dealt with the individual behavior which is deciding factor of online endeavor’s fate.

1 – Half-Hearted Attempt

You are doing it because somebody else is doing and making money out of it. You are doing it just to see how it goes with you; you are not determined to do it but only trying to see whether it works for you also. If you start your online business with these motives; chances are that you will end up losing most of your money. To succeed in online opportunity you need to support it with full strength and energy. Don’t just try, believe that it’s going to happen and you will make it happen no matter how difficult it is.

2 – Lack of Passion

One reason why your online venture fails is that you are doing it just to make money, but the matter of the fact is that money is a peripheral which comes along with your success. Whatever you choose to do, do it passionately believe me money will come along automatically. Do doubt money is a great motivating factor but it should not be one of your prime motives. If you are doing something for which you have great passion and admiration I am sure you will unquestionably succeed in your endeavor.

3 – Fickle Nature

Lack of determination results in fickle nature, it means unduly changeable in feeling, judgment or purpose. If you are not confident enough you keep on changing your decisions, changing your mind frequently without putting enough efforts into your plans always result in failure. There are examples when people succeed after 20 to 50 failed attempts. If things are not turning up as per your wish it does not always calls for a change in policy, it depend on how confident you are about your business strategy, approach and success. For example if you ask any successful super affiliate who is making insane money now, he will tell you how much money he had lost during his initial campaigns. People fails while learning the tricks of the game, the only thing which force them to keep on trying is their confidence and faith in the business and in themselves.

4 – Lack of Knowledge

You must acquired proficient knowledge in your niche before jumping into it, if you are not a competent authority in your subject then do not try to pretend, you will get caught. When you are a make money online blogger and recommend your reader to try some products or join some blogging coaching programs or endorse any other stuff it must shows from your words that you have complete knowledge and command over your statements and on the product you are advocating. Your reader shows belief in you by subscribing your blog, buying products through your affiliate links and joining your recommended training programs, they will do this only when they are confident about your authority on the subject. Half knowledge or little knowledge is always dangerous for you and for your online business.

5 – You Are Not a Fighter

A fighter is one who never gives up, no matter how worse the situation is. I bet 90% of you would have closed down your online businesses if big daddy google stop supporting your venture like in the case of John Chow. The biggest thing that you can learn from John Chow is that nobody can knock you down if you have faith in yourself, no matter how big he is and no matter how small you are. John struggled for almost three years without google this is because he never lost his faith during the trial of his abilities. Online business is not a piece of cake, it just like when you see a beautiful building you must realize the huge amount of hard work that has been gone into structuring its sturdy foundation. Are you the one who afraid from failure? The one who always hide from assessment or the one who faces the challenge and win over the weaknesses?

I know you are a fighter, you will win, no doubt about it, but if you have any of the above lacking in your behavior I wish and hope that you will work out and come out as a rock solid winner.

This post is guest-blogged by self proclaimed dot Com Guru Shanker Bakshi from Shanker Bakshi dot Com where he teaches about how to make money online.


47 thoughts on “Top Five Killer Reasons Why Online Businesses Fail”

  1. Thanks for the inspiring words John. Honestly, I have been through every single scenario you wrote. There are times when I wanted to give up (Google drops my site, Adsense bans it for false reports), but then again, I thought of my family and how online money making will help us especially during this trying times.

    Again, thank you John Chow for the inspiration.

    1. The Reason Blogs Fail That said, what IS the reason most blogs fail? This is my honest assessment: the reason most blogs fail is because they were improperly researched to start. if you want a successful blog or internet marketing plan of any kind, you need a fully detailed plan to start off. You may be surprised to learn that MOST business owners have no business plan of any kind. No written goals at all. I’m sorry, but you cannot run a meaningful business and achieve meaningful results without a plan.

      1. I disagree. Many successful business owners subscribe to the attitude “ready, fire, aim”. The amount of failed blogs and business is dwarfed by the number of would-have-been-successful blogs and businesses that were never started.

        They may not have been started because of:

        1. Fear
        2. No Desire To Plan
        3. Laziness

        I am not suggesting that there should be no plan or no general idea, just that it is often better to get started are improve your services. Wash and Repeat.

  2. Joe says:

    Decent post.

    John Chow had it right in an earlier post, people aren’t successful at blogging because they don’t take it seriously. People using free templates and not buying advertising, they don’t take it seriously.

