Above is a famous photo of deserted ships in San Francisco Harbor–left derelict by crews who jumped ship and headed to the gold fields, hoping to make an easy fortune.(Credit: San Francisco and a forest of masts. 1979.90.141. Mystic Seaport)
The general thought was that gold was simply there for the taking, and in fact a favorite parody of the popular ‘O’Susanna’ was:
“I’m goin’ to San Francisco
And then I’ll look around
And pick up all those Lumps of Gold
A ‘layin’ on the ground!”
Seeking El Dorado
More than 90,000 people poured into California in the two years following James Marshall’s discovery–and 300,000 in the next four, with San Francisco growing from a shanty town to a boomtown. The miners called themselves Argonauts, after the mythical men who accompanied Jason in search of the Golden Fleece.
While a few of the early miners did stike it rich, the majority did not; and as rumors of new strikes sped downstream, miners whose gold pouches remained empty broke camp and journeyed to what they hoped was the next El Dorado. In the end, it’s estimated that one in every five miners who came to California in 1849 was dead within six months.
Someone once wrote, “that the young men scrambling their way West left their souls on the plains, alongside with the useless gold digging machines.”
What’s the Analogy?
If the story of the California Gold Rush sounds familiar to you, it’s because it’s being played out on the Internet every day.
Thousands – tens of thousands – pour online in hopes of cashing in on the easy money just waiting to be grabbed. We’ve all seen the sales pitches with claims of “$10,000 for four hours work!” or “make your fortune in two days with our fail-safe system!”
And once entrepreneurs have bought a “fail safe” system that didn’t work, they move downstream to the next El Dorado - the next Internet guru with something to sell.
The truth is – there is no Internet El Dorado. However, there is a tremendous opportunity for the entrepreneurs who provide value to their customers and clients.
Do you know who made money during the gold rush? The people who sold the gold pans, shovels, picks, and food. The people who supplied the gold camps with the necessities.
As I write this, I think of the generous, talented entrepreneurs I’ve met over the past year who’ve supplied my necessities – like Lou Bortone (the Video Guy), or Leo Babauta who strives to help us simplify our crazy inboxes, or Darren Rowse who offers sane advice on getting the most out of Twitter. These are the “gurus” worth following – and pay attention to how many RSS feeds you get from these guys that have a “BUY THIS!!!!” message. Very few.
If you’re asking “So is this a guru-bashing blog post, Nancy?” The answer is “no”. This is me taking the long view – and recognizing that there will always be people who want to grab your dollars without retur
ning equal value. That’s life.
This is about steering your ship to the safe harbors – the places populated with the Internet good guys who care about your success.
In the end, those scammers will end up like the derelict ships in San Francisco Harbor – and their customers will receive about as much value as the miners with empty pouches. While the Lous and Leos and Darrens of the world end up growing a solid business.
What Next?
How about making this a year of growing a business that feeds your passion.
Be one of the good guys (and women).
You’ve worked hard to gain the level of knowledge and experience that you have – - so find a way to package it that provides real value to new and existing clients and customers.You won’t believe how well you’ll do with a clear focus, a valuable product or service, and a little grit.
Leave a comment and let me know how you’re doing.
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Wow – thanks for the great post. I’ve definitely been one of those people always willing to jump to the next “big strike”. Can ‘t tell you how much money the gurus have got from me – and now I’m really re-thinking exactly what I’m trying to accomplish online.
Having been trying to make money online for almost a year, I’m now positive there is no “easy way to riches”, and the only ones getting rich from the gurus’ products are the gurus themselves . I still feel like a pioneer though, and I take inspiration from those people who set off for their fortunes during the gold rush.
Here’s a bit of trivia about the California Gold Rush: There were actually three of them!
The second Gold Rush occurred when Chinese laborers who built the railroads turned to mining and panning when their work ran out. A third Gold Rush happened during the Great Depression when farm laborers unable to find jobs began working over the tailings and panned out streams to scavenge what little was left behind from the previous two Gold Rushes.
Even though many of the most lucrative Internet opportunities have been taken already, there doubtless remain niches that have been overlooked or under exploited.
Really its a nice blog,i like it.Thanks for sharing it.
Nice info thanks for sharing. I really like your point of view.
This is a great article. It is so true that many people often do jump blindly looking for next big money making idea/website online. There is not really a true get rich way of making money online. It does take hard work and and truly great idea, product, or service. You have to give your clients something of value and if you do they will come back.
I did like how you mentioned that the only ones that made it rich were the ones selling the shovels, gold pans … etc. They saw a market for those supplies and found their great product.