Blunder #6: Failing to create and build an opt-in "house" mailing list.
Red flag! Alert! Serious blunder! If you do not have a mailing list to keep in touch with your prospects and customers, you are literally throwing money down the drain. If you get nothing else out of this issue, trust us when we say that you need one badly.

People buy things they want from people they know and trust. And there's no better way to get people to trust you than to show them that you are good at what you do. Starting an email newsletter will allow you to keep in touch with your audience and do just that.

With it you can keep them informed of site updates and new products. You'll never have to worry about them forgetting you because your name will always be in front of them. You can even sell advertising. But most importantly, you will build trust and relationships.

Think about it. If you wanted to become a real estate investor, would you purchase a home-study course from a door-to-door salesman or someone who had been sending you a free newsletter for the past year? Starting an opt-in newsletter should be a top priority!

Blunder #7: Ruining your reputation via inappropriate advertising.
A list of Internet marketing blunders which didn't include spamming just wouldn't be complete. Despite what you may have heard, there is no better way to run your online business into the ground than the act of sending unsolicited email. It is the ultimate blunder.

If you have to learn this the hard way then so be it, but don't say we didn't warn you. For every spammer that is actually making any money, we can show you 10 responsible marketers who are making lots more. There is absolutely no reason to spam.

The same thing goes for posting ads in Usenet newsgroups where they don't belong. Why hassle with the negative effects of these questionable methods when there are so many ways to advertise online? Forget morality issues, it just makes no business sense.

The most important asset you have as an Internet marketer is your reputation. And spamming is about the fastest way possible to ruin it, short of blatantly ripping people off. If you have any intentions of being around to realize long-term profits, please don't spam.

You only have to do two things to be successful in business, and you only need to do one of them on a regular basis. Can you guess what it is? If your online endeavors are not as successful as you'd like them to be, do yourself a big favor and return to the basics.

First of all, you need to develop a profitable business model. Until it has been proven that you have a viable product or service and a method of selling it that turns a profit, anything else is premature. Do not waste time and money promoting a dud, testing is critical.

Once you have determined that your business model is sound you should concentrate most of your efforts on promoting it. If you make $10 per sale, you simply need to find 100,000 customers to make a million dollars. Marketing is the lifeblood of your business.

Blunder #9: Thinking you're going to get rich without working hard.
Here's another blunder that isn't exactly limited to the Internet, but it is just as dangerous as the others. If we had to pick just one, this would probably be the number one cause of failure -- both online and in the real world. Making money is easy, but you must work for it.

A successful online business isn't built overnight, it is the result of many late nights. If anyone says that they can teach you to make a substantial amount of money without hard work, run as far away as you possibly can. And be sure to bring your checkbook with you.

The get-rich-quick mentality seems to be quite popular online. But the truth is, there really isn't a way for the average person to do so. And getting caught up in the hype is only going to delay true success. Save yourself lots of grief by accepting the fact that there is no free lunch.

We're still not sure why the get-rich-quick mentality is so prevalent on the Internet, but we do know one thing. There are no secrets, and there is nothing mystical about making money online. With some hard work and a little perseverance, absolutely anyone can do it.

Blunder #10: Not understanding the real power of the Internet.
The Internet is a communications tool. It was created for this purpose, and you'll get the most out of it if you use it as such. There has never been an easier or more cost-effective way for a business to reach its target audience, and there never will be. So take full advantage of it.

Use the power of the Internet to reach millions of customers all over the world. And then use it to provide them with the sort of customer service that was impossible without it. Use the Internet to gather information, research the competition, and network with others.

There is a goldmine of information and resources floating around in cyberspace, but you have to know where to find it all. Learn how to use the search engines to easily find almost anything you need and your productivity will skyrocket. This tip alone is invaluable.

In a nutshell, use the Internet to communicate more effectively. Don't forget that business is about people, and that the Internet is nothing more than a great way to interact with them. Don't hide behind it, get involved and witness the way it changes the world firsthand.