  3. Tony agnone says:

    Excellent! Simple., but like in any journey business or nay! ConsistenCEY is KEY! Plus u have to believe in whatever it is ur doing n or pursuing! Thanks for the post!

  4. Earningstep says:

    good tips from shanker , he is also top commentators on your blog. and one day i will send my tips too. i am really enjoy my times in your blog john.

  5. Greg Ellison says:

    Very good tips Shanker. Thanks Greg Ellison

  6. Very good post Shanker. What you say are very true and while reading it, it reminds me of myself through the times I tried to make money online. I love it when you say only 5% succeed with 95% profit. This is very true.

  7. Good article, Shanker.

    But timing and luck does play a small part too. John has passion in his blogging and didn’t give up when Google slapped him.

    But…. If JohnChow.com were to start today…I don’t think he would achieve what he has achieved. But that is just part of Life.

    Is it possible to achieve JohnChow.com status? Yes, 110% possible… but it’s just that much infinity harder now.

    1. There is a great old saying: that luck is nothing more than preparation meeting opportunity.
      I also believe in preparation, effort and persistence. Isn’t it is amazing how many people who work hard, study diligently, commit to their goals and purpose often have more than their share of good luck?

      1. I’m just saying if John Chow started today as JohnChen.com with the same amount of passion and hard work, I just don’t think it would ever become the status of JohnChow.com.

        Agree or disagree?

        1. Disagree. JohnChen.com would likely have similar success at the same point in time. That is to say if you compare year 2 of johnchen.com to year 2 of johnchow.com.

          It is unlikely that johnchen.com would even catch up, but that is the nature of a two year head start!

  8. game-girl says:

    Very seriuos approach the business which is worth attention and study.

    1. John Pope says:

      When you’re young and eager to start it’s no time to study the niche you’re getting in. Wisdom comes after a few years of life experience. At least that’s what happened with me.

  9. Doug Dillard says:

    Great post Shanker! All 5 reasons were right on point. I see people fail everyday in all sorts of businesses, not just online because they fall into one of your points.

  10. hospitalera says:

    One more reason:
    People that never start. How often have you heard “Sounds great, I will try this sometimes.” And this “sometimes” never comes. SY

  11. John Pope says:

    I would add to that that many people don’t expect the delay between the first few months/years of hard work they’re putting and the moment when they’ll start earning big bucks.

    People forget too easy that they needed over 15 years of education till the first serious job what brought them money.

  12. Ghostwriter says:

    Good post which will hopefully wake up a few entrepreneurs with their business. One of the things you left out is a solid business plan which a lot of people don’t have. Having a mentor for this area will do a lot of good.

  13. Lack of Passion- This happens often, many people do things because they need to, not because they love to, therefore, a person struggles to finish both his short-term and long-term goals. Imagine starting a “George Bush” cartoon website, and you hate Bush? And no, I don’t believe in politics!

  14. All great tips John thanks will incorporate them into my own online business Stocks on Wall Street

  15. fas says:

    Very valid points, one needs to have faith and trust in one self to pull off something special.

  16. Paul Hooper says:

    Hi John,

    I think your first two points made are especially related to people failing online. People seem to enter this business under the presumption that they can make a lot of money by doing next to no work.
    Unfortunately it doesn’t work like that. The doer’s work hard and ake money, the rest give up complaining that there is no money in IM.
    Leaves more room for us 🙂
    Thanks John.
    Paul

  17. To me lack of knowledge is the reason most people failed, you see almost everyone starting online, wants to earn money… no doubt… I was too.

    But the problem, is that in order to make money online, the knowledge you need to know is not about what you are passion in, is about how to market the passion of yours to the audience.

    I have seen many blogs, talking about their passion and they are really really passion in what they write about on blogs, but not many people know about their blog.

    That is why having passion is not going to make you success, but the knowledge of how you gonna market your passion.

    Is just like you love to watch Tv, you need to know how to use the remote control to change channel and etc.. etc.. etc…

    Goes the same, you have passion in your subject, you need to know how to market your subject in order to really make it online.

