Since the Internet is so personal and simple to audit, you can demand more of its users than television can its viewers. Companies can study the relationships and purchasing power of actual visitors rather than subjective Neilson families. Just because the Internet is growing everyday and your site keeps getting more use, it doesn't mean you're creating value. You have to be accountable for market research and building a business model that converts visitors to cash. To survive, you must increase profit margins and create real investment returns, which in turn brings more investors, increases operating capital and revives the prospects for growth.
Investors are sick of sizzle.
They are now looking for fillet mignon-style profit margins. Most Web companies no longer have the freedom to overextend resources. Big cuts in advertising, marketing and staff are the first line of defense as investor-tied companies restructure to lure more risk capital and, Wall St. willing, tread water. Things happen, and in life we have pitfalls. But setbacks should be taken in stride because they force us to reevaluate.