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Will You Survive On The Maturing Web?

Story:

A new report from ActivMedia suggests that "there are a solid core of profitable Web businesses continuing to thrive online ... it appears that Aesop was right - slow and steady does win the race. Reaching profitable positions online requires fiscal discipline."

As many of us have believed, it appears that once access to virtually unlimited venture capital was removed, many of the initial pure dotcom businesses were seen to have flawed business models. These companies nevertheless managed to bring many consumers online, who must now look elsewhere on the web for goods and services.

According to their research, 67% of profit-oriented online businesses see an increase in the number of potential new customers this year and 61% feel confident of their ability to attract new customers. 42% see the web as a way to build increased loyalty among existing customers.

The challenges are there: 57% see an increase in the number of online competitors. Also, 37% see increased service demands from customers.

Bottom line, 44% of these profit-oriented online businesses feel an increased ability to run a profitable online business in 2001, as opposed to previous years. And, 36% see increased financial stability in their web business.

ActivMedia Research LLC, a division of ActivMedia, Inc., conducts custom and syndicated research for clients worldwide to guide businesses to profitable online positions. ActivMedia Research began its first online market research in 1994.

Analysis:

The demise of dot-com businesses was expected by many people (maybe you as well?). Unfortunately, there may be some companies that will throw the baby out with the bathwater, and reject the Internet as a viable business medium.

The web remains a very useful channel for contacting consumers, engaging them in a dialogue about your business, landing them as customers and finally, maintaining relationships and selling more products and services.

Link:

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