    1. Shaun says:

      CORRECT!! marketing is the key word. That in itself is an art form, mindset, some creative thinking and a bit of eccentricity. All of which take, time to learn and commitment. A bit like having the ‘testing’ mindset. Something that was mentioned here on this blog before ($1000 – $3000 – $10000 per month). That goal was only achieved from not being scared of things not always being right.

  18. Shanker, you need to work on your spelling and grammar. I spotted at least half a dozen mistakes in that short post.

  19. Oh, and I tend to disagree with some of the points you make as well.

    I do not believe you have to be passionate about your business – there are so many people saying “do what you love and the money will follow”. No it won’t. Do profitable things correctly and the money will follow.

    Passion is not necessary, but a business plan and perseverance is.

    1. Vic says:

      Passion is necessary for a business plan to be executed with consistent energy. Passion makes a person persevere.

    2. Agreed. Sometimes there is too much emphasis on the hippy feel good idea of “follow your passion and everything will come together”.

      I doubt that many people were ever extremely passionate about taking away trash. However companies like Waste Management are extremely large and profitable enterprises.

      Waste Management was likely started by a trash collector that saw a better way of doing business. Not by somebody who loved hauling away other people’s crap.

  20. Eric Tan says:

    going through #3 right now…

  21. Thanks everybody for your appreciation.

  22. Hi John,

    You make some excellent points here. Too many people opt to start up an “online business” because they think it’s the fast route to easy money with no work involved. In reality an online business can be just as hard to make a success even if there are next to no start up costs.

    I think a lack of passion and knowledge is the real killer. A lot of ” make money online” blogs are set up because that’s where people THINK there is money to be made. So they just throw a blog up, fill it with generic content from Ezine Articles then scratch their heads when nobody is even commenting, let alone buying anything.

    To succeed online you need to have that passion to succeed and not just quit a couple of months down the line if (in all likelihood) you are not making any money. If we are talking about blogs then your blog must have soul and your story should resonate through to allow your visitors to make a connection with you.

    David

  23. Nick says:

    I completely agree with this post. Very nicely done.

  24. Vasantan says:

    Thanks for your post. I just started my new blog. I found i got some weak point that i have to correct before put further step. This post give me some inspiration to a good blogger.

    thanks

  25. Thanks for the tips, I just started a blog today. I had done a niche blog a few years ago but lost the passion. I missed updating and blogging, I just hope my blog now isn’t too broad. Hopefully I can write enough interesting articles and develop good content to get readers.

  26. Christian says:

    This list is awesome. It’s amazingly simple to run a successful business. I’ve found that operating an online business works on the very same principles as an offline business. The lingo is different, and there are some things to learn, but business is business. People fail because they just don’t bring the goods. It takes a lot of work, and I see most people working their asses off trying to find a short cut, instead of just getting to it and making their businesses work 🙂

  27. Shanker great guest post, all 5 points was right on. We all see blogs and businesses come and go. They wonder why they failed. Keep up the great content.

  28. I think you can sum all 5 up in one line, “Doesn’t have a clue!” The lack of all these things keeps tons of people from ever making a dime.

  29. Steve Katyal says:

    Shanker hits the bull’s eye in this post.

    1. Dump Trucks says:

      thats the perfect word to describe Shanker’s post and this post would have brought many visitors to his blog and maybe increase in subscribers as well.

  30. S.K Sharma says:

    Shankar is right.Any work in the world need Dedication,Passion, Knowledge, and hardwork like me…

  31. Ghostwriter says:

    Sometimes people work their asses off and they have a deep passion for what they’re doing. They’ve read every book on what they need to be a success in their business.

    But they still fail because they don’t know how to “connect the dots”. I personally had this problem but I was fortunate to meet someone who helped me out.

  32. videostar says:

    Shanker is a cute teacher with his own seeing success in this kind of business.Interesting read.

  33. Mohan says:

    Yes shankar is right, always need to work hard to get sucsess and i am tring to achive it.

  34. Andy says:

    These are very useful points I think. What I suggest though is to be like John and be better at something than most of your rivals. Like John is a superior blogger to most of his competitors.

    You have be offer some kind of superior service or product to your readers that the competition will struggle to compete with IMO.

  35. MakingFastMoney says:

    I think Main Reasons are:
    1. No Desire To Plan
    2. Laziness
    as Michael Mindes said.

  36. Kittyhello says:

    Shaker’s tips very good are, giving us these ideas for thanks!

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