For Subscribers

The Internet Machine The evolution of the Internet has dramatically altered the way we work and buy.

By Amy Cosper

Opinions expressed by Entrepreneur contributors are their own.

Amy CosperJust a couple of decades ago, the Internet was a nascent platform used primarily to serve up the AOL joke of the week each Monday morning. Across America, anxious onlookers would wait and watch as their dial-up modems chugged and bleeped and spurted until a two-line, not-so-funny joke crawled its way across the screen. Needless to say, we've come a long way: The Internet has become an indispensable part of business, and online humor is now much funnier.

Just how dramatic is the evolution of the Internet? It has radically altered the way we communicate, innovate, create, express, buy, sell, invest, research, date­--just about every human behavior and activity has an online counterpart.

We now have instant access to knowledge, intelligence and transactions. Never in history has consumers and brands commingled as closely as they do now. Brands are built, destroyed, altered and restored online. The democratization of branding is both engaging and terrifying.

As with all seismic shifts in business, the evolution of the Internet has ushered in new opportunities and categories of entrepreneurs. Reinvention of traditional business models, such as luxury retail, is exploding--especially luxury discount. While second-quarter brick-and-mortar luxury and department stores burped out a measly 4.5 percent increase in sales over the year before, online discount retail sales have skyrocketed. HauteLook, this month's Innovator (see Booth Moore's story), watched its sales soar a staggering 275 percent this year. Private sample-sale sites, as the niche is known, account for $1 billion in sales and are expected to continue that trajectory, reaching $8 billion over the next five years. And VC cash is flowing into the sector to the tune of $112 million in just six months.

The success of these sites is due largely to the niche's ability to play into the designer psyche of champagne fashionistas on a beer budget. Discount is key. But an air of exclusivity and private membership plays into the "intent-based shopping" mentality, too, as HauteLook founder Adam Bernhard describes it.

And this year's Young Millionaires have all made their fortunes online. From SEO to food to fashion, the Internet has proved fertile ground for their unique take on their respective business sectors.

Even if your business isn't web-only, online is still one of the most important parts of your strategy. The effect of the Internet on business is historic. Its lack of boundaries makes it an attractive opportunity for entrepreneurs who don't like to stick to boundaries anyway--and who are always prone to breaking the rules.

Amy Cosper
Amy C. Cosper
Editor-in-Chief
Follow me on Twitter, @EntMagazineAmy

Amy Cosper

Former Editor in Chief

Amy Cosper is the former vice president of Entrepreneur Media Inc., and editor-in-chief of Entrepreneur magazine.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Growing a Business

Can't Get an Email Back? These 7 Tips Will Make Sure You Get a Response Every Time

Whether you're trying to get someone to email you back, slide out of the DM void or simply have a real human moment amid all the noise, these tips will get people to actually respond.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Franchise

Thinking About Scaling From a Single Unit to Multi-Unit Ownership? Here's What You Need to Know.

Scaling from a single franchise location to multiple units demands new systems, deeper trust and a shift in how you lead.

Resumes & Interviewing

LoopCV Applies to the Perfect Jobs for You Every Day — and It's Now Less Than $30

Apply for jobs and email recruiters with the click of a button.

Business News

Barbara Corcoran Did 'Crazy Things' to Retain Employees, From Hot Air Balloon Rides to a Free Bentley: 'We Had No Turnover'

Corcoran sold her brokerage firm, The Corcoran Group, for close to $70 million in 2001.