The success rate of new Internet products may be less than 1%

Absrtact: A letter from an entrepreneur who wrote down a letter to soothe a few words to explain why the success rate of Internet products (excluding games) is so low. I have said this topic before in my blog, and I can say it again. As we all know, Internet products

Received a letter of frustration from an entrepreneur, answering a few words to explain why the success rate of Internet products (excluding games) is so low. I have said this topic before in my blog, and I can say it again.

It is well known that the success rate of new Internet products may be less than 1%. The unsuccessful products barely last for a few years, and eventually turn into powder.

The first thing to say about this is the next definition of a successful product: For example, a unique brand value, a significant amount of users, and a reliable profit model. Yes, to reach the standard of less than 1%, the other is just cannon fodder. The reason for this high failure rate is:

1. Matthew Effect

The Matthew effect of internet has two strong engine, the first is the flat of the channel.

Compared with traditional industries ' dependence on channels, the cost of Internet arrival is zero. You may choose a convenience store at your doorstep, even though it costs 5 cents for milk, it takes less than 15 minutes to get to any website--the user will naturally choose the biggest, best, and most famous internet product he knows, until it supermarket. The market diversity brought by channel difference hardly exists on the Internet.

The second engine is the singleness of experience. The human body has a variety of sensory capabilities, for Internet products, most of the perception is only completed by the brain, stare at the small screen to move fingers. Relative to the reality experience, the physical sensation that is touched by the Internet is extremely monotonous (even if it is very strong). To put it simply, the high homogeneity of the product. What "extreme experience" are boasting, two of the same type of app differences, may be far less than Qi Noodle and Chongqing facet of the taste difference, and even authentic Chongqing facet and Shanghai improved version of the difference between the small spicy Chongqing facet.

Therefore, the Internet in the same demand area is doomed to a very small number of powerful survivors, and user demand is limited in itself, the market is limited to mining. On the Titanic, people who couldn't get on the lifeboat even grabbed a plank and eventually died tragically in the icy water.

2, a single profit

This problem in foreign countries slightly better, domestic well, haha, the situation you all know, the Internet service to the user charges the main way is multiplayer games. This means that small and beautiful personalized products can hardly survive. Profit model of the single, forcing Internet products must be bigger, on the scale, and then the huge flow of cash.

If the pursuit of huge flow, nature can only cut into the popular demand market, in line with the popular taste. So predictably: Welcome to the Red Sea. In the midst of the Red Sea, the impact of Matthew effect, high failure rate is fully logical. Survival is a miracle!

3, alone

The maturity of the traditional industry is that there is an extremely complex and professional ecological system. To do something in a traditional industry, say, open a bakery, you don't have to brush the walls yourself, not to cultivate the wheat. Only need to be able to have a unique competitive part, the rest can be package to the professional team to deal with.

However, the Internet industry is not the case, the introduction of any new products, from planning to vision, from research and development to operations, from promotion to sales, almost all have to taibaodalan down. Internal division of labor is more and more thin, foreign aid is mostly unreliable. You may have innovative ideas, research and development may not be able to follow, perhaps the product experience is very good, the promotion of resources may not be able to keep up with, perhaps strong operation, product thinking is not clear. All in all, you have to do it all on your own, and every step of the way behind is likely to drag down the whole project.

So there was a paradox.

On the one hand, the Matthew effect drives new products as far away from the Red Sea as possible, to open up new markets; On the other hand, the new product team can not get enough help from the industry ecology, must develop to all-round development, the result has raised the threshold of innovation Large and complete organization will weaken the vitality of innovation, but more suitable for innovative small and capable team, there are many functional positions on the short board. Coupled with the domestic market does not give small and beautiful products to stay alive ... No wonder that the success of products are required to wrench the fingers "and", as if divination who graves contaminated the king.

To sum up, Internet new product success rate is very low, may be less than 1%. The Matthew effect magnified the ravens of the winners and masked the cannon fodder. This is actually a gamble, everyone is betting that I am that 1%, even if today is not, five years in 10 years I must be that 1%--hehe, where there is no inevitable. Ultimately, most of the employees are losers in the game. The internet industry has gathered the smartest and most industrious people with fair rules of the game, and the rule is destined for a 1% chance of winning. Your youth is depleted here, and your products wither here.

Born in this dream era, the era of miracles, the era of cannon fodder.

I used to be very pessimistic, but I'm still very pessimistic. About a year ago, no longer to "product success" as a vision, the death of the Lottery heart. I hope to make my own special favorite, there are many people clappy applauded products, to leave some good experience for users. As to whether it can be big, red, tilt 45 degrees tilt head to fantasy, but also not as a close bite of the lower lip of life goals to treat. One day you will understand that, compared to everyone has a "change the world" long dream, the pursuit and dress up the beloved product experience is more real life.