There are other reasons, but these are the most common. But what do I mean by them?
People Over Complicate Things:
Well online business is in truth very simple. So why don't more people succeed?
The answer is when its presented in a simple way, people think something is missing and look for other things to add on. With so many options for online businesses, its easy to keep seeing new things and before you no it you aren't just building a simple product, you are building something huge, something complexed and also having to deal with things like sales and support at the same time as design and marketing.
Many end up in this trap when in reality they haven't mastered the basics and certainly don't have expertise at these other things. This usually ends up in huge frustration and many quit without ever working out what they have done wrong.
People "Wing Its As They Go":
What I mean when referring to winging it is that people have no real plan. Most don't have a vision and don't know what they are actually building. So many don't have a product and don't actually know what problem they are looking to solve yet they claim to have a business.
The truth is they don't!
People Get Sucked In By Shiny New Products Methods:
When working online and researching how to build a business online, its easy to be distracted. Sometimes these distractions change your thought process and when you are building something one way you are suddenly presented with something new that sounds easier than the path you are currently on.
These can be the "Shiny New Products & Methods" I am talking about.
We have "Gurus" saying you need this in your online business and also "Product Developers" promising their software will make you rich very quickly. Selling the dream and very often their products that usually end up with you not very much further ahead than you ever were.
It's true sometimes these things have an element of truth in them. The claims aren't completely unfounded. But usually there is so much more needed than this single piece of software or method, that when they sold the dream they never told you about. This then becomes the reason people fail.
People Don't Automate The Business Enough:
Most people that want to build a business online do so because they want to get away from the stress and strain of the typical 9-5 job. I know when I started that was a big reason with my first child on the way.
Some also want to give themselves some security within their job by being their own boss. Not having to worry that they walk into work and are told they aren't needed anymore or their employer is closing down.
Having control over these things can be a huge benefit and draw to those wanting to build a business online.
But in building a business online many build something that then requires them to work many hours and continuously be involved else the business suddenly stops.
This means they cant go on holiday or even have a few days off. They often end up spending most of their daily life working in their business just to keep it ticking over, this can be far more stressful.
They have basically created a "JOB" for themselves without having the security a job supplies and with far more other stresses to go with it. No wonder so many end up frustrated, disillusioned and stressed before they go back to the slog of the 9-5 with their dream crushed.
A business online should never be built in this way. The core of the business should be automated as much as possible and be able to run on autopilot in profit even if you were ill or decided to take a month off the effect should be minimal on your business. You should be able to work when you want, from wherever you want for as long as you want.
People Try To Do Too Much:
As I have stated it is easy to be sidetracked and convinced that you need so many other elements in your business, or that your business will fail without certain elements.
With the right mindset, systems & people in place you can succeed. Many people don't though. It is understandable that when building a business online that people don't want to be committing to paying "staff" or building a full time "team" to cover all bases within the business.
Its even more understandable when a large portion of people looking to build a business online are people with very little spare income and a large proportion are struggling to get by and are just looking for a way out through desperation.
It seems an obvious solution to do all the work by themselves. This not only means there are lots of commitments on your time, but also lots of new things to learn, lots of stress and most likely lots of mistakes made along the way.
No wonder so many that fall into this trap fail, end up frustrated, stressed and with their dreams crushed.
People Don't Have A Clear System:
Now some of this crosses over with some of the other stuff above I have mentioned. People that wing it done have a clear system, those that are sucked in by shiny new objects and methods usually don't either. Those that don't automate their business enough obviously don't have a system that works correctly for them and people that try to do too much also fall into the same category.
They haven't got a clear system in place. To me this is the most important thing to get right. All successful businesses have a clear system or bunch of systems that combine together to make one big one. This goes for businesses online and offline. No matter what size the business is, there is a procedure for every part of it. That's what makes them work. Understanding the system you need for your business to succeed is critical.