Panic. Your site does not perform well and investors are asking questions. Now, it is known that panic can create a lot of unwanted decision-moments, and usually you are not thinking most straight to take these decisions in that moment. So listen to all the other advice, telling you to relax. And in no way, not a single way, try to defend your number by bringing down the competition.
In the story David killed Goliath with a well thought off action. Even though taken in a time of panic, he was clear in his mind, picked up the stone and put it in his slingshot… and leveled the giant. Bravo. But when your site is a David-sized site and it is taking it up against a whole world full of Goliath’s, prepare to take a beating.
I have mentioned in the past that there is a lot of competition out there. And yes, it always leaves room for expansion or newcomers. But, I never mentioned this is easy. And if you built your site or production with other people’s money, you know you have to have a report available for them.
Most likely you have told your investors that you can easily win from the competition, because what you have as a product is far more superior. Of course. If you didn’t say that, they would not invest in you or your company. But when it seems that things are not going good, also not long after your deadline for success, you can do a couple of things.
1. Face defeat. It could be a decision if you work from your business plan and you really do not see a change in success in the near future happening. You better can spend your time working on another project.
2. Continue working on the project if you are under the honest impression that the production will become profitable in any way in the near future.
3. Defend your production.
All three options are not bad options. Of course you will defend your production, at one moment in time you thought it would really be a profitable product. But the market seems to differ. That does not mean your production is bad or wrong. It might not have been the right time, or circumstances might not have made it the success you hoped for.
Sometimes, you have to plow yourself through a period of hard times. If you hold on to a project, it might actually turn profitable at one moment. The question is; when? And do you have the passion and the finances to wait it out?
Giving up is also sometimes simply the wise decision. It does not mean you have to give up everything, maybe even simply relaunching in a different way, with the knowledge you have now.
But a person I know very well tried to tell a major investor in his project that although it was failing in the eyes of the investor, that it was still outperforming Facebook. And it honestly was in his report. Facebook, the giant with over 15 Billion page-views a month was being outperformed by this little speck with 56,000 page-views a month. Still not bad, but even page-views per visitor was 60 for Facebook for the respectable 50 for this small site.
I was able to prevent that line of text to be in the final report before it was sent out. The site of this performing is nice, only the audience buildup is going slow but steady. But, the business plan says it should have been massive by now. Too bad, the concept is good, the site looks good, and the performance for visitors is great.
So, what should this person do? A good site, unique actually… but simply not making the money, and generating a monthly loss. If his site survives probably the next year or two years, chances are it is going to be big. I literally do not have any advice for him except not to pick a fight with a giant like Facebook. It is not even worth comparing, especially because the site is not even a competitor.
But I really do not know what to advice him. Maybe because I have been in a sort-like state once before and I decided to quit. And till this day, I do not know for sure that that was the right decision.